Nigeria’s Globacom pays fine for poor service from over-promotion


Nigerian mobile operator Globacom (Glo) has paid a fine of NGN5 million (USD40,600) to the Nigerian Communications Commission (NCC). The penalty was imposed by the regulator for contravening a directive issued to Glo on 6 July 2007 stating amongst other things that ‘Glo should not embark on and also discontinue any promotional activities that could directly or indirectly degrade quality of service on its network for a period of 90 days in the first instance.’

On 23 July Glo took out an advert in the This Day newspaper directly encouraging subscribers to make more calls. A week later, the NCC imposed the fine in accordance with relevant legislation. The initial ban on promotions had been placed on Glo, and Nigeria’s other cellcos, because they were taking on many more customers than their infrastructure could cope with, leading to poor service quality. According to TeleGeography’s GlobalComms database, Glo had an estimated 9.5 million subscribers at the end of June this year, placing it second in the market behind MTN, which had 14 million customers at the same date.