New Telco Enters Market As MTN, Airtel Control 86% Of Subscribers

Nigeria’s telecommunications market is set to witness another round of competition with the entry of Swift Telephone Network Limited (STN), even as the sector remains heavily concentrated, with MTN Nigeria and Airtel Nigeria accounting for more than 86 per cent of active mobile subscriptions.

STN’s Unified Access Service Licence (UASL), issued by the Nigerian Communications Commission (NCC), took effect yesterday, October 1, 2026, authorising the company to provide mobile, voice, data, fixed and other telecommunications services.

The entry comes into a market where the latest NCC industry statistics show that the four major operators had 194.86 million active subscriptions in July 2026. MTN led with 100.86 million subscribers, representing 51.76 per cent of the market, followed by Airtel with 66.76 million and 34.26 per cent. Globacom had 23.63 million subscribers, while T2, formerly 9mobile, accounted for 3.61 million.

The figures mean MTN and Airtel jointly controlled 86.02 per cent of active subscriptions as of July, leaving the remaining operators to compete for less than 14 per cent of the market. For STN, therefore, obtaining the licence represents only the first step in a market where subscriber scale, network coverage, spectrum capacity, distribution and capital investment are major competitive factors.

The firm is not the only new entrant seeking space in the changing telecom landscape. Lebara also commenced nationwide commercial operations in September through VAS2Nets Telecommunications Limited, an operator holding a Mobile Virtual Network Operator licence. Unlike an infrastructure-based UASL operator, an MVNO can provide services using the network infrastructure of existing operators, highlighting the different models emerging within Nigeria’s telecom market.

However, the more demanding task will be translating its regulatory authorisation into physical infrastructure and a customer base. The experience of smaller national operators has shown that licensing alone does not guarantee significant market share, particularly where established providers already possess extensive networks, retail channels and large subscriber bases.

STN’s Director of Legal and Regulatory Services, Yetunde Okafor, said the company would unveil its strategic partnerships, infrastructure rollout plans and programmes for engaging investors and other stakeholders in the coming weeks. The announcements are expected to provide greater clarity on how the new operator intends to approach network deployment and commercial operations.

The company’s Chief Executive Officer, Oluwole Adetuyi, said the new licence marked a new phase in its development, with the operator planning to build telecommunications infrastructure and expand connectivity. STN also said it intends to work with Nigerian service providers, contractors and vendors while developing local technical capabilities.

Meanwhile, the size of Nigeria’s telecom market provides a substantial customer base for additional investment. The NCC data showed that active subscriptions across the four existing major operators stood at nearly 195 million in July, although the number represents subscriptions rather than unique individuals because many Nigerians use multiple SIMs.

The new entrants will have to contend with the high cost of network deployment and operation, including fibre infrastructure, base stations, spectrum, power and maintenance. The company will also enter at a time when operators are under pressure to expand broadband capacity and improve network quality while managing rising infrastructure and operating costs.

Industry competition is therefore likely to depend not only on the number of operators in the market but also on their ability to deploy reliable networks, offer competitive services and sustain investment. With STN’s licence now effective, attention will shift from the regulatory approval to its rollout strategy and how quickly it can establish a meaningful presence in a market dominated by two operators.