Telecom
NCC Moves to Strengthen Colocation, Infrastructure Sharing Market Segment
The Nigerian Communications Commission (NCC) has commenced the process of conducting a study to assess the current level of competition in the colocation and infrastructure sharing (CIS) segment of the Nigerian telecommunications sector. Seventy-eight licensees are currently operating in that market segment.
(L-R): Mr. Ajibola Olude, Executive Secretary, Association of Telecommunications Companies of Nigeria; Mary Iwelumo, Partner, PricewaterHouseCoopers; Mrs. Yetunde Akinloye, Director, Policy, Competition and Economic Analysis, Nigerian Communications Commission (NCC); Engr. Bako Wakil, Director, Technical Standards and Network Integrity, NCC; Yomi Arowosafe, Lagos Zonal Controller, NCC; Dapo Otunla, Chief Corporate Services Officer, IHS and Mr. Sunday Atu, Deputy Director, NCC, during a stakeholders’ forum for the consultancy study on the level of competition in colocation and infrastructure sharing market of the Nigerian telecom industry held in Lagos recently.
The study is to enable the Commission to have insightful and evidenced-based facts to glean the dynamics at play and ensure the continuous growth of the CIS segment of the telecom market.
The NCC takes this issue as priority in view of the critical role played by the colocation and infrastructure sharing segment of the telecom ecosystem in ensuring robust services.
Already, the Commission has engaged the services of Messrs. Price Waterhouse Cooper (PwC), one of the world’s reputable consulting firms, to conduct the study on its behalf, in exercise of NCC’s regulatory functions as provided in the Nigerian Communications Act (NCA), 2003. The study is expected to be concluded between April and July, 2022.
Speaking at the NCC’s stakeholders’ forum recently organised in Lagos on the commencement of the study, Yetunde Akinloye, director, Policy, Competition and Economy Analysis (PCEA) at NCC, who represented Prof. Umar Garba Danbatta, executive vice chairman of the Commission, said the forum was hosted to intimate operators in the CIS segment of the telecom market on the study and to secure their buy-in and cooperation with the consultants undertaking the study.
Akinloye reasoned that, in line with its mandate of creating an enabling environment for competition among operators in the industry as well as ensuring the provision of qualitative and efficient telecommunications services, the NCC periodically conducts studies to assess the level of competition in the industry.
“Having successfully conducted competition assessment studies in 2005, 2010 and 2013, the Commission had issued determinations based on the findings of the studies while outcome of such studies has also enabled the Commission to come up with various regulatory interventions and initiatives to continuously provide a level-playing field for the interplay of market forces.
“These procedures are emplaced by the Commission to ensure fair, efficient and sustainable competition in the Nigerian telecom industry,” Akinloye said.
Despite the measurable progress made by the Commission, Akinloye stated that, since the successful completion of the 2013 study, there had been significant development and activities in some market segments of the industry that had necessitated the conduct of another competition study.
For instance, at the time the 2013 study was conducted, the CIS market segment was still at embryonic stage and as such, much emphasis was not placed on it. However, “The CIS segment has recorded significant growth and transformation over the years having about 80 licensees, operating in the segment while its performance and activities continue to impact significantly on other segments of the Nigerian industry.
“The Director PCEA also informed that activities in the CIS market has also attained the targets set out in the Nigerian National Broadband Plan (2020-2025)”.
Akinloye further declared that the overarching objective of the study is to provide current insights into the level of competition in the CIS market segment and articulate strategies to enhance opportunities in the market, as well as ensure the deepening of competition which will ultimately support the provision of innovative services for the benefits of both market players and the consumers at large.
“Therefore, in line with NCC’s participatory approach to regulation, this initial stakeholders forum has been convened to formally introduce the project and the appointed consultants to the industry”. Akinloye informed participants and asserted that the forum provides opportunities for stakeholders to gain an understanding into the objective, scope and methodology of the study, as well as to ensure that questionnaire or Request for Information (RFI) developed by the consultants to access the level of competition in the market are well understood.
Thus, Akinloye rallied the stakeholders to see the forum as an opportunity “to seek and receive clarification based on presentation delivered by the consultant and to make comments on issues relating to the study. She urged all participants to “commit to the objectives of the study, by providing complete, timely feedback to questionnaires.”
Bako Wakil, Director, Technical Standards and Network Integrity at NCC, also joined Akinloye in seeking the full cooperation of licensees in the CIS segment of the telecom market whenever they are approached by the consultants for relevant information either through the instrumentality of the RFI or through one-on-one sessions with consultants in the course of the implementation of the study.
