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Africa�s largest telecom firm, MTN, has said the activities of �over-the-top� companies like WhatsApp have adverse effects on the sustainability of Nigeria�s telecommunications industry.

 

The company�s Chief Executive Officer, Ferdinand Moolman, said this while making a presentation at a hearing convened by Senate Committee on Communications on Tuesday.

 

The hearing chaired by Adeola Olamilekan, vice-chairman of the committee, was organised following the now suspended data tariff hike by the Nigerian Communications Commission.

 

At the Tuesday�s hearing, Mr. Moolman, highlighted factors impacting Nigeria�s telecommunications industry.

 

Among these factors, Mr. Moolman mentioned �the depletion of operator revenues by unlicensed providers of �over-the-top� telecoms services who do not have any physical presence; nor pay any taxes; nor make any significant contribution to employment or other socio-economic objectives of government in Nigeria.

 

Mentioning WhatsApp, Viber etc., he said these companies were eroding gains of Nigeria�s telecom companies and asked Nigeria to take action like the United Arab Emirates did.

 

He also lamented the inability of operators to access foreign exchange. �This is particularly debilitating given that most of our inputs are sourced off-shore. This has very significantly increased both operating and capital expenses.