Telecom
NCC May Intervene over Telcos’ Debt to VAS Licensees

Licensees in the Value Added Service (VAS) market segment of the nation’s ICT industry have sent ‘Save our Soul’ letter to the Nigerian Communications Commission (NCC) over the increasing debts owed them by telecom operators.
Nigeria CommunicationsWeek gathered that the debt profile running in billions of naira has forced about 30% of the licensees to close shop.
Thus, they are crying to the Nigerian Communications Commission (NCC’s) to replicate its interventional efforts that led to the payment of N10 billion owned to their counterparts in the interconnect segment by same telecom operators.
Meanwhile, there are indications that NCC may step in to resolve the matter as the Professor Umar Danbatta, the EVC in his speech at the recent TERF 2016, admitted that “On the VAS segment, we believe that the absence of detailed regulation with appropriate market segmentation is responsible for interconnect disputes”.
Nigeria CommunicationsWeek’s investigations show that telcos indebtedness to these content providers has been skyrocketing since 2013.
In the VAS market, there are both operators and licensees. While the operators focus on special numbering, the licensees focus on content provisioning using short codes and they are the worst hit following inadequacies in the market.
The licensees numbering over one hundred have in the past sought the intervention of the Value Added Services Providers Association of Nigeria (VASPAN) and the Association of Telecommunications Operators of Nigeria (ATCON) with tones of letters written in that regard.
Nigeria CommunicationsWeek recalled that in 2013, NCC took first step to put in place, regulatory framework to protect consumers and also create revenue streams for service providers in the industry.
The exponential growth in the Nigerian telecoms industry gave rise to the evolution of VAS, where its operators provide support communications services to subscribers, via the smartphone.
They provide plethora of services such as news breaks, ring back tunes, telemarketing, mobile entertainment, flight information, among others. But such services are becoming a nuisance to telecoms subscribers as they constitute unethical practice, forcing unsolicited text messages on subscribers and compulsorily billing them for the services.
Revenue Sharing Formula
Till now, there has not been regulatory intervention to decide the revenue sharing formula hence it has been a business agreement of the telecom operator and the licensee involved.
It was discovered that the sharing formula varies depending on the bargaining powers between a licensee and the telecom operator. While some agree for revenue sharing on 40:60 percent with the telco taking the lion’s share, the least ratio is 15:85 per cent.
For instance, in pre-licensing era, Econet paid 60% of generated VAS revenue to the licensee. The peak of the market was between 2012 and 2013 but has been on downward trend since 2014.
The operators are also complaining that since revenue on voice calls started dropping, it has also affected the VAS segment, but the licensee have argued that they should be allowed to leverage on the data segment to shore up the revenue.
The debts are building up that a lot of VAS companies are folding up.
A particular VAS licensee which generated over one trillion naira for a big telco between 2014 and first quarter 2016, with a substantive agreement to be paid 20% of the revenue, has yet to receive any payment.
Even when the operator later agreed to pay, with a credit note, several months after the agreement is yet unfulfilled.
According to one of the licensees, “Some other operators if they agree to pay you they slash the percentage to their satisfaction, telling you they deducted commissions”.
When contacted on the matter, Mr. Hyacinth Anucha, coordinator, Value Added Service at ATCON, said that available documents show some discrepancies in the system requiring NCC’s regulatory intervention to sanitize the sub-sector.
“Although I cannot categorically say that this operator owns this VAS licensee this amount or the other, but there is need for regulatory intervention to make all parties feel fulfilled. If we should say NCC should intervene this year that means next year they are still going to intervene in the market. But if there is policy document in place it will deter anyone from owing while the VAS licensees leave up to their expectations too.
Speaking on the implications of the debts on the industry, he said, “Today we talk about local content and there is a framework for it. Then, we are not paying the people that are providing the content, of course we are sending them out of the market; that will also amount to job lose, sending a lot of people back to the labour market and encouraging crime. The youths are innovative. There must be a policy that supports them. If not, the smaller businesses will die. That is why believe there should be a policy to ensure the bigger players so not kill the smaller players”.
He however admitted that NCC has made efforts in the past to ensure the debts are recovered. “But what we are saying is that instead of intervention policy, there should be a regulatory policy on ensure these debts are not continued to be owned.
Recounting the number of VAS licensee that have closed shop due to stifle market forces, “About 30% of them are off. If you check you will not see them again”.
Meanwhile, Professor Umar Danbatta, EVC of NCC represented by Engineer Ubale Maska, executive commissioner (Technical Services) at the Commission gave some regulatory insights into VAS and Interconnect markets at TERF 2016.
He said that the Commission’s approach to interconnect and VAS debts in the telecom industry is persuasive.
The EVC said, “The regulator is not interested in micro managing financial and relationships between, and among service providers, that have been substantially protected by subsisting commercial agreements.
“Interconnect debts have not been really a big issue in the industry except in cases of disputes. But there have been cases of interconnect fees disputes between service providers. In such cases, the regulator has intervened. In the past one year, such intervention has resulted in payments of about N10.5 Billion from about reported N17 Billion disputed interconnect debts. Agreements have also been reached for the settlement of outstanding debts.
“On the VAS segment, we believe that the absence of detailed regulation with appropriate market segmentation is responsible for interconnect disputes. We have received reports, especially from the VAS providers, of alleged exploitation by the big operators. On the other hand, the service providers have complained about the parasitic nature of this service. There is also a fusion of roles between the identified market segments, resulting in distortions in the market”.
Prof. Danbatta added that the Commission has conducted a consultative process and is about concluding arrangements for introduction of a regulation to guide the activities of the VAS market. This will substantially address the issues arising from VAS interconnect debt.
Telecom
Telecom Operators Invest Over $1Bn on 2,850 New Sites in 2025 – NCC

