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Soaring Revenue Base through Value Added Services

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The traditional service that telecommunications operators are meant to provide is voice communications. However, there has been increased demand for value added service which is secondary focus of operators that has turned to be a strong source of revenue.
A value-added service (vas) is popular as a telecommunications industry term for non-core services or, in short, all services beyond standard voice calls and fax transmissions but, it can be used in any service industry (eg. Web 2.0) for the services providers provide for no cost to promote their main service business. In telecommunication industry on a conceptual level, value-added services add value to the standard service offering, spurring the subscriber to use their phone more and allowing the operator to drive up their average revenue per user (ARPU). For mobile phones, while technologies like SMS, MMS and GPRS are usually considered value-added services, a distinction may also be made between standard (peer-to-peer) content and premium-charged content.
There are about 4 billion mobile subscribers worldwide, out of which 67 million mobile subscribers are Nigerian. Over 350 billion text messages are exchanged across the world every month.
Value-added services are supplied either in-house by the mobile network operator themselves or by a third-party value-added service provider (VASP), also known as a content provider (CP). 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) or, increasingly, to a messaging gateway that allows the operator to control and charge of the content better.
In the mobile phone market, new models are being rolled out with features targeted at specific user groups. There are feature phones for business people, with fast email services and document editing capabilities. On the other end of the spectrum are multimedia phones, further sub divided into units with advanced imaging and/or audio capability.
VAS applications
Person to Application (P2A) these are SMS messages sent by end users for contests & for seeking other information like news &  updates;  Application  to Person (A2P) are SMS inclusive of service push by enterprise service providers; Also include calls on IVRS for all other services like astrology.
Ringtones : This is inclusive of monotunes, polytunes, truetunes and also includes Caller ring back tones (CRBT).
Entertainment VAS (jokes, Bollywood Ringtones & games); Info VAS ( Information on movie tickets, news, banking account  etc); mCommerce VAS (Transactional services such as buying railway tickets or movie tickets through the mobile phone)    The revenue generation and popularity of these types of VAS revolves around two factors which are perceived value and practical value.
Technology Enablers    
Short Code Provider: these are the companies who own a short code (e.g. 8888, 3456 among others) which is sold to a third party client for some keyword and a specific period).
In the next few years, there is likely to be further specialization as network providers offer package bundles comprising of a phone, customized content, applications and a unique pricing plan targeted for some user groups. For example, one could opt for a package with a multimedia phone with huge storage space for music, digital rights management (DRM) software for sharing music and a usage plan that allows limited free downloads of songs and video.
Markets have traditionally been viewed in terms of supply and demand, in which vendors and service providers create value for which consumers are willing to pay. But in the emerging digital world, it is just as likely to be consumers themselves that create the value. A couple of examples: SMS’s or Short Message Services are perhaps the biggest success that telephone companies have had in persuading users to create their own value. Most recently, SMS-based voting used in competitions like American Idol/Pop Idol have generated large revenues for all stakeholders within a very short time.
The powerful combination of blogging or dissemination of personal content with social networking or "communitization" will have a strong bearing on the features and services that will be provided to users. There is a discernible trend in the use of mobile phones for creating and distributing blogs and video content while on the go.
The ubiquitous nature of mobile phones is ensuring that they play a key role in every major idea of this decade. As mobile phones evolve into versatile platforms for content exchange, telecom operators will be under pressure to deliver new, exciting content to grow their revenue base.
MTN recently has signed a deal with value-added services enabler and content provider IMImobile, to provide enhanced repository of current and globally popular content to 21 markets of MTN over a single platform.
IMImobile would address the local and international content needs of the company providing different flavor of music, news, sports and local contents, bringing online contents and mobile to 130 million users of the company.
