Telecom
Why Government Should Encourage Telcos in Nigeria- Jane Egerton-Idehen
BY chukwuemeka fred agbata
There is no doubt that Nigeria has one of the largest Telecom markets in Africa as the sector attracts considerable foreign investment.
Over The Top Players, OTTPs, such as WhatsApp, BlackBerry Messenger, Telegram and many others, have significantly affected the average revenue per user of Telecom subscribers and this has adversely affected the overall revenue of the industry.
Questions that are begging for answers includes, ‘where does the industry go from here, having invested billions of dollars?’ ‘How does the Television compete with OTT players who have very little investments in overheads?’
I recently had a chat with Jane Egerton-Idehen, Country Manager, Avanti Satellite Communications and our discussion centered on her thoughts on the way forward for the Telecom industry in Nigeria.
Jane, who has been in the Telecom industry for a while now, thinks that the industry is currently at the threshold of an evolution, where it is about to enter into a transformation phase.
She observed that the growth of the industry is slowing down globally, with declining revenues, although the customers are becoming more savvy and aware in the face of technology that is daily becoming more sophisticated.
In terms of returns on investment, however, Jane thinks that it is not coming in as it should be. She also observed that, one good thing that is currently happening in the industry, is that, there is ample room for growth.
“It is also at a point where we are about to access a new layer of countries on the continent of Africa. Places that we haven’t been before”, she stated. She further observed that, all this while, the Telecom industry had concentrated in the cities, but now, gradually moving into the rural areas.
Jane is of the opinion that investors should be interested in investing in rural telephony because, that is the next phase where the billionaire subscribers will come from. “And that is where technology hasn’t really accessed untapped potentials”, she observed.
She, however, stressed that, for efficient return on investment, the infrastructures used in the cities cannot be used in the rural areas because, the cost model for rural areas has to be lower as the expected revenues from there will not be as much as we currently have in the cities.
“Yes, the technology in the sense of base stations or switches have to be the same, but how can we make the costs lower? How can we make them cheaper? How can we use lower cost models to access them? So, we really have to rethink all these”‘, she posited.
Government can compel investors to invest in the rural areas, through policies and regulations as well as complement the efforts of the investors, In Jane’s view, even though, they might be reluctant to do so because of the lower returns they are likely to get from there, coupled with the projected higher cost expected to be used in running the facilities in the rural areas.
To Jane, technology is capable of positively affecting the growth of the rural areas as this is where most of the Small and Medium Scale Enterprises, SME’s, are located, so, the government should be interested in this. She emphasised that the government can assist in facilitating the process for the investors in areas, such as site cost, customs clearance, swift right of way approvals, etc. She also suggested the use of Satellite KA band of a low cost model for accessibility in rural areas.
Jane believes that the OTT players are making a huge impact in the Telecom industry, even though, they are eroding the revenue accruing to the Telcos. In her opinion, therefore, players in the Telecom industry should be thinking about what to do about it, instead of whining about it.
In Jane’s view, we should take a look at relaxing some of our policies and regulations to encourage Telcos that have physical infrastructures, pay tax and are helping to reduce the unemployment in Nigeria by employing Nigerians to work in their companies. This is in contrast to OTT players who do not have or do these things in Nigeria but take a chunk of the revenues that would have accrued to the Telcos.
“We can demand for things, like they should have physical presence in the country. We can demand that they invest in certain sectors of our industry as a way to give back, for the kind of revenues they are making from our country”, she concluded, in respect of the foreign OTT players.
Starlink, the satellite internet provider operated by Elon Musk’s SpaceX, has stopped taking new orders for residential kits in parts of Lagos and in Abuja after network capacity was reached, the company’s online ordering page shows.
Neighborhoods listed as sold out include Victoria Island, Ikoyi, Lagos Island and Surulere.
Prospective customers in those areas can join a wait list by paying a deposit and will be notified when service space opens.
At Chevyville Estate in Lekki, one resident trying to subscribe was met with a message that read: “Starlink service is currently at capacity in your area. However, you can place a deposit now to reserve your spot on the waitlist and receive a notification as soon as service becomes available again.”
That experience mirrors what consumers in other busy districts are seeing.
A Starlink engineer who spoke on condition of anonymity to discuss internal limits said the company temporarily closes new sales in zones where adding customers would degrade service for existing users.
“It happens when the area cannot take a new customer due to its designed capacity at the time,” the engineer said.
“This also helps preserve a steady connection for people already online.” Remedies can include adding more ground infrastructure, securing regulatory clearances, or expanding satellite coverage.
Since entering Nigeria, Starlink’s monthly fee has climbed: the service began at about N38,000 (roughly $25), rose to about N45,000 ($30) and — by 2025 — was charging roughly N56,000 ($37).
Starlink has cited naira depreciation, higher operating expenses and costs tied to meeting rules set by the Nigerian Communications Commission for the increases.
Those higher prices, and the service interruptions, appear to have affected subscription numbers. After a near eight-month pause that began in November 2024 and was tied to limited bandwidth and regulatory issues, orders resumed in late June 2025.
Still, data from the NCC show active Starlink users in Nigeria fell from 65,564 in the fourth quarter of 2024 to 59,509 in the first quarter of 2025, a decline of more than 6,000 users, or about 9 percent.
