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Telecoms and NCC’s deployment of DMS framework to tackle fake, stolen phones

*The Nigerian Communications Commission explains the deployment of long-anticipated Device Management System will prevent counterfeit, cloned, and stolen mobile phones from accessing telecoms operators’ networks in the country

Gbenga Kayode | ñ

Sequel to nearly 10 years of fine-tuning the regulatory framework against device counterfeiting cum phone theft, the Nigerian Communications Commission (NCC) has stated it is set to launch the long-anticipated Device Management System (DMS) in the telecoms ecosystem.

ñ reports the NCC explained the DMS framework was designed to prevent counterfeit, cloned, and stolen mobile phones from accessing telecoms operators’ networks.

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The telecoms sector regulatory Commission stated the DMS system, developed over almost 10 years, would “monitor, regulate, and safeguard” the telecommunications sector, which boasts over 200 million consumers across the West African country.

The NCC also disclosed the implementation of the new-fangled DMS would be through a Public-Private Partnership (PPP).

Efforts at developing the DMS framework

It was gathered that discussions about establishing a national DMS began 2015, when the NCC and the Mobile & Wireless Forum (MWF) engaged with industry players to address the growing threat of counterfeit ICT/telecoms devices in the ecosystem.

The series of talks culminated in the formation of a dedicated committee and eventual release of the DMS framework in 2022.

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The Infrastructure Concession Regulatory Commission (ICRC) has since approved the framework for the PPP implementation.

The Nigerian system reportedly drew inspiration from similar initiatives in countries, such as India and Lebanon, where IMEI-based registries are used to block counterfeit phones and enforce customs and tax compliance.

Core objectives of anti-fake phone regulatory guidelines

Expatiating on the key objectives of the device-tracking system, the Commission said the DMS would enable the NCC to track every mobile device in Nigeria by utilising their unique International Mobile Equipment Identity (IMEI) numbers.

It further explained this initiative represents one of the most comprehensive efforts at regulating Nigeria’s chaotic device market, where a large portion of phones are either counterfeit, cloned, or smuggled into the country’s phone market.

The Commission equally shed light on certain concerns in the telecoms and larger communications industry about consumer privacy, device affordability, and the extent to which regulators could really intervene without excluding legitimate consumers.

The NCC, however, noted that deployment of the DMS would be in phases in the Nigerian telecoms ecosystem.

The stated: “The primary goal is to block substandard and fake devices from network access due to their detrimental effects on service quality and user security.”

On menace of fake devices, phone theft

The menace of counterfeit mobile devices has continued to plague Nigeria’s market, with estimates indicating that nearly 40 percent of technology gadgets, including phones and tablets are fake or below international standard.

However, some have attributed the negative development to economic hardships resulting from soaring inflation, unemployment, and limited purchasing power that have instigated some telecoms consumers go for cheaper but counterfeit alternatives despite the risks involved.

Phone theft is another said to be another major pressing issue in the larger communications industry.

From May 2023 to April 2024, approximately 25.35 million phones were reported stolen, making it the most common crime in the country with a 13.8 percent incidence rate, according to report.

Specifically, most thefts reportedly have occurred in public or residential areas, and although nearly 90 percent of victims report the crime, as only about 12 percent had recovered their stolen devices.

Consumer protection in telecoms space

Still on efforts at combating proliferation of fake devices in the Information and Communications Technology (ICT)/ telecoms space, NCC had reported that over 132 million unique devices connected to Nigerian networks in 2020, with around 63 million new devices sold annually.

However, a significant share of such devices were counterfeit, cloned, or illegally imported, bypassing quality assurance and the country’s tax regulations, report said.

The Commission, therefore, said the DMS, designed to serve as a centralised control hub for all telecoms devices in Nigeria, would enable the relevant regulatory authorities to detect and block phones that fail to meet national standards or lack official approval in the telecoms environment.

At the full deployment of the DMS framework, the telecoms regulator disclosed any devices identified as stolen or counterfeit would be blacklisted by their IMEI, and subsequently barred from all Nigerian networks.

The NCC’s official guidelines further stated: “The DMS will integrate IMEI verification into the NCC’s device approval process, ensuring that unauthorised or stolen phones become unusable.”

Stakeholders and operational mechanics of DMS framework

The Commission’s DMS rollout involves several government bodies beyond the NCC.

The Ministry of Communications, Innovation, and Digital Economy sets policy direction, while the Nigeria Customs Service (NCS) identifies unauthorised imports of phones and other ICT devices.

It is equally noted the Standards Organisation of Nigeria (SON) will ensure device quality through its SONCAP certification.

Likewise, the National Information Technology Development Agency (NITDA), which is the country’s IT sector regulatory body, is expected to ensure compliance with data protection regulations.

The agency’s Data Protection Regulation (NDPR) governs the collection and sharing of personal data, including IMEI information in Nigeria.

The DMS guidelines in national security architecture

Aside from tackling counterfeit devices, it is noted that the new system also addresses extant national security concerns in Nigeria.

The country, report said, has long faced challenges with cloned and untraceable phones being used in criminal activities, such as kidnapping, fraud, and terrorism.

The NCC as well cautioned that fake devices pose risks beyond poor functionality.

The Commission said some come pre-installed with malicious software like ransomware or keyloggers that compromise user data.

It also stated: “Certain counterfeit phones have been exploited by criminal organisations, including terrorist groups like Boko Haram.

“A comprehensive device registry enables tracing, prevents data breaches, and supports national security efforts.”

It is recalled the NCC, October 2024 announced the introduction of a Device Management System aimed at bolstering security and protecting consumers in the country’s mobile device market.

The Commission said the DMS would serve as a comprehensive Central Equipment Identity Register, creating a unified database for tracking and monitoring mobile devices across all network operators in Nigeria.

The new regulation, outlined in the ‘Type Approval Business Rule 2024’, aims to prevent phone theft, curb the use of counterfeit devices, and ensure compliance with established standards.

All mobile network operators, therefore, are required to connect to the DMS and mirror network-related policies configured by the NCC, ensuring a uniform approach to device regulation.

This measure is expected to significantly improve the security and integrity of Nigeria’s communication networks, protecting consumers and promoting a safer mobile ecosystem.

The telecoms regulator had stated: “NCC-DMS shall acquire the International Mobile Equipment Identity of all devices latching to the communication network and synchronise with international databases of IMEI repositories.

“NCC-DMS shall maintain a registry of all communication devices available in the Federal Republic of Nigeria.”

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