Connect with us

E-Business

WeChat Takes on WhatsApp in Africa

Published

on

whatsapp1.jpg
Kindly share this post

WeChat, China’s biggest Internet-based mobile messaging platform – is scrambling to gain from African markets.

The move is leading the South Africa-China joint venture down a fiercely competitive path as Facebook’s WhatsApp is already part of the social media fabric in most African countries.

The outcome of the battle for users could help determine who can turn the exponential growth in online messaging services into profits.

WeChat stands at a major disadvantage as WhatsApp is used far more widely, making users naturally reluctant to choose a less-popular rival service.

But WeChat is betting an array of services that include money transfers, prepaid electricity and airtime purchases, and its experience in selling products to lower income users in the villages of China will loosen the Silicon Valley grip.

“That’s at the heart of the story for us because we knew that we were late to the market compared to other instant messaging apps and so we realised that focusing on chat services was not the most practical way to get to market,” WeChat Africa head Brett Loubser told Reuters.

Launched in Africa in 2013 by China’s Internet giant Tencent and its 34% shareholder, South African e-commerce and media group Naspers, WeChat Africa is a rare South-South corporate partnership to expand on the continent.

The joint venture is facing an uphill battle in taking on WhatsApp, which offers free text, picture and video messages, and whose adoption in big African markets such as South Africa was lightning-fast because texts over a phone network are still expensive.

A 2015 study by World Wide Worx showed WhatsApp had just over 10 million users in South Africa compared with just over five million for WeChat.

But WhatsApp, acquired by Facebook in 2014 for $19 billion and which has a long-standing promise to keep the platform ad-free, has no immediate plans to make money out of the service in Africa, Facebook Africa head Nunu Ntshingila said.

“At this point in time, we are not at the stage where we are looking at monetising WhatsApp,” Ntshingila told Reuters. “That’s in a three-year time frame because right now the focus is on two big apps which are Facebook and Messenger.”

With Facebook’s deep pockets, analysts believe WhatsApp can easily leverage its popularity on the continent as and when it turns on the monetisation tap. Ntshingila said WhatsApp is the top messaging platform in South Africa, Nigeria and Kenya.

“You could argue that WeChat is pulling ahead in monetisation efforts but WhatsApp guys can do anything using their numbers. It’s all about who’s got numbers,” said Sibonginkosi Nyanga, ICT analyst at fund manager Momentum SP Reid.

WhatsApp is testing making restaurants, airlines and credit card firms pay to contact consumers, its chief executive Jan Koum said in January, when the company announced it is dropping its token $1 fee levied on some of its users.


Kindly share this post

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.

Continue Reading
Advertisement
Comments

E-Business

NITDA Takes Over National Digital Architecture System

Published

on

Kindly share this post

Nigeria has taken a major step toward strengthening its digital governance framework as the National Information Technology Development Agency (NITDA) officially assumes control of the Nigeria Government Enterprise Architecture (NGEA) infrastructure.

NITDA Takes Over National Digital Architecture System

The handover ceremony held in Abuja, marks the culmination of a high-level partnership with the Korea International Cooperation Agency (KOICA).

This transition signals a shift from fragmented IT projects to a unified, disciplined approach to national digital investment.

The NGEA initiative forms a core part of the e-Government Masterplan 2.0 (Ne-GMP 2.0), aimed at establishing a unified and structured approach to managing government IT investments and digital resources.

The framework is designed to ensure that technology deployment across public institutions aligns with national priorities while improving efficiency and accountability.

With the system now operational, government agencies are expected to adopt more integrated digital processes, allowing seamless data sharing and interoperability.

This is anticipated to reduce duplication, strengthen risk management, and translate policy objectives into measurable digital outcomes.

Over the past two and a half years, Nigerian technical experts worked closely with their Korean counterparts to develop the architecture framework, create reference models, and execute pilot programmes in key institutions.

These include the National Identity Management Commission, Nigeria Customs Service, Nigeria Immigration Service, and NITDA.

Officials say the NGEA represents a shift from fragmented digital efforts to a more coordinated, citizen-focused system.

The infrastructure is hosted by Galaxy Backbone Limited, providing a secure and reliable platform for nationwide deployment.

