Telephone services across Nigeria may soon experience disruptions as telecommunications operators under the Association of Licensed Telecommunications Operators of Nigeria (ALTON) have warned of potential service shedding to stay afloat in the face of mounting operational challenges.
In a statement issued on Monday, Gbenga Adebayo, Chairman of ALTON, said the telecommunications industry is at a critical juncture, burdened by rising operational costs, skyrocketing energy prices, inflation, and volatile exchange rates.
He noted that despite these pressures, tariffs have remained stagnant, leaving operators in a dire financial situation.
“Rising operational costs, skyrocketing energy costs, the relentless pressure of inflation, and volatile exchange rates, amongst others, have all placed an unsustainable burden on network operators,” Adebayo said.
“Despite these mounting pressures, tariffs have remained stagnant, leaving operators trapped in a financial quagmire. The resources needed to maintain, expand, and modernise our networks are simply no longer available. Without intervention, the future of this sector is at grave risk.”
Adebayo warned that without urgent action, service shedding—where telecom operators deliberately shut down some or all services in specific areas—may become inevitable.
“If nothing is done, we might begin to see in the new year grim consequences unfolding, such as service shedding. Operators may not be able to provide services in some areas and at some times of the day, leaving millions disconnected,” he explained.
Adebayo highlighted the broader implications of such disruptions, including significant economic fallout and disruptions to critical sectors like security, commerce, healthcare, and education, which heavily rely on telecommunications infrastructure.
In the statement titled “Before the Final Call—Telecom Sector Under Siege,” Adebayo urged stakeholders to recognize the urgency of the situation and take decisive action to secure the industry’s future.
“It is not enough to have kept the sector afloat; we must now focus on securing its future. The sustainability challenges we face today are not just a passing storm—they are a clarion call for decisive action to ensure that this industry thrives for generations to come,” he said.
Adebayo expressed confidence that stakeholders, including regulators and government officials, would come together to address the challenges and prevent the collapse of one of Nigeria’s most critical economic pillars.
“Let this be the moment when we come together, acknowledge the urgency of the situation, and commit to saving this sector. If we fail to act, history will record that we had countless warnings, yet we allowed inaction to jeopardise one of the most critical pillars of Nigeria’s development,” Adebayo cautioned.
Looking ahead, Adebayo called for collective efforts to ensure the telecom industry’s survival and prosperity, adding that 2025 could be a turning point if decisive action is taken.
“If we succeed, 2025 can be the year we turn things around—a year of hope, resilience, and sustainability for the telecoms industry,” he concluded.
