Telecom
Battle for Supremacy Among CDMA Operators
The introduction of Unified Access License by Nigerian Communications Commission (NCC) in 2006 after the expiration of exclusivity right given to Global System for Mobile communication (GSM) operators was what Code Division Multiple Access (CDMA) operators needed to stamp their feat in the telecommunications industry.
Before then, they were operating under limited mobile access license which restricted them from operating mobile service in unified manner. They as a result concentrated on offering fixed wireless and mobile service within the state they secured license to operate. More so, if any operator wishes to operate in another state outside its primary state of operation such operator would be required to apply for a license to operate in such location. This made it expensive to operate even as they were not required to offer roaming service like GSM operators.
As a result of these, CDMA operators were mere local operators who concentrated their service in Lagos and Abuja commercially viable cities. They were struggling for subscribers with GSM operators that offered more effective service basically, because a GSM subscriber can take his or her phone outside Lagos and it works in as much as such network has coverage the location, but mobile service rendered by CDMA could not offer this service, thereby giving them advantage over CDMA service.
Prior to the introduction of unified licensing regime which allows individual service provider to offer multiple services such as mobile telephony, fixed telephony, internet broadband and long distance services, there were over ten operators in this space. They include Starcomms, Reltel now Zoom Mobile, Intercellular, Multi-Links, Independent Telephony Network (ITN), Cellcom, Bourdex, Rainbownet, Prestel MTS first, among others.
Under the current dispensation, CDMA operators that want to play in the big wing are required to operate nationally, though there is choice of playing local but most see it as economically viable to play local which has led to some of the going for national unified access license which is the prerequisite.
Playing at this level entitles having foot print in almost every town in the country to be able to garner enough subscriber base which is the basis for profitability. To do this, they required strong financial base which most of these operators does not have.
This situation changed the landscape of operation in CDMA space as they had to change their operational module to be part of the moving train in the industry and has ignited a contest for supremacy among operators that has what it takes to play as a national operator. This saw Starcomms selling some of its equity to Actis to raise money to expand its network, since then it has secured foreign loans in this regard making it to claim the biggest in the space.
The company has already invested some US$600 million since it launched its network in 2002.
It has as well set itself a target of reaching 2.5 million subscribers by the end of this year, rising to 5 million by the end of next year and a ten fold jump to 50 million by 2011.
The company was listed on the Nigerian Stock Exchange (NSE) few weeks back and raised around US$60 million. "We have always wanted two sectors of the economy, they are the oil and telecommunications sectors, represented in our market, said Binus Yaroe, the NSE’s general manager of listing and quotations and a representative of the director general. The stock market floatation raised funding for the company, while also allowing two investors, Actis and ECP to reduce their holdings.
Other operators did not seat to watch their competitors claim subscribers in a business they are also part of and equally have opportunity of playing big; this may have informed Reltel now Zoom Mobile is another contender for leadership in the CDMA space to embark on restructuring and repositioning. Before it changed its now to reflect the desire of its new investors from within the country, the company was the only privately owned telecommunications company that was playing in the big wings.
Zoom Mobile has raised N25.9 billion (US$223 million) from investors through private placement. The company says that the rebranding is to reposition the company as a national mobile services provider, taking full advantage of its Universal Access Service license.
The operator currently covers 62 cities and 350 villages and has a capacity for five million subscribers. The network recently passed the 1.5 million subscriber mark.
A foremost operator Multi-Links deal with Telkom of South Africa that saw the later acquiring 75% share of Multi-links at the cost of $280 million or N35.56 billion is the operator needed to launch itself in contention for leadership. Before now, the company was sluggish in its approach to expansion in spite of its position as one of the oldest PTOs.
Multi-Links-Telkom, the offspring of this acquisition, has set aside $1billion (about N127 billion) to fund an aggressive five-year expansion programme. This would enable it cover about 80 per cent of the country, thereby raising the bar of competition in the wireless/fixed line segment of the telecoms sector where seven other operators are also battling for market share and leadership in this post-unified access license,
Visafone the youngest by name in this CDMA sector of the telecommunications industry emerged from nowhere and is putting up an impressive performance in this contest for number one position among CDMA operators.
The company which is brainchild of Jim Ovia, a banker and industrialist has brought his managerial competence which he use in making Zenith bank one of the strongest banks in the post consolidation era to bear in Visafone.
Though, the name is new but the network has been operational in some cities for over a decade. This was as a result of the company’s acquisition of Bourdex Telecom that secure operational license to deliver services to some eastern parts of the country. It also bought Cellcom and Independent Telephone Network, all these were merged in one network, Visafone.
