The MVNA MVNE MVNOs in Nigeria has been granted a six months rollout extension

Last year, the Nigerian Communications Commission (NCC) awarded MVNA, MVNE and MVNO licenses to 43 companies. As part of the license conditions, the MVNA/MVNOs was given one year to conclude negotiations with the mobile networks as host operators and roll out their service.

The first batch of MVNA, MVNE, MVNO licenses was awarded on April 1st 2023. Hence, according to the conditions these MVNA, MVNE, MVNOs would have to launch before – or on April 1^st 2024 by the latest.

April 1^st came and went but no MVNA, MVNE, MVNOs was launched, as critical parts relating to both commercial, technical and regulatory framework is missing and causing issues - or needs to be clarified.According to several sources the Nigerian Communications Commission (NCC), has now issued a letter clarifying key regulation and operating requirement for the mobile virtual network aggregators, enablers and operators (MVNA, MVNE, MVNO) licensees and host networks in Nigeria.

Regarding the rollout terms in the MVNA/E/O licenses, the NCC says in the letter, that is has carefully considered appeals from the licensees and hereby grants a 6 months extension to the required rollout of services pursuant to their respective license conditions.

The extension is said to take effect from the date of the letter, which is from the beginning of this month.In addition to the extension, the letter provides a range of clarifications, although they are pending the finalization of NCC’s review. They include: SIM Registration, Cloud Service Provider Requirements/Obligations, as well as the Commercial Basis for MVNO Implementation and the Revenue Share Formula.

In line with other regulatory authorities, NCC’s Commission regards the MVNO and Host Network Operator (HNO) relationship, as a commercial arrangement between the parties and encourage commercially negotiated MVNO implementation.

However they must be negotiated on fair, reasonable and non-discriminatory terms, and must be in line with the Revenue Share Arrangement with the different tiers of MVNOs. As such, the Commission reserves the right to exercise its powers of intervention, where negotiations fail, or where abuse of market power is observed.

Attached to the letter is information regarding the revenue share framework between the five different tiers of MVNO licensees and MNOs, where the pricing is based on applicable network elements and other relevant dependencies.In the letters send to the individual MVNA, MVNE, MVNOs, the NCC says it will finalize the review and come back to the licensees within the shortest possible time.

There is no official information on NCC’s website yet but the extension of the license is a good move from the NCC, while they carry out a review of the commercial, technical and legal issues related to the implementation of the MVNA/E/O framework.