The Nigerian Communications Commission (NCC) is examining barriers that may prevent smaller telecommunications operators from competing effectively with larger players as it assesses market concentration, infrastructure control and the potential abuse of significant market power in the industry.

The study could shape how the regulator addresses competitive imbalances in Nigeria’s telecommunications market, where differences in scale, access to essential infrastructure and the ability to expand operations may influence operators’ capacity to compete.

The Commission said its approach would focus on preventing the abuse of market power rather than penalising companies simply because of their size or commercial success.

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Omotayo Mohammed, head of competition and tariff at the NCC, gave the assurance at the second stakeholder forum on the study of the level of competition in the Nigerian telecommunications industry, where preliminary findings were presented by PricewaterhouseCoopers (PwC) Nigeria.

Mohammed said the assessment was designed to provide an evidence-based understanding of competitive conditions, identify potential barriers to effective competition and guide regulatory interventions where necessary.

“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,” she said.

According to her, significant market power could result from sustained investment, innovation and commercial success. However, the Commission would be concerned where such power undermined effective competition or restricted opportunities for other operators.

The distinction is important for smaller telecommunications companies seeking to expand in a market where access to infrastructure, the cost of network deployment and the ability to attract and retain customers can influence commercial viability.

Mohammed said a proper assessment of competition required more than examining the market shares of operators or the number of companies holding licences. It must also consider market concentration, barriers to entry and expansion, control over essential infrastructure, market conduct and the extent of consumer choice.

These factors could help the regulator determine whether competitive outcomes reflected legitimate differences in investment and business performance or conditions that could make it difficult for other operators to enter or expand in particular market segments.

The NCC said any regulatory intervention would be proportionate and targeted, with the objective of preserving competitive market conditions while encouraging investment, innovation, better service quality and consumer value.

Mary Iwelumo, partner at PwC Nigeria, said the preliminary assessment covered six broad telecommunications market segments and 17 subsegments.

She disclosed that the study had identified operators with significant market power in six subsegments, while no such operators had been identified in two others. Analysis of the remaining nine subsegments was still ongoing.

The findings remain preliminary because data collection from operators and other stakeholders has not been completed. The study initially expected to take between four and six months has lasted about 10 months, reflecting the time required to obtain sufficient and representative industry data.

Iwelumo urged telecommunications operators to respond promptly to outstanding information requests from the Commission and its consultants, saying complete data would strengthen the analysis and improve the reliability of the final findings.

She also asked operators to communicate clearly where requested information was unavailable rather than leave requests unanswered.

The scope of the study was expanded during its inception phase to include telecommunications infrastructure alongside voice and data markets, allowing the assessment to examine a wider range of factors that may influence competition.

For smaller operators, the infrastructure dimension is particularly relevant because the ability to access essential facilities and expand network capacity can affect the cost and speed of market entry. However, the preliminary findings presented at the forum did not identify specific operators or establish that any company had engaged in anti-competitive conduct.

Mohammed said the stakeholder forum was intended to validate the evidence, clarify emerging issues and obtain additional perspectives before the Commission reached any regulatory conclusions.

Contributions from the first stakeholder forum, held in January 2026, had helped refine the study’s approach, identify relevant market issues and strengthen the evidence-gathering process, she added.

The exercise is being conducted in line with the NCC’s responsibilities under the Nigerian Communications Act 2003 and the Competition Practices Regulations 2007.

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Stakeholders will have an opportunity to submit additional comments and information in writing within a timeline to be communicated by the forum’s secretariat.

The final assessment is expected to help the Commission determine whether further measures are required to address identified competition concerns.

For the industry, the outcome could clarify how the regulator intends to balance the commercial rewards of investment and expansion with the need to maintain fair opportunities for competition. The central question is whether operators of different sizes can compete effectively without regulatory measures discouraging the investment required to extend and improve telecommunications services.

Royal Ibeh

Royal Ibeh is a senior journalist with years of experience reporting on Nigeria’s technology and health sectors. She currently covers the Technology and Health beats for BusinessDay newspaper, where she writes in-depth stories on digital innovation, telecom infrastructure, healthcare systems, and public health policies.