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Expansion of Internet Service Providers in Nigeria: Six New Licenses Granted by NCC
Starting January 1, 2026, Nigeria’s telecommunications landscape will witness a significant shift as the Nigerian Communications Commission (NCC) authorizes six additional Internet Service Providers (ISPs) to operate nationwide. This move aims to invigorate competition within a sector increasingly dominated by major mobile network operators.
Growing ISP Licenses Amid Market Challenges
According to the latest update from the NCC’s licensing registry, the number of licensed ISPs in Nigeria is on the rise, despite ongoing challenges such as market consolidation and a decline in subscriber numbers for traditional internet providers. This regulatory decision reflects a strategic effort to diversify service options and enhance internet accessibility across the country.
Competitive Pressures from Mobile Operators and Satellite Internet
Traditional ISPs in Nigeria are currently facing intense competition from mobile network giants like MTN, Airtel, Globacom, and 9mobile, who offer increasingly affordable data plans that appeal to a broad consumer base. Additionally, the entry of satellite internet services, notably Elon Musk’s Starlink, is disrupting the market by providing alternative connectivity solutions, especially in underserved rural areas.
Implications for Nigeria’s Digital Ecosystem
The introduction of these six new ISPs is expected to stimulate innovation and improve service quality, potentially driving down prices further. With Nigeria’s internet penetration rate hovering around 50% as of early 2024, expanding ISP options could play a crucial role in bridging the digital divide and supporting the country’s growing demand for reliable broadband access.
Looking Ahead: Opportunities and Challenges
While the increased number of licensed ISPs presents opportunities for enhanced connectivity and consumer choice, these new entrants will need to navigate a competitive environment shaped by established mobile operators and emerging technologies. Success will depend on their ability to offer differentiated services, invest in infrastructure, and adapt to evolving consumer needs.