Current leaders of the Nigerian data services market including Starlink, Smile and Telcos are set for another round of market share struggle as the Nigerian Communications Commission (NCC) has granted licenses to six new Internet Service Providers (ISPs) to commence operations in Nigeria starting January 1, 2026.
This move aims to enhance competition within a telecommunications market that mobile network operators increasingly influence.
The licensing update, reflected in the NCC’s database, indicates a rising number of authorized ISPs, despite challenges such as market consolidation and a downturn in customer numbers.
This new wave of licenses arrives at a critical moment when established ISPs are facing intense competition from major mobile operators like MTN, Airtel, Globacom, Smile, and 9mobile, which offer more affordable data plans.
Additionally, the landscape is being further disrupted by innovative services like Elon Musk’s Starlink.
Latest licensing for data service by the regulator shows that the addition of six companies has pushed the total number of licensed Internet Service Providers in Nigeria to 231 from 225 in December 2025.
The data also highlights a strong geographic concentration of ISP operations in a few urban centres, underscoring persistent gaps in broadband distribution across the country.
Five of the newly licensed ISPs are based in Lagos, while only one is located outside the main commercial hubs, operating from Owerri in Imo State.
The new licensees are Intellvision Technologies Limited, Granet Technologies Limited, Fiber Sonic Limited, Dasol Solution Services Ltd, Boost ISP Limited, and Amazon Kuiper Nigeria Limited.
NCC data indicates that most licensed ISPs remain clustered around Lagos, Abuja, and Port Harcourt, reflecting high infrastructure costs and demand concentration in major cities.
The data suggests that while licensing activity continues to grow, market participation remains uneven, with operational strength still heavily tilted toward a handful of regions.
The issuance of new ISP licences comes amid mounting concerns from existing operators over the competitive imbalance between small ISPs and dominant mobile network operators.
Industry players argue that without targeted regulatory safeguards, smaller providers may struggle to survive in a market shaped by scale, capital intensity, and aggressive pricing.
