NCC Licenses Six New ISPs As Competition Intensifies With Starlink, MNOs

The Nigerian Communications Commission (NCC) has licensed six new Internet Service Providers (ISPs) to operate in Nigeria, effective January 1, 2026, further intensifying competition in an already crowded broadband market dominated by mobile network operators (MNOs) and satellite players.

The development, confirmed via the NCC’s updated licensing database, comes amid shrinking customer bases for many traditional ISPs and rising market concentration around a few dominant players.

The new licences are being issued at a time when fixed broadband providers are under sustained pressure from cheaper retail data bundles offered by MTN, Airtel, Globacom, and 9mobile, as well as continued disruption from Elon Musk-backed Starlink.

What the Data Is Saying

According to NCC licensing data, the approval of six new companies has increased the total number of licensed ISPs in Nigeria to 231, up from 225 in December 2025.

However, the data reveals a persistent geographic concentration of ISP operations in major urban centres, highlighting longstanding gaps in broadband penetration across large parts of the country.

Five of the newly licensed ISPs are headquartered in Lagos, while only one operates outside the main commercial hubs, based in Owerri, Imo State.

The new licensees are:

Intellvision Technologies Limited

Granet Technologies Limited

Fiber Sonic Limited

Dasol Solution Services Ltd

Boost ISP Limited

Amazon Kuiper Nigeria Limited

NCC data shows that most licensed ISPs remain clustered around Lagos, Abuja, and Port Harcourt, reflecting high infrastructure costs, demand concentration, and barriers to network deployment in less-served regions.

While licensing activity continues to rise, market participation remains uneven, with operational strength still heavily tilted toward a handful of locations.

Stakeholder Views

The issuance of new ISP licences comes amid growing concerns from existing operators over the competitive imbalance between smaller ISPs and dominant MNOs.

Industry stakeholders argue that without targeted regulatory safeguards, smaller providers may struggle to remain viable in a market shaped by scale, capital intensity, and aggressive pricing strategies.

“You cannot fight the big player; that is the reality. What we are asking for is a way to work harmoniously, where everyone gets a piece of the pie,” said Chidi Ibisi, Executive Director, Business Development at Broadbased Communications Ltd.

Ibisi warned that dominant operators could crowd smaller ISPs out of the market—not necessarily through unfair practices, but through sheer investment power and nationwide reach.

Similarly, Kehinde Joda, Head of Regulatory and Public Relations at FibreOne, said the ISP sub-sector is grappling with multiple structural challenges.

According to him, many operators still rely on traditional business models, selling basic internet access without clear differentiation or value-added services.

“Innovation is not just about technology; it’s about how you design your packages, manage customers, and adapt to changing needs,” he said.

Joda also identified infrastructure costs as a major constraint, noting that deploying and maintaining robust fibre networks remains highly capital-intensive.

Terrestrial vs Satellite ISPs

Competition in Nigeria’s ISP market has evolved beyond the long-standing rivalry between fixed broadband providers and mobile network operators.

The entry of satellite-based ISPs—offering wider coverage and faster deployment timelines—has reshaped consumer preferences and intensified pressure on terrestrial operators.

Starlink, which entered the Nigerian market in 2023, rapidly gained customers from local ISPs to become the second-largest ISP by subscriber numbers.

With the licensing of Amazon Kuiper Nigeria Limited, competition in the low-Earth orbit (LEO) satellite broadband segment is expected to intensify further.

Amazon Kuiper’s entry positions it as a direct rival to Starlink, which has so far dominated Nigeria’s satellite broadband space.

The NCC said the licensing of Amazon Kuiper reflects Nigeria’s openness to global satellite broadband providers and aligns with rising demand for high-speed internet in underserved and hard-to-reach areas.

What You Should Know

Nairametrics previously reported that Nigeria’s ISP market is becoming increasingly concentrated around a few dominant players.

NCC data for Q2 2025 shows that Spectranet, Starlink, and FibreOne accounted for about 65% of active ISP customers.

Out of 125 licensed ISPs at the time, only 133 reported active customer connections, serving a total of 313,713 users.

Spectranet remained the largest ISP with 99,520 active customers, despite a second consecutive quarterly decline.

Starlink grew rapidly, expanding from 59,509 subscribers in Q1 2025 to 66,523 in Q2.

FibreOne ranked third with 37,117 customers.

With new licences being issued and satellite operators expanding aggressively, competitive pressures in Nigeria’s ISP market are expected to intensify further in the years ahead.