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New Interconnect Rate: GSM Call Charges to Drop

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Marc Herson, director of 2go
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A new interconnect rate to be released by the Nigerian Communications Commission (NCC) in a few days will lead to dramatic reduction in telecommunications tariffs but miffed services’ providers fear it will further shrink their revenue bases, Nigeria CommunicationsWeek can now reveal.

This followed the submission of the report by Detecon International and PriceWaterHouseCoopers employed in March by the NCC as consultants and advisors to review the current interconnection rates among the Nigerian telecom service providers.

The interconnect rate is the benchmark with which service providers pay to each other for terminating calls on their fixed or mobile networks and is the singular most influential factor of determining how much subscribers pay for a call.

If however, the new regime favours the operators, subscribers will pay more for making calls.

An interconnect regime in favour of the nearly 70 million telecom subscribers in Nigeria will be early Christmas gift.  Under the new rate, a minute call on GSM network can be as low as about N14 per minute on-net (same network) and N18 for outside the network.

The introductory tariff was high at N50 per minute by the start of digital mobile services in 2001.

Nigeria CommunicationsWeek gathered that the new interconnect rate is a most eagerly awaited development that will shape the growth and direction of the telecom industry.

NCC however blamed the delay of the review on the operators, who failed to give adequate data on time but added that consultants had now collected necessary data that would aid the review.

Mr. Steven Bello, NCC’s executive commissioner in charge of licensing and consumer affairs recently stated that “We are sure we will use correct data to come out with a reasonable interconnect rate.”

To  maintain the delicate balance in the tripod that make up the telecom industry; government, consumer and the service providers, NCC has consistently intervened in determining interconnect rates for the industry. This is instead of intervention in retail call rates.

The combined effect of the two interconnect rate determinations by the NCC in 2004 and 2006 was a reduction of the mobile termination rate from N18.00 per minute to N11.40 per minute.

This has enabled the fixed operators to reduce their retail tariffs for calls to mobile networks to as low as N20.00 per minute.

But as subscribers claim early victory, telecom operators are hoping the review may give them nod to increase tariffs in view of the tough operating environment including the epileptic power supply, theft and vandalization of their equipment.

The immediate spin off of the challenges is the declining average revenue per user (ARPU), a powerful and extremely useful indicator which measures the average revenue generated per customer of an operator or service provider.

Nigeria CommunicationsWeek gathered that elsewhere, groups of telecom consumers have organized themselves to protest any form of increase by service providers.

National Association of Telecommunications Subscribers (Natcoms) said it will resist increase call rates.

Prof. Dora Akunyili, minister of information and communications is one of the most vocal critics of the present tariff regime insisting that GSM tariffs in the country could be lower even with the dearth of basic infrastructure. 

She is also convinced that the network operators are not investing enough of the bumper profit in their business in Nigeria. 

 


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Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

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NITDA Strengthens Collaboration with NIPSS to Drive Digital Innovation, Orange Economy Growth

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The National Information Technology Development Agency (NITDA) has reinforced its commitment to advancing Nigeria’s digital transformation agenda through strengthened collaboration with key strategic institutions, as it hosted the Director General of the National Institute for Policy and Strategic Studies (NIPSS), Professor Ayo Omotayo, alongside participants of the Senior Executive Course (SEC) 48, 2026.

The visit, which builds on an earlier strategic study tour, provided a platform for in-depth engagement on the role of digital innovation in driving sustainable economic growth, with particular focus on the Orange Economy.

Representing the Director General of NITDA, Kashifu Inuwa CCIE, the Director of Stakeholder Management and Partnerships, Dr Aristotle Onumo, highlighted the Agency’s commitment to fostering a vibrant digital ecosystem through inclusive policies, strategic partnerships, and capacity development initiatives.

“NITDA is committed to creating an enabling environment where innovation can thrive by bringing together government, private sector, academia, and creatives to drive Nigeria’s digital economy,” he stated.

Inuwa underscored the growing importance of the Orange Economy, describing it as a critical driver of innovation and economic value through intellectual property. He identified sectors such as digital content creation, film, animation, and digital art as key contributors to national development.

“The Orange Economy represents a powerful opportunity to transform our rich cultural heritage and creativity into sustainable economic growth,” he noted.

He further highlighted Nigeria’s unique advantage, particularly its youthful and creative population, while calling for stronger collaboration among stakeholders to fully harness the sector’s potential.

