By 
NCC Moves to Strengthen MVNO Ecosystem with New Business Rules as Stakeholders Call for Robust Enforcement
The Nigerian Communications Commission (NCC) has unveiled a comprehensive draft Business Rules framework for Mobile Virtual Network Operators (MVNOs), marking another significant step toward fostering competition, innovation and digital inclusion in Nigeria’s rapidly evolving telecommunications sector.
RELATED: MVNOs dominate North America’s mobile growth, but Nigeria’s virtual operators remain stuck
The proposed framework, presented during the MVNO Business Rules Stakeholders’ Consultative Forum in Abuja, received broad industry support from operators and stakeholders. However, participants urged the Commission to complement the new rules with stronger enforcement mechanisms capable of resolving long-standing commercial and operational disputes between MVNOs and their host Mobile Network Operators (MNOs).
The initiative comes as Nigeria seeks to leverage MVNOs to expand broadband access, improve service innovation and accelerate connectivity in underserved communities without requiring new operators to build extensive network infrastructure.
NCC Seeks More Competitive and Inclusive Telecom Market
Speaking at the forum, the Executive Vice Chairman and Chief Executive Officer of the NCC, Dr. Aminu Maida, represented by the Commission’s Director of Licensing and Authorisation, Usman Mamman, said the review of the MVNO Business Rules reflects the regulator’s commitment to building a more competitive, transparent and innovation-driven telecommunications ecosystem.
According to him, the framework is designed to provide greater regulatory clarity around licensing requirements, operational responsibilities and commercial relationships between MVNOs and their host network operators, while protecting consumers and preserving market integrity.
“The MVNO Business Rules are intended to clarify licensing, operational responsibilities and relationships with host network operators while protecting consumer interests and maintaining market integrity,” Mamman said.
He added that the Commission expects full compliance from all licensed operators and will continue to exercise its regulatory authority to ensure adherence to the new guidelines.
Framework Addresses Industry Pain Points
Mamman explained that the draft rules were developed following extensive engagements with industry stakeholders after several implementation challenges emerged following the introduction of the MVNO licensing regime.
The proposed framework covers critical operational issues, including:
- Customer onboarding and network integration
- Hosting arrangements between MVNOs and MNOs
- Interconnection procedures
- Numbering resource allocation
- SIM and eSIM management
- Quality of Service (QoS) obligations
- Revenue-sharing principles
- Infrastructure access
- Consumer protection
- Dispute resolution mechanisms
According to him, the Commission is particularly focused on addressing concerns surrounding onboarding delays, technical integration bottlenecks, prolonged commercial negotiations and access to essential network resources.
“The proposed rules are designed to promote transparency, predictability, fairness and non-discriminatory treatment across the MVNO ecosystem while encouraging investment, innovation and digital inclusion,” he noted.
Nigeria’s MVNO Market Enters a New Phase
Providing further insight into the sector’s evolution, Mamman disclosed that the NCC’s journey toward introducing MVNO services began in 2017 with a comprehensive market readiness assessment.
The study confirmed that Nigeria’s telecommunications market had matured sufficiently to support MVNO operations, paving the way for the Commission’s structured five-tier licensing framework.
Unlike traditional mobile operators, MVNOs deliver mobile communication services by leasing capacity from existing Mobile Network Operators rather than investing in nationwide radio access infrastructure. The model lowers entry barriers, encourages infrastructure sharing and stimulates service innovation.
To date, the NCC has licensed 46 MVNOs across the five operational tiers, comprising:
- 1 Tier 1 operator
- 11 Tier 2 operators
- 16 Tier 3 operators
- 7 Tier 4 operators
- 11 Tier 5 operators
The Commission believes the new business rules will provide the regulatory certainty needed to support the commercial success of these operators.
Operators Demand Stronger Regulatory Enforcement
While welcoming the draft framework, the President of the Association of Mobile Virtual Network Operators (AMVNO), Ken Nwabueze, stressed that effective enforcement would determine the framework’s overall success.
“As we define these roles, the Association of Mobile Virtual Network Operators pleads with the Commission to make enforcement a key part of the framework,” he said.
According to Nwabueze, compliance will remain inconsistent unless clear sanctions exist for operators that violate the rules.
“When there’s enforcement, people will obey the rules. When there’s no enforcement, people will not obey the rules.”
He also called on the NCC to provide greater clarity on one of the industry’s most contentious issues—the commercial revenue-sharing model between MVNOs and host MNOs.
“There are two big elephants in the room that I hope the Commission will address. One is the revenue-sharing arrangement—whether it’s necessary, whether it’s the right model, or whether a hybrid approach should be adopted.”
Drawing from the operational experience of Vitel Wireless, Nigeria’s first MVNO to launch commercial services in October 2025, Nwabueze noted that operators now possess valuable market data capable of strengthening the final regulatory framework.
“We now have real operational data that can help the Commission develop more effective business rules.”
Industry Commends NCC’s Regulatory Direction
Industry stakeholders also praised the Commission for proactively addressing emerging issues within Nigeria’s growing MVNO ecosystem.
National Executive Committee Member and Coordinator of Telephone Operators at the Association of Telecommunications Companies of Nigeria (ATCON), Chidi Ibisi, described the proposed framework as a major regulatory milestone.
“This is indeed a welcome development by the Commission,” Ibisi said.
He noted that the draft rules clearly define the rights, obligations and responsibilities of both MVNOs and host operators while providing practical guidance on onboarding timelines, commercial agreements, interconnection, traffic routing, revenue sharing and regulatory compliance.
Importantly, he observed that the framework introduces mandatory onboarding timelines that prevent internal administrative processes within host operators from delaying regulatory compliance and market entry.
Regulatory Certainty Expected to Accelerate Digital Inclusion
Industry analysts believe the new business rules could significantly improve Nigeria’s emerging MVNO ecosystem by creating a more predictable operating environment for investors while encouraging innovation in niche connectivity services.
With Nigeria’s telecommunications market approaching maturity, MVNOs are increasingly viewed as strategic vehicles for expanding broadband penetration, delivering specialised enterprise and consumer services, and reaching underserved communities through infrastructure-sharing models.
By strengthening governance around commercial relationships and technical integration, the NCC hopes the framework will unlock greater investment, improve competition, enhance consumer choice and accelerate Nigeria’s broader digital economy ambitions.