Analysts point to the price rises, service holds and economic pressure as key reasons for the drop; some customers have switched to cheaper alternatives or stopped service.
As Elon Musk maintains his position as the world’s richest individual, with a net worth of $429 billion (according to the Bloomberg Billionaires Index), his commitment to global digital inclusion through Starlink remains a central focus.
Starlink’s activity in Nigeria is part of a wider push across Africa.
The company has recently moved to enter markets including Lesotho and Somalia and secured permission to operate in the Democratic Republic of Congo after earlier restrictions,
SpaceX is also working with operators such as Airtel Africa to reach rural areas where wired internet is scarce.
For many users in Nigeria, the appeal of Starlink remains clear: a reliable option where terrestrial networks falter.
But until the company expands capacity or adjusts pricing, consumers in dense urban pockets may have to wait for access or turn to other providers.
Credit excluding Headline: Pm News
Telecom
Google Expands Digital Infrastructure with Four New Subsea Cable Hubs and $9m AI Fund for Africa
Google has announced a new set of investments in Africa, reaffirming its nearly two-decade commitment to the continent’s digital transformation.
The latest commitments focus on empowering Africa’s next generation through AI, unlocking opportunities and expanding on the innovation capacity of young Africans. They cover internet connectivity; youth-led learning and innovation; and skills training.
Connectivity
Google is announcing four strategic subsea cable connectivity hubs in the north, south, east and west regions of Africa. This investment creates new digital corridors within Africa and between Africa and the rest of the world – ultimately deepening international connectivity and resilience, as well as spurring economic growth and opportunity.
This is the latest addition to Google’s Africa Connect infrastructure program, which sees the company build vital connectivity across the continent: including the Google Cloud region in Johannesburg serving users across the continent, the Equiano cable running along the entire western seaboard of the continent, and Umoja, the first fiber optic route to directly connect Africa with Australia (running through Kenya, Uganda, Rwanda, Democratic Republic of the Congo, Zambia, Zimbabwe and South Africa).
Google’s investments to date have enabled 100 million Africans to access the internet for the first time, and the Equiano cable alone is expected to increase real GDP this year in Nigeria, South Africa and Namibia by an estimated $11.1 billion, $5.8 billion and $290 million, respectively.
Youth-led learning and innovation
Enabling Africa’s young people to learn, innovate and lead is critical to Africa’s development and economic growth. That’s why Google is today also announcing free one-year subscriptions to Google AI Pro plan for college students (18 or older) across the continent – starting with Egypt, Ghana, Kenya, Morocco, Nigeria, South Africa, Rwanda and Zimbabwe. The subscription provides advanced AI to students – from Deep Research, which helps save time with custom research reports and in-depth information from hundreds of sources across the web, to Gemini 2.5 Pro, which provides help with assignments or writing.
Building skills and solutions
Equipping people with AI skills is critical. To date, Google has trained 7 million Africans and plans to train an additional 3 million students, young people, and teachers by 2030. Google is also bolstering local capacity by providing African universities and research institutions with over $17 million in funding, curriculum, training and compute and access to advanced AI models over the past four years – with an additional $9 million planned for the coming year.
On the announcements, Alex Okosi, Managing Director for Google in Africa, said: “Africa’s digital economy holds immense potential, and it will be driven by the talent and ingenuity of its next generation. Today’s announcements, spanning AI education, advanced tools for students, and expanded connectivity, are a unified investment into the upward trajectory of the continent.
“We are committed to providing the foundational infrastructure, the cutting-edge tools, and the financial support necessary for Africa’s youth to innovate, lead, and build a thriving digital world.”
Google’s long term partnership
These announcements are the latest chapter in Google’s long-term investment in the continent, which has delivered on $1 billion of investment. Google’s sustained commitment to Africa has included driving connectivity; training more than 7 million people across the continent in digital skills to support the future workforce; and supporting 153 startups from 17 African nations through the Google for Startups Accelerator Africa, helping them raise $300 million and create 3,500 jobs.
AI creates an unprecedented opportunity to benefit everyone, and Google is committed to making that a reality for people, businesses and communities across Africa. Today’s announcements are another example of how Google is continuing to expand connectivity, increase product access and skills across the continent and enable African-led innovation – with more to come.
MTN Nigeria Communications Plc has secured regulatory approval from the Nigerian Communications Commission (NCC) to lease frequency spectrum from T2 Mobile Limited (formerly 9Mobile), marking a strategic shift in its network expansion plans.
Effective October 1, 2025, MTN will lease 5MHz in the 900MHz band and 15MHz in the 1800MHz band from T2 Mobile for a period of three years.
This move supports MTN’s national roaming agreement with T2, enabling shared infrastructure to manage growing network traffic and improve service delivery
According to MTN Nigeria CEO Karl Toriola, the agreement aligns with the company’s Ambition 2025 strategy, which emphasizes cost-effective, sustainable growth, industry collaboration, and digital inclusion.
In a related development, MTN Nigeria has announced it will not renew its current spectrum lease with Natcom Development and Investment Ltd (Ntel). That lease—covering 5MHz in the 900MHz band and 10MHz in the 1800MHz band across 17 states—is set to expire on November 29, 2025.
MTN reaffirmed its commitment to investing in infrastructure and strategic partnerships to deliver high-quality, innovative telecom services across Nigeria.
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