By Juliet Umeh
Nigeria’s telecoms regulator, the Nigerian Communications Commission, NCC, has unveiled plans to deploy part of its Universal Service Provision Fund, USPF, to support satellite broadband operators in connecting an estimated 23 million Nigerians who remain offline.
The move signals a strategic shift toward satellite technologies as the country intensifies efforts to close long-standing connectivity gaps in rural and hard-to-reach communities where traditional mobile networks face economic, geographic and security constraints.
The NCC disclosed the plan during its virtual presentation session for the Q4 2025 Industry Performance Reports, noting that satellite broadband, particularly Low Earth Orbit (LEO) systems, is becoming central to Nigeria’s national digital inclusion strategy.
Senior NCC officials told BrandXposure that the Commission intends to use part of the USPF to subsidise satellite broadband access in locations considered commercially unviable, ensuring that services remain affordable for underserved communities rather than concentrated in major cities.
“We encourage satellite operators to focus on areas where market forces alone cannot deliver affordable services,” the Commission said, adding that incentives from the USPF will be tied strictly to coverage in unserved and underserved locations.
Satellites step in to close the last-mile gap
The intervention comes amid growing recognition of the limits of terrestrial broadband expansion. While Nigeria continues to record progress in 4G and 5G deployments, NCC officials noted that the physics of spectrum, especially mid-band frequencies used for 5G, results in smaller coverage footprints and significantly higher rollout costs outside dense urban centres.
Satellite broadband, particularly LEO systems, offers a complementary solution by enabling wide-area coverage across remote communities, highways and difficult terrain without the need for extensive ground infrastructure.
As part of this push, the NCC recently issued a landing permit to Amazon’s Project Kuiper and confirmed ongoing engagements with other satellite providers. The Commission is also consulting on emerging Direct-to-Device (D2D) services that could allow mobile phones to connect directly to satellites in areas without terrestrial network coverage.
According to the regulator, these consultations are focused on efficient spectrum use, avoiding market distortion, and determining whether certain satellite services should prioritise rural-only or nationwide deployment models.
What the USPF brings to the table
Established under the Nigerian Communications Act (NCA) No. 19 of 2003, the Universal Service Provision Fund is a federal government initiative administered by the NCC to promote universal access to information and communication technologies.
The fund supports broadband deployment through subsidies, incentives and partnerships targeting rural, unserved and underserved communities. Its interventions include infrastructure projects such as base stations, fibre rollout and community resource centres, as well as digital inclusion programmes like ICT skills training, Digital Nigeria Centres and initiatives for vulnerable groups.
By extending USPF support to satellite broadband, the NCC is positioning the fund as a critical tool for ensuring that Nigeria’s remaining offline population is not excluded from the digital economy.
Insecurity, infrastructure risks remain
NCC officials acknowledged that insecurity, vandalism and fibre cuts continue to undermine network expansion, particularly in rural areas.
Telecom infrastructure has now been designated as Critical National Information Infrastructure (CNII) under a presidential directive, with enforcement ongoing in collaboration with security agencies.
The Commission noted that satellite solutions, combined with low-band spectrum refarming and stronger protection of telecom assets, could help mitigate these challenges and improve service continuity nationwide.
Call for balanced reporting
The NCC also urged media organisations to rely on official performance data and published reports when assessing network coverage and technology adoption, cautioning against the misinterpretation of metrics such as limited 5G subscriber samples.
Officials said the Commission remains open to continuous engagement and clarification as Nigeria works toward its long-term broadband penetration and digital inclusion targets.
With data consumption projected to triple before the end of the decade and subscriptions expected to rise steadily, regulators believe that satellite broadband, backed by targeted public funding, could play a decisive role in connecting Nigeria’s final connectivity frontier.
