Connect with us

Telecom

Zoom Mobile, Starcomms, Others Were Programmed to Fail

Published

on

Eugene Juwah, EVC, NCC
Kindly share this post

Nigeria mobile code-division multiple application (CDMA) mobile sectors is going through tough times and there appears no end in sight soon since government is not forthcoming with either a bail-out plan nor working out any mergers/acquisition scheme for the ailing firms.

Collins Onuegbu, a systems analysts and managing director of Signal Alliance Ltd, a full IT services company in Lagos told Nigeria CommunicationsWeek that the CDMA sector was programmed to fail when the Nigerian Communications Commission (NCC) initially adopted regional licensing for the CDMA operators; while opening up the market of universal licensing for the GSM mobile operators.

“The CDMAs are failing because their business model was flawed from the beginning. From the very beginning when the NCC decided to give them regional licences and the GSM operators were offered universal licence, it was evident the CDMAs will fail.”

“Nigerians are very mobile people and the very essence of the mobile phone is for you to connect wherever you go and there is no way you’d buy a phone that guarantees you connection only in Lagos and whenever you’ re out of town, you needed another system. So why not buy the one that connects you continually and leave the other one out of budget? So you see, the CDMAs cannot compete with that model of business in an environment like ours,” said Onuegbu.

He stated that elsewhere where copper (cables) are used to connected fixed lines, the model for regional licensing could work, but not in Nigeria where all the cables have either been dug up through road constructions or stolen by vandals.

Onuigbo noted that since the GSM operators had a heads-start, it opened windows of financing for them too which the CDMAs were shut out from.

“The CDMAs because of their regional operating licence couldn’t access bank financing or further investment for expansion and the resultant effect is that they’re dying one after the other.”

Starcomms PLC, the only telecom operator on the floor of the Nigeria Stock Exchange (NSE), is also not spared the meltdown as they struggle to remain afloat.

A recent attempt to merge with three other operators to form a medium size CDMA operator appear also to have hit a brick wall.

“I think Starcomms went to the stock market rather too early. They hadn’t spent enough time in the market to authenticate their real value. They needed to have been tested and trusted by investors. So that affected their market value and capitalization drive,” Onuegbu enthused.

Signal Alliance also has strategic affiliation with Microsoft, SAP, Cisco, CA Technologies and was recently rated the 27th fastest growing (non-listed) company in Nigeria by Michael Porter’s All World Network Nigeria Fast Growth 50 list.


Kindly share this post

Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

Telecom

ALTON Rues Vandalism, Others as Critical Infrastructures Suffer Attacks

Published

on

Kindly share this post

Association of Licensed Telecoms Operators of Nigeria (ALTON), has decried persistent challenges such as vandalism, high operating costs, and regulatory bottlenecks threatening service delivery despite recent improvements in investment inflows.

ALTON Rues Vandalism, Others as Critical Infrastructures Suffer Attacks

Gbenga Adebayo, chairman, ALTON, warned that the continuous attack are putting strains on Nigeria’s telecom sector which serve as the backbone of the country’s economic and digital systems,

Adebayo, speaking in an interview on ARISE News, described telecommunications as the critical foundation supporting all sectors of the economy.

“Telecom operators are the infrastructure of infrastructures that supports all other sectors,” he said, stressing that the industry remains central to power, transport, security, and financial services.

Adebayo noted that the recent 50% tariff adjustment has helped restore investor confidence in the sector after years of underinvestment.

“It has restored confidence in the sector… we are seeing investment, we are seeing now the impact of that investment,” he said, adding that the sector is now beginning to recover gradually.

But, he warned that improvements in service quality remain constrained by multiple external challenges, including vandalism, insecurity, and regulatory bottlenecks.

“Things can be better… but there are also other external factors… vandalism, behavior of public actors, behavior of non-state actors,” he explained.

Adebayo highlighted the scale of infrastructure damage, particularly on fibre networks, noting a major disparity between international and domestic connectivity routes.

“The fiber optic in the Atlantic… has witnessed probably one outage in two years… the one running from Lagos to Kano, we record an average of about 40 cuts a day,” he said.

He explained that such disruptions significantly increase operating costs and affect service quality across the country.

Beyond vandalism, he pointed to theft of telecom equipment such as batteries and generators, as well as security challenges that prevent timely restoration of services in some regions.

“Issue of security… people are stealing batteries, they’re stealing generators,” he said, noting that some areas remain inaccessible during outages until security conditions improve.

