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SMSaaS Has Strong Future with Telcos As ‘Gatekeepers’- Pearson

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Short Messaging System (SMS) remains a key tool for reaching everyone with unmatched service guarantees and has a strong future, according to researchers at the World Telecoms Lab (WTL)

Although, the activities of Over-The-Top (OTT) content providers’ such as WhatsApp, Facebook, Twitter, are petering the revenue base of the telecommunication network providers and Value-Added Service (VAS), however, the researchers have projected that Telcos’ ability to function as the ‘gatekeepers’ will expose them to the next goldmine: SMS-as-a-Service (SMSaaS).  

The WTL’s report backs claims that “OTT apps, for all their consumer popularity, are still marginal in the A2P space. Operators still dominate”, thus, SMS retains the aura as an important service and unlike popular forms of IP messaging, it is genuinely ubiquitous.

Simon Pearson, business development director, World Telecom Labs told Nigeria CommunicationsWeek that SMS has levels of service performance that are simply not available from common IP-based solutions, which are typically closed-user communities.

“So even while IP messaging has grown in popularity between individuals, there’s no getting away from the fact that SMS provides a means to reach everyone. In particular, it also helps businesses communicate more effectively with their customers. It’s the only way in which they can reach all mobile users in their markets.

“As such, SMS is a premium service. It offers a degree of trackability, reliability and service quality that is simply not available with other messaging solutions. This provides an unrivalled set of service guarantees, which form the foundation of enterprise partnerships. A messaging service provider with access to SS7 network infrastructure can offer a level of service to its business partners that is far beyond the best effort that might be attainable by another messaging platform.

“SMS provides a reassuringly comprehensive way to enable businesses to reach their customers, whether for the purposes of order acknowledgements, service updates or for promotional purposes. For different verticals, such as logistics, catering, tourism, banking, retail, and more, it is a secure, reliable channel to reach customers.

 As such – and contrary to many expectations – while P2P SMS may be in decline, A2P SMS is growing. SMS services that are targeted towards the needs of businesses that need to keep in touch with their customers represent a growth opportunity and one that can help offset declining or stagnant voice margins. The great thing about SMS is that, unlike popular forms of IP messaging, it’s genuinely ubiquitous. If you have a mobile, then you can send and receive SMS to anyone else who has a mobile, regardless of the type of device or the generation of mobile technology it supports. Put simply,” the WTL report reads.

The report is also backed by comments by Jay Emmett, General manager, OpenMarket at the Mobile World Congress 2017 who reminded the telcos and industry experts that SMS is the only channel that is ubiquitous, immediate and universally understood.

“I don’t want a conversation with a bot,” he said. “I want to have a transaction. I don’t even like the word chat bot. I prefer ‘service bot’. If I have a car quote, that’s nine questions. That’s what I want. Not a conversation.”

Nodding in agreement David Vigar, Director of strategic carrier partnerships, Nexmo, said: “What will drive enterprise messaging is how they consumers interact with each other. So they might want to start a conversation on Twitter but then get reply somewhere else. It’s hard to do this without the context being lost, but that’s what we should be working on.”

Speaking on what telcos should focus on, Pearson told Nigeria CommunicationsWeek it implies “don’t get distracted by new, glamourous services with unproven revenue models and lose focus on something that works”. We believe there is a market for telcos and value-added operators to leverage their existing interconnects and subscriber bases.

“An operator can approach corporate customers (banks, airlines etc) and offer them packages that allow them to address their clients very directly. I have noticed that my local hospital, dentist and even the garage all send me SMS these days to remind me about appointments.

From the telco perspective access to this audience is valuable and they are kind of the only people that have it (they can be the ‘gatekeepers’ to the SMS world if you like)”.

 


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Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

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Vitel Wireless Lures Subscribers with “Data that Never Expires” Campaign

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Vitel Wireless, pioneer Mobile Virtual Network Operator (MVNO) licensed by the Nigerian Communications Commission (NCC), has launched an audacious “data that never expires” campaign designed to address consumer pain points in the market.

Vitel Wireless Lures Subscribers with “Data that Never Expires” Campaign

Kenneth Nwabueze, Chairman and CEO of Vitel Wireless

Fast-depleting data is a major issue for mobile users, particularly in Nigeria, with numerous complaints against network providers alleging that data plans exhaust prematurely.

But Vitel Wireless said it is now addressing the situation after extensive engagement with Nigerian consumers, particularly young people and small businesses.

Kenneth Neabueze, chairman of Vitel Wireless, said “What we’re saying to Nigerians is this, you buy the data, and you keep the data for as long as you want. There’s no more. You bought 2GB for two days, and it expires. If you buy that data under our scheme, it stays with you forever,” he said.

He added that the model promotes transparency and cost efficiency. “So it’s saving us money, it’s giving us transparency, and it’s giving us the ability to have control over how we spend and use our data,” he stated.

He noted that the concept was inspired by research into the everyday challenges Nigerians face.

“We talked to students who would tell us that in the middle of doing a project, they would be told that the data had expired, and we asked, ‘ How do we innovate?” We have analysed it, and we know, given the current economic conditions in Nigeria, you should buy the data with discounts of almost 40 per cent, and that’s why we are transparent”

The company has also unveiled a suite of products and services aimed at redefining connectivity, including its flagship Vitel Xphone.

The company explained that its services are available via both physical SIMs and eSIMs, with the 0712 number offering global use.

According to the firm, users can retain existing mobile numbers or migrate seamlessly, while enjoying nationwide coverage across all 36 states and the Federal Capital Territory with full GSM services including voice, SMS, USSD, and mobile data.

