Telecom
Ready for African Data Boom?
Opinion by David King
Africans like their mobile phones, too. So surely the African continent will simply follow the same telecom development and usage pattern as the rest of the world, just maybe a little later?
Well, not quite. Africa has proven to be somewhat different when it comes to mobile telephony; Just look at the unexpected speed with which cellphone usage took off as it substituted for the lack of fixed-line networks and other key infrastructure.
Africa has always had myriad challenges for mobile operators and other telecom companies to overcome: lack of or substandard infrastructure, political uncertainty, regulatory issues, challenging environments, vast and sparsely populated geographical areas to cover, unreliable energy supplies and poorer target groups.
These challenges have been overcome with ingenuity and perseverance. Prepaid cards in small denominations sold in numerous mobile booths have given consumers with little money access to mobile telephony.
Off-grid base stations are increasingly using green power solutions almost completely replacing the use of dirty and expensive diesel.
Roaming costs are often lower than in the developed world, enabling communities separated by colonial borders to communicate. M-PESA and other mobile money systems have revolutionised the way money is transferred, making it possible for almost everybody to use basic banking services.
Africa-Next Market for Data Boom
It is no great secret that the next big step for Africa is the “post-mobile data revolution”. The penetration of data in African markets is still low, even in South Africa, and prices are still high. And even if everybody agrees that data will take off in a big way, it is difficult to predict when it will happen and how fast. There are of course going to be a number of challenges to overcome.
How can you best prepare to quickly respond to the anticipated demand without investing too much too early?
The biggest challenge is infrastructure. High quality, efficient data centres are essential. They house and power all the equipment needed for transmission of data and are both the heart and brain of any network. But traditional builds for data centres take a lot of time to plan, co-ordinate (with different suppliers) and construct.
Furthermore, challenging environments add a lot of risk to a data centre project, often resulting in delays and budget over-runs.
Buildings for data centres are often not purpose built to be used as technical facilities, often with water leaks and other problems, as well as being over-dimensioned since they cannot be expanded quickly and easily.
Pre-fabricated Modular Data Centres Ideal for African Networks
The solution is pre-fabricated modular data centres. They are quicker to deploy and will in most cases save considerable time and money compared to traditional brick and mortar buildings.
The facility will always be the “right” size since its modular structure makes it easy to quickly expand in response to changing needs.
More efficient power and cooling will make a pre-fabricated data centre more cost effective to run. And quality, budget and the time plan can more easily be ensured for pre-fabricated purpose built facilities, bringing predictability to the project.
A pre-fabricated solution also makes it much easier to customise the data centre for specific needs and it can be deployed anywhere. Let us take a look at a live example: Vodacom in Mozambique (a subsidiary of Vodafone) recently decided to deploy a modular data centre (the eCentre) on top of a six-storey parking garage next to its corporate headquarters in central Maputo.
The roof top turn-key deployment is a 126 square meter open space data centre. Vodacom needed to put the facility in place quickly, efficiently, and on time.
The pre-fabricated build reduced the project risk significantly because the construction work was all done in ten weeks in a clean environment (in Sweden) and the installation work needed on site was completed in only eight days, in total a fraction of what a similar local brick and mortar project would have taken.
Speed and predictability in challenging environments are critical issues in Africa considering it is the fastest growing mobile market in the world and the take off for data could be right around the corner.
Pre-fabricated, modular and custom-designed data centres that can be deployed very quickly, and easily re-deployed if needed, is yet another innovative solution to an African problem (or rather African situation, since there is nothing problematic with fast growth).
It is a solution that will allow data centre owners – internet service providers, hosting companies, mobile operators and banks – in Africa to act quickly and confidently towards a demand for data that might be stronger than any of us expect.
David King is CEO of Flexenclosure, a specialist developer of hybrid power systems and pre-fabricated data centres for the ICT industry.
King has decade-long experience from C-level work with many international high-tech companies, many in emerging markets.
MTN Group has moved a step closer to taking full ownership of telecommunications tower operator IHS Towers, after shareholders of the infrastructure company approved the proposed acquisition at an extraordinary general meeting (EGM).
The telecommunications group announced that IHS shareholders voted in favour of the transaction by the required two-thirds majority at the EGM held on 4 August, satisfying one of the key conditions precedent to the deal.
