Telecom
Low-Cost Phones and Social Media Driving Internet Connectivity in Nigeria, Others
Absence of terrestrial infrastructure to deliver internet to homes as well as high cost of personal computers have forced Nigerians and other West African countries resort to the use of mobile phones to access internet. In spite of Nigerian Communications Commission (NCC) loosed regulatory framework in the internet service delivery aimed at increasing its use across the country, there is still long way to go. This resulted in telecommunications operators use of technology that offers mobile phone user that opportunity of accessing the internet with their mobile phones. More so, mobile phone manufacturers also came to the rescue when the launched low-cost handsets that can as well browse like their high-end ones. Against this backdrop that the number of internet users in Nigeria has continued to grow, according Internet World Stats there were 200,000 internet users in Nigeria by the year 2000, and as at December 31, 2011 the figure rose to 45,039,711 representing 29% of the population. Also facebook users have grown to 4,369,740 by December 31, 2011. Effective regulatory environments have made Nigeria and Ghana among the most dynamic broadband markets in sub-Saharan Africa with over 150 market participants and massive terrestrial infrastructure development. With the deployment of advanced technologies, such as 3G networks in the Democratic Republic of Congo (DRC) and Gabon, mobile broadband subscribers are expected to outpace fixed broadband connections in these two countries over the next 5 years. New analysis from Frost & Sullivan finds that the market (covering Nigeria, Ghana, DRC and Gabon) earned revenues of approximately $1.2 billion in 2010 and estimates this to reach $2.5 billion in 2017. The low levels of broadband penetration in the four countries indicate that there are significant growth opportunities in the short-to-long term. “The availability of cost-effective mobile and wireless solutions will be a key market driver. At the same time, greater demand for access to social media platforms will emerge as the most important factor for market participants to formulate their strategy for this year,” notes Frost & Sullivan’s Information and Communications Technologies Research Analyst Mervin Miemoukanda. Rising demand for broadband services in the region has helped reduce the cost of customer-premises equipment, as well as smartphones. Internet service providers (ISPs) have introduced affordable Chinese customer-premises equipment to render broadband services to consumers. “Furthermore, broadband providers are expected to increase partnerships with equipment vendors to reduce the cost of customer-premises equipment,” adds Miemoukanda. “The impact of this driver is expected to be high throughout the forecast period, as mobile operators are shifting focus on growing their data offerings.” The advent of social media platforms, coupled with growing computer-literate societies, has boosted demand for broadband connections across the region. As a result, the number of broadband users in these countries has swelled. “The increase in broadband users has been primarily because mobile operators have deployed advanced technology networks,” remarks Miemoukanda. “As consumers are becoming more aware of the benefits of social media platforms, this driver is expected to remain high throughout the forecast period in all four countries.” With decreased bandwidth costs in the region, the uptake of broadband services is expected to increase significantly. More and more households, and small and medium companies, are expected to sign up for broadband services. As voice revenues have been declining, mobile operators are expected to shift focus on broadband services to maintain profit margins. “Mobile operators are expected to improve the quality of services through continuous infrastructure investment, such as network capacity upgrade and deployments of new technologies; develop innovative solutions such as cyber cafés for broadband services targeting the mass market and focus on enterprise solutions” concludes Miemoukanda. “These strategies will help mobile operators sustain their profit margins.”
Telecom
African Telcos Compete to Launch Eco-Friendly Data Centres
African telecommunications companies are hurrying to build data centres powered by green energy as the demand for digital services on the continent increases, driven by the largest youth demographic in the world.
According to newscentral.africa, the continent has already established itself as a leader in mobile money, headlined by Kenya’s M-Pesa and various other mobile payment platforms, with 60% of the population using mobile devices to access the internet.
By the year 2025, an additional 167 million individuals in Sub-Saharan Africa are expected to subscribe to mobile services, totaling 623 million users, and the number of smartphone connections in the region is projected to more than double.
The International Finance Corporation (IFC) estimates that Africa’s Internet economy could account for 5.2% of the continent’s gross domestic product (GDP) by 2025, which would contribute nearly US $180 billion to its economy.
Leading telecommunications companies across the continent are capitalizing on this demand opportunity—encouraged by initiatives to digitize education, healthcare, agricultural services, and governance—by preparing data centre projects they claim will rank among the largest and most environmentally friendly in the region.
In its 2024 sustainability report, Kenya’s major telecom firm, Safaricom, has detailed plans to build three Tier 3+ scale data centres as a component of its long-term vision to evolve from a telecommunications business to Africa’s foremost purpose-driven technology enterprise by 2030.
“The facility is equipped with a 200 kWp rooftop solar PV plant, with plans to scale up to 2MWp. Additionally, we are exploring partnerships with renewable energy producers to further enhance our commitment to sustainability,” according to the sustainability report.
