The Nigeria Smartphone Study, conducted by KPMG in partnership with Orange Group Nigeria, surveyed 13,251 respondents across 12 major Nigerian cities. It examined smartphone ownership, application usage and changing digital behaviour among consumers.

KPMG said the increase reflects a combination of greater smartphone affordability, improving connectivity and Nigeria’s large and youthful population.

The expansion of smartphone ownership is also being accompanied by increased use of digital applications across financial services, telecommunications, commerce, entertainment, education and transportation.

“Smartphone ownership in Nigeria continues to grow significantly as consumers increasingly transition from feature phones to internet-enabled devices,” the report said.

Data from the Nigerian Communications Commission cited by KPMG showed that Nigeria had 157 million internet subscribers as of May 2026, while data consumption exceeded 1.5 million terabytes.

However, the growth in smartphone ownership has not eliminated disparities in digital access.

KPMG said more than one-third of mobile subscribers were still using 2G networks as of May 2026, highlighting gaps in the quality and depth of connectivity.

“More than a third of mobile subscribers were still on 2G as of May 2026, highlighting the continuing disparity in the depth and quality of digital access,” Lawrence Amadi, Partner and Head of Technology, Media & Telecommunications at KPMG Africa, said.

The report identified infrastructure limitations, affordability, digital literacy gaps and cybersecurity concerns as continuing barriers to wider digital participation.

KPMG said smartphones have increasingly moved beyond communication and entertainment to become tools for economic participation, particularly as more Nigerians use mobile applications for financial transactions, commerce, education and transportation.

The study suggests that rising smartphone ownership is expanding the potential reach of Nigeria’s digital economy, while persistent gaps in connectivity and affordability continue to determine who can fully participate in it.

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TECHDIGEST – More than N500 billion private sector investment has gone into Nigeria’s automotive industry in the last few years to underscore its rebound and the commitment of President Muhammadu Buhari, said Director General, National Automotive Design and Development Council (NADDC), Jelani Aliyu.

According to him, a lot of the investment has gone into revamping the once moribund local auto industry and encouraging growth of new areas like electric vehicles (EVs).

“We have encouraged, supported, and enabled the private sector to come and put in over half a trillion naira to set up factories and assembly plants across the country,” said Aliyu to the media in Sokoto, at the weekend.

Adding: “We have companies and assembly plants in Lagos, Nnewi, Kaduna and Kano. Some are beginning to come up in Bauchi, Kano and Ogun states. So, there are a number of companies actually producing and assembling vehicles in Nigeria.”

He said these companies have a combined capacity of producing up to 400,000 vehicles per year but “we are not there yet, we are not producing 400,000 vehicles per year, because of market challenges.”

The NADDC boss said the agency was working to drive further investment and get more stakeholders participation in the sector.

His words: “We are, however, doing a lot to unlock that potential and put a stop to the importation of new and used vehicles. As we speak, you can see that there are individuals and companies that believe in the current and future economy of Nigeria in a such a manner that they can invest this huge amount of money,” he explained.

The NADDC is currently working to implement an automotive policy to further woo investors into the country. The agency has already engaged KPMG to review the automotive policy to sync with the best global practice in the auto industry.

“We need a set of regulations to ensure that government gives maximum support to those who invest in this sector, because, when these companies come in, they put in hundreds of millions of dollars.

“They want to be sure that regardless of what the government is doing, their investments must be protected,” Aliyu said while expressing optimism that the policy and ongoing discussions by the NADDC with the likes of Toyota, Volkswagen and Nissan will encourage the companies to directly set up their own production plants in the country.

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