The deal will also enable MTN to launch new voice and data services in its regions of operation. IMImobile is expected to earn around $150.2 billion in 2011 from mobile content and services.
MTN, having exclusive global content rights for the 2010 Fifa World Cup, will use the deal to deliver exclusive 2010 Fifa World Cup content to the mobiles of customers.
Expanding VAS
In Nigeria the list of content providers and platforms are growing by the day, some the major providers include, MTech, Cellcast, TaviaTxt, SaveMyContacts, Textnigeria, Entegration Solutions, Cellulant, CellTrust, 3G Reality Centre and A3&O among others, which generate mobile content to deliver value-added services via the GSM network operators. The mobile operators share the revenues equally with these private VAS companies, barring M-Tel, which is yet to develop a relationship with a VAS company.
The main players in the Mobile value added service chain in Nigeria apart from the National mobile operators are the content aggregators. They provide content to mobile operators; perform in-house content development and aggregating contents from other small players. They own the short codes and they have a tie up with multiple operators to ensure subscribers of all operators can access same short codes. Revenue sharing chain percentages will either encourage more independent developers or discourage them from rolling out innovative services that will promote the 3G. As it stands today, if the operators do not radically change the present revenue sharing structures which allows them to retain chunk of the value added services revenue, development efforts might not be encouraging after all.
Growth is stifled in the vas market in Nigeria because National mobile operators are playing safe and concentrating only on mass services for which content is readily available and chances of failure less. Entertainment value added service despite the fact that its practical value is minimal, is popular because of its mass appeal especially to youth segment and it is promoted over mobile commerce and infotainment which has the capacity to create real value for subscribers. Mere deployment of the 3G Networks will not automatically incite content aggregators to start developing contents. Additional investments in supporting infrastructure like in areas of digital map for those going into location based VAS, promises to be one of the leading services in Enterprise solution VAS in Nigeria.
Prevalence of low end mobile handsets is a major factor in the uptake and penetration of advance mobile technologies. Many services are not performing to their potentials despite their usefulness and many others which cannot be introduced. As the mobile markets grows, most new entrants are the low ARPU end users as most big spenders had already been taken up and hence most mobile handset coming on board might not have the features that support advance technologies. Operators worldwide are taking initiatives to collaborate with mobile phone makers to make 3G services available to more people with less entry cost through handset development, logistics and marketing initiatives. Notable among such collaborations is the 3G for all campaign spearheaded by the GSM Association that will reduce 30% from the LG phone that has been chosen.
Emmanuel Okoegwale, mobile value added services expert, said that operators need to focus on Value added services to survive the cut throat competition they are experiencing right now, reduction in voice revenues and to achieve growth forecast. According to him, there are quite a handful of innovative value added services like the Remote mobile phone book back up, by SaveMyContacts, Vehicle tracking systems, ring tone downloads and the highly successful caller Tunes. Caller Tunes has demonstrated that subscribers are ready to adopt a service that offers them an option of personalization. Mobile users always want to carry forward their individuality to their mobile phones.
While the informational and Mobile Commerce are really struggling in the mobile VAS market in Nigeria, entertainment value added services seems to be more popular because they are designed for mass appeal and leisure time usage while mobile commerce is popular in Banking industry but with few users. Simple reason is that subscribers have not just seen or perceived a compelling reason to engage the mCommerce and others. British Broadcasting Corporation reported that Nigerians are leading visitors to its site worldwide with 61% and distantly followed by South Africa at 19%.This is a classic example of usage due to compelling reason.
In other parts of the world, sport and adult contents are the chief revenue earners in the mobile value added service industry. Entertainment VAS seems to be the leading service that is driving the VAS market in Nigeria, this is because entertainment based VAS drive the market both value and volume terms.
As telecommunications sector is bracing up to implementation Number Portability, value added services stand as a major focus and driver of competition for forward looking operators to survive.
 


