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Home News General

Nigeria’s data boom drives fresh telecom investment

Rising data consumption, expanding broadband services and increased digital payments are accelerating investment in network capacity, fibre infrastructure and data centres across Nigeria.

AbdulBasit Saba by AbdulBasit Saba
September 19, 2026
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Nigeria’s rapidly expanding appetite for internet data is triggering a new wave of investment in telecommunications infrastructure, with operators increasing spending on network capacity, broadband services and data-centre development to support the country’s growing digital economy.

Fresh data from the Nigerian Communications Commission (NCC) shows that Nigerians consumed 1.66 million terabytes (TB) of data in July 2026—the highest monthly volume recorded in the commission’s published series.

The July figure followed 1.53 million TB in June and 1.50 million TB in May, underscoring a sustained upward trend in internet usage driven by mobile connectivity, streaming, remote work and digital commerce.

Between January and July 2026, total data consumption reached approximately 10.18 million TB, compared with about 7.09 million TB during the same period in 2025. The increase of roughly 43.6 per cent highlights the growing demand for faster and more resilient telecommunications infrastructure.

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The surge in data usage is translating into unprecedented capital investment by telecom operators seeking to expand network capacity and improve service quality.

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MTN Nigeria invested ₦1 trillion in network infrastructure during 2025, more than doubling its ₦443.5 billion investment recorded in 2024. The spending reflects the scale of infrastructure required to accommodate Nigeria’s rapidly growing digital traffic.

Beyond mobile networks, investment is increasingly focused on fixed broadband and home internet services. MTN has continued expanding its fibre-to-the-home (FTTH) and fixed wireless access businesses while committing more than $240 million to the development of a major data centre in Lagos. The project’s first phase is expected to cost about $120 million.

The NCC’s second-quarter 2026 statistics show Nigeria recorded 319,735 FTTH subscriptions, with MTN accounting for 176,468 of the total, reinforcing the growing demand for high-speed residential broadband.

While operators continue expanding their networks, protecting existing infrastructure has become an equally pressing challenge.

According to the NCC, more than 5,000 fibre-optic cable cuts were recorded during the first half of 2026, with most incidents linked to road construction, excavation and other civil engineering activities.

NCC Executive Vice Chairman Aminu Maida warned that damage to fibre infrastructure has consequences far beyond internet disruption, noting that it can lead to failed voice calls, interrupted financial transactions, service outages and significant economic losses.

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The commission has repeatedly called for stronger coordination between utility providers, contractors and government agencies to reduce accidental damage to telecommunications infrastructure.

Nigeria’s increasing dependence on digital connectivity is also evident in electronic payment activity.

The Nigeria Inter-Bank Settlement System (NIBSS) reported that Point-of-Sale (PoS) transactions reached ₦18.78 trillion in the first quarter of 2026, representing a 79.03 per cent increase from ₦10.49 trillion recorded during the corresponding period in 2025.

The growth illustrates the rising volume of commercial activity now dependent on reliable digital networks, particularly among merchants, financial institutions and consumers using electronic payment channels.

Industry analysts say the country’s expanding digital economy is increasing infrastructure requirements across multiple layers, including fibre transmission networks, broadband infrastructure, data centres, spectrum, radio equipment, power systems and digital platforms.

For consumers, the transformation is reflected in higher data usage on smartphones and home broadband connections. For businesses and infrastructure providers, it represents a larger digital ecosystem that will require sustained investment to maintain capacity, improve reliability and support Nigeria’s long-term economic growth.

Saba AbdulBasit
AbdulBasit Saba

AbdulBasit Saba is a journalist and contributor to Freelanews.com, covering news, business, and public affairs.

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