Telecom
Africa Sees Double Mobile Data Revenue by 2024
Mobile revenue in Africa will rise from $54.31 billion (R804 billion) in 2019, to $67.12 billion (R994 billion) in 2024.
This is according to the Africa Digital Outlook 2019 report from market research firm Ovum.
The research, which looks at the state of Africa’s telecommunications market, found data revenue on the continent will more than double in the next four years, from $14.91 billion in 2019 to $31.42 billion in 2024, growing at a significantly faster rate than voice calling.
However, due to the overall growth in the mobile market and continued relevance of voice calling for many customers, some major African operators, such as Airtel and MTN, will continue to see growth in mobile voice revenue, notes Ovum.
“Ovum expects mobile voice revenue in Africa to rise modestly through to 2021, but to decline thereafter to the end of the forecast period,” says Matthew Reed, practice leader at Ovum.
“Service providers are reporting strong growth in revenue from data access and digital services such as mobile money in Africa. Mobile broadband and financial services are key growth segments. The availability of affordable data-enabled devices is a key contributing factor to this growth in African markets, where average incomes are typically low.”
Mobile subscriptions in Africa passed the one billion mark in 2017, and reached about 1.07 billion in June 2019, with population penetration of 82.6%, according to Ovum.
Nigeria, the most populous country on the continent, also has Africa’s biggest mobile market by subscriptions, with 170 million mobile subscriptions in 2Q19. The next-biggest markets are SA, with 104.3 million mobile subscriptions, and Egypt, with 93.8 million mobile subscriptions, and Kenya with 50.2 million.
Smart feature phone boost
There will be 1.08 billion mobile broadband connections on the African continent by 2024, representing 79% of the 1.37 billion overall mobile connections on the continent, as service providers expand their mobile broadband networks, and as smart devices and services become more affordable, according to Ovum.
It adds the number of 3G W-CDMA connections in Africa will continue to increase through to 2024, in contrast with global trends, where these are expected to decline in other parts of the globe over the next few years.
“An overwhelming majority (85.3%) of mobile broadband connections on the continent were accounted for by 3G W-CDMA in the second quarter of 2019, while LTE accounted for just 14.2% of connections. 2G GSM still has a substantial market share, accounting for 42.9% of Africa’s mobile connections in 2Q19,” notes the report.
However, it predicts 14.2% of mobile LTE connections on the continent are expected to increase at a more rapid rate, rising from 97.5 million at the end of 2019, to 336 million at the end of 2024.
“Both MTN and Orange have introduced smart feature phones that use the Kai operating system and are priced at about $20 as a means of encouraging wider take-up of data services,” Reed points out.
“Tecno, backed by Chinese company Transsion, has become one of the biggest mobile phone brands in Africa by offering affordable smartphones with features tailored to the African market, such as long-life batteries.”
The report warns instability, poor infrastructure and digital divide factors will continue to hold back digital development in Africa.
“Just one example of the barriers to digital development in Africa is that in 2018, the average cost of a 1GB mobile broadband plan on the continent was equivalent to 8% of average monthly income – far above the affordability benchmark of less than 2% of income, according to the UN Broadband Commission,” it notes.
Fixed broadband household penetration in Africa was about 8.5% at end-2Q19, lower than in any other world region, except Central and Southern Asia.
“MTN and Vodacom say their plans to launch 5G in SA have been held up because they do not have access to the spectrum required in the sub-1GHz bands, as well as in the 2.6GHz and 3.5GHz bands. In 2018, Vodacom launched what it said was Africa’s first commercial 5G service in Lesotho, using spectrum in the 3.5GHz band to which Vodacom has access in Lesotho but not in SA,” notes the report.
WiFi projects on the increase
WiFi networks are increasingly important for broadband connectivity in Africa. Facebook and Google both have WiFi ventures on the continent: Facebook’s Express WiFi operates in Ghana, Kenya, Nigeria, SA, and Tanzania; and the Google Station WiFi service operates in Nigeria.
“There are also efforts to improve connectivity in rural areas, using a range of technologies. MTN Group is working with the Facebook-backed Telecom Infra Project to test and deploy low-cost wireless networks designed for rural areas. Loon, a subsidiary of Google’s parent company Alphabet, is to run a trial with Telkom Kenya of its plan to use giant helium balloons to bring wireless broadband connectivity to remote areas,” according to the report.
