Telecom
Mergers, Acquisition Loom in ISPs Space

There is strong indication that surviving Internet Service Providers (ISPs) are considering consolidation by way of mergers and acquisition as a fallout of the growing harsh operating environment in the country, Nigeria Communicationsweek has learnt.
Satis Kumar, chief operating officer, Direct On Data, said that traditional ISPs are presently facing unfavourable operating environment which has made the business unprofitable.
He identified the key challenges that include Network Operating Centres (NOC) expansion and power issues, bandwidth cost and base transceiver stations (BTS) issues – where tower operators they rent towers from charge them as much as N400,000 per month without efficient management of the towers.
“We have had a situation where security men attached to a tower refused to power generator because he was owed salary and our service went down. Bandwidth cost is still a challenge as some wholesale bandwidth companies that bought bulk from undersea cable operators are selling for $15,000 per Mbps if you buy direct from undersea operators you get $8,000. What we are doing now is ‘hand to mouth’ system.
The business runs to pay salaries and cost of operation nothing like profit, I see consolidation in this space through mergers and acquisition into big ISPs to be able to weather the storm of this harsh operating condition. There are some 100 licensed ISPs, today less than 20 percent are operating just to say that something is wrong and needs intervention,” he said.
Ajay Awasthi, chief executive officer, Spectranet, lamented poor service delivery by tower operators which is seriously affecting their business and urged Nigerian Communications Commission (NCC) to intervene through guideline to tower operators on the level of service delivery which if not met will attract sanction or none payment by the customer.
“Presently, the costs of delivering services aren’t coming down. This situation is not sustainable. We would like to roll out services across cities in Nigeria, but the situation at the moment does not give you the support to embark on such investments. The costs of building infrastructure are growing by 10%; that is huge costs to us. Also, some ISPs are facing the heat. They have contracted tower companies that charge for fees in dollars. I think it is very difficult this time to decide whether to go ahead and expand or stay put,” he noted.
Engr. Olusola Teniola
Reacting on the need for policies to encourage ISPs, Engr. Olusola Teniola, president, Association of Telecommunications Companies of Nigeria (ATCON), said that ISP business is still viable if their approach is to address the niche areas of the market that are not threatening to the Mobile Network Operators (MNOs).
“There isn’t a policy in place in the world that restricts MNOs from offering a diverse set of services, especially when they are licensed to provide such services to their consumer base. What is required by NCC is a clear stance on how ‘Net neutrality’, zero rating and retail data pricing and fair usage policy of internet access should be addressed alongside the fact that voice calls are now transported in data packets, whether they are supplementary services such as being offered by OTT apps (i.e. WhatsApp, Skype or Viber etc) or Universal Access Services utilizing Voice-Over-IP (VoIP).
“The convergence of services further complicates the ability to formulate policies to define ‘garden walls’ whereby NCC attempts to define and control what and how competitors in a market are allowed to do in offering services that their consumers demand,” he said.
Telecom
NCC Bars Ex-Officials from Joining Telecom Firms for 5 Years

Nigerian Communications Commission (NCC) has introduced strict corporate governance rules that will bar its top officials from taking up roles in telecom companies they regulate until five years after leaving office.
Under the new Corporate Governance Guidelines for the Communications Industry, the Chairman, Executive Vice-Chairman, and Board Commissioners, both executive and non-executive, are barred from being appointed to any position in a licensed telecom company until five years after their exit from the Commission.
Similarly, Directors of Departments at the NCC face a three-year cooling-off period before they can take jobs with any licensee under the Commission’s supervision.
The move, announced on August 11, 2025, seeks to enhance transparency, accountability, and ethical standards in Nigeria’s fast-growing telecommunications industry.
Departmental directors face a three-year cooling-off period before joining any licensee under the agency’s oversight.
This policy aims to prevent conflicts of interest and ensure impartial regulation.
By creating a clear separation between regulators and the industry, the NCC hopes to curb undue influence and maintain public trust.
]The guidelines reflect a global trend in regulatory bodies enforcing cooling-off periods.
Similar measures exist in industries like finance and energy to safeguard against regulatory capture.
For Nigeria’s telecom sector, this is a significant step toward aligning with international best practices.
The NCC’s new framework also targets telecom operators’ internal governance.
Board chairmen or vice-chairmen are barred from holding executive powers or serving as MD/CEO of a licensee.
Former board chairmen and non-executive directors must wait five years before assuming executive roles in the same company or its affiliates.
Additionally, no more than two family members can serve on a licensee’s board simultaneously.
These measures aim to promote balanced board structures and reduce nepotism.
Dr Aminu Maida, executive vice-chairman, NCC, emphasised the importance of these reforms.
“Corporate governance is no longer a soft requirement. It is now a strategic imperative,” he said during the guidelines’ launch in Lagos.
Maida highlighted that robust governance correlates with better business performance, citing an NCC internal review. Companies with strong governance frameworks consistently outperform peers in service delivery, financial management, and regulatory compliance.
Nigeria’s telecom sector is a cornerstone of its digital economy. With over 222 million active mobile subscriptions as of Q1 2025, the industry supports critical sectors like finance, healthcare, and education.
However, challenges like cybersecurity threats, energy shocks, and rising consumer demands have exposed governance weaknesses. The NCC’s new rules aim to address these by fostering transparency, accountability, and innovation.
The guidelines apply to all communications companies holding individual licences and paying Annual Operating Levies (AOL) under the AOL Regulations 2022.
The NCC has indicated flexibility in applying the rules across different licence categories, with phased compliance measures to be communicated in writing. While the rules may cause short-term disruptions for operators, the NCC insists that long-term benefits, like improved service quality and market trust, will outweigh these challenges.
Telecom
Airtel, Vodacom sign Network Infrastructure Agreement to Drive Digital Inclusion