According to Wakil, the study is in the interest of the CIS licensees, other players and the consumers. It will also provide the Commission with useful and evidenced-based insights necessary to ensure healthy competition and a level-playing ground in the CIS segment and ensure sustainability in the growth of the telecommunication industry.
“Also, rest assured of the confidentiality of any information provided to the Commission in the course of this study, no matter how sensitive,” Bako said to the enthusiastic audience.
Earlier in her presentation to telecom stakeholders at the event, Partner at PwC, Mary Iwelumo, amplified the voice of the Commission on the objectives of the study and urged them to cooperate with the firm in providing accurate, timely and adequate responses to the RFI or the questionnaire that would be administered. This will ensure that appropriate information are to obtained to address the challenges in the sector.
Iwelumo stated that the study is to analyse the structure and operations of the collocation and infrastructure sharing segment of the telecoms market, draw out insights and advise the Commission on necessary regulatory interventions required.
Iwelumo further listed three major tasks of PwC in the execution of the study to include: gathering data, reviewing and analysing information that would be sourced from the Commission, the operators, other jurisdictions for benchmarking; engaging identified stakeholders to get feedback and suggestions after the completion of market assessment; and finally to make recommendations and prepare the study report.
“Operators are very critical to the success of the study. Therefore, they would be involved in this critical assignment, as important sources of information, as provider of technical inputs, and finally, help to validate the findings of the study,” Iwelumo said to underscore the role of operators in the study.
Eight US newspapers sued OpenAI and Microsoft in a New York federal court Tuesday for violating their copyright to train the technology behind the ChatGPT and Copilot chatbots.
The newspapers, which include The New York Daily News and The Chicago Tribune, are owned by Alden Global Capital, a Florida-based hedge fund that created the second-largest US newspaper group behind USA Today owner Gannett when it bought the Tribune publishing chain in 2021.
“This lawsuit arises from defendants purloining millions of the publishers’ copyrighted articles without permission and without payment to fuel the commercialization of their generative artificial intelligence products, including ChatGPT and (Microsoft’s) Copilot,” according to the filing.
“As this lawsuit will demonstrate, defendants must both obtain the publishers’ consent to use their content and pay fair value for such use,” the filing said.
OpenAI and its Microsoft backer were also accused of offering up verbatim excerpts of full articles as well as attributing misleading or inaccurate reporting to the publications in certain requests.
Other newspapers involved in the suit were The Orlando Sentinel, The Sun Sentinel of Florida, The San Jose Mercury News, The Denver Post, The Orange County Register and The St. Paul Pioneer Press.
In a statement, OpenAI did not refer to the accusations specifically but said “we take great care in our products and design process to support news organizations.”
OpenAI pointed to the “constructive partnerships and conversations with many news organizations around the world to explore opportunities, discuss any concerns, and provide solutions.”
This referred to the news outlets that have entered partnerships with the Microsoft-backed startup instead of going to court.
They include The Associated Press, Financial Times, Germany’s Axel Springer, French daily Le Monde and Spanish conglomerate Prisa Media.
The suit on Tuesday closely resembles a case filed by The New York Times in December, in which OpenAI is also accused of stealing content to train its powerful AI.
In that case, OpenAI strongly pushed back, arguing the use of publicly available data including news articles for general training purposes is fair use.
OpenAI also accused the Times of violating ChatGPT’s user guidelines to generate the content that suited its case.
Microsoft declined to comment on the suit.
AFP
Nigeria’s mobile network landscape is seeing a gradual shift towards newer technologies, with 5G subscriptions reaching 2.7 million in March 2024, according to the Nigerian Communications Commission (NCC).
This translates to a 1.24 per cent penetration rate.
While this represents steady growth compared to December 2023 (1.04%), 2G remains the dominant network choice, accounting for over half (56.97%) of all connections. 3G holds a 9.04% share, while 4G subscriptions have grown significantly from 25.06% in May 2023 to 32.74% in March 2024.
The high cost of 5G-compatible smartphones is a major barrier to wider adoption. Although all three major operators – MTN, Airtel, and Mafab Communications – offer 5G services in select cities, expanding coverage and affordability remain key challenges.
MTN launched the first 5G network in September 2022, followed by Airtel in June 2023. Mafab entered the market later in 2023. All three companies are aiming to expand their reach, but the high cost of 5G devices is a significant deterrent for many Nigerians.
According to Mohammed Rufai, chief technical officer, MTN, maintaining older networks (2G and 3G) alongside newer ones is necessary due to device compatibility issues.
