Nigeria’s telecommunications operators invested more than $1.56 billion in network infrastructure in 2025 as regulators intensify pressure on the industry over worsening complaints about poor service quality across the country.
The disclosure was made by the Nigerian Communications Commission, which said mobile network operators spent over $1.33 billion on network infrastructure and upgrades last year, while tower companies added another $233 million to support expansion and modernisation efforts.
According to the commission, the investments supported the addition and upgrade of more than 2,800 telecom sites nationwide as operators attempted to address network congestion, poor coverage and capacity shortages in several locations.
The expenditure comes despite ongoing frustration among subscribers over dropped calls, unstable internet connections, slow data speeds and recurring network outages. The NCC acknowledged the widespread dissatisfaction, noting that telecom services have become essential for business operations, financial transactions, education and access to digital services.
The regulator further noted that Nigeria’s telecom industry is currently undergoing one of its largest network expansion cycles in years after a prolonged period of underinvestment. Operators are now accelerating infrastructure deployment following the approval of tariff increases earlier in 2025 aimed at improving industry sustainability.
The expansion drive is continuing into 2026. According to the NCC, telecom companies have already committed to upgrading or deploying more than 12,000 additional sites this year, with close to 3,000 already completed. More than 730 new 5G sites have also been deployed across 27 states in 2026 as operators push to improve next generation connectivity nationwide.
The commission said recent interventions include expansion of fibre backhaul infrastructure, deployment of additional 4G and 5G layers, upgrades in high demand urban areas and replacement of aging network equipment.
Despite the investments, service quality remains under scrutiny. The NCC revealed it has begun enforcement actions against operators that fail to meet updated Quality of Service regulations introduced in 2024. Penalties include fines, mandatory compensation for subscribers and additional infrastructure obligations for operators and tower companies.
The regulator identified fibre cuts, vandalism, theft of telecom equipment and power disruptions as major external threats affecting network performance. It disclosed that more than 27,000 avoidable fibre cut incidents were recorded nationwide in 2025, many linked to road construction activities and vandalism.
Nigeria’s telecom sector has also faced rising operating costs driven by inflation, foreign exchange pressure, energy expenses and high right of way charges imposed by some state governments. Industry operating costs reportedly surged to about $3.65 billion in 2024, according to NCC industry data.
He has previously worked with Business Insider Africa and Nairametrics, reporting on finance, startups, and innovation.
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