Internet usage in Nigeria saw a slight drop after the Nigerian Communications Commission (NCC) approved a 50% increase in telecom tariffs in January 2025.
National internet consumption fell from a record-high 1 million terabytes (TB) in January to 893,054.80 TB in February, according to NCC data. Even while consumption increased to 995,876.10 TB in March, it was still less than the peak in January.
While February typically records a dip in usage due to seasonal trends—a pattern observed in both 2023 and 2024—analysts note that March has historically seen internet consumption surpass January levels, a benchmark not met this year.
The tariff increase, implemented on 20 January 2025, marked the first major adjustment in over a decade. Under the new pricing regime, the floor price for voice calls rose from ₦6.40 to ₦9.60 per minute, SMS from ₦4 to ₦6, and the cost of 1GB of data increased from ₦287.50 to ₦431.25. The adjustment followed sustained pressure from telecom operators citing rising operational costs and inflationary pressures.
Commenting on the development at the time, Bismarck Rewane, CEO of Financial Derivatives Company, warned that the higher tariffs, though beneficial to service providers, could reduce consumer usage, especially among price-sensitive users.
Despite the slight dip in consumption, leading operator MTN Nigeria reported a record ₦529.44 billion in data revenue for Q1 2025. The company, which boasts 90.49 million subscribers, attributed its performance to strong data demand and strategic customer management.
“Looking ahead, we anticipate continued momentum in service revenue, underpinned by strong demand for data and a proactive approach to customer value management,” said Karl Toriola, Chief Executive Officer of MTN Nigeria. “The recently approved price adjustments are expected to bolster revenue performance as their full effects materialise in the coming quarters.”
In addition to data developments, internet subscriptions reached 142.05 million in the first quarter, while mobile subscriptions increased to 172.43 million. Additionally, broadband penetration increased to 47.73 percent, indicating consistent advancements in Nigeria’s push for digital connectivity.