No sooner than the company rolled out service that about 13 banks gave their support with a syndicated facility of $200m in support of the new mobile phone company,
The emergence of Visafone has also brought new zest to the CDMA market space, especially with its introduction of open market selling strategy. This strategy which was first used by Starcomms in 2007 to drive its market penetration has now been deployed effectively by Visafone to the admiration of the purchasing customers.
Mr. Thomas explained that the operator’s strategy allows Visafone to act as a springboard for the country’s economic growth and development. And to achieve this, he pointed out that the telco would assist in fast tracking that growth and development through the provision of cutting edge communications infrastructure as well as seamless and efficient services that will ensure excellent customer service, unequalled clarity, the widest coverage and seamless connectivity.
According to Ninan Thomas, managing director, Visafone, the company promises an exciting bouquet of superior services that include the very best of Voice, High Speed Data 3G (EVDO) internet and other innovative Value Added Services (VAS) to individual subscribers while also providing unparallelled business solutions to large corporate as well as the Small and Medium Scale Enterprises in the country.
Prestel another unified access license operator, has its footprint strong in Niger Delta region and has not done much to show that it wants to play in the big circle so it is classified as underdog in this battle for supremacy.
Another underdog in this race that was first in the CDMA space is Intercellular. Since the company secured unified license it looks as if thing started working against the company. It has made several attempt at securing technical partner which didn’t work out until last year when Sudanese operator Sudatel bought into the company but is yet to operate the network raising doubt on the ability of the Arab operator to muster the required financial muscle to play in the big players circle.
Minor players includes MTSfirst wireless, Rainbownet among others are yet to register their names in the space as national operators.
According to figures from the Nigerian Communications Commission, (NCC) the total installed capacity for CDMA mobile stood at 3,170,000 million by end of April 2008 and another 5,670,377 for fixed wireless & wired operators. Introduction of Universal Access Operations Licence by the NCC also means that the CDMA operators now have a broader base to accessing market options.
The NCC figures, however, make contrasting reading with the CDMA operators’ claim of their subscriber base. Whereas, new market inroads mean their operations now appear to be expanding very rapidly with three of them – Starcomms, Zoom Mobile and Multi-Links Telkoms already claiming subscriber base in excess of one million each. A fourth operator, Visafone, which is fast gaining grounds and exciting customers with fresh innovations also claims to be close to the one million mark.
Mr Wakili Shehu, a telecommunications consultant said that the technology also provides the capacity for quicker transmission of data and Internet, unlike the GSM which has limited capacity. But he warned that the use of the CDMA technology in the country was also fraught with challenges, such as limited coverage of cities and towns, unlike the GSM.
As operators in the CDMA space are racing for leadership with claims and counter claims of one having higher subscriber base than the other, they should make sure that effort are made to increase capacity in order not to experience the problem of poor quality of service that bedeviled GSM operators that made NCC to slam them with the ban on plans to deliberately increase their subscriber base.
Telecom
Glo Reduces International Call Rates

Technology Company, Globacom, has announced significant reductions in its International Direct Dialing (IDD) rates, making international calls more affordable for its existing and new customers across Nigeria.
Effective August 10, the new rates began applying to over 15 popular international destinations, including United States which will has moved to ₦30 per minute, down from ₦35, United Kingdom is now N350 from ₦400, while India also moved down to ₦40 from N45.
The rates for China, Saudi Arabia and Cameroon however recorded major reduction moving to N75, N300 and ₦700 respectively.
The reduction was also extended to African countries including Benin Republic which goes for ₦650 per minute, Niger Republic ₦750, Ghana ₦500, and Togo ₦650. United Arab Emirates also moved from ₦450 to ₦325, Germany to ₦550, Côte d’Ivoire ₦700, Libya ₦700, while calls to Malawi is now N1,100 from ₦1,200.
Glo aims to provide more value for its customers through these revised rates, encouraging them to make Glo their preferred network for international calls. New IDD bundles will also be introduced, offering frequent international callers even more attractive deals.
Globacom, which remained optimistic that frequent international callers will benefit immensely from the reductions in IDD bundles, enjoined customers to take advantage of the new rates to stay connected with friends and business associates across the globe.
Telecom
Tinubu Strengthens Telecom Governance with NCC, USPF Board Appointments

President Bola Tinubu has appointment members into the boards of the Nigerian Communications Commission and the Universal Service Provision Fund, both under the Ministry of Communications, Innovation and Digital Economy.
The Special Adviser to the President on Information and Strategy, Bayo Onanuga, disclosed this in a statement on Tuesday.
According to the statement, Idris Olorunnimbe was named Chairman of the NCC board, while Dr Aminu Wada will continue as Executive Vice Chairman and Chief Executive Officer, a position he was appointed to in October 2023 and confirmed by the Senate the following month.