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Truecaller Targets Global Market with Powerful New Business Chat Push

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Truecaller, the leading global communications platform, today announced the expansion of its Business Chat platform, making it accessible to global channel partners and enterprise solution providers. By “opening up” market access to its platform, Truecaller is empowering partners to transition their enterprise clients from legacy, low-trust SMS to a verified, smart, media-rich, and conversational communication experience.

Truecaller Targets Global Market with Powerful New Business Chat Push

Truecaller

Through this partner-led expansion, Truecaller empowers businesses to reclaim customer attention and establish immediate trust and credibility.

“The definition of success for modern enterprises has fundamentally evolved. It’s no longer just about delivery – it’s about earning attention, establishing credibility, and driving meaningful conversion,” said Priyam Bose, Global Head, GTM at Truecaller.

“By opening up market access to our global partners, we’ve created a powerful gateway for brands to engage with over 500 million active users where they already interact daily through communication that is contextual, trusted, free from clutter, and designed to initiate actions. For existing customers, the outreach opportunity extends to an additional high-impact channel, strengthening the overall customer experience journey.”

Truecaller Business Chat enables a clutter-free, high-trust conversational experience between businesses and consumers. The Business Chat platform equips partners with actionable insights, including real-time data and rich engagement metrics. This facilitates a more sophisticated, data-driven communication strategy that adapts at every stage of the customer journey.

Partners, including Gupshup and OneXtel, are already live in India along with Globe Teleservices, Cloudcom, and Sling Africa in other global markets, rapidly scaling the product in their respective regions. Global partners can now leverage Truecaller’s massive footprint to offer their clients a trustworthy engagement channel in an increasingly crowded digital world.


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Meta Unveils Muse Spark: MSL’s Groundbreaking People-First AI Model

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Meta Superintelligence Labs (MSL) unveiled Muse Spark Tuesday, its first large language model in a new Muse series, designed from scratch to deliver “personal superintelligence”—an AI assistant tailored to users’ real-world needs like complex reasoning in science, math and health.

Meta Unveils Muse Spark: MSL’s Groundbreaking People-First AI Model

Meta AI

A New Model: Muse Spark

Over the last nine months, Meta Superintelligence Labs rebuilt our AI stack from the ground up, moving faster than any development cycle we have run before. Muse Spark is the first model in our new Muse series — a deliberate and scientific approach to model scaling where each generation validates and builds on the last before we go bigger. This initial model is small and fast by design, yet capable enough to reason through complex questions in science, math, and health. It is a powerful foundation, and the next generation is already in development. Muse Spark now powers the Meta AI assistant in the Meta AI app and meta.ai, built to support complex reasoning and multimodal tasks.

What’s Changed with Meta AI

The Meta AI app and meta.ai are getting an upgrade today, along with a new look. Whether you need a quick answer or help with complex problems that need strong reasoning, Meta AI now handles both. You can switch between modes depending on the task, and Meta AI can launch multiple subagents in parallel to tackle your question. Like planning a family trip to Florida where one agent drafts the itinerary, another compares Orlando vs. the Keys, and a third finds kid-friendly activities — all at the same time, giving you a better answer, faster.

Ask Meta AI: It Understands

The real world moves fast, and most of it does not fit into a text box. That is why we built strong multimodal perception into Muse Spark, so Meta AI can see and understand what you are looking at, not just read what you type. Snap a photo of an airport snack shelf and Meta AI can identify and rank the snacks with the most protein — no label-squinting required. Scan a product and ask how it compares to alternatives. It is the difference between an AI that waits for you to explain the world and one that can simply look at the world with you. And when Meta AI powered by Muse Spark comes to our AI glasses, the assistant will be able to better see and understand the world around you.

Multimodal perception is especially valuable for health. With Muse Spark, Meta AI is now able to help you navigate health questions with more detailed responses, including some questions involving images and charts. Health is one of the top reasons people turn to AI, so we worked with a team of physicians to develop the model’s ability to provide helpful information on common health questions and concerns.

Muse Spark excels at visual coding, letting you create custom websites and mini-games straight from a prompt. Ask Meta AI to build a dashboard for planning a big surprise party, spin up a retro arcade game to chase a high score, or launch a whimsical flight simulator — and share any of them with friends.

Ask Meta AI: It’s Plugged Into What You Care About

Meta AI can now help you discover what to wear, how to style a room, or what to buy for someone you know. Shopping mode draws from the styling inspiration and brand storytelling already happening across our apps, surfacing ideas from the creators and communities people already follow.

And when you are looking up a place to go or a topic that is trending, Meta AI surfaces rich and relevant context right alongside the conversation. Tap into a location and see public posts from locals who know the area. Ask what people are buzzing about and get the full picture, pulled from content and community posts. It is context from your people, right where you need it.

Looking Ahead

The Meta AI app and meta.ai will have the upgraded experience with Instant and Thinking modes everywhere they are available today. The new Meta AI features are starting to roll out in the US on both. In the coming weeks, we will bring these new modes and capabilities to more countries and to the places where people use Meta AI, including Instagram, Facebook, Messenger, WhatsApp, and our AI glasses — where these perception capabilities become even more powerful. We are also opening access to the underlying technology. It will be available in private preview via API to select partners, and we hope to open-source future versions of the model.

