Nigeria’s two largest telecom operators, MTN Nigeria and Airtel Nigeria, collectively earned more than N3.6 trillion from data services alone in 2025, driven by surging internet usage that has now firmly overtaken voice as the dominant revenue stream.
MTN Nigeria reported N2.8 trillion in data revenue for the full year ended December 31, 2025—a 74.5% increase from N1.6 trillion in 2024. The company highlighted a 34.0% rise in data traffic and a 20% jump in average monthly usage per subscriber to 13.1GB. CEO Karl Toriola attributed the performance to “structural demand for data,” noting that network investments had supported sustained growth despite economic challenges.
Airtel Nigeria recorded N838.6 billion ($560 million) in data revenue for the nine months ended December 31, 2025, reflecting a 67.4% year-on-year increase from N500.8 billion ($344 million) in the corresponding period of 2024. Average data consumption per customer rose 26.2% to 10.7GB per month, with smartphone users averaging 13.4GB monthly—up from 11.2GB. Smartphone penetration climbed 4.6% to 54.1%.
The revenue surge coincided with a sharp rise in nationwide data consumption tracked by the Nigerian Communications Commission (NCC). Monthly usage hit a record 1.04 million terabytes in May 2025—the highest since NCC began publishing figures in January 2023—and continued climbing, reaching an all-time peak of 1.38 million terabytes in December 2025.
Industry experts attribute the boom to the rapid expansion of Nigeria’s digital economy. Digital marketing specialist Idowu Ayodele pointed to the growing number of Nigerians seeking online income opportunities—whether full-time or as side hustles—fuelled by monetisation features on social media platforms. “Many are willing to spend their last resources on data to create and post video content,” he observed.
Telecom analyst Adewale Adeoye highlighted the role of short-form video platforms such as TikTok and Instagram Reels, which autoplay content and consume substantial bandwidth. “Online gaming, livestreaming, remote work applications like Microsoft Teams and Google Meet, and other data-intensive services have also driven usage across different income groups,” he added.
The February 2025 approval by the NCC of a 50% tariff increase for voice, data, and SMS services contributed to the revenue growth. The average cost of 1GB rose from N287.50 to N431.25 (with advertised rates reaching N587.50), while SMS charges increased from N4.00 to N6.00. Despite the adjustment, consumption continued to rise steadily.
To meet escalating demand and maintain service quality, both operators have committed substantial capital expenditure. MTN invested N1 trillion in network expansion in 2025—more than double the previous year’s figure—and plans further increases in 2026. Airtel Nigeria has focused on fibre rollout across urban centres and inter-state corridors, with CEO Dinesh Balsingh noting that recent investments have improved coverage, performance, and reach, including in underserved areas.
As data becomes the cornerstone of telecom profitability, the sector faces ongoing pressure to scale infrastructure rapidly. Future leadership in the industry will depend on sustained capital commitment, network upgrades, and the ability to balance affordability with quality amid rising consumption and competitive dynamics.
