Telecom
Shifting Focus to VAS for Effective Service Delivery
Service providers in the telecom industry have come to realize that oftentimes the ability to compete hinges on successfully deploying what are known as “value-added services.” The trick is to figure out what type of value can be added that will be truly useful and enticing to customers.
The necessity of value-added services spills over into the newer realm of VoIP, where technology exists to offer more at a competitive price, but providers don’t always know just what to add or how.
There is more to telecommunication than voice service which has dominated the Nigeria’s telecom industry since the introduction of Global system for Mobile communication (GSM). The long years of suffering by Nigerians for basic communication has almost made it unnecessary for Nigerian subscribers to avail themselves of other value added services that telecom operators offer.
Investigations revealed that many Nigerian GSM and Code Division Multiple Access (CDMA) users feel their phones are only for voice call and nothing else. This partly accounts for network congestion being experienced on networks. It would be recalled that GSM operators have faced sanctions from Nigerian Communications Commission on poor service delivery, though there are issues of capacity on the networks, but if subscribers avail themselves of other means of communication on the technology the frequent hiccups on networks will be reduced.
A Value-Added Service (VAS) is a telecommunication term for non-core-services or, in short, all services beyond standard voice calls. On a conceptual level, value-added services add value to the standard services offering, spurring the subscribers to use their phones more and allowing the operators to drive up their Average Revenue Per User (ARPU).
For mobile phones, apart from short message service (SMS), there are also services such as multi-media service (MMS) that enables subscribers to send pictures via General Package Radio Service (GPRS) which gives them access to internet from their mobile phones among others.
Value-added services are supplied either in-house by the mobile network operators themselves or by a third party, known as value added service provider (VASP). VASPs typically connect to the operator using protocols like Short Message Peer-to-peer Protocol (SMPP), connecting either directly to the Short Message Service Centre (SMSC) otherwise known as ‘short code’ or, increasingly, to a messaging gate way that allows the operator to control and charge for the content better.
The aforementioned situation seem to be changing as virtually all the operators in the country’s telecom industry have come to market with one value-added service or the other, as well following it up with advertisement.
MTN is currently advertising most of its value added service as against mass market promos. Some of its VAS includes MTN Google SMS, a mini version of Google search via SMS, where no internet connectivity is required. In this case, the search is keyword-based. Google SMS can give definition of words, News headlines, Sports information; and so on via SMS. Google SMS is also available through MTN Sim Plus.
MTN 3.5G Video Calling is an exciting VAS service which gives subscribers clear visual communication on their 3G enabled handsets which are enablers for video telephony.
Video calling is as simple as voice calling. However, the only difference is that the user will have to press the video call button instead of the voice call button. Then, hold the phone in front of you to watch the screen. It is possible for you to turn off the camera if you prefer not to be seen.
C-Track: this is a unique vehicle tracking and stolen vehicle recovery service that allows subscribers keep track of the location of their vehicles from the comfort of their mobile phones. By simply sending a text message, subscribers can ensure they are immediately alerted if their vehicle is moved – regardless of whether the ignition is on or off.
MTN C-track uses proven GPS/GSM technology in conjunction with an on-board computerized system to easily locate vehicles, measure vehicle performance and driver productivity, thus providing effective operational control and peace of mind to vehicle owners. Other VAS from MTN are SaveMyContacts, MTN Flash, Callertunez which enables subscriber to choose any ringtone of choice and mobile television.
Globacom has as well rolled out several value added services to the delight of its subscribers among them is Magic Plus, an SMS based service that gives the subscriber access to a host of information, commerce and entertainment content (ICE) directly on his Glo Mobile handset at the touch of a button. It is simple, quick and easy to use.
There is also Glo m-banking which is available exclusively on the Glo magic plus menu. This unique service provides all Glo mobile customers swift and easy access to their bank accounts from their mobile phones anywhere within Glo coverage area.