This is only the start. As we expand these features, expect richer, more visual results, with Reels, photos, and posts woven directly into your answers, with credit back to the content creators. And as our models improve, we’ll continue to build safeguards for things like safety and privacy, starting with the strengthened risk framework and other protections we’re sharing today.

The future of Meta AI is rooted in the relationships and context already at the center of your life. We are building toward personal superintelligence — an AI that does not just answer your questions but truly understands your world because it is built on it.


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From Import Dependency to Local Capacity: Nigeria’s Tech Manufacturing Journey

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The recent escalation in the US-Israel conflict with Iran has delivered a sharp reminder of Nigeria’s economic vulnerability. As oil prices surged past $100 per barrel and fuel costs climbed by 35% at Nigerian pumps, a troubling paradox emerged: Nigeria, a major crude oil producer with Africa’s largest privately-owned refinery now operational, still found itself buffeted by global energy shocks originating thousands of miles away.

From Import Dependency to Local Capacity: Nigeria's Tech Manufacturing Journey

Zinox

The closure of the Strait of Hormuz and resulting disruptions to global energy markets exposed the deeper structural challenge facing Nigeria’s economy. Despite domestic crude production and the operational Dangote Refinery, Nigeria has struggled with rising inflation, which reached approximately 27% in 2025. The crisis illuminated an uncomfortable truth: decades of import dependency have left Nigeria’s economy precariously exposed to external shocks, even in sectors where the country possesses natural advantages.

This vulnerability extends beyond energy. Nigeria’s technology sector offers a particularly instructive case study in the costs of import reliance, and the transformative potential of local capacity as the pathway to economic stability and technological sovereignty.

Against this backdrop, Zinox Technologies stands as a compelling counternarrative. Founded in 2001 by technology entrepreneur Leo Stan Ekeh, Zinox operates West Africa’s only computerized digital assembly plant. As Nigeria’s first indigenous computer manufacturer, Zinox demonstrates what becomes possible when vision, investment, and commitment to local capacity converge.

The company’s reach extends beyond traditional computing. Zinox’s innovation spans renewable energy through iPower and home electronics with iTEC, addressing Nigeria’s chronic power challenges with locally-assembled solar solutions and backup systems designed for Nigerian conditions. This diversification reflects sophisticated understanding: true technological sovereignty requires integrated capabilities.

Zinox’s journey offers a clear case study in how indigenous companies can drive transformation. By focusing on local assembly and manufacturing of computer hardware and digital devices, the company has contributed to building a domestic technology ecosystem that supports government institutions, educational systems, and private enterprises. This approach not only reduces reliance on foreign imports but also creates jobs, transfers knowledge, and strengthens national capacity.

The implications are significant. Every locally assembled device represents a step away from foreign exchange exposure. It also signals a shift in mindset — from consumption to production. In a country where demand for technology continues to rise, especially with the acceleration of digital adoption, the importance of local manufacturing cannot be overstated.

Beyond economics, there is also a strategic dimension. Technology is no longer just a commercial tool; it is a defense tool and a national asset. Countries that control their technology supply chains are better positioned to innovate, secure their data, and compete globally. In this context, companies like Zinox are not merely businesses; they are enablers of national development.

Furthermore, local capacity development has a multiplier effect. It stimulates ancillary industries such as logistics, retail, maintenance, and technical services. It also fosters entrepreneurship, as more Nigerians gain access to affordable and reliable technology tools needed to participate in the digital economy.

Yet, while progress has been made, there is still work to be done. Scaling local manufacturing requires sustained policy support, infrastructure investment, and a deliberate focus on skills development. It also calls for stronger collaboration between the public and private sectors to create an environment where indigenous innovation can thrive.

Encouragingly, the momentum is building. There is a growing recognition that Nigeria must move beyond being a consumer market to becoming a production hub. This shift is not only necessary, it is urgent. Global uncertainties will continue to test economies, and only those with strong internal capabilities will remain resilient.

The current global crisis offers clarity. If the Strait of Hormuz is not reopened or supply chains to imports are fractured, only countries with strong domestic manufacturing capacity will weather the storm. Those dependent on imports suffer disproportionately.

The story of Zinox Technologies underscores what is possible. It shows that with the right mix of vision and execution, Nigeria can chart a new course, one defined by self-reliance, innovation, and sustainable growth. As the country navigates an increasingly complex global landscape, the message is clear: the future belongs to economies that build, not just buy.


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