MTN first announced in February that it had entered into an agreement to acquire the remaining shares in IHS, a move that would give the mobile operator full ownership of one of Africa’s largest independent tower companies.
The acquisition forms part of MTN’s Ambition 2030 strategy, which aims to strengthen the group’s digital infrastructure capabilities and diversify revenue streams as demand for connectivity, cloud services and artificial intelligence (AI) continues to grow across the continent.
“The approval by IHS shareholders is an important step toward completion of the transaction,” says Ralph Mupita, MTN Group president and CEO.
“Within our Ambition 2030, the three-platform strategy, towers are a critical value-creation driver that will strengthen MTN’s strategic and financial position for the future, in a world where digital infrastructure and AI are becoming increasingly essential to Africa’s growth and development.”
Tower infrastructure has become increasingly strategic for mobile network operators as demand for high-speed mobile broadband, cloud computing and AI-powered services drives the need for expanded and more efficient network capacity.
The proposed acquisition is expected to strengthen MTN’s position as it continues expanding its digital ecosystem across Africa, where it serves more than 300 million subscribers.
IHS is one of the world’s largest tower companies, with nearly 29 000 towers in Africa serving various mobile network operators in five key MTN markets.
According to the mobile operator, the proposed transaction, which follows discussions noted in February, marks an important step to unlock compelling value for MTN, and strengthen and reintegrate its ownership of critical digital infrastructure across Africa.
For IHS shareholders, MTN notes, it provides an attractive opportunity to crystalise value.
The funding for the proposed transaction of the remaining shares MTN does not already own, for a consideration of $2.2 billion (R35 billion), will be through cash of approximately $1.1 billion on IHS’s balance sheet, along with available liquidity and debt from MTN.
MTN has approximately 24.7% shareholding in IHS, and as part of the transaction, it intends to take the company private through the acquisition of all outstanding shares it does not own, pursuant to a cash merger.
By reintegrating the tower assets, MTN says it will be able to internalise the margin currently paid to IHS, benefit from current and future incremental third-party revenues, improve cost predictability and unlock significant long-term value embedded in its existing investment.
The transaction remains subject to the receipt of the necessary regulatory approvals, which MTN says are still in progress. No timeline has been provided for the completion of the acquisition.
Telecommunications services provider Airtel Nigeria has further extended its national retail footprint with the rollout of 350 out of a planned 500 premium experience centres, which are designed to bring faster, more convenient service closer to millions of Nigerians.
The new retail shops, officially unveiled at a symbolic launch at City Mall, Onikan, Lagos, mark the latest phase in Airtel Nigeria’s grand retail strategy. They significantly expand the company’s extensive network of over 9,000 exclusive shops across every local government area, more than 350 premium experience centres, and over 73,000 retailers in all top towns and cities nationwide.
Built as compact, high-efficiency touchpoints, the newly launched shops are designed to enable subscribers complete all transactions such as Home Broadband, Fiber and Outdoor Units Subscription, Postpaid Plan Subscription, Enterprise Applications Enquiry and Subscription, as well as Prepaid Product services such as SIM registration and Data Plan purchase, other enquiries and comprehensive account support.
Simultaneously, several shops commenced operations at Purple Mall, Lekki; Marina, Lagos Island; Magodo, Lagos; Oke-Ilewo, Abeokuta; Trend Setter Mall, Benin; Abakaliki, Ebonyi State; Kano City Mall, Kano; Carpenters Mall, Gwarinpa, Abuja; and other parts of the country.
The rollout emphasises the company’s continued investment in customer experience and responds directly to feedback from customers seeking quicker access to everyday services without the longer waiting times that may be associated with larger retail centres.
Speaking on the company retail objectives, Joypratip Sengupta, Director, Sales and Distribution, Airtel Nigeria, explained that quality retail experience ultimately drives customer satisfaction. “Our goal is to demonstrate our dedication to exceptional quality of service, and these new shops, by their design, location, and equipment fit right within our goal to deliver superior service to every one of our customers,” he said.
He added that the expansion reflects Airtel Nigeria’s belief that excellent customer experience goes beyond technology to ensuring customers can receive support whenever and wherever they need it.
