Telecom
MTN Builds Own Messaging App to Integrate Its Mobile Money Service
MTN has developed an instant messaging platform which it hopes will become the “African WeChat”, with plans to launch it in two markets in the next month or so.
“We intend to launch it across the entire portfolio, South Africa included, but we will start with the West and Central Africa (WECA) markets as a kind of a pilot or beta stage,” MTN group president and CEO Rob Shuter told a media briefing after the group’s full year results presentation in Johannesburg.
WeChat is a Chinese messaging, social media and mobile payment app developed by Tencent. Shuter said MTN’s messaging app also plans to integrate payments into the messaging platform.
“The plan is to integrate MTN Mobile Money (MoMo). This is obviously more relevant in markets where we have MoMo. I’ve made the parallel that it will be the African WeChat, but it will look like a messaging-centric app where you imbed a payment mechanism,” he said.
MoMo is active in 14 markets with plans to soon launch in four more, including SA. At the end of December 2018, MTN had a total of 27 million active MoMo subscribers.
Shuter said the messaging app will also be different from its peers as MTN is building in SMS integration.
“The existing instant messaging apps only really work from a data subscriber to a data subscriber. As the penetration of data customers increases in our market, increasingly they will be conversing with non-data subscribers, so this is going to be an important differential between the existing instant messaging apps and the one we are building.”
Shuter said MTN is doing a lot of local market customisation for the messaging app, including local languages, and already has 54 languages on the service.
“Another big thing is we will increasingly bundle it into the underlying data services as well. That is a key differentiator for the telcos.”
Shuter himself has been testing the beta version of the app for the last few months. He said his team built the app from scratch, “we didn’t white-label, we didn’t buy it” and he sees it as “a very exciting development for us”.
Besides the messaging app, MTN also wants to launch its own music streaming application in 2019 as an extension of its digital strategy and spread MTN Mobile Money into new geographies.
MTN will re-launch MoMo in SA and extend the service to Nigeria, Afghanistan and Sudan as well, boosting its MoMo reach from 14 to 18 countries.
Shuter announced last November that he wanted to bring MoMo back to SA, where it previously failed and was decommissioned in September 2016.
He said the previous version of MoMo was too focused on building a digital banking system that would compete with the commercial banks. The strategy this time would be to target the areas of SA where there are large unbanked or under-banked populations.
“What we see in the rest of the markets is we are successful when we set ourselves up to compete with cash. Because these are markets with large cash economies, and customers that are operating in the cash economy are already used to recharging for prepaid airtime and it’s very easy to basically transform that system to not be just airtime recharge but make it e-money recharge and then people can do person-to-person payments, remittances, bill payments, etc, and your primary objective is to displace cash,” Shuter said.
“So when my guys ask me who we are competing against I say you are competing against cash. A lot of the newer digital players, the commercial banks are competing against each other; that’s not really our sweet spot.”
Telecom
Airtel Laments 300 Percent Increase in OPEX. Backs Tariff Review
Airtel Nigeria has said the telecom operators could not go on without tariff adjustment as the cost of operation has gone up by 300 percent.
According to Dinesh Balsingh, chief executive officer of the company, the call for the upward review of tariffs in the telecom sector has to be honoured of the operator must do their business in the country without many problems.
Balsingh, who stated this in an op-ed, said the adjustments are critical for maintaining high-quality services and enabling further advancements in Nigeria’s digital transformation journey.
“For over a decade, tariffs have remained static despite the dramatic increase in operating expenses, which have surged by over 300% in the last 18 to 24 months alone.
“To continue providing high-quality services and meeting the growing demand for digital connectivity, it has become essential to realign our pricing structure with economic realities,” Balsingh said.
The Airtel CEO also underscored the significant investments required to maintain and expand telecom infrastructure, which is pivotal to supporting Nigeria’s digital economy.
“The increasing demand for digital services across sectors such as education, banking, and healthcare requires us to continually upgrade our networks to deliver more capacity and improve service quality.
