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Growing Nigerian Economy Via Mobile & Telecom Sector

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By Adeniyi Ogunfowoke

Undoubtedly the giant of Africa, with an estimated population of 194 million people, Nigeria remains the largest mobile market in the continent and still has more potential for growth and for competing on a level-playing ground with the developed nations.

Although the economic growth of the country might not be as fast-paced as its counterparts’, it is full of hopes and promises.

The mobile trends published in the 2017 Nigerian Mobile Report, by Jumia Nigeria, Africa’s biggest e-commerce platform, provided some convictions for this belief.

In summary, the report examined how the market has democratized mobile internet use, the consumer behaviours driving increased smartphone adoption and the role of the different stakeholders within the sector.

Jumia is set to release the 2018 edition of the Mobile Report, which will focus on various mobile trends in the country and in Africa at large. And Juliet Anammah, CEO, Jumia Nigeria is as excited as everyone else about the report.

But, while we patiently wait for the report pending its release, let’s examine some facts and figures from the 2017 report.

There were about 150 million mobile subscribers equivalent to 81 percent penetration (as a percentage of the population) in 2016.

Internet penetration was at 18 percent with 216 million internet users while Nigeria’s internet penetration was much higher at 53 percent; its mobile subscription was similar to Africa’s at 81% penetration (960 million mobile subscribers).

To benchmark this data, a similar report by the Nigerian Communications Commission (NCC) put the number of subscribers, by the end of December 2016 – at 154 million. This subscriber base is a sum total of all the active subscribers for telephony services on each of the licensed service providers utilizing different technologies. The difference in the number of subscribers presented by both reports can be attributed to the lack of accurate census in the country.

Meanwhile, the percentage of internet penetration widened increasingly; number of internet subscribers peaked at 97.2 million (more than half the number of mobile subscriptions) by end of 2016, which represented a much higher penetration rate than the rest of Africa combined.

The subscriber base of internet users in the country was predicted to increase by at least 30 percent by end of 2017.

With the number of Nigerians having access to the internet, mostly through smartphones, growing in leaps and bounds, it’s a clear indication that there is a huge potential for e-commerce in the country.

For instance, Jumia recorded 394 percent growth on the sales of smartphones between 2014 and 2016, mostly driven by an increasing range of lower smartphones price points. And 71 percent of website visitors on Jumia Nigeria in 2016 used their mobile phones to shop, whereas only 53 percent of Jumia African customers did so.

Although, the contribution of the telecom & mobile sector to the country’s GDP was indeed a small fraction, according to a report by the NCC, only 9.13 percent was directly or indirectly accrued from the sector.

Yet, it is worthy of note to mention that it was a great leap from the previous year. E-commerce companies like Jumia, present in 15 African markets, are facilitating the promotion and distribution of both high-end and low-end price points mobile phones in Nigeria.

The NCC is not also relenting in exercising its power to regulate the operations of the licensed telecom operators especially in the area of voice & data tariff.

So, what is the future of the telecom and mobile sector in Nigeria? To witness an improvement over the previous years will require a collective, yet individual effort from both the private and public sectors. Primarily, the growth of the sector, among other things, depends on the availability of affordable mobile phones & data tariff.  To the former, Jumia is committed – with its partners – to facilitating and leading the charge in this regard.

The week of March 15th-25th, 2018 will be interesting and exciting for the entire country for two reasons: the 2018 edition (4th report) of the Nigerian Mobile Report will be released at a press conference; and secondly, although still related to the first event is the commencement of Jumia Mobile Week (an entire week dedicated to the sales of mobile phones at the best prices in Nigeria).

Nothing beats the excitement of getting your dream mobile phone at nearly half the price and such was the frenzy all over the Nigerian cyberspace in 2017.

From the moment you spot the juicy deals, the swift race for the fastest fingers, the sigh of relief when you have successfully placed your order and the short wait for your order to be delivered.

Last year, Jumia Mobile Week featured 3 mouth-watering flash sales every day at nearly 50 percent off; both night crawlers and day troopers had a piece of the pie.

MTN also gave out free MTN 4G SIM and 20 percent data bonus on their data plan every time you recharged for the first 3 months. There were also juicy discounts on mobile brands like: Infinix at 40 percent off; Tecno at 20 percent off; Motorola at 50 percent off, and Innjoo at 20 percent off.