Onanuga said Olorunnimbe previously served on the Lagos State Employment Trust Fund Board, where he chaired the Stakeholder and Governance Committee.
Other NCC board members are Abraham Oshidami (Executive Commissioner, Technical Services), Rimini Makama (Executive Commissioner, Stakeholder Management), Hajia Maryam Bayi, Col Abdulwahab Lawal (retd.), Senator Lekan Mustafa, Chris Okorie, Princess Oforitsenere Emiko, and the board secretary.
The President also approved the board of the USPF, chaired by the Minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, with Olorunnimbe as Vice Chairman.
Other members are Oshidami, Makama, Aliyu Edogi Aliyu (representative of FMCIDE), Joseph B. Faluyi (representative of the Federal Ministry of Finance), Auwal Mohammed (representative of FMBNP), Uzoma Dozie, Peter Bankole, Abayomi Anthony Okanlawon, Gafar Oluwasegun Quadri, and the USPF secretary.
See the statement below:
PRESIDENT TINUBU APPOINTS BOARD MEMBERS FOR NCC AND USPF
President Bola Ahmed Tinubu has constituted the boards of the Nigerian Communications Commission (NCC) and the Universal Service Provision Fund (USPF), both agencies under the supervision of the Ministry of Communications, Innovation and Digital Economy.
Idris Olorunnimbe was appointed Chairman of NCC, while Dr Aminu Waida remains its Executive Vice Chairman/Chief Executive Officer.
President Tinubu appointed Wada to the position in October 2023, and the Senate confirmed the appointment in November 2023.
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Mr. Olorunnimbe previously served on the Lagos State Employment Trust Fund (LSETF) Board, where he chaired the Stakeholder and Governance Committee and drove impactful youth employment and entrepreneurship programmes.
Other members of the board are:
1. Abraham Oshidami – Executive Commissioner, Technical Services
2. Rimini Makama – Executive Commissioner, Stakeholder Management
3. Hajia Maryam Bayi- Former Director, Human Capital & Administration
4. Col Abdulwahab Lawal (Rtd)
5. Senator Lekan Mustafa
6. Chris Okorie
7. Princess Oforitsenere Emiko
8. Secretary of the Board.
The President also approved the Board of the Universal Service Provision Fund (USPF), with Dr Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, as Chairman.
Other members are :
1. Idris Olorunimbe – Vice Chairman
2. Abraham Oshidami
3. Rimini Makama
4. Aliyu Edogi Aliyu – (Rep FMCIDE)
5. Joseph B Faluyi – (Rep. of Federal Ministry of Finance)
6. Auwal Mohammed – (Rep. of FMBNP)
7. Uzoma Dozie
8. Peter Bankole
9. Abayomi Anthony Okanlawon
10. Gafar Oluwasegun Quadri and the
11. USPF Secretary
The Federal Government established the Universal Service Provision Fund (USPF) to facilitate the achievement of national policy goals for universal access and service to information and communication technologies (ICTs) in rural, unserved and underserved areas in Nigeria.
Telecom
Anambra ICT Agency Champions Inclusive Tech-Driven Governance

Anambra State ICT Agency has restated its commitment to creating a digitally inclusive environment where Persons with Disabilities (PWDs) can access and benefit from government services without barriers.
Speaking when the Anambra State Disability Rights Commission (ADRC), in partnership with the Rule of Law and Anti-Corruption (RoLAC) programme, paid an advocacy visit to his office, the Managing Director/CEO of the ICT Agency, Chukwuemeka Fred Agbata, underscored the Soludo administration’s determination to make governance work for all, including PWDs.
Mr. Agbata noted that intentional inclusion is a key part of the Governor’s technology-driven vision for the state which is why the commission recently received a wide range of digital tools to enhance their productivity.
“Technology is only truly impactful when it works for everyone, regardless of physical ability.
We are committed to removing digital barriers and making our platforms accessible to all residents of Anambra State,” he said.
CFA also disclosed that the Agency will take immediate steps to appoint a Disability Desk Officer, work with the commission to ensure that all government ICT platforms are designed to meet accessibility standards, and as well as incorporate PWD-friendly features into ongoing upgrades of the SolutionLens feedback platform.
The visit also featured presentations from ADRC’s Head of ICT, Mr. Bonaventure Umeokwonna, who outlined the Commission’s priorities, and RoLAC representatives, who pledged continued support for building capacity and strengthening the policy framework for inclusion.
Mr. Valentine Nwachukwu, Head of Planning, Research and Statistics at the Commission, gave the vote of thanks, commending the ICT Agency’s openness to collaboration.
The Anambra State ICT Agency continues to work closely with ministries, departments, and agencies to deepen digital transformation in the state, ensuring that no segment of society is left behind.
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