Looking ahead, NITDA is expected to work with government stakeholders to expand and sustain the system, while the Federal Ministry of Communications, Innovation and Digital Economy will provide policy guidance to ensure its adoption across the country.

 

 


Kindly share this post
Continue Reading

E-Business

FG Shifting Focus to “Meaningful Connectivity” to Drive Inclusion  – Minister

Published

on

Kindly share this post

Bosun Tijani, minister of Communications, Innovation and Digital Economy, has said the government is shifting focus from expanding access to ensuring “meaningful connectivity” that drives economic growth and inclusion.

FG Shifting Focus to “Meaningful Connectivity” to Drive Inclusion  - Minister

Bosun Tijani, minister of Communications, Innovation and Digital Economy

The minister made the statement on Friday while addressing stakeholders at the inauguration of board members of the Universal Service Provision Fund (USPF) in Abuja.

He said that although Nigeria had made significant progress since the introduction of GSM services, millions of people, particularly in rural and underserved communities, remain either unconnected or unable to fully benefit from digital services.

Dr Tijani highlighted ongoing investments in digital infrastructure, including plans to deploy 90,000 kilometres of fibre optic network and nearly 4,000 telecom towers nationwide.

He said initiatives under the USPF had improved access through projects such as rural connectivity and digital facilities in schools but stressed that the next phase must prioritise effective usage.

“It is not enough to connect a community. We must ensure that schools can teach with digital tools and that small businesses can access market opportunities,” he said, citing a pilot project in the Kura community where connectivity has enhanced access to communication, education and healthcare.

Aminu Maida, executive vice chairman, Nigerian Communications Commission (NCC) also called for a shift towards meaningful connectivity, noting that while data usage had grown significantly, it remained concentrated in urban areas.

According to him, recent data shows that telecom usage has increased by about 160% over the past two years, largely driven by urban demand.

“When we drill down, we see that a lot of that growth is actually in urban centres. So, the gap between those who are not connected or not meaningfully connected is growing,” he said.

Dr Maida added that the trend underscored the need for the USPF board to intensify efforts to bridge both access and usage gaps across the country.

Both officials emphasised the importance of collaboration, sustainable investment models and improved digital literacy to ensure that connectivity translates into real economic benefits for Nigerians.

 

 


Kindly share this post
Continue Reading

E-Business

Jury Finds Meta, Google Liable for Woman’s Social Media Addiction

Published

on

Kindly share this post

A jury in Los Angeles has found technology companies, Meta and Google liable for contributing to a young woman’s social media addiction, in a case being described as a landmark ruling.

Jury Finds Meta, Google Liable for Woman’s Social Media Addiction

The 20-year-old woman, identified only as Kaley, argued that she became addicted to Google’s YouTube and Meta’s Instagram from an early age due to their attention-driven design features.

According to her testimony, she began using YouTube at the age of six after downloading the app on her iPod Touch to watch videos about lip gloss and online games.

Kaley told the court that she joined Instagram at nine, bypassing parental restrictions put in place by her mother, and spent extended periods on social media.

The trial, which lasted about a month, with arguments and evidence from both sides.

Jurors also heard testimony from Mark Zuckerberg, chief executive, Meta and Adam Mosseri, Instagram head.

However, Neal Mohan, YouTube chief executive, did not testify.

The jury found that the companies were negligent in the design of their platforms and failed to adequately warn users about potential harms. Meta and Google were ordered to pay the woman $3 million in damages.

Jurors also recommended additional punitive damages, including $900,000 against YouTube and $2.1 million against Meta, according to company spokespersons.

The jury apportioned 70 per cent of the responsibility to Meta and 30 per cent to YouTube.

Kaley was present in the courtroom when the verdict was delivered, alongside parents of other teenagers who say they were harmed by social media use. Both companies said they plan to appeal the decision.

“We respectfully disagree with the verdict and will appeal. Teen mental health is profoundly complex and cannot be linked to a single app. We will continue to defend ourselves vigorously as every case is different, and we remain confident in our record of protecting teens online”, a Meta spokesperson said.

José Castañeda, Google spokesperson, said the case misunderstands YouTube, which is a responsibly built streaming platform, not a social media site.


Kindly share this post
Continue Reading

Trending