For the first time in Nigeria, one single application provides one with a uniform interface to a multitude of Banks. This is the result of Globacom’s collaboration with Interswitch Limited and its member banks.
Zain has also introduced unique value added service for its subscribers; they include fax services, Zain mobile office, GPRS services, callertunez among others.
Interestingly, there has been an increased attention by operators to launch and marketing of VAS as against what use to be the case two years ago when such services are not considered for advertisement.
This change of focus from voice to VAS industry watchers said could be attributed to competition. They said, there are a lot of telecom operators delivering voice which makes it not attractive to a subscriber, but rather they need service that will enhance their work or living standard, which is what VAS seek to achieve.
PTOs are not left behind in the craze to launch value-added services. Many PTOs are reported to have launched internet service, made possible by there upgrade to EV-DO Rev A. This technology afford operators the opportunity of competing with operators using 3G in the GSM space in terms of value added services.
Unlike voice calls, network operators find it difficult to disclose the cost of most value added services such as GPRS. Fola Odufunwa, managing director, eShekels, said billing clarity is crucial for success of VAS adding that subscribers need to know precisely what the cost benefits are, otherwise, such situation will constitute a barrier to adoption of these services by many people.
Moreover, Nigeria CommunicationsWeek investigations revealed that Glo mobile charges 60 kobo per kilo byte while MTN chargesN75 per kilo byte download. Both networks charge 10k per second for accessing GPRS services.
Odufunwa said value added services is still very much sub-optimized in Nigeria, which means that subscribers are getting much less value than is potentially derivable. This, he blamed on Nigeria’s peculiar situation that emphasizes more on voice.
But according to him, most Nigeria telecom operators are short sighted as far as VAS is concerned. For instance, in the Philippines, VAS contributes as much as 40 percent to telecom operators’ revenue. Telecom operators in that country actually put deliberate measures in place to help popularize VAS and today, they are reaping the benefits.
Gbenga Adebayo, chief executive officer, CNSS, commended the new development which according to him is designed to grow the network as well as a sign that the market is beginning to mature.
He emphasized the need for operators to have the required technical support for such services while stressing that there is need for operators offering GPRS to advertise the tariff they charge for such services to encourage the subscribers.
Operators can also learn to be more tactical with their pricing. In the Philippines, for example, SMS was free for up to one year after telecos launched the service. This helped to make SMS in the Philippines popular, people send more SMS in that country than anywhere else in the world. Also, operators should not just launch a service for the ego benefits.
In Nigeria, it seems that operators are keener on launching VAS as prestige projects which are not necessarily followed through with the right level of customer education and marketing to make them outstanding successes in the market place.
Industry analysts while applauding the current shift to VAS, believed that operators could make far more revenues and profits from VAS than they are currently doing despite the dominance of voice, if only they would accord VAS the right level of attention and support.
Now that the major GSM and CDMA operators have upgraded their networks to 3G capability, it is the hope of subscribers that more VAS be launched by operators in the market.
Telecom
X Suspends Twitter Account for Rules Violation

X, the social media platform formerly known as Twitter, has suspended the @Twitter account, replacing its profile with a standard notice citing violation of platform rules.

Musk
The action, which occurred on Sunday, January 11, left users encountering the handle greeted by a bold “Account Suspended” message on a black screen, with no details provided on the specific rules broken or the duration of the suspension.
The development has sparked widespread confusion and nostalgia among users, given that Elon Musk rebranded Twitter to X in July 2023, approximately six months after acquiring the platform for $44 billion in late 2022.
The @Twitter handle had remained dormant since before Musk’s takeover, serving as a legacy remnant of the platform’s original branding, and its suspension appears to mark the final erasure of the Twitter name amid X’s ongoing efforts to combat spam, impersonation, and rule violations.
X’s official statement on the suspended page simply reads: “X suspends accounts that violate our rules,” without offering an appeal process or further explanation, unlike standard user suspensions.
