Telecom
Building Capacity to Sustain Telecom Growth
The telecom sector is presently undergoing speedy transformation on account of explosive growth and rapid infrastructure development. The liberalization of telecom sector along with increased competition among players have brought substantial benefits to consumers in terms of lower subscription rates and enhanced choice.
In line with the escalating education and business in the country, the demand for Internet services will soar as businesses need new mediums to get exposure on the global map. Supported by forward-looking government programs, the country is all set to become one of the leading Internet markets in Africa in terms of users, international bandwidth and services offered.
As the country prepares for this explosion in telecom development, the importance of capacity building needs to be stressed. While technology and infrastructure always seems to be at the forefront, it is what you do with access that matters. What is the essence of technology? How important is human growth? Developing a knowledge driven economy means people must come first. Progress today is propelled by a combination of knowledge, technology, and most importantly people. Are people using ICT to create wealth? Is ICT being deployed by individuals and organizations to conserve foreign exchange and reduce foreign dependency? Where is infrastructure taking the people to? Technology on its own can do nothing. It is people that will determine the growth and impact technology will have. It is people that will determine how ICT is used in the economy and in society. Answers to these questions will determine the direction the sector wants to go in future, either to continue with the growth pattern or development of the sector.
The question is do we want real development or we are satisfied with masquerades posing as solutions? Are we to remain spectators or active participants? Then human resource development must be high on the agenda. It must be top priority. It is people who will create, operate, run, support and manage the technologies to improve their lives and the environment. Where are we on the human capital scale? Can a nation be a knowledge society giant simply by investing in infrastructure? People are the focus of development. There are pockets of access and things may have improved. But to assess quality, we must know what proportion of the populace utilizes knowledge of the benefits and opportunities offered by ICT. Access means availability. But how deep is the penetration and can there be value without participation?
The great improvement in access to telecoms in the country has had a positive impact on virtually all facets of life in the country, political, social as well as economic. Government’s interface with the citizens is now faster, people now contact their folks in most parts of the country from anywhere instantly whenever they wish and clients now easily reach their various service providers such as mechanics and tailors, all thanks to the telecommunications revolution.
Ownership of phones now cuts across the various social classes, opening good opportunities for the e-health, e-education, e-security, e-commerce and e-banking in the country.
The outstanding growth in the telecommunications sector has correspondingly created a significant number of new jobs in the economy. Also, other sectors such as advertising, real estate and finance have gained tremendously from the ripple effect of the growth in this sector. Today the telecom sector is a key contributor to the nation’s Gross Domestic Products (GDP).
Skilled manpower issues
Aside building of infrastructural facilities required to deliver telecom services, building skilled manpower is also necessary for development in the sector. Presently, in spite of establishment of Digital Bridge institute and other related institutes in the country offering core telecommunications courses, the sector is largely dominated by foreign expertise especially in the technical areas. Indigenous manpower in these areas are attempted by good working conditions outside the shores of this country and thereby consistently creating vacuum that has been difficulty to fill in the industry.
However, there has been growth in the number of skilled manpower in the telecom industry over the last eight years. The NCC took certain timely initiatives to ensure that the dearth of skilled Nigerians to run the fast expanding telecom industry in the country was remedied.
A milestone was achieved on May 20, 2004 when Mr. President commissioned the ultra modern Digital Bridge Institute (DBI) in Utako, Abuja, established by the NCC as an international centre for advanced telecommunication studies.
Apart from training technical manpower, the DBI trains personnel in other specialist areas such as economic analysis, financial planning, law, arbitration, mediation, interconnection, e-commerce, business management, human resources and consultancy services.
The Nitel Training Schools in Kano and Oshodi have been transferred to the Commission by the Federal Government and have been resuscitated to become campuses of the DBI. The expanded DBI have started providing multifarious ICT training programs for over 2000 graduates annually to service both local and international markets.
Improving Quality of Service
Though tremendous progress has been witnessed in the telecommunications sector, there remain numerous challenges. One of such challenges is the poor quality of service being experienced in the network. This situation has also being blamed on lack of adequate capacity to transmit calls as well as other socio-economic factors.
However, the Commission is working assiduously to ensure that the quality of service improves significantly within the shortest possible time. The Commission is now working with operators to achieve network optimization and speed up the rate of deployment of new base Stations, switches and transmission infrastructure.