Although wireline broadband penetration is low in Africa, Ovum expects the number of FTTx (fibre to the customer) subscriptions on the continent to grow strongly over the coming few years, from 1.28 million at end-2019, to 4.07 million at end-2024.
“At end-2024, SA will have 1.22 million FTTx subscriptions, making it the biggest FTTx market on the continent (by subscriptions), followed by Morocco, Algeria, Egypt, and Kenya, forecasts Ovum.”
Telecom
IHS Nigeria Partners with the NCMM to Digitize Nigeria’s Cultural Heritage
IHS Nigeria, part of the IHS Holding Limited (“IHS Towers”) group, one of the largest independent owners, operators, and developers of shared communications infrastructure in the world by tower count has announced a strategic partnership with the National Commission for Museums and Monuments (NCMM) and the Federal Ministry of Art, Culture, and the Creative Economy (FMACCE) to support the digitization of Nigeria’s cultural heritage.
This collaboration aims to make Nigeria’s historical artifacts, artworks, and cultural monuments more accessible to the public through a digital museum.
The partnership between IHS Nigeria, NCMM, and FMACCE will leverage technologies to digitalize and display artifacts online, helping to preserve and showcase Nigeria’s cultural heritage. It marks a significant step towards modernizing the preservation and dissemination of Nigeria’s cultural assets, making them more accessible to a broader audience.
The digital museum is the first significant project under the Honorable Minister’s Digital Culture Initiative and is designed to provide a platform for the exploration and appreciation of Nigeria’s diverse cultural heritage. This partnership underscores IHS Nigeria’s commitment to sustainability and its role in helping foster cultural preservation and digital education.
Mohamad Darwish, CEO, IHS Nigeria, commented, “We are excited to partner with the National Council for Museums and Monuments and the Federal Ministry of Art, Culture and the Creative Economy on this groundbreaking initiative. As a company deeply rooted in Nigeria, we recognize the importance of preserving, protecting, and promoting our cultural heritage.
“This partnership also aligns with our commitment to sustainability, education, economic growth, and community development. We look forward to contributing to the preservation of Nigeria’s cultural legacy”.
Hannatu Musawa, Nigeria’s Minister of Art, Culture and the Creative Economy, commented, “We are delighted to partner with IHS Nigeria on this initiative which aligns with His Excellency President Bola Ahmed Tinubu’s Renewed Hope Agenda, and our Ministry’s 8-point plan on fostering strategic partnerships.
“I am particularly pleased that this initiative, which is the first significant project under our Digital Culture Initiative, embodies our commitment to innovation, global partnerships, and the sustainable growth of our creative industries, positioning Nigeria as a leader on the global stage.”
Olugbile Holloway, Director General, National Commission for Museums and Monuments, commented, “We are grateful to IHS Nigeria for their support in this remarkable initiative.
“We believe that to keep ahead of current trends and appeal to a younger demographic, it is imperative that a digital experience of our rich cultural heritage is created and made available to the public.
“The digital museum will serve as an invaluable resource for researchers, students, and the general public, both in Nigeria and around the world, and will play a crucial role in the preservation of our national heritage.”
Telecom
Google Faces Major Antitrust Action: DOJ Demands Chrome Sale
In a significant escalation of its antitrust battle against Google, the US Department of Justice (DOJ) on Wednesday, November 20, urged a federal judge to break up the tech giant by ordering the sale of its widely used Chrome browser.
The DOJ also called for an end to Google’s agreements to be the default search engine on smartphones and proposed measures to prevent it from leveraging its Android operating system to dominate the market.
The DOJ suggested that if these remedies fail, Google should be compelled to divest Android entirely. The proposals mark one of the most aggressive antitrust moves against a major tech company in decades, with regulators seeking to curtail Google’s alleged abuse of its market power.
Google’s president of global affairs, Kent Walker, criticized the filing, accusing the DOJ of pursuing a “radical interventionist agenda.” Walker warned that the proposed breakup would disrupt Google’s product ecosystem, harm innovation in artificial intelligence, and threaten America’s global technological leadership.