“Our business at Airtel is to ensure that we bring our services closer to our customers, and everything we do is centred on putting the customer first. These experience centres are open to help customers carry out their transactions faster and with greater ease. Whether you want to replace a SIM, purchase one of our routers, recharge airtime or data, or resolve any service issue, you can now do so more conveniently and closer to where you are,” he said.
He explained that the initiative represents a significant update to Airtel’s retail strategy, placing greater emphasis on accessibility, speed, and convenience.
“These express shops are designed to reduce traffic at our larger shops while giving customers faster access to the services they need. More importantly, they reinforce our vision of building the most accessible customer service network in Nigeria. As the telecom operator with the country’s largest retail footprint, we will continue expanding into more neighbourhoods, making it easier for customers to connect with Airtel wherever they are,” Sengupta noted.
In her remarks at the launch, Lynda Amechi, Head, Shops and Retail Postpaid Business, revealed that the new retail model was born from listening to customers and reimagining how Airtel delivers its services.
She said, “At Airtel, some of our best ideas come directly from our customers. One of the recurring concerns we received was the time customers sometimes spent waiting at our larger experience centres, even when they only needed simple transactions completed. We listened carefully and realised that many of these requests could be resolved within minutes if we brought our services closer to the communities where customers live and work.”
These new shops are also integrated into Airtel Nigeria’s broader customer experience agenda, which have seen the company continue to invest in digital self-service platforms, AI-powered customer support, nationwide customer forums, and significant network expansion across the country.
With this phase of shop launches, Airtel Nigeria has expanded customer access across the country while integrating digital innovation into physical touchpoints.
The Presidential Renewed Hope Media Tour has commended the National Agency for Science and Engineering Infrastructure (NASENI) for its progress in advancing indigenous technology development, describing the agency as a key driver of President Bola Tinubu’s Renewed Hope Agenda and Nigeria’s industrial transformation.
The commendation came during a visit by the presidential media delegation to NASENI’s headquarters in Abuja, where members inspected the agency’s technology and manufacturing facilities.
Speaking on behalf of the delegation, Mr. Bayo Onanuga, Special Adviser to the President on Communication, Information and Strategy, described the agency’s achievements as “impressive, impressive, impressive.”
He said NASENI’s progress demonstrated the capacity of Nigerian youths to excel when provided with the right leadership and support.
Onanuga also praised the leadership of the Executive Vice Chairman and Chief Executive Officer of NASENI, Khalil Suleiman Halilu, for repositioning the agency to support the Federal Government’s industrialisation objectives.
In his remarks, Halilu said sustainable industrial growth does not necessarily depend on producing goods entirely from local inputs but requires strategic investment in technology development, innovation and partnerships.
He explained that the agency is focusing on commercially viable innovations capable of creating jobs, reducing production time and supporting the Federal Government’s Nigeria First Policy.
According to him, NASENI is also strengthening technology transfer, commercialisation of research outputs, mentorship programmes for innovators and the Innovate Naija Challenge, which offers a ₦500 million prize fund to support promising Nigerian innovations.
The Minister of Information and National Orientation, Mohammed Idris, commended NASENI’s achievements and urged the media to give greater visibility to the Federal Government’s programmes and accomplishments across various sectors.
Also speaking, Hadiza Bala Usman stressed the need for stronger strategic communication and increased patronage of locally developed technologies and innovations.
Similarly, Sunday Dare advocated policies that would encourage Ministries, Departments and Agencies to prioritise NASENI products and other locally manufactured goods.
Other members of the delegation, including Tunde Rahman and Otega Ogra, also commended the agency’s strategic partnerships and locally developed technologies.
During the tour, the delegation inspected facilities dedicated to drone technology, helicopter assembly, reverse engineering, precision manufacturing, renewable energy, agricultural technology and recycling systems.
The visitors also witnessed the implementation of NASENI’s 3Cs framework—Creation, Collaboration and Commercialization—which the agency said is driving indigenous manufacturing, innovation and technology transfer.
At the end of the visit, stakeholders called for sustained nationwide campaigns to promote Nigerian-made products, strengthen local manufacturing, reduce dependence on imports and accelerate the country’s industrialisation agenda under President Tinubu.
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