The Nigerian Communications Commission (NCC) is expected to rake in about N5 billion from the recently approved licensing of 25 Mobile Virtual Network Operators (MVNOs).
Although official figures from the industry regulator are yet to be released, Nairametrics analysis estimates that these 25 companies have collectively paid a total of N5.9 billion in licensing fees to the government.
NewsSpecng earlier reported that NCC granted 25 licenses to new MVNOs.
An MNVO is a wireless communications services provider that delivers services to customers without owning the underlying wireless network infrastructure.
Industry experts anticipate that the introduction of these MVNOs will bring increased competition to the telecom market, resulting in reduced call and data charges for subscribers and improved connectivity, especially in rural areas.
These new players are expected to offer similar services to MTN, Globacom, Airtel, and 9mobile, and will use the existing infrastructure already built by established operators.
This is expected to create competition in the market, bring competitive offerings, and potentially offer lower costs for calls and data services.
During a recent stakeholders consultative forum called ‘Talk-To-The Regulator,’ held in Yenagoa, Bayelsa state, Mohammed Babajika, the Director of Licensing and Authorization at NCC, confirmed that the commission has finalized the framework for MVNOs and is currently in the process of granting licenses.
According to the draft license, an MVNO license will be valid for ten years with the option to renew for the same term. The renewal is subject to the licensee’s request, which must be submitted no later than 12 months before the current license tenure ends.
The MVNO license will be valid for ten years, with an option to renew for the same term, subject to the licensee’s request no later than 12 months before the current license tenure ends.
The draft also specifies that the license can be revoked if the licensee operates beyond the designated scope or fails to pay the required fees.
Additionally, violations of the MVNO agreement between the NCC and the Mobile Network Operator (MNO), or any breaches of the conditions outlined in the framework, may result in the suspension or outright revocation of the license by the NCC
