Telecom Tariff Hike Slows SIM Activation, but Broadband Use Surges in Nigeria (2025 Update)
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| Telecom Tariff Hike Slows SIM Activation, but Broadband Use Surges in Nigeria (2025 Update) |
The Nigerian telecom sector is facing a dual shift in 2025: while the recent 50% tariff increase has slowed new SIM activations, broadband adoption is rising steadily, signaling a major transformation in how Nigerians connect to the internet.
The 50% Tariff Hike – What Happened?
In early 2025, the Nigerian Communications Commission (NCC) approved a 50% increase in telecom tariffs to help service providers cope with:
- Rising inflation
- FX instability
- High cost of network upgrades
- Settled USSD debts (recently resolved)
This led to:
| Impact | Result |
|---|---|
| SIM Activations | Slowed by ~18% nationwide by mid-2025 |
| Recharge Volume | Dropped slightly for low-income users |
| Broadband Usage | Surged due to work, streaming, online education |
Broadband Penetration Now Nears 49%
Despite fewer new phone lines being activated, data use has skyrocketed in Nigeria. By July 2025, the NCC reports that broadband penetration is just under 49%, the highest in West Africa.
Why Nigerians Are Switching to Broadband:
- Remote work & freelancing
- Online school & certifications
- Streaming on platforms like YouTube, Netflix, and TikTok
- Affordable fibre & MiFi plans
Related Link: NCC Broadband Stats – ncc.gov.ng
4G and 5G Becoming More Popular
Telcos like MTN and Airtel are rolling out more 4G and 5G base stations. MTN, in particular, is investing ₦600 billion over 3 years to expand coverage and offer 5G in major cities like Lagos, Abuja, and Port Harcourt.
This is helping users switch from 2G/3G to faster, stable internet connections, increasing demand for data rather than voice/SMS.
What This Means for Users
| Category | Change |
|---|---|
| Calls & SMS | Slightly more expensive |
| Internet | Faster, more reliable in cities |
| SIM Purchase | Slower growth |
| Data Bundles | Still competitive with better speeds |
Nigeria’s digital transition is clearly shifting from voice to data. While the cost of telecom services has risen, the value and quality of broadband is improving fast. For individuals and small businesses, this is the time to invest in high-speed internet tools like MiFi routers, 4G SIMs, and 5G-ready smartphones.
Stay informed and choose the best provider based on your location and data needs.
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