Shocking Globacom Shake-Up: CEO, Ahmad Farroukh Resigns Amid $40M Subscriber Crisis

Shocking Globacom Shake-Up: CEO Resigns Amid $40M Subscriber Crisis
Globacom, Nigeria’s telecommunications giant, is reeling from another leadership crisis. Ahmad Farroukh, the newly appointed CEO, stepped down just one month after taking the helm in October 2024.
His abrupt resignation has sent shockwaves across the industry, raising questions about the company’s future amid ongoing regulatory challenges.
Sources close to the matter revealed that Farroukh’s departure stemmed from conflicts with Globacom’s highly centralised operational structure, tightly controlled by its founder, Mike Adenuga.
Globacom has yet to release an official statement, but insiders suggest the company faces mounting internal and external pressures.
Farroukh, a seasoned executive who previously held top roles at MTN and Smile Communications, struggled to adapt to Globacom’s unique management style.
His experience in structured, decentralised organisations clashed with Adenuga’s hands-on leadership approach, where decisions are closely tied to the founder’s vision.
A History of Leadership Challenges
Mike Adenuga has long been known for running Globacom with an iron grip. This centralised management style leaves little room for flexibility, often clashing with the expectations of top-tier executives hired to steer the company.
Farroukh’s resignation is just the latest in a string of leadership disruptions that have plagued Globacom over the years.
These frequent changes raise concerns about the company’s ability to maintain stability at the top, especially as it navigates a fiercely competitive market.
Regulatory Woes and a Loss of Trust
Globacom’s troubles extend beyond leadership instability. In 2024, the Nigerian Communications Commission (NCC) fined the company heavily for failing to register over 40 million subscribers with valid National Identification Numbers (NIN).
This regulatory breach dealt a severe blow to Globacom’s reputation and market share. Once a dominant player in Nigeria’s telecom industry, the company now holds just 12% of the market—a staggering 60% decline.
The loss of over 40 million subscribers has shaken consumer trust. Many customers switched to competitors like MTN and Airtel, which are seen as more reliable in complying with regulatory standards.
The Broader Impact on Africa’s Telecom Sector
Farroukh’s resignation highlights a troubling trend in Africa’s telecom industry. Leadership transitions are becoming increasingly common as companies adapt to evolving market demands.
For instance, MTN Group recently overhauled its executive lineup, appointing Mitwa Ng’ambi and Wanda Matandela to lead its operations in Côte d’Ivoire and Cameroon, respectively. These changes align with MTN’s “Ambition 2025” strategy, which prioritises innovation and growth.
Globacom, on the other hand, appears to be lagging. Without stable leadership and a clear strategic vision, the company risks falling further behind its competitors.
What Lies Ahead for Globacom?
Globacom faces an uphill battle to regain its footing in Nigeria’s competitive telecom landscape. The company’s immediate priorities include appointing a new CEO capable of navigating regulatory challenges and overhauling its governance structures.
Experts believe that for Globacom to thrive, it must address internal conflicts and decentralise its management approach. This would create an environment where talented executives can implement long-term strategies without undue interference.
Rebuilding consumer trust will also be critical. Offering better customer service, improving network reliability, and ensuring compliance with regulatory standards could help restore confidence in the brand.
A Cautionary Tale for the Telecom Industry
Globacom’s struggles serve as a cautionary tale for other telecom operators in Africa. The industry is rapidly evolving, and companies must balance leadership stability and adaptability.
As the competition intensifies, the ability to innovate and respond to market changes will determine which players succeed and which falter.
For now, all eyes are on Globacom. The company’s next moves will shape its future and could also influence the broader trajectory of Nigeria’s telecom sector.
ALSO READ: Globacom CEO Resigns: A Turning Point for Nigeria’s Telecommunications
About Ahmad Farroukh
Ahmad Farroukh is a seasoned telecom executive with a remarkable career spanning several continents. In 1999, he was managing director of MTN Ghana and regional director for West Africa under Investcom, an MTN subsidiary. His leadership journey continued as he served as CEO of MTN Nigeria from 2006 to 2010, and later as CEO of MTN South Africa in 20141. In 2015, he took on the role of CEO at Mobily, Saudi Arabia’s second-largest telecom operator, where he served until 2017. Ahmad joined Smile Communications Nigeria Limited in 2019 as Group CEO until his recent appointment at Globacom1.
Farroukh holds a Master’s in Business Administration and Accounting from the Lebanese American University and is a Certified Public Accountant (CPA) from New York, USA.
The telco’s operational shift follows a significant drop in its subscriber base, which fell by 69.20 per cent in six months to 19.15 million in September from 62.19 million in March after a regulatory audit of the industry’s subscriber base revealed discrepancies
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