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E-Business

IXP are Critical to Improving Internet Access and Lowering Connectivity Costs in Africa – Report

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A new report published by the Internet Society outlines the state of Internet interconnection in Africa and the critical role Internet Exchange Points (IXP) play in improving access and lowering costs.

The report, entitled “Moving towards an interconnected Africa: the 80/20 Initiative,” examines the Internet ecosystem in Africa.

There is an urgent need to increase Internet access across the continent, especially in the wake of the coronavirus pandemic.

According to the United Nations Economic Commission for Africa, fewer than 1 in 5 households have Internet access. Reliable and affordable Internet access also fuels economic growth. A recent study estimates that the Internet economy has the potential to contribute up to USD180 billion to Africa’s gross domestic product (GDP) by 2025.

An IXP is technical infrastructure where multiple networks, including Internet service providers, mobile operators, enterprise networks, research and education networks, e-Government services, and content delivery networks (CDNs) come together to connect and exchange Internet traffic.

IXPs enable the local exchange of Internet traffic instead of using expensive international transit routes. This not only makes Internet access much more affordable but also improves the quality of access by providing more direct network connections.

Access speeds for content can be up to 10 times faster with an IXP because traffic is routed locally versus international transit routes.

According to the Internet Society report, the number of African IXPs has increased by 58 percent over the past eight years, from 19 in 2012 to 46 in 2020. In addition:

– More than half of the countries in Africa have an IXP; six countries have more than one.

– The most developed Internet ecosystem is in South Africa followed by Kenya and Nigeria . These countries have the most interconnected networks and have succeeded in exchanging 70-80% of their traffic locally.

– IXPs provide significant savings by localizing Internet traffic. The report shows that a network can save up to US240,0000 per year by connecting to a local IXP.

– The presence of content delivery networks has increased significantly and the amount of locally available content and demand for content hosting has increased.

The new report expands on a 2020 analysis of IXP growth in Kenya and Nigeria and provides an overview of the evolution of Internet interconnection on the continent by examining a country in each of the six subregions: Angola (Southern Africa), Burkina Faso (Western Africa), Democratic Republic of Congo (Central Africa), Egypt (Northern Africa), Mauritius (Indian Ocean), and Rwanda (Eastern Africa).

“Thanks to the continued work with partners over the years, we have many more sustainable IXPs that exchange a considerable amount of Internet traffic in Africa. But there’s still work to do to ensure that more Internet traffic is exchanged on the continent,” said Dawit Bekele, Africa Regional Vice President for the Internet Society, a global nonprofit organization promoting the development and use of the Internet.

“A key success factor for IXPs is that governments understand the value that Internet infrastructure provides, which encourages the adoption of policies and regulations that enable Internet ecosystems to thrive,” added Bekele.

Since 2008, the Internet Society has been working with the African Internet community, including community groups, technical experts and policymakers, to improve local Internet infrastructure by helping to establish IXPs and strengthen the trust and cooperation between those that build the Internet. The overall goal is for 80 percent of Internet traffic in Africa be exchanged locally, and only 20 percent routed from outside the continent.


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E-Business

Court Affirms ARCON’s Power to Regulate Ads on Social Media, Others

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Federal High Court sitting in Lagos has declared that Advertising Regulatory Council of Nigeria (ARCON) has the legal authority to regulate advertising across all media platforms, including traditional outlets such as print and broadcast, as well as digital and social media.

Court Affirms ARCON’s Power to Regulate Ads on Social Media, Others

The landmark ruling strengthens the regulatory powers of the Advertising Regulatory Council of Nigeria.

The ruling was delivered by Honourable Justice Aluko in Suit No. FHC/L/CS/1262/2024, filed by Digi Bay Limited (trading under the name and style of Betway Nigeria), Super Group Limited, and Otunba Kunle Olamuyiwa against the Attorney General of the Federation and ARCON.

The originating summons, dated 12 July 2024, sought a judicial determination of ARCON’s powers, particularly concerning advertising content published on digital platforms and by individuals not registered as advertising practitioners.

The court held that ARCON possesses the statutory authority to regulate all forms of advertising, regardless of the platform on which they appear.

The judgement also stated unequivocally that ARCON’s regulatory mandate extends beyond registered advertising agencies and includes private individuals who engage in advertising activities.

Justice Aluko emphasised that the determining factor is the nature of the activity—advertising—not the status of the individual or entity as a practitioner or non-practitioner.

One of the most significant outcomes of the ruling was the court’s position on social media regulation, affirming that ARCON, as the apex regulatory body in the nation’s advertising ecosystem, has the power to regulate advertisements on platforms such as Instagram, despite being privately owned.

The court noted that social media platforms are publicly accessible spaces used to broadcast advertising to wide audiences and, as such, fall under ARCON’s jurisdiction.

Regarding whether ARCON has the power to impose sanctions or fines on erring individuals or entities, the court provided clarity by affirming that ARCON may issue letters of violation or notices of infractions.

