By Jeph Ajobaju, Chief Copy Editor
Nigerians spent N100.3 billion accessing the internet in 2020, based on the average cost of 1GB of data set at N487.18 by the Nigerian Communications Commission (NCC), in a year subscribers consumed 205,880.4 terabytes worth of data.
This sum is different from actual naira spent on transactions.
A report by the NCC shows that data usage increased from 123,648 terabytes in 2019 to 205,880.4 terabytes in 2020, a 66.5per cent jump. Broadband penetration rose 45.93 per cent.
Revenue generated by telecom operators notched 12.33 per cent from N2.02 trillion in 2019 to N2.27 trillion in 2020. Internet service providers (ISPs) generated N68.96 billion in revenues, up 28.31 per cent on N53.75 billion in 2019, per Nairametrics.
Pandemic affect
The surge in internet data consumption in 2020 can be attributed to lockdown imposed by the government to curb the spread of coronavirus.
Nairametrics recalls that during lockdown, businesses were forced to innovate and design virtual work models that relied on the internet. Meetings, negotiations, and official functions moved to virtual platforms. Seminars became webinars.
Most organisations used online platforms such as Zoom and Teams to facilitate webinars and annual general meetings (AGMs) which required internet data by organisations and individuals.
Comedians purveyed their skits on social media, fetching developers returns from content streamers in lockdown. Music concerts also moved online.
Contribution to GDP
“The Nigerian Telecom Industry witnessed significant growth that impacted positively in spite of the recession brought about by COVID-19,” the report said.
“The sector lifted the economy out of recession in the fourth quarter of 2020, contributing 12.45 per cent to the country’s Gross Domestic Product (GDP).”
And mobile network operators (MNOs) received massive investment in 4G rollout which improved growth.
“The increase in data usage is directly linked to the outbreak of the COVID-19 pandemic, which disrupted normal activities, and most functions had to be held virtually including schools, corporate meetings etc.”
Out 546,023 users via ISPs last December, 4,032 subscribed to speeds between 256Kbps and 2Mbps, or 0.7per cent of total user base; 21,985 accessed between 2 and 10Mbps, or 4 per cent of the total; and 520,006 bought 10mbps and above, or 95 per cent of the total.
According to the report, as quoted by Nairametrics, the total number of active internet subscriptions rose from 125.98 million in December 2019 to 154.29 million in December 2020, an increase of 22.5 per cent.