The major contributor to the current QoS challenges is network capacity constraints. The operating companies have not been able to expand their networks fast enough to meet the ever growing demand by subscribers. This was further aggravated by a few factors such vandalization of telecom infrastructure, theft among others which are adversely affecting efforts made by service providers to ensure better quality of service delivery.
Other issues such as major deterioration in the public power supply situation in the country; security challenges; delay in securing approval for siting of new base stations; among others, have also contributed in various degrees to the problem.
With the current rapid expansion programs being implemented by all the service providers, and other measures the Commission has put in place, the QoS situation has started to record improvements. The recent intervention of the Ministers of Information/Communications and the FCT in the case of Abuja will also translate to major improvement in QoS in the Federal Capital Territory.
To ensure that this situation remains the focus of the industry stakeholders always, the Commission has constituted an industry working group on Quality of Service. Also, Guidelines on Infrastructure sharing which was published few years ago should be strictly enforced to encourage infrastructure sharing at all levels.
Future outlook
As the market gets matured stakeholders in the industry which include Nigerian Communications Commission, operators, infrastructure providers among others should emphasis on building both human and infrastructure capacity required for the next frontier of growth and development in the sector. A lot of emphasis is also being placed on growing Nigeria’s data capability by promoting large scale broadband internet and optic fiber rollout across the country.
The commission having concluded work on modalities of introducing Number Portability is expected to announce time for its introduction this year. To this end operators should start putting in place the necessary things for its effective launch which include capacity building in various areas of their operations.
Just last week Kenya’s telecoms regulator announced that the country’s four mobile networks will be required to start supporting Mobile Number Portability from this July. The regulator has been planning to offer MNP in the country for several years, but kept deferring the plans.
The plans, originally announced in 2004 were put on hold in 2007 after the regulator cited the high costs of implementing the system. They were then resurrected in late 2008 for launch between March and September 2009. It now seems likely that the launch will finally occur in the middle of this year.
Subscribers will be charged an administrative fee for each time they port their number to a new operator, although the fee is still to be worked out with the operators.
Typically in most countries where MNP has been introduced, the smaller players tend to see a short-term jump in subscriber numbers at the expense of a dominant player – in this case, Safaricom.
Asset Management Corporation of Nigeria (AMCON) has commenced the process of divesting its interest in NTEL/NATCOM, saying the telecommunications company has undergone a major transformation that positions it as one of its most promising asset recovery success stories.
NatCom Development and Investment Limited, trading as ntel, is a Nigerian telecommunications company that acquired the core legacy assets of the defunct Nigerian Telecommunications Limited (NITEL) and its mobile arm (MTel) in 2015.
Mr. Gbenga Alade, managing director and chief executive officer, AMCON, disclosed this during an interactive session with senior media executives in Lagos at the weekend, where he also revealed that the Corporation recovered about N165 billion in the first half of 2026, representing a 64 per cent increase over the N107 billion recovered during the corresponding period of 2025.
Alade said the planned sale of NTEL follows the successful divestment of the Ibadan Electricity Distribution Company (IBEDC) and forms part of AMCON’s strategy to unlock value from distressed assets while attracting credible investors into key sectors of the economy.
According to him, the divestment programme is being conducted through a transparent and structured process designed to attract strategic investors capable of repositioning the telecoms company for sustainable growth.
He explained that NTEL, the successor to the defunct Nigerian Telecommunications Limited (NITEL), has embarked on a comprehensive three-pronged transformation strategy aimed at restoring its competitiveness and enhancing its investment appeal.
“The repositioning effort is designed to maximise value, strengthen operational competitiveness and prepare the business for long-term sustainability under new investment,” Alade said.
He described the transformation of NTEL as a significant milestone in the revitalisation of Nigeria’s legacy telecommunications assets, noting that the company remains an important part of the country’s telecom infrastructure and history.
Alade expressed confidence in the Board and Management of NTEL/NATCOM, saying their leadership has laid a solid foundation for the company’s next phase of growth.
“The remarkable transformation of NTEL is poised to become one of AMCON’s most notable success stories in the telecommunications sector. We have full confidence in the Board and Management of NTEL/NATCOM as they continue to demonstrate experience, innovation, diligence and commitment towards positioning this Nigerian-owned company to compete favourably with its peers both locally and internationally,” he stated.
He assured stakeholders that further updates on the divestment exercise would be communicated as major milestones are achieved, stressing AMCON’s commitment to transparency throughout the process.