However, the power to determine and impose sanctions, it stated, resides solely with the Advertising Offences Tribunal, as prescribed by law.

The court also ruled that all advertising content—whether created by agencies, organisations, or individuals—must be vetted and approved by ARCON before being published or aired.

This decision reinforces ARCON’s role as the central authority responsible for ensuring that all advertising materials conform to ethical and professional standards, regardless of the platform.

Several practitioners in the nation’s advertising sector view the judgement as a significant legal victory for ARCON, especially in light of the increasing challenges it has faced since transitioning from the Advertising Practitioners Council of Nigeria (APCON) to ARCON under a revised legal framework, which extended the scope and influence of its powers.

In recent years, the agency has faced legal and media scrutiny from various quarters regarding the extent of its regulatory powers, particularly in the rapidly growing and often unregulated digital advertising space.

The decision, they argued, will have far-reaching implications for content creators, influencers, advertisers, and brands operating within the country, as compliance with ARCON’s vetting and regulatory processes becomes legally binding.

The ruling also signals a new phase in Nigeria’s advertising industry, where regulatory oversight will no longer be limited to traditional media and certain digital channels but will encompass the entire spectrum of public communication.

 

 

 

 

 

 

 

 

 

 


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Zoho Suspends $700m Chipmaking Plan

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Zoho, Indian software firmhas suspended its year-long pursuit of a $700 million plan to expand into chip manufacturing, its co-founder said, confirming a story and dealing another blow to the Indian government’s semiconductor plans.

Zoho Suspends $700m Chipmaking Plan

Zoho struggled to find the right technology partner required to advise on complex chipmaking processes, one source familiar with the matter told newsmen earlier.

Report said that Indian billionaire Gautam Adani’s group has also paused discussions with Israel’s Tower Semiconductor for its $10 billion chip project following an internal evaluation by the Indian group.

Zoho, valued at around $12 billion, offers cheaper alternatives to cloud-based software tools made by the likes of Microsoft.

Its billionaire co-founder, Sridhar Vembu is known for his popular and unconventional approach of locating business operations in rural villages.

Vembu confirmed the decision after the story was published, saying “we did not have that confidence in the tech,” in a social media post.

“Since this business is so capital intensive, it requires government backing, we wanted to be absolutely sure of the technology path before we take taxpayer money,” he said.

In a bid to diversify, Zoho had planned to invest $400 million in a semiconductor facility in Karnataka state in south India.

The entire chipmaking plan, first reported by newsmen in May 2024, has for now been suspended.

Representatives for Karnataka state did not respond to a request for comment.

Zoho’s retreat will be a setback to Prime Minister Narendra Modi, who has for several years tried to lure companies in his pursuit to make India a global chip manufacturing hub.

India does not have a single operational chipmaking facility.

Zoho, established in 1996, offers software and related services on subscription to businesses in 150 countries and has over 18,000 employees and more than 120 million users.

Zoho’s Silectric Semiconductor Manufacturing last year made a handful of hires and formed a board to oversee chipmaking efforts, the source, who gave the reason for the failed plan, said.

The Karnataka government said in December it had given landmark approval to Zoho’s planned $400 million facility in Mysuru region, which would have generated 460 jobs and been the first such project in the state.

 

 

 

 


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FG Partners UK to Combat Cross-border Cyber-crime

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The federal government and the United Kingdom signed an agreement Tuesday to combat the growing threat of cyber-crime. The Memorandum of Understanding was signed following a courtesy visit by David George Hanson, minister of the home office, UK, to the Nigeria Police Force headquarters, Louis Edet House in Abuja.

Transnational crime is a big problem for both the UK and Nigeria, so the governments intend to strengthen existing collaboration efforts to crack down on cyber-criminals and protect their industries from unlawful activities.

Offences such as online fraud, identity theft, digital extortion, and ransomware , operate across many jurisdictions, and frequently necessitate sophisticated cooperation efforts, according to the two governments during a press conference.

Furthermore, Lateef Fagbemi, Nigeria’s attorney-general and minister of justice, established the Joint Case Team on Cybercrime, which aims to address the need for a coordinated and robust approach to combating cybercrime, as stated in the Cybercrimes Act of 2015, which criminalises cyber-related offences.

Hanson underlined the importance of ongoing cooperation efforts to combat international crime in a number of areas, affecting vulnerable individuals.

He said: “We need to look again at how we can build cooperation between the Federal Government, the federal police, and our police forces and National Crime Agency to take action against these international criminals, who are exploiting vulnerable people in a whole range of areas. The National Crime Agency, the Home Office Fraud Department, and the High Commission need to make sure we make a big impact on this transnational crime.”

“The collaboration between the Nigerian Police Force and National Crime Agency continues to serve as a model in international law enforcement cooperation. We have successfully conducted joint operations into many cases of cybercrimes and online fraud. With your [UK government] cooperation, we have continued to bust other criminal networks around the world,” added inspector-general of Nigerian Police Force, Kayode Adeolu Egbetokun.

 


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