“These investments come at a cost, one that must be shared proportionally to guarantee long-term viability,” he said.
Telecom
Telecom Consumers to Gain from Tariff Update as Airtel Nigeria Prioritizes Enhanced Services
As conversations intensify around tariff adjustments in Nigeria’s telecommunications sector, Airtel Nigeria CEO Dinesh Balsingh has reaffirmed the telecom giant’s commitment to delivering superior connectivity and fostering digital inclusion.
In response to the economic realities of rising operational and capital costs, Balsingh noted that the proposed tariff adjustments aim to ensure the long-term sustainability of the sector while unlocking significant benefits for Nigerian consumers.
In an op-ed authored by Balsingh in which he contextualized the necessity of the tariff adjustments, he explained that “For over a decade, tariffs have remained static despite the dramatic increase in operating expenses, which have surged by over 300% in the last 18 to 24 months alone.
“To continue providing high-quality services and meeting the growing demand for digital connectivity, it has become essential to realign our pricing structure with economic realities.”
Balsingh further highlighted the substantial investments required to maintain and expand telecommunications infrastructure. “The increasing demand for digital services across sectors such as education, banking, and healthcare requires us to continually upgrade our networks to deliver more capacity and improve service quality. These investments come at a cost, one that must be shared proportionally to guarantee long-term viability,” he observed.
The proposed tariff adjustments will not only ensure the sector’s sustainability but also bring significant improvements to service delivery, adding: “By enabling us to expand coverage, strengthen network security, and introduce cutting-edge technologies, the adjustments will directly enhance the quality of connectivity for Nigerians.
“Our priority is to ensure that no one is left behind in the country’s digital transformation journey.”
Balsingh emphasized that these adjustments will be implemented with affordability in mind, ensuring minimal impact on consumers. The company remains steadfast in its commitment to supporting Nigeria’s vision of becoming a digital economy leader in Africa, empowering businesses, driving innovation, and fostering inclusive growth.
“Our commitment to quality service remains unwavering,” said Balsingh. “While significant tariff adjustments have become necessary, we understand the importance of gradual implementation to support our customers’ financial positions.
“This step will enable us to invest in capacity, expand coverage, and enhance service delivery, ensuring Nigeria remains competitive in the global digital landscape.”
Telecom
MTNers Stand Hand in Hand to Combat Gender-Based Violence
In a powerful display of solidarity, MTN Nigeria staff (fondly called MTNers) joined hands—literally and figuratively—to say #NoExcuse to gender-based violence (GBV). As part of the company’s efforts during this year’s 16 Days of Activism Against Gender-Based Violence, which happened between November 25 to December 10, 2024, MTNers gathered at the MTN’s rooftop event center in Lagos to form a united front against this pervasive societal issue.
The striking image of MTNers standing hand in hand sent a strong message: the fight against GBV requires collective action, compassion, and unwavering commitment. The gesture was both symbolic and actionable, echoing the core values of respect, equality, and inclusion that MTN champions as part of its corporate ethos.
This demonstration occurred after a recent exclusive screening of Deafening Silence, a powerful film highlighting the harsh realities of GBV, hosted on December 10, 2024. The event and the united gesture reflect the company’s drive to amplify awareness and inspire action among its workforce and beyond.
“Gender-based violence is not just a women’s issue; it’s a human rights issue that requires all of us to act,” said Temilade Olabanji, Senior Manager, Sustainability and Shared Value at MTN Nigeria.
MTN’s participation in the global 16 Days of Activism campaign reflects its belief that businesses must take responsibility in shaping a better society. Through the #NoExcuse initiative, the company encourages open dialogue, education, and proactive measures to challenge the attitudes and systems that enable gender-based violence.
While the Deafening Silence screening sparked conversation and reflection, the unity gesture from MTNers served as a visual commitment to turn awareness into action.
The company is calling on Nigerians everywhere to join the movement by speaking out, standing with survivors, and working to eliminate the root causes of GBV.
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