So, this year, which brands will top the list of Jumia top selling mobile phones? How much discounts will be available to customers and on what mobile brands? How much money are you hoping to save during this year’s Mobile Week? Which mobile phones will have the best deals this year? How much discount will Jumia offer on purchases done on its mobile App? How do you get to participate in the Treasure Hunt so as to win a coveted prize? How do you participate in the fashion accessory giveaways on social media by your favourite fashion celebrity/icon?

Your guess is as good as mine. But, you will find answers to all of these questions during the week of March 15th through 25th, 2018! Add it to your calendar. Join the conversation on social media using the #JumiaMobileWeek2018, and follow @JumiaNigeria across all social media platforms.

Adeniyi Ogunfowoke is a PR Associate at Jumia Travel.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via [email protected]

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Telco Ownership Changes Above 10% Now Subject to NCC Approval

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NCC

By Adedapo Adesanya

The Nigerian Communications Commission (NCC) and the Corporate Affairs Commission (CAC) have introduced a new regulatory requirement mandating prior approval for significant changes in the ownership structure of telecommunications companies operating in Nigeria.

This was contained in a statement jointly signed by the Director of Public Affairs at the NCC, Mrs Nnenna Ukoha and Head of Public Affairs at the Corporate Affairs Commission, Mr Rasheed Mahe.

According to a joint press release issued by the two agencies, the directive, which takes immediate effect, requires all licensed telecom operators seeking to transfer ownership or control of shares amounting to 10 per cent or more of their total share capital to first obtain a Letter of No Objection from the NCC before such transactions can be registered by the CAC.

The statement reads in part, “The directive, which takes immediate effect, requires all licensed communications companies seeking to transfer ownership or control of shares amounting to 10 per cent or more of their total share capital to obtain a Letter of No Objection from the NCC before such transactions can be registered with the CAC.

“The requirement is in line with the provisions of Section 90 of the Nigerian Communications Act 2003, Regulation 28(2) of the Competition Practices Regulations 2007, and Regulation 42 of the Licensing Regulations 2019, which empower the NCC to monitor transactions involving licensees and ensure fair competition within the sector.

“Under the new arrangement, the CAC will only process and register requests for changes in shareholding structures of telecommunications companies where the transaction involves 10 per cent or more of the company’s shares and is accompanied by evidence of prior approval from the NCC.

“According to the two regulatory agencies, the measure is aimed at strengthening oversight of significant ownership changes, preventing anti-competitive practices, and preserving a fair and competitive communications market. It is also expected to enhance transparency, boost investor confidence, provide greater regulatory certainty, and support the long-term stability and sustainability of Nigeria’s telecommunications industry.

The NCC and CAC reaffirmed their commitment to fostering a transparent, stable, and investor-friendly business environment. Both agencies pledged continued collaboration to promote fair market practices, strengthen regulatory compliance, and ensure the orderly development of Nigeria’s communications sector.”

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Rising Cyber Threats Could Undermine Business Sustainability, Profitability—ISSAN

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David Isiavwe ISSAN President

By Modupe Gbadeyanka

The relevant stakeholders have been urged to take urgent action to curb the rising sophistication of cyber threats, which could undermine business sustainability and profitability.

This call was made by the Information Security Society of Africa – Nigeria (ISSAN) during its monthly meeting held in collaboration with MAXUT Consulting.

The group noted that identity theft, mobile fraud, ransomware, and social engineering attacks are threats to organisations, especially those who may struggle to protect information assets, maintain operational resilience, and address vulnerabilities before they can be exploited.

The president of ISSAN, Mr David Isiavwe, who doubles as the Executive Director for Risk Management at Nova Bank, stressed that cybercriminals are deploying increasingly sophisticated attack methods targeting individuals, businesses, critical national infrastructure, and strategic assets.

Among the threats highlighted were identity theft, Business Email Compromise (BEC), phishing, ransomware, WhatsApp account hijacking, Distributed Denial-of-Service (DDoS) attacks, payment card fraud, cryptocurrency-related attacks, and other forms of social engineering.