This case represents a historic shift in the US government’s approach to regulating tech companies, following decades of relative inaction since the failed attempt to break up Microsoft in the early 2000s.
Google is set to respond in a filing next month, with a hearing scheduled for April before Judge Amit Mehta. The judge’s August ruling declared Google a monopoly, setting the stage for this next phase of the legal battle. Any decision is likely to be appealed, potentially taking years to resolve and possibly reaching the US Supreme Court.
The case’s future could also hinge on political changes, as President-elect Donald Trump’s incoming administration may take a different approach to antitrust enforcement. Trump has previously criticized Google for alleged bias against conservatives but has also expressed skepticism about breaking up major tech companies.
The DOJ’s proposals come amid broader efforts to address the dominance of big tech, with five antitrust cases currently pending against Amazon, Meta, Apple, and Google. These cases, brought under the Biden administration, are expected to shape the regulatory landscape for years to come.
Telecom
Zoho Named Exclusive Technology Partner by Dubai Racing Club
Dubai Racing Club (DRC) has named Zoho Corporation, a leading global technology company, as its exclusive technology partner for the next two years.
This partnership will focus on digitising DRC’s operations, with the aim of enhancing the club’s high-profile events and ensuring a seamless, world-class experience for visitors, participants, and staff.
The announcement was made during a signing ceremony at Meydan Racecourse, attended by His Excellency Ali Al Ali, CEO and Board Member of the Dubai Racing Club, and Prem Anand Velumani, Associate Director of Strategic Alliances, MEA at Zoho.
As the organiser of major events, including the prestigious Dubai World Cup, the DRC will leverage Zoho’s comprehensive suite of digital solutions through Zoho One, the operating system for businesses, to streamline key operations.
By implementing Zoho One, the club will enhance various aspects of its event management, from ticketing and sales to logistics and customer relationship management (CRM).
HE Al Ali commented on the partnership: “We are pleased to welcome Zoho as our official technology partner this season.
“Technology is a cornerstone of our long-term vision for the Dubai Racing Club and the continued development of the horse racing industry.
“Zoho brings a wealth of expertise, and we look forward to collaborating with their team to create tailored solutions for our clients. From sophisticated CRM systems and streamlined accreditation processes to innovative mobile applications designed to enhance the experience for horse owners and racegoers, we are focused on setting new benchmarks for excellence.
“This partnership brings us one step closer to establishing Meydan as one of the most technologically advanced racecourses globally.”
The DRC will leverage Zoho’s web and mobile applications to improve accessibility and communication across platforms.
Zoho CRM will play a pivotal role in managing ticketing and sales, offering a seamless and personalised experience for attendees.
Zoho’s apps will also support critical operational functions such as accreditation, simulcasting, parking and barricade management, and order management, all of which will be fully digitised to enhance accessibility and efficiency.
“We are thrilled to be the exclusive technology partner of the Dubai Racing Club, an iconic institution that plays a central role in global equestrian sports,” said Prem Anand Velumani, MEA at Zoho.
“This partnership presents an exciting opportunity to demonstrate how Zoho’s comprehensive suite of solutions can support DRC’s operations and its commitment to excellence.
“By utilising Zoho’s customisable tools, DRC will be able to digitise and optimise critical operations, driving greater collaboration, agility, and a seamless guest experience.
“We are proud to help position the DRC at the forefront of digital transformation in the regional and global equestrian sports industry.”
Zoho’s solutions will also streamline guest and VIP stand management, ensuring a smooth experience for high-profile visitors.
Zoho’s apps will assist with venue navigation, while an all-in-one analytics dashboard will provide the DRC’s internal team with real-time data to evaluate performance and track ROI across all operational areas.
This integrated approach will allow the DRC to optimise its event management processes and deliver an exceptional experience for participants, staff, and guests alike.
The two-year partnership will see the DRC fully harness Zoho’s suite of solutions to drive digital transformation across all aspects of its operations.
As the club continues to grow, Zoho’s innovative digital solutions will play a pivotal role in ensuring the optimisation and success of every operational facet—from event coordination to customer engagement.
Known for hosting some of the most prestigious equestrian events in the world, the DRC attracts audiences and participants from around the world.
The Dubai Racing Club’s next meeting at the Meydan Racecourse is scheduled for November 22, 2024.
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