INTERNET USE FALLS AS HIGHER TARIFFS BITE
reports have shown that Nigerians are now scaling back their internet consumption in response to a steep increase in telecommunications tariffs that took effect in January 2025, new data from the Nigerian Communications Commission (NCC) reveals. The country’s data usage dropped significantly to 893,054 terabytes (TB) in February from an all-time high of 1 million TB in January, marking a sharp decline that analysts link directly to the cost increase.
Under the new pricing regime, the floor price of 1GB of data rose from ₦287.50 to ₦431.25, while voice call rates increased from ₦6.40 to ₦9.60 per minute and SMS from ₦4 to ₦6. It is the first major tariff review in over a decade, implemented to address telecom operators’ complaints about spiraling operational costs, forex instability, and inflationary pressures.
Though data usage bounced back slightly in March, reaching 995,876 TB, it remains below pre-hike levels. Experts say this shift reflects a growing sensitivity among low- and middle-income users who dominate the telecom market. “A 50 per cent price hike is significant. It forces people to re-evaluate how and when they go online,” noted IT consultant Jide Awe.
Despite the usage dip, telecom companies are reaping the rewards. MTN Nigeria reported a record-breaking ₦529.44 billion in data revenue in Q1 2025 alone, with CEO Karl Toriola predicting even stronger returns in coming quarters. Total mobile subscriptions also grew to 172.43 million, with internet subscribers now standing at 142.05 million. Broadband penetration rose to 47.73 per cent, a sign that digital infrastructure is expanding, even if usage patterns are changing.
Industry observers warn, however, that if prices continue to climb, digital inequality could widen, affecting education, business, and communication access for millions of Nigerians already struggling with rising costs of living.