Alade said the telecommunications divestment aligns with AMCON’s statutory mandate of maximising value from distressed assets, supporting economic growth and strengthening confidence in Nigeria’s financial system.
Beyond the planned sale of NTEL, the AMCON boss highlighted the Corporation’s improved operational performance, revealing that recoveries rose sharply in the first six months of the year.
According to him, the Corporation recovered approximately N165 billion between January and June 2026, compared to N107 billion recorded in the same period last year, while maintaining a cost-to-recovery ratio of just 2.3 per cent, reflecting greater operational efficiency.
Alade also announced what he described as a landmark Supreme Court judgment that strengthens AMCON’s debt recovery powers and clarifies key provisions of its enabling law.
He said the apex court affirmed that the AMCON Act constitutes a special legal regime that must be interpreted purposively because the Corporation was established to address the financial crisis triggered by the systemic banking challenges of 2008.
According to him, the Supreme Court further ruled that AMCON is exempt from paying stamp duties and confirmed that regardless of the size of an obligor’s indebtedness, the Corporation has the statutory authority to dispose of collateral assets in enforcing its rights and recovering outstanding debts.
“While we celebrate this landmark judgment and several other legal successes, we are not resting on our oars. We remain mindful of the various tactics employed by recalcitrant obligors to frustrate the Corporation’s operations,” Alade stated.
Responding to calls for the winding down of AMCON, the Managing Director alleged that many of those advocating the Corporation’s closure are debtors seeking to frustrate its recovery efforts.
He stressed that any decision on AMCON’s sunset remains the exclusive responsibility of its Board and the Central Bank of Nigeria (CBN), adding that the Corporation remains focused on recovering debts owed on behalf of the Nigerian people.
Alade also said AMCON has intensified collaboration with debt recovery partners, solicitors and receiver managers to improve the effectiveness of its recovery strategies.
“We regularly engage and sensitise our debt recovery partners, solicitors and receiver managers on the unique provisions of the AMCON Act. This ensures that when they appear in court on matters concerning the Corporation, they are fully conversant with both the facts and the applicable legal framework.
“In recognition of their commitment, and in response to prevailing economic realities, the Corporation has reviewed the commission structure for debt recovery agents and partners across the board. Together, we remain confident that we will continue to achieve significant success in our recovery efforts,” he said.
Africa risks falling behind in the global artificial intelligence (AI) economy, unless governments and the private sector rapidly increase investment in digital infrastructure, data capabilities and home-grown innovation.
This is according to a research report by Boston Consulting Group (BCG), titled: “Advancing Africa’s AI and digital economy”.
It focuses on how Africa can accelerate investment in digital infrastructure, AI capabilities and regional collaboration, to build a competitive AI-driven economy and avoid falling behind in the global AI race.
The report argues that while AI is expected to contribute $15.7 trillion to the global economy by 2030, Africa is capturing only a fraction of the opportunity because it lacks the infrastructure, skills and investment needed to compete in the emerging AI economy.
Although the continent has one of the world’s youngest populations and rapidly growing digital adoption, BCG warns that Africa remains primarily a consumer of digital technologies, rather than a producer of the infrastructure, platforms and intellectual property that will underpin future economic growth.
“Africa stands at a defining moment in the global AI revolution,” says Hamid Maher, MD and senior partner at BCG and one of the report’s authors.
“The continent has significant structural advantages, including a young population, growing digital adoption and the opportunity to build without legacy constraints.
“However, unless Africa invests in owning its digital infrastructure, data and AI capabilities, it risks becoming a consumer rather than a creator of the technologies that will shape future economic growth.
“The decisions taken today will determine whether Africa captures value from AI or simply imports it.”
Structural weaknesses
The report highlights the widening gap between Africa and the rest of the world. While digital activities account for about 15% of global GDP, Africa’s digital economy contributes only 5% of the continent’s GDP. At its current pace, this figure is projected to reach only 8.5% by 2050, it notes.
BCG says this slow progress comes despite encouraging developments, including Africa’s position as the world’s fastest-growing cloud market and strong adoption of mobile technology.
However, the continent accounts for 18% of the world’s population but less than 1% of global data centre capacity. At the same time, fewer than 2% of Africa’s approximately 2 000 languages are supported by large language models, limiting the relevance and accessibility of AI technologies for millions of people.
