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2022: Visionary leadership, increased collaboration drive growth in ICT sector

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The year 2022 was a progression of growth for the Nigerian ICT sector. With visionary leadership at the Ministry of Communications and Digital Economy and it’s parastatals to increased synergy between the government and private sector players, the sector was able to move forward.

Nigerian NewsDirect analysis of the progress of the sector revealed the wins to be celebrated and the issues yet unresolved needed to be tackled in the year 2023. GDP contribution

2022 recorded the highest contribution of the Nigerian Information and Communication Technology (ICT) to the Gross Domestic Product (GDP) of the country, the highest in five years.

At a record high of  20.32 percent in Q3 2022, the sector saw an increase in growth of 9.15 per cent in 2022 compared to the preceding years where it recorded 11.2, 15.9, 11.2, and 12.1 percent, respectively.

According to the report released by the National Bureau of Statistics (NBS), NBS reported that the non-oil sector grew by 4.27 percent in the third quarter of 2022, and was driven mainly by Information and Communication (Telecommunication), Trade, Transportation (Road Transport), Financial and Insurance (Financial Institutions); Agriculture (Crop Production) and Real Estate, accounting for positive GDP growth.

Data from the report disclosed that the nominal sector saw a 9.58 per cent increase in the third quarter of 2022, higher than 9.22 per cent recorded in the same quarter of 2021.

While the real sector recorded an increase of 0.87 per cent from 15.35 per cent recorded in 2022 and 14.20 percent recorded in 2021.

However, the country’s ICT sector comprises four activities – Telecommunications and Information Services, Publishing, Motion Picture, Sound Recording, and Music Production; and Broadcasting.

Conclusively, the sector’s growth was driven largely by revenue from telephone, telex, Facsimile, telegraph, and other income from satellite and internet services.

Broadband penetration

Nigeria set its broadband penetration target at 70 per cent to be achieved by 2025. Nigeria’s broadband penetration stood at 45.55 per cent as of October 2022.  This means Nigeria has additional 24.49 per cent in terms of broadband coverage to achieve.

The plan, which was launched in January 2020, was designed to deliver data download speeds across Nigeria, a minimum of 25 megabits per second (Mbps) in urban areas, and 10Mbps in rural areas, with effective coverage available to at least 90 per cent of the population by 2025 at a price not more than N390 per 1 gigabyte of data (i.e. two per cent of median income or one per cent of minimum wage).

The plan also includes deployment of 120,000 kilometer of fibre across the country and connection of 60 per cent of Communication towers with fibre as stipulated in its approved Terms of Reference (ToR).

At the current 46.24 per cent penetration, broadband penetration has seen a growth of 8 per cent within the two years since the plan was implemented. To achieve the 70 per cent target, Nigeria will need to speed up on the implementation of the initiatives to fastrack penetration and also pay attention to alternatives like Satellite communications to accelerate penetration in rural areas.

5G deployment

In the year 2022, telecom subscribers stood at 218,608,607 based on available industry statistics available on the website of the Nigerian Communications Commission. This means the sector added 25,754,201 consumers between November 2021 and November 2022. The total number of internet subscriptions grew to 152,891,470 as at November 2022.

In the year in review, the country accelerated it’s movement to deploy 5G in Nigeria with MTN Nigeria became the first telecommunication provider in Nigeria to roll out the 5G mobile network in Nigeria in August 2022.

MTN, who won the auction for the 3.5GHz 5G spectrum alongside Mafab Communications in December 2021, commenced the roll-out by switching on the network in 190 sites across the country.

Currently, MTN’s 5G has only been launched in Lagos which is but a fraction of the entire Nigerian population.

With the rollout of 5G is the grappling challenge of affordability affecting the adoption of 5G. 5G network will require using a 5G enabled phone and many of this 5G enabled phones are fixed at price tags equivalent or above the yearly wage of many Nigerians.

The year also saw MAFAB Communications the second winner of the 3.5Ghz spectrum auction held in December 2021 fail to roll out 5G services which is contrary to the Information memorandum.

Commenting on the delay in rollout by Mafab Communications, the NCC explained that the Commission is aware of the challenges being encountered by the operators while noting that the operator as a new entrant needed to acquire an operational license to operate and that occasioned the delay in the rollout.

The Executive Vice Chairman of the NCC, Prof Umar Danbatta noted that the Commission in her regulatory diplomacy had approved the licenses MAFAB applied for and also the extension of time for rollout for 5G services by the operator.

Despite the earlier challenges experienced with misinformation regarding 5G and difficulties with deployment, Nigeria auctioned 2 more slots on the 3.5Ghz spectrum in the year 2022.

Though the Nigerian Communications Commission (NCC) auctioned 2 slots,  Airtel Nigeria emerged as the sole bidder for the 3.5Ghz spectrum.

This is following the failure of the other participant in the proposed auction to pay the Intention to Bid Deposit (IBD) as stipulated in the Information Memorandum (IM) issued by NCC.

The Reserve Price for the spectrum has however been fixed at Two Hundred and Seventy-Three Million and Six Hundred Thousand United States Dollars only (US$273,600,000.00) or its equivalent in Naira at the prevailing Central Bank of Nigeria (CBN) rates at the time of the auction.

Infrastructure protection and Right of Way (ROW)

Destruction of ICT infrastructure continued to be a major issue  for the sector.  The growth of the sector thrives largely on increasing in-country capacity (Infrastructure).

Though the year saw two major subsea cables arrive on her shores, the safety of the infrastructure is a concern for stakeholders who have made huge investments in infrastructure.

President Muhammadu Buhari earlier in 2020 accepted the proposal of the Minister of Communications and Digital Economy to identify telecoms infrastructure as critical national infrastructure. However, security concerns despite the directive still remain an issue. Network outage expeirenced during the year in review were largely attributed to vandalization of telecoms infrastructure.

