By Gabriel Ameh
The Nigerian Communications Commission (NCC) has issued licences to six new Internet Service Providers (ISPs), signaling continued expansion and intensifying competition in Nigeria’s broadband market amid rising demand for reliable connectivity.
Industry analysts say the latest approvals reflect a shift in the broadband landscape, where success is no longer driven solely by connectivity and technology, but by service quality, customer experience, and the ability to adapt to evolving user needs.
Speaking on the development, broadband analyst Tolu Joda noted that traditional business models built purely around connectivity are becoming less sustainable.
“Differentiation in today’s market depends on service quality, customer experience, and responsiveness to users, not just technology,” Joda said.
He identified infrastructure costs as one of the biggest challenges facing operators, particularly fibre-based ISPs. According to him, deploying and maintaining resilient fibre networks requires heavy upfront investment with long payback periods pressures that smaller providers struggle to manage amid falling prices and rising customer expectations.
Competition in the ISP space has also evolved beyond the long-standing rivalry between fixed broadband providers and mobile network operators. Satellite broadband has emerged as a major alternative, offering rapid deployment and wide coverage, especially in underserved areas.
Starlink, which entered the Nigerian market in 2023, has already grown to become the country’s second-largest ISP by subscriber numbers, attracting customers from several local providers.
The recent licensing of Amazon Kuiper Nigeria Limited is expected to further reshape the sector. Backed by global technology giant Amazon, Kuiper’s entry positions it as a direct competitor to Starlink in Nigeria’s low-earth-orbit satellite broadband segment.
The NCC said the approval aligns with Nigeria’s openness to global broadband providers and its commitment to expanding internet access, particularly in underserved and hard-to-reach communities.
Latest NCC data highlights increasing market concentration within the sector. Figures for the second quarter of 2025 show that Spectranet, Starlink, and FibreOne accounted for about 65 per cent of active ISP subscribers nationwide.
During the period, total ISP subscriptions stood at 313,713, with Spectranet leading at 99,520 subscribers, followed by Starlink with 66,523, and FibreOne with 37,117.
Analysts say that as new licences are issued and satellite broadband operators expand their footprint, competition in Nigeria’s ISP market will continue to deepen.
This, they note, will place renewed emphasis on sustainability, regulatory oversight, and innovative approaches to broadband service delivery across the country.
