Nigeria slams WhatsApp exit threats, refutes tariff hike rumors

Nigeria's policy makers have been putting out fires this week, responding to WhatsApp's exit threats and denying any approval of mobile tariff hikes in the West African country.

On the first issue, the Federal Competition and Consumer Protection Commission (FCCPC) slammed instant messaging service WhatsApp's claims that it could exit Nigeria after its parent company, Meta, was fined $220 million last month for alleged data violations.

"WhatsApp's claim that it may be forced to exit Nigeria due to FCCPC's recent order appears to be a strategic move aimed at influencing public opinion and potentially pressuring the FCCPC to reconsider its decision," the FCCPC said via its verified account on X.

Last month, the FCCPC imposed a US$220 million fine on Meta – the parent company of WhatsApp, Facebook and Instagram – over alleged data abuse of Nigerian users.

Last week, a WhatsApp spokesperson told TechCabal that is would be impossible to provide WhatsApp in Nigeria or globally without Meta's infrastructure and claimed the government order contained multiple inaccuracies and misrepresented how WhatsApp works.

This led to speculation that WhatsApp could pull out of the Nigerian market because of the fine, leading to consequences for the country's economy and people.

The FCCPC said that before it imposed the penalty it ran an investigation from May 2021 to December 2023 where it investigated Meta Platforms and WhatsApp (jointly referred to as Meta Parties) for allegedly violating the Federal Competition and Consumer Protection Act (FCCPA) and the Nigeria Data Protection Regulation (NDPR).

"The Commission found that Meta Parties engaged in multiple and repeated infringements of the FCCPA and the NDPR. These infringements included denying Nigerians the right to control their personal data, transferring and sharing Nigerian user data without authorisation, discriminating against Nigerian users compared to users in other jurisdictions and abusing their dominant market position by forcing unfair privacy policies," the regulator claimed.

The FCCPC said WhatsApp's claims that it may be forced to exit Nigeria appeared to be a strategic move aimed at influencing public opinion. (Source: Freepik)

Therefore, its final order requires Meta Parties to comply with Nigerian law, stop exploiting Nigerian consumers, change their practices to meet Nigerian standards and respect consumer rights.

"To deter future violations and ensure accountability for the alleged infringements the FCCPC also imposed a monetary penalty of $220 million," the regulator explained.

It said its actions were based on legitimate concerns about consumer protection and data privacy and it believes the order is a positive step toward a fairer digital market in Nigeria.

"Similar measures are taken in other jurisdictions without forcing companies to leave the market. The case of Nigeria will not be different," FCCPA concluded.

NCC calls bluff on tariff hikes

The Nigerian Communications Commission (NCC) has denied rumors that it had approved higher telecom tariffs, advising the Nigerian public to disregard any information of that sort.

"The NCC has neither approved any new Telecom Tariff Plans nor hike as reported online. The public is advised to please disregard," the NCC said on a post on X.

The Commission said it did, however, issue a directive for operators in Nigeria to simplify their current tariff plans transparently and fairly for consumers.

NCC Executive Vice Chairman Dr. Aminu Maida also refuted claims of the increase on his verified X account, calling tariff hike articles "fake news."

The Commission's position follows telcos seeking tariff adjustments to restore profitability in the country.

Ralph Mupita, CEO and president of pan-African telecom operator MTN Group, alluded to possible tariff increases in Nigeria as part of the telco's year-end results in March 2024.

He said the group is working toward restoring Nigeria's profitability. This could include working with the regulators to bring in tariff increases and restructuring tower contracts to bring down network expenses.

The NCC's statement comes at a time when young people in Nigeria have been protesting against bad governance, the rising cost of living, and corruption.

— Matshepo Sehloho, Associate Editor, Connecting Africa