Mike Adenuga Warns Mtn-airtel Deal Could Harm Fair Competition In Nigeria

Mike Adenuga opposes MTN and Airtel's spectrum deals, warning they could distort Nigerias telecom market and raise costs for consumers.

MTN and Airtel's network-sharing agreement aims to reduce costs, expand coverage in underserved areas, but raises fears of market imbalance.

Globacom expands with new retail outlets and digital innovation hubs, aiming to enhance customer service and foster tech entrepreneurship in Nigeria.

Nearly a week after MTN Group and Airtel Africa signed a network infrastructure-sharing agreement in Nigeria and Uganda, concerns have emerged over the potential for anticompetitive behavior. Mike Adenuga, Nigerian billionaire and chairman of Globacom Limited, has voiced strong objections to spectrum deals between MTN Group and Airtel Africa.

In a letter to Nigeria's telecom regulator, the Nigerian Communications Commission NCC, Adenuga raised alarms that such deals could create an unfair advantage for MTN Nigeria, the local arm of the South African telecoms giant, which is the leading telecom service provider in the country.

Adenuga, who is Nigerias second-richest individual with a net worth of 6.8 billion , pointed out that MTN has already accumulated substantial spectrum resources, including through its acquisition of Visafone, a mobile company once owned by Nigerian banker Jim Ovia, and its spectrum leasing agreements with 9Mobile.

He warned that granting MTN additional spectrum could distort the market, reduce competition, and ultimately raise costs for consumers. He has urged the NCC to block the deal to preserve fairness in Nigerias telecom sector.

The agreement between MTN and Airtel Africa , which aims to reduce operational costs and expand mobile coverage in underserved areas, has raised both hope and concern. By sharing network infrastructure, the two telecom giants hope to lower costs and improve service delivery, particularly in rural regions where digital access is limited. This collaboration includes potential fibre infrastructure partnerships and Radio Access Network RAN sharing, allowing for new fibre networks where necessary.