Adebayo also called for urgent reforms in right-of-way charges and taxation policies, arguing that telecom infrastructure should be treated as essential national infrastructure.

“Right of way should become free of charge across the country… issue of multiple taxation… it has to be a thing of the past,” he stated.

On rising energy costs, he said operators are gradually adopting hybrid and renewable energy solutions, although the transition is slow and still exposed to vandalism risks.

“We are doing a lot on renewable energy and providing hybrid solution… but that takes time,” he said.

Adebayo concluded that while policy support and investment inflows are improving the outlook of the sector, sustainable progress will depend on stronger protection of telecom infrastructure and coordinated action among government, regulators, and communities to address vandalism, insecurity, and regulatory inefficiencies.

 

 


Kindly share this post
Continue Reading

Telecom

Uber Expands Beyond Rides, Launches Hotel Booking With Expedia

Published

on

Kindly share this post

Ride-hailing company Uber has introduced a new feature that allows users to book hotel rooms directly through its app, as part of its strategy to evolve into a broader lifestyle and services platform.

Uber announced that the hotel booking service is being launched in partnership with Expedia Group, giving users access to more than 700,000 hotel properties worldwide.

The company said the collaboration is also expected to expand in future to include short-term rental listings from Vrbo.

According to Uber, the hotel booking tool offers features similar to traditional online travel platforms, including destination search, maps, and filters based on pricing, amenities and guest ratings.

Users can also complete bookings using payment information already saved on the app.

Speaking during a presentation in New York City, Uber Chief Executive Officer, Dara Khosrowshahi, said the company was broadening its offerings beyond transportation and food delivery.

“We’re no longer just an app for rides, or even a family of apps for rides and eats. Uber is now an app for everything,” he said.

Chief Executive Officer of Expedia, Ariane Gorin, said the partnership was aimed at simplifying travel planning for users.

“Together, we can reduce the number of steps, save people time and money,” she said.

Uber’s latest move builds on its expansion strategy which began with the launch of Uber Eats in 2014.

Initially focused on food delivery, Uber Eats has since expanded into retail services, allowing customers to order products such as cosmetics, groceries and electronics.

Industry analysts say the development reflects the growing global trend toward “super apps” — digital platforms that combine multiple everyday services within one ecosystem.

This model is already widely adopted in markets such as China, where platforms like WeChat and Alipay integrate messaging, payments, travel bookings and e-commerce services.

Competitors are also broadening their offerings.

For instance, Airbnb has expanded beyond accommodation to include bookable local experiences, wellness services and mobility options.

Uber also disclosed plans to integrate more artificial intelligence-powered tools into its platform.

The company said upcoming features would enable users to plan meals, generate shopping lists and arrange deliveries through conversational prompts, while a voice assistant is also in development to support hands-free navigation within the app.


Kindly share this post
Continue Reading

Telecom

FG Okays 112 as Toll-Free National Emergency Response Number

Published

on

Kindly share this post

National Economic Council (NEC) of Nigeria has officially approved 112 as the unified, toll-free national emergency number to streamline responses to security, medical, fire, and natural disasters.

FG Okays 112 as Toll-Free National Emergency Response Number

It is part of measures to strengthen Nigeria’s emergency lifeline and build a unified and coordinated national response to emergencies.

NEC also approved the establishment of a multi-agency implementation committee and programme coordination led by the Office of the Vice President and the National Communications Commission (NCC).

The approval was part of decisions taken at the 157th meeting of the NEC held virtually and chaired by Vice President Kashim Shettima.

Shettima said the 112 emergency lifeline had become necessary to prevent delay caused by bureaucratic bottlenecks, noting that what the citizens seek urgently when confronted by a natural disaster or insecurity is an urgent response and not bureaucracy.

“This is not only a technical reform. It is a test of the state’s humanity. In moments of fire, accident, robbery, medical emergency, flood, violence, or panic, citizens do not need bureaucracy.

“They need a response. They need to know one number to call, one system to trust, and one coordinated chain of action that moves quickly enough to save lives,” he stated.

He explained that while Nigeria is not beginning from zero, as the emergency number had been in existence, what is required at the moment “is coordination, adoption, standard operating procedures, public awareness, institutional ownership, and trust”.

The vice president described NEC as the nation’s economic engine room, where the federal government and the states must convert the Renewed Hope Agenda of President Bola Tinubu into practical outcomes.

 

 


Kindly share this post
Continue Reading

Trending