Telecom operators in Nigeria invested more than $1 billion in 2025 to deploy over 2,850 new sites, boosting nationwide coverage and capacity, according to data from the Nigerian Communications Commission (NCC).

NCC
The investment details emerged in the just-released 2025 Network Performance Reports, announced by Dr. Aminu Maida, executive vice chairman (EVC), NCC.
Speaking at an engagement on the reports, Dr. Maida emphasised the regulator’s focus on transparent, data-driven oversight.
“Through our collaboration with Ookla, we are providing independent insights into real-world network performance and the lived experience of Nigerians across cities, rural communities, highways, and emerging 5G zones,” he said.
The Q4 2025 reports highlight steady gains in network quality, including improved median download speeds in urban and rural areas compared to Q3.
The video Quality of Experience gap between urban and rural zones has also narrowed, bolstered by a stronger 4G backbone.
Dr. Maida noted ongoing challenges, such as 5G service gaps and upload speed disparities. “We are actively engaging with operators to address these issues, including gaps in mobile service coverage,” he added.
Operators have committed to surpassing their 2025 investment levels in 2026, with infrastructure rollout set to intensify.
“We look forward to continued collaboration with industry stakeholders as we translate these insights into better connectivity, improved service quality, and a more inclusive digital future for all Nigerians,” the EVC concluded.
Telecom
Airtel Africa Records $586m Rise in Profit on FX Gains, Tariff Hike

Airtel Africa’s profit after tax grew to $586 million in the nine months ended December 31, 2025, up from $248 million in the corresponding period of 2024.