In June, MTN Nigeria announced it was building a 1,500-rack, Tier 4 data centre to play a pivotal role in meeting the growing data demands and digital needs of businesses and consumers in the country.
In a LinkedIn post, Karl Olutokun Toriola, CEO, MTN Nigeria, said the facility will be the largest in West Africa upon completion and will enable the telco to respond swiftly to market demands and support businesses in Nigeria.
“Ultimately, this centre will play a vital role in supporting Nigerian businesses to collaborate through cloud services, expand their capabilities, and thrive,” said Toriola.
”Our commitment to Environmental, Social, and Governance (ESG) principles is reflected in the data centre’s eco-friendly design to utilize efficient cooling systems and a combination of traditional energy sources, gas, and renewable energy,” he added.
After launching a multi-million data centre business, Nxtra by Airtel, in December 2023 the telco broke ground in March to what it termed as one of Africa’s largest data centres in Lagos, Nigeria- with plans for more across the continent.
“Through this business we aim to create one of the largest networks of data centres in Africa with high-capacity facilities in major cities complementing our existing sites. We’re taking great care to incorporate modern energy efficiencies into our operations,” said Airtel Africa’s Sustainability Report 2024.
Africa Data Centres Association also affirms the expansion of industry due to the increasing demand for such facilities throughout the continent-citing Kenya, Morocco and South Africa as fast-growing markets- abeit with a huge infrastructure gap to fill in.
“Africa needs up to 1000 MW and 700 facilities to meet demand and bring capacity density on a par with that of South Africa, the region’s leader,” according to Data Centres in Africa focus report 2024.
Africa, the report shows accounted for less than 2% of global colocation Data Centres supply, with over half that total located in South Africa.
“The development of data centres is picking up pace due to strong demand from economic operators, as well as increasing awareness that African countries must establish their digital sovereignty in an increasingly competitive and complex world,” said Ayotunde Coker, chairman, Africa Data Centres Association.
Nigeria is listed in the data centres focus report as Africa’s largest digital economy with the internet contributing US$36.5 billion to its GDP, followed by South Africa(US$31.5 billion) and Egypt (US$26 billion).
Other large digital economies include Morocco(US$21.1 billion), Kenya(US$12.8 billion), and Algeria (US$11.9 billion).
Allied Market Research projects that the global market for DC provision will reach US$517.2 billion by 2030, up from an estimated of US$187.4 billion in 2020.
Telecom
Starlink Warns Against Grey Market Products
Starlink, a global leader in satellite internet technology, has issued a caution to customers, advising against purchasing from unauthorized grey market products. Each Starlink kit is equipped with a unique serial number tailored to the country of activation.
Kits obtained from grey markets will not be activated, and any kits currently active outside their designated regions may face penalties, including potential service restrictions.
This advisory is to guarantee the quality, support, and compatibility needed for optimal performance users get from each kit.
According to a reliable source in Zimbabwe, there have been reports of buyers acquiring Starlink kits not intended for their specific countries.
Customers are strongly encouraged to purchase only from authorized distributors and retailers to ensure authenticity and functionality.
This measure is designed to uphold the integrity of Starlink’s operations and protect customers from fraudulent products and service interruptions.
As part of its mission, Starlink remains committed to expanding internet accessibility worldwide, especially in underserved and remote areas.
By delivering reliable, high-speed internet through its advanced satellite network, Starlink is bridging the digital divide and connecting communities across the globe.
To uphold this mission, Starlink maintains strict quality control and distribution practices, ensuring that each kit meets the requirements of its intended market.
Starlink encourages consumers to be vigilant and to purchase kits only from verified Starlink retailers and distributors to ensure seamless service.
Telecom
TikTok Founder, Zhang Yiming, 41 Becomes China’s Richest Man
China has a new richest person and it’s the entrepreneur behind the app TikTok.
Zhang Yiming, 41, co-founder of TikTok’s parent company ByteDance, topped the 2024 Hurun China Rich List, released Tuesday, October 29.
His wealth reached $49.3 billion, as assessed by research, media and investment group Hurun Inc, which publishes the ranking of the country’s richest people.
Zhang’s ascendency comes after ByteDance’s global revenue grew 30% last year to $110 billion, Hurun said.
Since its official launch in May 2017, TikTok has been catapulted to mass global popularity as well as becoming an era-defining social media platform beloved by many young people around the world.
Zhang owns 20% of ByteDance, which he co-founded with college roommate Liang Rubo in Beijing in 2012. He stepped down as its CEO 2021 after building ByteDance into one of the biggest names in Chinese tech.
ByteDance also holds China’s popular news app Toutiao and Douyin, TikTok’s sister app in China.
Zhang’s rise to the top of the rich list knocked China’s “bottled water king” Zhong Shanshan out of the lead spot for the first time in three years, though he remained second.
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