MTN Nigeria’s pivotal role in shaping the nation’s economy was highlighted by its CEO, Karl Toriola, who revealed that the telecom giant contributes an impressive 7% to Nigeria’s Gross Domestic Product (GDP). Speaking at the TeXcellence 2024 conference, Toriola emphasized the telecommunications sector’s importance, which accounts for 14% of the country’s GDP, as a cornerstone of Nigeria’s digital transformation.
“Telecommunications have driven Nigeria’s economic growth, and MTN’s evolution into a tech company will propel the nation to new heights,” Toriola stated. He described MTN’s journey from its GSM licensing days in 2001 to its 5G rollout in 2022, showcasing how the company has consistently been at the forefront of technological innovation.
Changing Revenue Dynamics and Ambitious Projects
The CEO noted a seismic shift in telecom operators’ revenue streams, with data services now outpacing voice services as the primary source of income, despite slimmer profit margins. Challenges such as rising competition, economic pressures, and currency devaluation have pushed MTN to innovate in areas like artificial intelligence, Internet of Things (IoT), and digital ecosystems.
Toriola also shared plans for MTN’s ambitious projects, including constructing West Africa’s largest data center and expanding 5G services to provide ultra-fast, low-latency internet. However, affordability remains a critical barrier, with 71% of Nigerians struggling to maintain consistent internet access due to cost.
“Our biggest asset is our people—their drive and ingenuity. By fostering this and investing in digital infrastructure, we can realize the vision of a trillion-dollar economy,” Toriola urged.
Dominating Nigeria’s Telecom Market
MTN remains the largest telecom operator in Nigeria, commanding over 50% of the market share as of September 2024, according to the Nigerian Communications Commission (NCC).
The company’s 78 million active subscriptions far surpass Airtel Nigeria’s 53.7 million, while Globacom and 9mobile trail with 12.39% and 2.35% market shares, respectively.
This dominance underscores MTN’s significant role in Nigeria’s digital landscape, where it continues to lead transformative initiatives aimed at economic growth and technological advancement.