This highlights the need for a wider range of affordable 5G-compatible phones to truly unlock the potential of this next-generation technology in Nigeria.
Experts have called for stronger laws and stricter regulation to tackle security issues around call masking and Subscriber Identity Module (SIM)-boxing-related fraud in Nigeria, according to the Nation.
Call masking or refilling is a practice in which international calls are terminated in Nigeria as local numbers, using illegal SIM boxes loaded with several numbers.
It is a deliberate attempt by fraudsters to avoid paying the correct International Termination Rate (ITR) for international calls, paying instead the Local Termination Rate (LTR).
For example, when the number is masked as a local call, an operator pays N3.90 LTR and not N24.40 ITR.
The process allows operators to terminate inbound international telecoms traffic as local calls, so they do not have to pay ITR, which is the interconnection charge set by telecoms traffic carriers as carrier-to-carrier charges.
A SIM Box fraud is a setup where fraudsters install SIM boxes with multiple prepaid SIM cards.
A fraudster can bring calls through VOIP (through the internet) and terminate international calls through local phone numbers from a country, to make it appear as a local call, by initiating the call through a local SIM installed in the SIM box.
About three years ago, when the issue came to the limelight, the Nigerian Communications Commission (NCC) carried out some investigations, leading to the sanctioning and suspension of some operators earlier this year.
Some of these suspensions were later lifted.
The Office of the National Security Adviser (ONSA), the National Intelligence Agency (NIA), the Department of State Services (DSS), and Committees of the House of Representatives and Senate have on several occasions expressed concern about the menace.
While many stakeholders believe that the menace has been nipped in the bud, it has continued to rear its ugly head to the bewilderment of experts and stakeholders.
Ikechukwu Nnamani, president/chief executive officer of Medallion Communications Limited, lamented that it is a subject matter, which NCC should address completely.
Nnamani, who is an executive member of the premier telecom body in Nigeria – the Association of Telecommunications Companies of Nigeria (ATCON), said almost all calls he received recently are masked.
“Sometimes, I don’t pick up calls because I do not know the number only to find out later it was an international call.
“The truth is that I don’t know why this has not been resolved, I expected it to have been solved.
“Honestly, I would not know why. One would have expected them to have sorted all these out by now,” he said.
Chief Deolu Ogunbanjo, president of the National Association of Telecommunications Subscribers of Nigeria (NATCOMS) said there was no need to relent in reporting the menace to the right authority.
He said it could be a plan to ensure that gain accrued to some people. “I don’t know whether call masking favours the operator or it is being done deliberately.
“It is a situation that the telecoms should deal with because it is a technical problem. I think it is some of those unlicensed operators doing all these.
“Some of these operators’ facilities are being tapped into; they need to look into their operations, so they can be taken care of.
“If they are still in the habit of doing it, proper sanctions should be meted out to any erring service provider.
“There should be heavier sanctions. They can’t be short-changing subscribers and at the same time, the government,” he said.
Mr. Ajibola Olude, executive secretary of the Association of Telecommunications Companies of Nigeria (ATCON), believes the issue can be addressed.
“When it comes to technology, you can only address it maximally. It is not as rampant as before and it is an international issue.
“We have addressed it before and we will look at it again.
“About four years ago, when it happened, we deployed all the resources within our capacity to address it and I think it was addressed maximally.
“I have not seen any operator complaining, except now that you are raising the issue, but as far as we know, call-masking is no longer a problem.
“I am going to contact our compliance monitoring to enlighten me about what is going on, but it is no longer an issue,” he said.
Mouka Reuben, director, Public affairs, NCC, said the situation has been tackled before and he does not think it was a major issue again.
He, however, promised that the commission would look into it again to find a way out.
NCC recently put the revenue lost to call-masking and SIM-boxing activities in the country at $3 billion.
This is as telecom operators lamented during the 85th edition of the Telecom Consumer Parliament in Lagos that they were losing about N2.5 million minutes per day to these fraudulent activities.
On actions that had been taken by the commission to combat the menace, Prof Umar Danbatta, former Executive Vice-Chairman, NCC, said the NCC had tightened the SIM registration process across all networks to reduce the availability of SIM cards for SIM-boxing as well as address the security issues around the availability of pre-registered SIMs.
According to him, the action was necessary as some arrests made in Lagos two weeks ago showed that the perpetrators of SIM-boxing had over 100 SIM cards registered with fictitious names and used them to divert international calls.
Credit: The Nation
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