“With our youthful population and rich cultural assets, Nigeria is well-positioned to become a global leader in the Orange Economy if we deepen collaboration and investment across the ecosystem,” he added.

During the engagement, NITDA also presented its strategic initiatives aimed at supporting the digital and creative sectors, including digital infrastructure development, promotion of digital literacy, and implementation of policies that enable startups and innovators to scale.

Addressing challenges facing the sector, Inuwa pointed to issues such as limited access to funding, infrastructure gaps, weak intellectual property protection, and ecosystem fragmentation, while emphasising the need for coordinated action.

“Addressing challenges such as funding gaps, infrastructure deficits, and intellectual property protection is critical to unlocking the full potential of Nigeria’s creative economy,” he said.

The Agency reiterated its target of achieving 70 per cent digital literacy by 2027, noting that ongoing programmes are equipping millions of Nigerians with essential digital skills, including those in underserved and informal sectors.

In his remark, Professor Omotayo described the visit as an important opportunity to deepen understanding of how digital technologies are reshaping economic sectors, particularly the creative industry. He noted that the insights gathered would contribute significantly to policy recommendations aimed at strengthening Nigeria’s economic framework.

Participants of the SEC 48 programme engaged actively during the session, raising questions on capacity development, access to tools, and frameworks for protecting digital content. NITDA highlighted its ongoing collaborations with industry stakeholders to provide training, innovation hubs, and access to digital tools for young Nigerians.

The engagement concluded with a renewed commitment from both NITDA and NIPSS to strengthen collaboration in research, policy development, and capacity building, aimed at positioning Nigeria as a globally competitive force in the digital and creative economy.

 


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NRS Takes Over Mineral Royalties Collection Under New Tax Laws

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Nigeria Revenue Service (NRS) has assumed responsibility for collecting mineral royalties from mining operators nationwide, following new tax laws effective January 1, 2026.

NRS Takes Over Mineral Royalties Collection Under New Tax Laws

NRS

The shift emerged from a Thursday meeting between Solid Minerals Development Minister Dele Alake and NRS Chairman Dr. Zacch Adedeji. Their joint statement, endorsed by both, confirms NRS now administers all federally collectible revenues, including royalties.

Enacted by President Bola Tinubu on June 26, 2025, the Nigeria Tax Laws 2025 empower this transition. The Ministry of Solid Minerals Development remains a key partner, supplying pricing data, geological insights, and sector coordination.

NRS Special Adviser Dare Adekanmbi’s statement outlines collaborative steps: a nationwide sensitization program for operators on filing and payments; development of a digital royalty system; and regular joint technical sessions to address issues.

Both agencies pledge orderly, transparent implementation to boost the mining sector. Operators must comply with obligations and join upcoming programs.

The move aims to streamline revenue collection while fostering mining growth.


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Microsoft Revamps Copilot in Workplace AI Push

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Microsoft has rolled out a new set of features for its Microsoft 365 Copilot platform, including tools for complex, multi-step work and deeper research tasks, as competition in workplace artificial intelligence (AI) intensifies.

The update introduces Copilot Cowork, a capability aimed at handling long-running tasks across Microsoft 365 applications.

The feature is being made available through the company’s Frontier programme, which typically gives early access to experimental tools.

Microsoft is also integrating technology linked to Claude – an AI model developed by Anthropic –into Copilot, signalling a broader shift toward using multiple AI systems within a single product rather than relying on a single model.

Jared Spataro, chief marketing officer for AI at Work at Microsoft, says the company is positioning Copilot as a system embedded directly into workplace software, rather than a standalone tool.

“Microsoft 365 Copilot is your AI for work,” he says, adding that it draws on multiple AI models and is integrated into existing workflows.

Alongside this, Microsoft has upgraded its Researcher feature, which is designed to analyse information from multiple sources and generate structured reports.

A new “Critique” function separates the drafting and review process between different AI models – one generates an initial response, while another evaluates and refines it.

The company says this approach improves output quality, with Researcher showing gains on its internal benchmark for accuracy, completeness and objectivity.

Another addition, called Model Council, allows users to compare outputs from different AI models side-by-side, highlighting differences in responses and reasoning.

The updates form part of what Microsoft calls “Wave 3” of Copilot, as it pushes to embed generative AI deeper into enterprise software. The move reflects a wider industry trend towards combining models from multiple providers, including OpenAI and Anthropic, to improve performance and reliability.

 


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