Broadband penetration below 50% mark amid data surge

Nigeria’s broadband penetration has continued to fall below the 50 percent mark despite a surge in data usage in the country.

According to the Nigerian Communications Commission (NCC), broadband penetration stood at 45.61 percent in January 2025, while internet usage grew to an all-time high of 1,000,930 terabytes in January 2025, on increased reliance on digital services.

This surge in internet usage has been driven by rising demand for internet services such as video streaming, social media engagement, remote work, and fintech innovations.

Despite this, poor infrastructure and high phone and internet costs have been major issues, according to GSMA, the global body for telcos.

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GSMA notes that only about 29 percent of Nigerians (about 58 million) use the internet regularly. Mobile internet subscriptions stood at 141.67 million, while broadband subscription was 98.88 million in January 2025, according to the NCC.

About 85 percent of Nigerians on the mobile internet use it to make or receive video calls, 75 percent watch free-to-access online videos, and 54 percent listen to free music online.

However, the expansion of broadband infrastructure has not kept pace with this demand, limiting equitable access to high-speed connectivity, particularly in rural areas.

Nigeria’s broadband penetration, measured by the number of active broadband subscriptions relative to the population, has struggled to meet national targets. The National Broadband Plan (2020–2025) set a goal of 50 percent penetration by 2023 and 70 percent by 2025, but infrastructure gaps remain a significant challenge.

Aminu Maida, executive vice chairman of the NCC, highlighted the critical role of broadband connectivity in Nigeria’s digital future, stating, “In today’s digital era, broadband connectivity is not just a necessity; it is the backbone of economic growth, innovation, and inclusion.”

While major cities such as Lagos, Abuja, and Port Harcourt enjoy relatively fast and stable internet, rural and underserved communities continue to experience unreliable networks and limited access to essential digital services such as e-learning, e-commerce, and telemedicine.

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The country has a 90,000-kilometer fiber infrastructure gap. “The last mile, the fibre network, is probably the most important thing that needs to be built out,” said Chris Wood, chief executive officer of WIOCC Group, an open-access digital infrastructure firm.

A report from the Universal Service Provision Fund (USPF) estimates that 27.91 million Nigerians live in areas that are either underserved or completely unserved by telecom services.

To address this gap, the country recently launched the National Broadband Alliance for Nigeria (NBAN) to expand internet access. The initiative aims to provide connectivity to critical locations such as schools, healthcare facilities, religious centers, and markets, aligning with the country’s broadband expansion objectives.

Bosun Tijani, minister of communications, innovation, and digital economy, also emphasised the need for a collaborative approach to achieving the country’s broadband goals. “Achieving broadband’s transformative goals requires more than just policy; it requires collaboration,” he said.

The broadband plan also aims to achieve a 70 percent penetration rate by 2025, with minimum data speeds of 25 Mbps in urban areas and 10 Mbps in rural areas.

Additionally, it targets an expansion of broadband population coverage to 80 percent by 2027 and an increase in broadband investments by 300–500 percent within the same period.

Industry experts say that broadband expansion continues to be hampered by high operational costs and regulatory challenges.

Ajibola Olude, secretary of the Association of Telecommunication Companies of Nigeria (ATCON), said: “The increasing cost of Right of Way (RoW), energy, and taxes remain major challenges affecting broadband penetration in the country.”

About seven states have now cancelled RoW fees to attract broadband investments. The federal government has also launched a special purpose vehicle to close its digital infrastructure gaps and improve internet coverage by investing about $2 billion in digital infrastructure.

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“To ensure progress towards building the infrastructure needed for a robust digital economy in Nigeria, we understand that quality access is the backbone of a digital economy and have, therefore, focused on connectivity,” stated Tijani.