Photograph — National Daily newspaper

The last few days has left users of both MTN and Globacom telecom unable to reach each other. This is due to a debt deficit by Glo, which has left subscribers bearing the most impact.

Unknown to users, the reason they haven’t been able to reach friends, families and business partners using the other network is due to a debt of N4.4 billion which Glo owes MTN. This debt is reportedly named to be an Interconnection fee.

The Interconnection fee is the price that telecommunications operators pay each other for calls terminating on their networks. The Interconnection rate is charged based on minute and varies between telecoms, but Glo has been found wanting in meeting these rates to MTN, hence the ban made by MTN on Glo users.

MTN who insists that its decision was approved by the Nigerian Communications Commission (NCC) didn’t give prior notice or explanation to its users, which might be seen as being inappropriate. The ban was however lifted after stakeholders intervened and perhaps some of the effects it had on both businesses.

Read more on Nairametrics.


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