The Uganda Communications Commission (UCC) has issued a firm seven-day ultimatum to all unlicensed public Wi-Fi hotspot operators across the country to voluntarily switch off and dismantle their equipment or face a nationwide enforcement exercise.

UCC Executive Director George William Nyombi Thembo announced the directive on 13 October 2026, saying the regulator had completed its assessment of the sector and was moving from warnings to action. He estimated that about 4,000 unlicensed providers are currently selling public Wi-Fi services, many offering access for as little as UGX 1,000.

According to UCC, these operators are not paying government taxes and are causing an estimated annual revenue loss of about UGX 148 billion. Thembo described the activity as “an economic crime” rather than the provision of affordable internet. He argued that the model undermines licensed telecommunications operators who invest in networks, pay taxes and meet regulatory obligations.

Under the Uganda Communications Act, 2013, no person may provide telecommunications services to the public without a licence issued by the Commission. UCC says the unlicensed hotspots also pose risks to consumer protection, network integrity and national security because they operate outside subscriber registration and lawful interception frameworks.

Enforcement measures will include identification and take-down of illegal installations, seizure of routers and related equipment, and destruction of equipment that cannot be regularised. UCC is also working with the Uganda Revenue Authority to block the importation of telecommunications equipment by unlicensed operators.

Thembo said a meeting had been held with hotspot providers and that the seven-day window was agreed upon. After the deadline, enforcement will begin everywhere. “When we pull them down, you will never get them back,” he warned.

At the same time, UCC has offered a path to legality. The Commission wants operators to form one company (or at most two) that can apply for a proper licence, after which individual operators can work as agents. A regional Public Service Provider licence is quoted at about USD 3,000 outside the central region, while an ISP licence for the central region costs around USD 30,000.

The announcement has been met with strong pushback from traders and operators who say the cheap voucher system is their main source of income and provides affordable internet access to ordinary Ugandans who cannot afford full mobile data packages. Many small-scale sellers argue that the crackdown will destroy livelihoods and reduce internet access in low-income communities. Some have rejected the idea of forming larger licensed companies, citing high licence fees and the difficulty of formalising their current informal business model.

UCC has maintained that the current arrangement cannot be licensed as it stands because its profitability depends on avoiding taxes and regulation. The Commission insists the measures are necessary to restore fair competition, protect government revenue and safeguard consumers.

As the seven-day window continues, both the regulator and the affected operators are watching closely to see whether voluntary compliance will be widespread or whether the promised nationwide crackdown will proceed in full force.