Public reactions on social media ranged from humorous laments of “RIP Twitter” to speculation that the move resulted from automated moderation or a deliberate cleanup of legacy trademarks.
xAI’s Grok AI described it as a purposeful retirement of outdated elements rather than a genuine infraction, while neither Elon Musk nor X spokespeople issued any comment as of Monday morning.
This incident underscores the evolving identity of the platform under Musk’s ownership, which also saw a domain shift to x.com in 2024, further distancing it from its Twitter roots.
Industry observers note that while the suspension aligns with X’s stricter enforcement policies, the lack of transparency has fueled debates on consistency in applying rules to high-profile legacy accounts.
Telecom
FG Plans to Invest $460m World Bank Loan in Fibre Infrastructure

Federal Government plans to channel $460m World bank loan, representing about 92 per cent of a $500m, into the proposed fibre infrastructure company set up to deploy 90,000 kilometres of climate-resilient broadband fibre across the country.

This is contained in the Financing Agreement for the Building Resilient Digital Infrastructure for Growth project between the Federal Government and the International Development Association, the concessional lending arm of the World Bank.
Under the agreement, the World Bank approved a $500m concessional credit to support Nigeria’s drive to expand access to high-quality and climate-resilient broadband internet in unserved and underserved areas.
Of this amount, $460m is earmarked specifically for equity financing and capitalisation of a new Project Company that will drive the fibre rollout. The remaining $40m will cover goods, works, consulting and non-consulting services, training, operating costs, and the refund of a preparation advance used to develop the project framework.
According to the document, the proposed Project Company will be established “as an independent, majority privately-owned and managed special purpose vehicle-joint venture with the objective of the deployment of 90,000 kilometres of climate-resilient fibre infrastructure following a phased approach, limited to provision of wholesale, open access services to licensed telecommunications operators, and management of associated investments, including the carrying out of preparatory activities and provision of transaction advisory services, and provision of equity financing in and capitalization of the Project Company.”
The Federal Government will participate in the company as a shareholder through the Ministry of Finance Incorporated, which manages the government’s investment interests. However, the agreement explicitly caps the government’s shareholding at a maximum of 49 per cent, ensuring that the company remains majority privately owned.
The $460m equity injection is broken into four tranches, tied to strict performance and operational milestones. The first tranche of $150m will be released once the Project Company is incorporated as a joint venture with private partners selected through a process acceptable to the World Bank, and after its memorandum, articles of association, and shareholding agreement are approved.
A second tranche of $100m will only be disbursed after the company adopts fiduciary and administrative procedures approved by the lender and completes at least 5,000 kilometres of fibre deployment. The third tranche of $100m is linked to the completion of an additional 20,000 kilometres of network construction.
The final tranche of $110m will be released after the company launches wholesale open-access services through a published reference offer and completes a further 40,000 kilometres of fibre deployment, bringing the total rollout to at least 65,000 kilometres before the final equity drawdown.
Once each tranche is withdrawn, the agreement requires that the funds be transferred to the Project Company’s dedicated account within five working days, showing the equity nature of the financing rather than traditional budgetary spending.
The project will be implemented under the oversight of the Federal Ministry of Communications, Innovation and Digital Economy, and the Federal Ministry of Finance will receive semi-annual progress updates.
A dedicated Project Implementation Unit will manage day-to-day execution, with overall financial management handled by the Federal Project Financial Management Department in the Office of the Accountant General of the Federation.
Beyond the fibre rollout, the project also includes technical assistance to federal government agencies to support the use of high-quality broadband in targeted areas, as well as funding for project management, monitoring and evaluation, environmental and social safeguards, grievance redress mechanisms and independent audits.
The agreement places strong emphasis on environmental and social standards, requiring compliance with an Environmental and Social Commitment Plan. It also mandates the establishment of an accessible grievance mechanism for affected communities and strict reporting obligations to the World Bank.