Chudi Nwabueze, chief operating officer of Vitel Wireless, described the firm as a technology telecom focused on innovation beyond traditional voice and data services.

“We’re coming in with a lot of innovation to activate applications and create tools that people can use in their businesses, homes, and daily lives,” he said.

He added that eSIM technology allows users to operate multiple lines on compatible devices, while introducing a range of digital solutions aimed at enhancing communication, safety, and business operations, anchored by its flagship Xphone.

Hence, the platform combines GSM and VoIP technologies to deliver seamless voice, video, and messaging services, along with cost-saving benefits and nationwide connectivity.

It is complemented by the Oga App, which enables real-time staff monitoring, automated payroll, and performance tracking to improve organisational efficiency.

Similarly, the network also rolled out SecureMe and Asset Tracker to address security and asset management needs.

While SecureMe provides GPS tracking and emergency alerts for personal and workplace safety, Asset Tracker helps businesses monitor and manage physical assets in real time.

Vitel Wireless noted that on pricing, challenged consumers to compare daily data costs across operators, while adding that the network offers discounts for higher volumes without imposing expiry limits.

Also speaking, Chinenye Adebayo,  relationship partnership manager, outlined opportunities for Nigerians to join the company’s distribution network by visiting the website and becoming a mobile agent or sun-agents in any state.

The company noted that its offerings, including Close User Group (CUG) services and high-speed wireless network, are designed to provide integrated digital solutions for individuals and enterprises, as it seeks to position itself as a disruptive force in Nigeria’s telecom sector.


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Nigeria, Ghana Trigger Stunning 45 Percent Surge in MTN Dividends

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MTN Group delivered impressive financial and operational achievements for 2025, boosted by strong performances in MTN Nigeria and MTN Ghana, as well as solid earnings from MTN South Africa.

Nigeria, Ghana Trigger Stunning 45 Percent Surge in MTN Dividends

The three core markets of Africa’s largest mobile provider enhanced profitability, free cash flow, and shareholder dividends by 45%.

IT Web Africa reported that Ralph Mupita, group CEO and president, MTN, highlighted that the telecoms giant’s robust commercial momentum across key markets capped the final year of its Ambition 2025 strategy, while laying the foundation for a new long-term growth phase under Ambition 2030.

“The Group’s overall performance in 2025 was excellent. In the final year of our Ambition 2025 strategy, we were proud to have exceeded the 300 million customers milestone,” he said.

MTN revealed that it now serves more than 307 million voice subscribers, 172 million data users, and 70 million Mobile Money customers across 16 African markets, reflecting the continent’s growing demand for digital connectivity and financial services.

The operator credited its results to disciplined commercial execution and sustained investment in network infrastructure, with R38 billion spent during the year to expand capacity, improve coverage and enhance service quality.

The group reported that data traffic surged 27%, while average monthly data consumption per user climbed to 12.5GB, up from 10.8GB a year earlier, reflecting Africa’s fast-growing appetite for digital services.

Financially, the performance was driven by MTN’s largest markets.

In constant currency terms, MTN Nigeria grew service revenue by 54.9%, while MTN Ghana increased service revenue by 35.9%.

Meanwhile, MTN South Africa recorded 2% growth, demonstrating operational resilience in one of the continent’s most mature and competitive telecom markets.

MTN Group service revenue rose nearly a quarter to R218 billion, while earnings before interest, tax, depreciation and amortisation climbed to R98.5 billion, supported by R3.6 billion in expense efficiencies.

Mupita stressed that the strong results translated into robust free cash flow and improved return generation, allowing the board to declare a dividend of 500 cents per share, up from 345 cents the previous year.

“This comfortably exceeds the minimum dividend of 370 cents we had previously guided,” he said.

The group also announced a R6 billion share buyback programme as part of an enhanced shareholder remuneration framework aimed at delivering stronger long-term returns.

Alongside its results, MTN unveiled Ambition 2030, a strategy centred on three platforms, connectivity, fintech and digital infrastructure, as it seeks to capture the next wave of growth driven by data adoption and financial inclusion across Africa.

“We are hugely excited about Africa’s potential. We are well positioned to leverage our scale, footprint and brand leadership to capture the significant structural growth opportunities identified,” said Mupita.

 

Source: IT Web Africa


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ATCIS Urges FG to Ensure Safety of Consumers Data

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Association of Telephone, Cable TV, and Internet Subscribers of Nigeria (ATCIS) non-profit consumer rights group dedicated to protecting the rights, interests, and welfare of telecommunications subscribers, has urged the Federal Government to ensure safety of telecom consumers’ data hosted by government agencies.

ATCIS Urges FG to Ensure Safety of Consumers Data

Dr Sina Bilesanmi, president of the body stated this World Consumers Day in Lagos.

He alleged that said subscribers” data are being jeopardised by some of its agencies.

Bilesanmi urged government to ensure that every subscriber in Nigeria can use digital service without fear of physical, financial, or data-related harm.

The ACTIS president said safety in the telecommunication sector extends beyond physical hardware to include data privacy and protection from cyber fraud.

“We call for stricter enforcement by the Standard organization of Nigeria (SON) to eliminate substandard mobile devices and Cable Tv equipment that pose fire or electric hazards.

“We also want safe services from telecoms that are transparent – free from hidden charges and misleading advertisements”, he said.

He urged subscribers to utilize platforms like ACTIS as well as NCC and even FCCPC web portal when they encounter service failures.

He also tasked FG on hosting Nigerian Data Privacy in the country.

He said: “We ask for more robust surveillance and swifter penalties for entities that violate consumer safety standards. We admonish the subscribers to be aware and speak out, a vigilant consumer is a protected consumer.”


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