According to him, the increasing frequency and sophistication of cyberattacks mean cybersecurity can no longer be viewed solely as an IT issue but as a critical business and national security priority.

To address these challenges, he urged organisations to adopt proactive risk management practices, implement continuous monitoring systems, promptly address vulnerabilities, and invest in regular cybersecurity awareness programmes for employees and customers.

Also, the importance of leveraging emerging technologies such as Artificial Intelligence (AI), Machine Learning (ML), and automation to enhance threat detection and response capabilities was emphasised.

“No organisation can successfully confront today’s cyber threats in isolation. Information sharing, collaboration, and collective vigilance remain essential to protecting our digital ecosystem and safeguarding public trust,” the ISSAN leader said at the event, which featured a technical presentation titled, Confronting the New Mobile Threat Landscape: Beyond User Authentication.

ISSAN reaffirmed its commitment to promoting cybersecurity awareness, capacity building, information sharing, and industry collaboration to strengthen Nigeria’s cyber resilience and support a secure digital economy.

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Zoho Launches Nathu La Server

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Zoho Nathu La Server

By Modupe Gbadeyanka

A designed-in-house server known as Nathu La has been launched by a global technology company, Zoho Corporation.

Nathu La is engineered with hardware-rooted security at every layer of the stack. Its indigenous IP-driven approach reduces dependency on external entities for security audits, firmware updates, and licensing continuity.

The solution aligns with open-source software principles and reflects Zoho’s broader commitment to building sustainable, secure, and scalable digital infrastructure. It also supports the growing global focus on digital sovereignty, local innovation ecosystems, and high-performance computing capabilities.

The platform was introduced by the company as part of a pivotal step in its journey towards building its full technology stack, from the hardware layer to software applications.

With Nathu La, Zoho has achieved equivalent performance with 12-18 per cent lower power consumption and 20-30 per cent lower total cost of ownership (TCO), thereby reducing inference costs.

The Nathu La server, comprising Intel® Xeon® 6 processors, was developed collaboratively with Intel, leveraging their enablement capabilities and technical expertise.

The design philosophy behind Nathu La is rooted in the Open Compute Project (OCP), emphasising modularity, thermal efficiency, and ease of maintenance. This enables Zoho’s data centres to significantly reduce total cost of ownership and power consumption.

Zoho plans to host its applications on the Nathu La server platform, enabling the company to optimise the full software-hardware stack for its specific workloads, reduce costs, improve performance, and strengthen data governance for its global customers. This will also help bring down inference costs for Zoho’s AI usage.

The Nathu La server motherboard and chassis platform is the result of five years of R&D across hardware, firmware, and systems management. Based on Intel® Xeon® 6 Processors, the server is designed to optimise performance for virtualisation (VM), High Performance Computing (HPC), AI inference, and storage applications. This results in improved performance of Zoho applications for end users.

The server features customised power delivery subsystems, an in-house DC-SCM (Data Centre Secure Control Module) design, and modular chassis options compatible with diverse end-user environments, offering flexibility across deployment types.

All modular components – including the DC-SCM and NIC (Network Interface Card) – were designed in-house by Zoho’s hardware engineering team and assembled through electronics manufacturing partners, enabling tighter integration and quality control across the platform. Over five patents have been filed covering advanced thermal management and cost-optimised server architecture designs.

“Zoho Corporation has invested in building its own technology stack from the ground up over the last three decades. The Nathu La server launch is in line with that goal.

“With our strategy of using contextual, right-sized models, running on our own platform, on our own servers, in our own data centres, we are compounding the benefits accrued from owning and operating our entire technology stack. This ensures that our solutions are more sustainable and accessible for businesses.

“These long-term R&D investments we are making at every layer of the stack are aimed at delivering customer value,” the Country Head for Zoho Nigeria, Mr Kehinde Ogundare, stated.

In 2020, Zoho established a small R&D team in Nagpur, a Tier 2 town in India, focused on projects such as server design and systems engineering.

Members of the Nathu La R&D team include hires from SETU – short for Students’ Engagement for Transformative Upskilling – an initiative designed to build a pipeline of industry-ready engineers, with a focus on advanced learning in Electronics System Design and Manufacturing (ESDM).

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