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Africa to Create 6.6 Million Jobs by 2020 Via Mobile Telephony

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New report by the GSMA, an association of mobile operators and related companies devoted to supporting the standardising, deployment and promotion of the GSM mobile telephone system, has identified that mobile telephony will booster job creation in Africa by 6.6 million jobs by 2020.

The report released by on Monday reads that, “Sub-Saharan Africa Mobile Economy 2013” shows that mobile contributes over six per cent of the region’s GDP, higher than any other comparable region globally, and this would rise to over eight per cent by 2020.

Tom Phillips, chief regulatory officer (GSMA), said despite the significant impact of the mobile industry in Sub-Saharan Africa in recent years, even greater opportunities are ahead.

According to the report, Sub-Saharan Africa’s unique mobile subscriber base has grown by 18 per cent annually over the last five years, making it the fastest growing region globally.

“Beyond further growth for voice services, the region is starting to see an explosion in the uptake of mobile data. However, a short-term focus by some countries on generating high spectrum fees and maximising tax revenue risks constraining the potential of the mobile Internet,” said Phillips.

“Last year, the mobile ecosystem directly supported 3.3 million jobs and contributed US $21 billion to public funding in the region, including licence fees. By 2020, mobile is set to double its economic effect, employing 6.6 million men and women in the region and contributing US $42 billion to public funding,” reads the report in part.

This is GSMA  latest comprehensive study of the socio-economic impact of the mobile industry in Sub-Saharan Africa.

“By mid-2013, there were 253 million unique mobile subscribers and 502 million connections. With many countries in the region seeing fixed line penetration rates of less than five per cent, mobile has emerged as the main medium for accessing the internet across Sub-Saharan Africa. While 2G connections still dominate in the region, 3G and 4G networks are gaining scale and smartphone ownership is on the rise. With unique subscriber penetration rates still less than 33 per cent, this opens up a major opportunity for growth in the next five years.

The report calls onoperators and investors to fund the substantial investment needed to extend coverage to remote areas and meet the growing demand for higher speed connectivity.

According to the GSMA report, the future of the mobile industry depends spectrum management whereby new spectrum is assigned using economically efficient methods that balance the socio-economic benefits with the capital expenditure required to deploy advanced networks.

The report also points out that spectrum should, as a matter of priority, be assigned to those operators that have previously demonstrated an ability to use the spectrum efficiently.

“With a number of existing spectrum licences coming up for renewal across the region, regulators must establish a transparent and predictable process for granting spectrum licences and renewing spectrum usage rights in order to allow operators to plan their investments. The renewal of spectrum usage rights should also be based on recovering administrative costs and promoting investment instead of maximising short-term fees,” reads the report in part.


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Telecom

FG Plans EO to Criminalise Fiber Cable Damage Costing Telcos Billions

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Nigeria will criminalize the destruction of broadband fiber cables following repeated complaints by MTN Nigeria Communications Plc and other telecommunications companies that they are losing billions of naira, according to people familiar with the matter.

FG Plans EO to Criminalise Fiber Cable Damage Costing Telcos Billions

Federal ministry of works, which supervises federal road constructors, is finalizing the regulation that will be signed as an executive order by President Bola Tinubu, said the people, asking not to be identified as they weren’t authorized to comment.

While there are presently laws against vandalism, the authorities are aiming to regulate construction firms more closely.

The order will enforce stiff penalties on offenders, said the people, declining to provide more details or say when it will be signed.

“Telecom assets are critical backbone that supports the economy across sectors,” said Temitope Ajayi, a senior presidential aide, who noted that the Association of Telecommunications Companies (ATCON) has been demanding the classification for years.

New rules will provide “further assurance that the Nigerian government will protect their investments against vandals and criminal elements.”

The Nigerian Communications Commission (NCC) estimates that the sector will make up more than a fifth of the country’s gross domestic product by the end of 2027, up from 13.5% in the third quarter of last year.

The move will help alleviate pressure on the telecoms sector, which is facing increased operating costs and sales pressures from a sharp depreciation in the currency and a threefold increase in energy prices.

Repairs and revenue losses from damaged cables is estimated to have cost the sector almost 27 billion naira ($23 million) last year alone, documents seen by Bloomberg show.

MTN Nigeria, the biggest wireless operator in Africa’s most-populous nation, and Airtel Africa Plc bore the brunt of the costs, the documents show.

MTN suffered more than 6,000 cuts on its fiber cable last year, the documents show. On Feb. 28, a cut on its network in three different locations by a road construction firm, an oil serving company and someone burning rubbish in a manhole meant customers faced more than five hours of data and voice outages.

The operator relocated 2,500 kilometers (1,553 miles) of vulnerable fiber cables between 2022 and 2023, at a cost of more than 11 billion naira – enough to build 870 kilometers of new fiber lines to areas without coverage.

A presidential order on the matter would be welcomed, said Tony Izuagbe Emoekpere, president, Association of Telecommunications Companies of Nigeria.

“When it comes to communication infrastructure, they are destroyed at will, so we are eagerly awaiting the president’s order,” he said. “It would be a great boost to the industry, and it will also encourage investment.”

 

 


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Telegram Eyes 1Bn Users amidst Political Pressures

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Telegram, the messaging giant founded by Pavel Durov and headquartered in Dubai, anticipates hitting a remarkable milestone of one billion active monthly users within the next year.

Durov’s departure from Russia in 2014, prompted by governmental pressures to stifle opposition communities on his VK social media platform, underscores Telegram’s commitment to neutrality despite geopolitical challenges.

With 900 million active users currently, Telegram stands as a beacon of free speech in the digital realm, particularly influential in former Soviet Union republics and pivotal during conflicts like the Russia-Ukraine standoff.

Durov’s staunch advocacy for freedom of expression and opposition to censorship by tech giants like Apple and Google reinforces Telegram’s status as a neutral platform.

Opting for the UAE as its base, Durov cites its neutrality and openness as conducive to Telegram’s ethos, serving both opposition groups and governments alike while maintaining impartiality.

In Durov’s vision, the pursuit of freedom eclipses material gain, shaping Telegram’s trajectory as a bastion of digital liberation.

 

 


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NITDA, NIMC Announce Collaboration To Strengthen Digital Economy

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To further strengthen Nigeria’s digital economy in line with President Bola Ahmed Tinubu’s Renewed Hope Agenda, the National Information Technology Development Agency (NITDA) and National Identity Management Commission (NIMC) have announced a collaboration on National Public Key Infrastructure (PKI) and Digital Public Infrastructure (DPI) to enhance and create synergy between digital identity, payment ecosystem, and secure & seemless data exchange capabilities for Nigeria.

During the meeting between the Director-General of NITDA, Kashifu Inuwa Abdullahi, and Director General of NIMC, Engr. Bisoye Coker-Odusote, with some management staff of both organisations, they discussed various initiatives, which include building DPI stacks for a secured and seamless data exchange and forming partnerships to transform the national identity system.

This collaboration also aims to harness the potential of the innovative ecosystem and emphasise the use of Public Key Infrastructure (PKI) to drive digital transformation in Nigeria.

To ensure a smooth implementation, a 12-man committee was set up. This committee will play a crucial role in kickstarting and harmonising the initiatives. It is expected to deliver a comprehensive implementation report within the next 4 weeks


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