In my candid opinion, I regard the telecommunications industry as the goose that has indeed laid the golden egg that is now a rapidly expanding digital economy and this is why I believe the entire industry (operators, consumers, policy makers and the regulator) have to continuously work together to ensure the industry continues to grow. I admit that a lot more needs to be done but I must state that despite the current economic crisis hitting hard, an introspective analysis of the telecoms industry is ideal at this stage.
The industry has recorded tremendous successes since the telecoms revolution started in Nigeria in the early 2000s. The journey has since recorded several challenges, ups and downs, disruptions as well as enhancements due to the ever changing technologies fuelled by dynamic innovations. Looking back to the earlier days, one recalls how expensive it was for an individual to purchase a mobile phone or even buy a SIM card which is almost free now.
Today, the case is different. The industry is now full of both challenges and new opportunities with room for improvement. Undoubtedly, at the forefront of the success of the telecoms industry in Nigeria is the Nigerian Communications Commission, which has regulated the industry with the much needed experience for the achievement of the glittering success of the industry.
A few weeks ago, the executive chairman of the NCC, Prof. Umar Danbatta, was questioned in Barcelona, Spain, on how the industry has fared in Nigeria. He responded, “Nigeria’s telecom industry has been successful because of the country’s regulatory excellence.” Quite frankly, I believe the NCC has done a good job worthy of emulation but there is indeed room for improvement as there are still lots of ground to cover.
Historically, the telecom industry in Nigeria started from its infancy in 2001 with a paltry investment of $500m. As at then, (2001), we had 400,000 connected lines. I remember back then, my father instructed me to go apply for a NITEL landline. I did and we were told to wait for our turn and that turn never came many years after. Today, all that is different, Nigeria now has about 155 million connected lines, recording a tele-density of 111 per cent.
Economically, the telecom industry is currently valued at $68bn, with $35bn coming from Foreign Direct Investments contributing 9.8 per cent to the Nigeria’s Gross Domestic Product.
Another aspect of growth that must be highlighted remains the depth of internet penetration in the country. The number of Nigerians that have access to the internet has increased exponentially.
At the moment, the number of active subscribers for — Finish Reading on the Punch Website