Telecom
Court Dismisses N1Bn Suit against MTN, Awards N3m Costs

A Federal High Court in Lagos has dismissed a N1 billion lawsuit filed against MTN Nigeria Communications Plc by Walls and Gates Ltd and Okechukwu Udeichi, its managing director, over alleged copyright infringement, breach of confidentiality, and trademark violations arising from MTN’s 20th anniversary promotional campaign.

Delivering judgement on Tuesday, Justice Ayokunle Faji held that the plaintiffs failed to establish any legally protectable right in their proposal titled “20 for 20”, describing the action as frivolous, speculative, and vexatious.
The court dismissed the suit in its entirety and awarded N3m in costs against the plaintiffs.
The plaintiffs instituted the action under Suit No. FHC/L/CS/1935/2021, alleging that MTN unlawfully used their “20 for 20” proposal, which they claimed to have submitted to the telecoms company on 17 September 2019, ahead of MTN’s 20th anniversary celebration in 2021.
They argued that MTN’s anniversary promotion, in which 20 sport utility vehicles were given out to subscribers, emanated from their proposal and amounted to infringement of their copyright, confidential information, and trademark.
Based on those claims, the plaintiffs sought N1bn in damages or, alternatively, an order directing MTN to render an account of revenue generated from the promotion and remit 50 per cent of it to them.
MTN denied the allegations, contending that the proposal was an unsolicited business idea that imposed no contractual or confidential obligation on the company.
The telecoms firm maintained that its 20th anniversary programme was independently developed and that the plaintiffs’ document was merely a general business concept not protected under Nigerian copyright law.
MTN further argued that the plaintiffs lacked a valid registered trademark and failed to demonstrate access to or copying of any protected expression.
In resolving the dispute, Justice Faji noted that the plaintiffs conceded during oral submissions that they failed to prove their claim of trademark infringement, leaving only the issues of alleged breach of confidentiality and copyright infringement for determination.
On confidentiality, the court held that no confidential relationship existed between the parties.
Justice Faji observed that before sending the proposal to MTN, the plaintiffs had already submitted it to the Nigerian Copyright Commission and relied on it for a trademark application, thereby placing the document in the public domain.
The judge further noted that after transmitting the proposal to MTN, the plaintiffs admitted circulating it to other organisations, which extinguished any claim to confidentiality.
According to the court, MTN had no obligation to respond to an unsolicited proposal in the absence of a contractual, fiduciary, or business relationship, or a non-disclosure agreement.
On the allegation of copyright infringement, the court held that registration with the Nigerian Copyright Commission does not confer copyright, stressing that Nigerian law protects expressions, not ideas or business concepts.
Justice Faji ruled that the plaintiffs’ “20 for 20 Millennium Promotion” amounted to no more than an idea of rewarding customers during an anniversary celebration and lacked the originality and intellectual effort required for copyright protection.
He described the proposal as a bare business concept devoid of original qualities capable of attracting copyright. The judge also held that MTN’s use of the phrase “MTN 20th Anniversary” was a natural description of an anniversary event and did not originate from any protectable work of the plaintiffs.
He further relied on evidence showing that MTN affiliates in other jurisdictions had implemented similar anniversary reward ideas before the plaintiffs’ proposal.
Justice Faji characterised the suit as a “gold-digging exercise” aimed at forcing a commercial relationship on MTN. He criticised the plaintiffs for using MTN’s trademark in their proposal without authorisation and then seeking to ground a billion-naira claim on the same document, adding that the case wasted valuable judicial time.
While affirming that citizens should have access to the courts, the judge stressed that such access must be limited to suits with prima facie merit.
He therefore awarded N3m in costs in favour of MTN, holding that costs must follow the event.
The court accordingly dismissed the suit in its entirety and ordered the plaintiffs to pay the awarded costs to the defendant.
Credit: Punch
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