The report warns that these shortcomings are becoming increasingly significant as AI reshapes global industries. Traditional growth sectors − such as business process outsourcing, call centres and labour-intensive manufacturing − are likely to become increasingly automated, reducing opportunities that previously helped emerging economies industrialize.
“Without stronger participation in AI production, Africa risks exporting its data, while importing expensive AI services developed elsewhere, repeating historical patterns in which the continent supplied raw materials but captured little value from downstream industries,” it warns.
Three key barriers
BCG identifies the top challenges that continue to constrain Africa’s AI ambitions.
The first is economic fragmentation. “Africa’s 54 economies are individually too small to justify many of the large-scale investments required for AI infrastructure, while organisations within countries often lack sufficient capital to build digital platforms independently, “it says.
The second challenge is a shortage of AI talent. According to the report, Africa has about 62 000 AI specialists, representing only around 5% of the global AI workforce. Many of these professionals work remotely for overseas employers, limiting the development of domestic AI ecosystems.
“Africa has the ambition and, crucially, the talent it needs. With focus, coordination and political will, the continent can transition from disadvantaged digital consumer to empowered digital value creator and can secure its economic future.”
The third barrier is reliance on imported technology. African organisations often face higher software licensing costs than their international counterparts, while remaining dependent on foreign technology vendors, restricting innovation and limiting local value creation, the report asserts.
Patrick Dupoux, MD and senior partner at BCG, said these structural constraints are not unique to Africa, but require coordinated action.
“The challenge is not simply about adopting more digital technologies,” he points out.
“It is about ensuring African institutions increasingly build, govern and own the infrastructure, data and innovation ecosystems that power AI. Countries that produce AI capabilities rather than merely consume them will capture far greater economic value and create more sustainable jobs for future generations.”
Building Africa’s AI future
Rather than focusing solely on technology adoption, the report argues that Africa must establish the foundations needed to create its own AI economy.
BCG recommends building digital public infrastructure through public-private partnerships, with digital identity systems, payment platforms and secure data exchange networks serving as core building blocks.
The report also stresses the importance of stronger data governance to ensure information can be securely shared, while remaining under African ownership and control.
Ali Ziat, MD and partner at BCG, said collaboration will be essential if Africa is to compete globally.
“No single country or organisation can build Africa’s digital future alone,” he said.
“Pooling investment, creating shared infrastructure and embracing open systems will make projects financially viable, while encouraging innovation across borders. Combined with strong governance and coordinated leadership, these actions can help Africa become a global AI value creator instead of remaining on the side-lines.”
Young professionals have been urged to embrace continuous learning, resilience and personal responsibility as they prepare for leadership in an increasingly competitive world.
MTN Nigeria
The charge came from the Chief Executive Officer of MTN Nigeria, Dr. Karl Toriola, during his session at the ninth edition of the Redefinition Conference, held at the United Evangelical Church on July 25, 2026, themed “CTRL+S: Save. Deploy. Scale.”
The conference brought together business leaders, entrepreneurs and emerging professionals to discuss leadership, innovation and personal development.
Speaking during an interactive session, Toriola encouraged participants not to be discouraged by failure, stressing that mistakes are part of every successful journey. “Make no mistake: I have made a million mistakes in my life. Probably what has gotten me to where I am is I don’t let them completely wipe me out, and I always learn something and try and make it a little bit better after that mistake, and try not to repeat it over again,” he said.
He also challenged young professionals to take ownership of their careers through deliberate self-development. “Your career, your future, your life is your responsibility and your responsibility only. And nobody is going to give you any leeway because you started from behind… It is up to you to close that gap,” he said.
Toriola added that throughout his career, he invested his own time, money and vacation periods in developing new skills, including finance and risk management.
On the future of work, Toriola called on organisations to create environments where younger employees are encouraged to contribute ideas. “The balance will come if you give the new people that you bring into your organization an excessively loud voice. The problem is you bring in these people, and then you put them in a corner… and you shut them down,” he said.
He added that businesses must remain open to new thinking if they want to stay relevant in a rapidly changing world.
The session ended on a memorable note when a student studying Data Engineering and Analytics requested an internship opportunity at MTN Nigeria.
Impressed by the student’s confidence, Toriola directed the individual to a member of his team after the session to explore the opportunity.
The exchange drew applause from the audience and reinforced the day’s message on taking initiative and creating opportunities through confidence and boldness.
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