Synopsis

Nigeria’s broadband sector has seen considerable consolidation among players, from over 400 ISPs in 2012 to about 100 by the end of 2018. Most internet connections are via mobile networks, principally GSM and 3G and more recently LTE, though there are a number of WiMAX operators which have found niche markets. Several international submarine fibre-optic cables have landed since 2009, which has contributed to lower pricing for consumers and greater capacity for fixed-line and mobile backhaul.

Supported by the expansion of national fibre backbone networks, platforms such as e-commerce, online banking and e-payments, e-health, e-learning and e-government are evolving rapidly. The government has updated its broadband ambitions, aiming to increase penetration from 30% by 2020 to 70% by 2021. Most connections will be via mobile networks, with a greater reliance on LTE infrastructure. To this end the regulator is looking to auction additional spectrum in the 700MHz and 2.3GHz bands.

Key developments:

• InfraCos ordered to deploy networks within a year of receiving licenses;
• Government gains access to $100 loan to develop the National Broadband Plan;
• Swift Networks to add an additional 10,000 hotspots in Lagos, reaching two million people;
• Digital broadcasting migration process begins in six states;
• More InfraCos licensed to provide wholesale fibre-based internet access to ISPs;
• Additional bandwidth available from new international submarine fibre optic cables;
• Report update includes regulator's market data to June 2019, operator data to Q1 2019, recent market developments.

Companies mentioned in this report:

Nitel (ntel), Cyberspace, Hyperia, Linkserve, 21st Century Technologies, Pinet Informatics, Odu’a Telecom, Swift Networks, Startech Connection, Netcom Africa, MWEB Nigeria, Gateway Communications, Accelon (Internet Solutions), Galaxy Information Technology and Telecommunication, Polestar, Naija Wi-Fi, Suburban Telecom, Zinox, Direct-on-PC, IP Direct, Starcomms, Layer3, Communication Trends Nigeria, Entertainment Highway (HiTV).