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The Nigerian Communications Commission (NCC) has said it will scrutinise market power in the telecommunications industry to ensure that dominant operators do not undermine competition, while assuring industry players that regulatory interventions will not penalise businesses simply for their size or commercial success.
The Commission also disclosed that its ongoing study of competition in the industry has identified operators with Significant Market Power (SMP) in six telecommunications market subsegments, although the assessment remains preliminary.
The findings were presented by PricewaterhouseCoopers (PwC) Nigeria at the second stakeholder forum on the study of the level of competition in the Nigerian telecommunications industry.
Speaking at the forum, Omotayo Mohammed, Head of Competition and Tariff at the NCC, said the study was designed to provide an objective, evidence-based assessment of market conditions, identify potential barriers to effective competition and guide appropriate regulatory responses.
She stressed that the Commission’s approach would focus on preventing the abuse of market power rather than treating market dominance as an offence in itself.
“Smaller operators are assured that limited scale is not, in itself, a disadvantage, while larger operators should equally recognise that Significant Market Power (SMP) status alone is not indicative of anti-competitive behaviour,” Mohammed said.
She explained that significant market power could be a legitimate outcome of sustained investment, innovation and commercial success, adding that the Commission’s priority was to ensure that such power did not undermine effective competition.
According to her, any regulatory intervention, where necessary, would be proportionate and targeted at preserving competitive market conditions, encouraging investment and innovation, and delivering improved service quality and consumer value.
Mohammed said an effective assessment of competition required more than examining market shares and the number of licensed operators. It must also consider market concentration, barriers to entry and expansion, control over essential infrastructure, market conduct and consumer choice.
She noted that the study was an important regulatory tool for the Commission in discharging its responsibilities under the Nigerian Communications Act 2003 and the Competition Practices Regulations 2007.
Providing an update on the study, Mary Iwelumo, Partner at PwC Nigeria, said the preliminary assessment covered six broad market segments and 17 subsegments.
She disclosed that the definition of nine subsegments had been completed, while work on the remaining eight was ongoing.
According to her, the study had identified operators with significant market power in six subsegments, while no SMP operators had been identified in two others. Analysis of the remaining nine subsegments was still in progress.
Iwelumo cautioned that the findings were preliminary because data collection from operators and other stakeholders was yet to be completed.
She explained that the study, initially expected to take between four and six months, had lasted about 10 months because of the need to obtain sufficient and representative data from industry participants.
The PwC partner urged telecommunications operators to respond promptly to outstanding requests for information from the Commission and its consultants, noting that additional data would help strengthen the analysis and improve the reliability of the final findings.
She also asked operators to communicate clearly when requested data was unavailable, rather than leaving information requests unanswered.
Iwelumo said the study examined market definitions and concentration, the effectiveness of existing regulatory measures, competitive dynamics across telecommunications segments, and the presence or otherwise of operators with significant market power.
She explained that the scope was expanded during the inception phase to include infrastructure, in addition to voice and data markets, to provide a more comprehensive assessment of the industry.
The exercise involved collaboration among the NCC, telecommunications operators, consumers and other relevant stakeholders, with information requests and surveys providing the data used in the preliminary analysis.
Mohammed said the preliminary findings were being presented to industry stakeholders to validate the evidence, clarify emerging issues and obtain additional perspectives before the Commission reaches any regulatory conclusions.
She recalled that the first stakeholder forum, held in January 2026, provided an opportunity for industry participants to share their perspectives on competitive conditions and the appropriate parameters for assessing the market.
According to her, the contributions received during that engagement helped refine the study’s approach, identify relevant market issues and strengthen the evidence-gathering process.
She emphasised that the completeness, accuracy and consistency of the data underpinning the study were essential to the credibility of its findings, adding that limitations would be identified and interpreted with appropriate caution.
The NCC urged operators and other stakeholders to support their observations with verifiable data and practical industry experience to ensure that the final assessment reflected the realities of the Nigerian telecommunications market.
Mohammed said stakeholders would also have the opportunity to submit further comments and additional information in writing within a timeline to be communicated by the forum’s secretariat.
She reiterated that the Commission remained committed to transparent, inclusive and participatory regulation, adding that the next steps would be considered after the preliminary findings had been enriched by stakeholder feedback.
The outcome of the study is expected to help the NCC determine whether regulatory measures are necessary to address identified competition concerns while maintaining an environment that supports investment, innovation, improved service quality, consumer choice and affordable telecommunications services.
