MTN to cut off Glo over N6B debt, NCC says

MTN to cut off Glo over N6B debt, NCC says

MTN Nigeria has received government’s approval to disconnect rival Glo over interconnect debt owed by the nation’s second national operator.

Telecoms industry insiders tell Technology Times that Globacom Limited allegedly owes over N6 billion in interconnect debt to MTN, a development that has warranted the intervention of the Nigerian Communications Commission (NCC), which today alerted of the impending partial disconnection that will bar Glo mobile users from calling into MTN Nigeria network. 

As of August 2023, MTN Nigeria controlled 85,005,917 active subscribers, representing 38.58% of the mobile phone market, compared to Glo’s 61,395,108 (27.86%) when the overall phone line in Nigeria peaked at 220,715,961, official market information reviewed by Technology Times reveals.

As of August 2023, MTN Nigeria controlled 85,005,917 active subscribers, representing 38.58% of the mobile phone market, compared to Glo’s 61,395,108 (27.86%) when the overall phone line in Nigeria peaked at 220,715,961, official market information reviewed by Technology Times reveals.

In granting the disconnection approval, the telecoms regulator, NCC) says in the pre disconnection notice issued today that the sanction will take effect within the next 10-days.

“Globacom was notified of the application made by MTN, and was given opportunity to comment and state its case. The Commission, having examined the application and circumstances surrounding the indebtedness, determined that Globacom does not have sufficient or justifiable reason for non-payment of the interconnect charges,” according to Reuben Muoka, NCC’s Public Affairs Director, who announced the partial disconnection approval granted to MTN Nigeria.

Mouka says that the action falls within the legal framework established by Section 100 of the Nigerian Communications Act, 2003 and Paragraph 9 of the Guidelines on Procedure for Granting Approval to Disconnect Telecommunication Operators, 2012.

“At the expiration of 10 days from January 8, 2024, subscribers of Globacom will no longer be able to make calls to MTN, but will be able to receive calls,” when the partial disconnection order goes into force, the telecoms regulator says. 

This partial disconnection, Muoka adds, allows inbound calls from MTN Nigeria to continue reaching Globacom’s network.

When MTN implements the partial disconnection, Globacom subscribers will be unable to call users on MTN network which controls a substantial portion of the Nigerian mobile market, though they can still receive calls from them.

Both telecoms companies, MTN Nigeria and Globacom are yet to issue an official statement regarding the NCC’s decision as at the time of filing this report.

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