Airtel Africa and Vodacom Group have announced a strategic infrastructure sharing agreement in key markets including Mozambique, Tanzania and the Democratic Republic of Congo (DRC), subject to regulatory approvals in the various countries.
The agreement marks a transformative milestone in promoting digital inclusion and expanding access to reliable connectivity across Africa.
The initial partnership focuses on sharing fibre networks and tower infrastructure, to accelerate the roll-out of digital services in these markets, increasing connectivity for customers while reducing operators’ infrastructure costs and improving speed to market.
By leveraging existing infrastructure, the collaboration aims to deliver improved connectivity, faster internet speeds, and more reliable services. This will not only enhance customer experience but also assist with providing access to digital services for a broader population, particularly those in underserved areas, helping to bridge the digital divide in Africa.
Vodacom Group’s chief executive officer Shameel Joosub said: “Providing connectivity to empower people is at the core of our strategy. Our partnership with Airtel Africa is a proactive step forward in creating a sustainable, inclusive, and connected digital future for the continent.
Through infrastructure sharing, we can provide cost-effective services to more people, more rapidly, ensuring that no one is left behind in the digital age. As we fulfil our ambition to connect 260 million customers by 2030, the need for scalable and cost-efficient network solutions becomes increasingly significant.
This partnership provides us with the opportunity to narrow the digital divide, empowering more individuals and communities through digitalisation across the continent. It is aligned with our purpose to connect for a better future,” concludes Joosub.
Airtel Africa’s chief executive officer Sunil Taldar said: “This partnership is aligned with our unwavering commitment to delighting our customers by always making our network available to them even in the remotest locations.
“Working with Vodacom, we will open greater access to digital and financial opportunities which will transform the lives of our customers while complying with all regulatory requirements.
“Even as competitors, it has become a business imperative for us to collaborate in the provision of critical infrastructure required to build resilient network with strong capacity to support the emerging digital technologies as well as the growing need for data-enabled products and services.
“Accelerating the deployment of fibre connectivity is a key enabler in the acceleration of 4G and 5G technologies in Africa to deliver the high-speed, low-latency, and reliable connections needed for modern digital applications.
“This partnership allows for further opportunities for both operators to enhance network performance, extend coverage, and increase mobile, fixed, and financial services leveraging a broader footprint on the continent.”
Telecom
Truecaller Crosses 100m Users in MEA Region

Truecaller, a global caller ID and spam prevention platform, has reached 100 million active users in the Middle East and Africa (MEA) region, representing a 19% year-over-year increase.
According to the platform, the region’s main markets include Egypt, Nigeria, South Africa, Kenya, Algeria, Ghana, and Jordan.
Truecaller is routinely utilised on 20% to 45% of connected cellphones in these areas, including Android and iOS devices, according to the business.
The app has gained traction across the African continent with its concept of resolving communication issues for individuals and businesses by blocking unsolicited calls.
It has also collaborated with local businesses, forming major partnerships including a recent cooperation with Telecom Egypt to change consumer communication and experience by providing safe, customised, and seamless calling experiences.
Truecaller’s CEO, Rishit Jhunjhunwala, stated that the service has grown organically in markets such as MEA and India due to the mobile first environment, which uses a user’s mobile number as the primary identifier of calls. He under-lined that the MEA market provides a growth-enabling environment.
“We’re continuing to strengthen our organisation and our partnerships in the region, because we believe that the MEA is poised for significant growth for many years ahead,” said Jhunjhunwala.
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