According to the company’s nine-month financial results released on Friday, the higher profit after tax in the current period was driven by higher operating profit and derivative and foreign exchange gains of $99 million, as compared to $153 million in derivative and foreign exchange losses in the prior period.
It disclosed that the group’s revenues in reported currency increased by 28.3 percent to $4,667 million, with constant currency growth of 24.6 percent. Reported currency revenue growth at a premium to constant currency growth reflects currency appreciation in key markets. In Q3’26, constant currency revenue growth improved to 24.7 percent from 24.2 percent in the previous quarter (Q2’26).
“Constant currency revenue growth was supported by tariff adjustments driving a 50.6 percent growth in Nigeria and a strong performance in Francophone Africa, which saw revenues accelerate to 17.0 percent in the nine months.”
In Nigeria, revenue grew by 50.4 percent in constant currency, largely driven by continued strength in the demand for data services, further supported by the tariff adjustments. The constant currency revenue growth was driven by ARPU growth of 39.6 percent and customer base growth of 7.8 percent.
“In reported currency, revenue grew by 52.1 percent to $1,123 million, with Q3’26 revenue growth accelerating to 70.9 percent compared to constant currency growth of 52.9 percent.
“Significantly higher reported currency growth during the quarter compared to constant currency growth was due to the appreciation in Nigerian naira from a weighted average NGN/USD rate of 1,627 in Q3’25 to NGN/USD 1,456 in the current quarter,” it disclosed.
Insights from Airtel’s financials revealed that voice revenue in Nigeria grew by 35.8 percent in constant currency, driven by voice ARPU growth of 26.0 percent, reflecting the tariff adjustments earlier in the year.
Data revenue also grew by 65.4 percent in constant currency as a function of both data customer and data ARPU growth of 8.0 percent and 49.7 percent, respectively. Data usage per customer increased by 26.2 percent to 10.7 GB per month (from 8.4 GB in the prior period), with smartphone penetration increasing 4.6 percent to reach 54.1 percent. Smartphone data usage per customer reached 13.4 GB per month compared to 11.2 GB per month in the prior period.
Sunil Taldar, chief executive officer, said these results highlight the strength of our strategy, with strong operating and financial trends across the business.
He added that “During the quarter, we accelerated investment to enhance coverage and data capacity while also expanding our fibre network. Coupling this investment with innovative partnerships strengthens our customer proposition and positions us to capture the considerable growth opportunity across our markets.
Digitisation, technology innovation, and embedding AI in our processes will also optimise the customer experience with increased digital offerings and closer integration of GSM and Airtel Money services, allowing us to unlock the strong demand across our markets.
Smartphone adoption continues to increase with a penetration of 48.1 percent, and we are seeing solid progress in the development of our home broadband business, reflecting the need for reliable, high-speed connectivity across our markets.
“Our push to enhance financial inclusion across the continent continues to gain momentum with our Mobile Money customer base expanding to 52 million, surpassing the 50 million milestone.
Annualised total processed value of over $210 billion in Q3’26 underscores the depth of our merchants, agents, and partner ecosystem and remains a key player in driving improved access to financial services across Africa. We remain on track for the listing of Airtel Money in the first half of 2026.
“Disciplined execution on cost efficiency, alongside accelerating revenue growth, has enabled another sequential improvement in our quarterly EBITDA margin to 49.6 percent, underpinning constant currency EBITDA growth of 31 percent, and we remain focused on driving further incremental margin improvements.
“Our strategic priorities remain clear: to continue investing in best-in-class connectivity, accelerate financial inclusion through our mobile money platform, and deliver an exceptional customer experience. These results reinforce our confidence in the long-term potential of our markets and our ability to create value for all our stakeholders,” he added.
Telecom
Africa’s AI Guru Abodunrin Charts Path to Continent’s Digital Dominance

David Adeoye Abodunrin, Africa’s foremost AI transformations coach and internationally recognised futurist, has declared that the continent’s immense potential can only be unlocked when purpose is aligned with strategic intelligence.

David Adeoye Abodunrin
Speaking to ICT editors in Lagos, Abodunrin—renowned for nearly three decades of multidisciplinary expertise spanning artificial intelligence disruption, digital governance, behavioural intelligence, cybersecurity, and human capital transformation—said Africa must embrace AI as a transformational frontier rather than a mere tool.
“AI is not merely a tool, it is a transformational frontier that can unlock prosperity, resilience and leadership for Africans in the global digital era,” Abodunrin stated.
Abodunrin, widely sought after by C-suite executives, policymakers, founders and institutional boards, is recognised internationally as a foresight architect and strategic transformation coach. His mission, he explained, is to help individuals, governments and organisations engineer strategic advantage through anticipatory intelligence and ethically aligned innovation.
His work focuses on decoding emergent AI and intelligence systems that reshape markets, redefine competitive advantage, and enable sovereign digital ecosystems.
He is also a 14-time international bestselling author whose frameworks integrate behavioural psychology, foresight strategy and digital sovereignty to prepare leaders for future complexities. Through his organisations, including Cubed Integrated Consulting and Cyberfore Consulting, Abodunrin equips governments, boards, and enterprises with tools to build secure, future-ready institutions that thrive amid volatility.
He stressed that Africa’s transformation must be rooted in local contexts and values, not imported wholesale from global models.
“In Africa, transformation must not just follow global models, it must reflect our cultures, our challenges and our collective aspirations,” he emphasised. “This continent holds immense potential; we simply need to align purpose with strategic intelligence to unlock it.”
His coaching and advisory services emphasise strategic AI governance tailored for African economies, executive and leadership transformation for sustained institutional resilience, digital and cyber intelligence frameworks to protect sovereign infrastructure, and behavioural intelligence and insights for inclusive growth and innovation.
Despite his international recognition, Abodunrin insists that his philosophy centres on African solutions for African realities—developing local talent, embedding ethical AI adoption, and fostering foresight strategies that account for Africa’s unique socio-economic ecosystems.
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