There is also yet to be a uniform Right of Way price across the country.  Lagos State at the Lagos state Infrastructure Maintenance and Regulatory Agency (LASIMRA) Stakeholders conference stated that due to its peculiarity, it cannot adopt a uniform price for Right of Way (Charges) as the NCC proposes.

In 2021, the country was close to making all State Governors embrace the N145 uniform fee for RoW, with as many as six Governors pledging to either reduce the fees to N145 or remove fees altogether.

However, as at now, only three states have actually implemented their pledge as of December 2022. Minister of the Federal Capital Territory, Mohammed Bello, announced in November that telecommunication operators that want to deploy broadband infrastructure in green areas will only pay N14.50 per linear square as RoW charges. The discounted charges would commence on December 1, 2022 and run for the next two years.

The remaining 33 states have taken different approaches.

Foreign exchange

Considering the drastic fall of the Naira to dollar in the year 2022, it was particularly difficult for local operators to expand their capacity and purchase equipments.

In an interview with Nigerian NewsDirect in 2022, the Group Managing Director, VDT Communications, Biodun Omoniyi lamented the difficulty of recouping investments because of the cost of foreign exchange.

According to Omoniyi, “When you talk about communication, I hope you know that there are equipments involved. The question now is that how many of these equipments do they manufacture in Nigeria? Zero. We buy all of these equipments in foreign countries.

“When you buy from other countries, you need forex including phones. You cannot expand your network. When company talks about Network expansion, it means they are going to buy more equipment. Meanwhile, they provide service in Naira here.

“If the Naira has been falling, cost to buy those expenses shoot up. Dollar used to be N350, 360 et cetra about one year ago. The dollar you gather now which you felt will be able to buy three equipments, can only buy you two. The telecoms companies are import dependent and it is affecting the industry badly. The country needs to intentionally promote indigenous manufacturing and make access  to forex easy.”

However, to mitigate the challenges of importation, the Minister of Communications and Digital Economy, Dr. Isa Ali Pantami giving his keynote address at the 2022 edition of the Nigerian Telecommunications Indigenous Content Expo (NTICE), held in Lagos, Pantami charged stakeholders to intensify efforts in the promotion of Nigeria’s indigenous telecommunications sector.

The expo was organised as part of efforts to vigorously pursue the objectives of the National Policy for the Promotion of Indigenous Content in the Nigerian Telecommunications Sector (NPPIC), through the National Office for Developing Indigenous Telecoms Sector (NODITS) domiciled in the NCC.

Conclusion

Retrospectively, the year 2022 was a good year that demonstrated more than ever the need for the Nigerian government to pay more attention to increased investment in technology and collaboration with stakeholders to develop policies for the ICT ecosystem and the digital economy at large.  With an improved policy framework and ease of doing business, the ICT sector in Nigeria will be positioned to experience increased growth in the year 2023.

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Glo urges school girls to aim for leadership

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Globacom has urged school girls across the country to aspire to leadership positions without fear, despite the various challenges that they may face along the way.

Speaking at the commemoration of the 2024 edition of Girls in ICT Day held in Lagos on Thursday, Globacom’s representative, Mrs Kemi Fadipe, encouraged school girls to pursue their dreams with passion so that they can attain leadership positions in future.

She advised them to prioritise their education to lay a strong foundation for leadership roles and also seek mentorship and guidance from successful women, as well as build a network of supportive peers, teachers, family members, and mentors who believe in their potential.

She also advised them not to shy away from volunteering for leadership roles in projects, clubs, or community initiatives. “Taking on responsibilities demonstrates initiative, builds confidence, and showcases leadership potential,” she said, adding that “they should also step out of their comfort zones, embrace new experiences, and view setbacks as opportunities for growth and learning.”

“Today, in an era defined by rapid technological advancements and innovation, encouraging girls to pursue STEM education (Science, Technology Engineering and Mathematics) is not only essential for their individual development but also crucial for fostering gender equality and driving societal progress,” she noted.

She added that “STEM education fosters a lifelong passion for learning and a growth mindset—a belief that intelligence and abilities can be developed through dedication and hard work. Fantastic leaders continuously seek knowledge, adapt to change, and inspire continuous improvement.”

Citing several examples of women with STEM backgrounds who have attained positions both in Nigeria and beyond, Mrs Fadipe observed that their exceptional leadership skills, resilience, and dedication have made them “serve as inspiring role models for future generations of female leaders in Africa and beyond.”

The event had in attendance secondary school students from selected schools in Lagos and Ogun states.

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NITDA, CISCO ink MoU to boost digital transformation in public, private sectors

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The National Information Technology Development Agency has signed a Memorandum of Understanding, (MoU) with the Cisco System Incorporation to advance Nigeria’s digital transformation. Cisco’s Country Digital Acceleration (CDA) Programme is a global initiative that partners with government and private sector leaders to develop sustainable, secure, and inclusive communities powered by ethical and innovative technology solutions.

The partnership aims to unlock the value of digitalisation in Nigeria and drive an inclusive future. The Federal Government is collaborating with Cisco, industry, and academia to accelerate the national digitisation agenda by implementing pilot projects in five key areas: Repurposing NCAIR to create an AI and Cybersecurity Experience and Incubation Center; Establishing a Broadband Innovation Centre; Setting up a Smart Agriculture Demo Farm; Designing and deploying Technology Learning Hubs; and Incubating Defense Technology Solutions.

This partnership aligns with President Bola Ahmed Tinubu’s priority areas of accelerating diversification through digitisation and innovation, strengthening national security for peace and prosperity, and boosting agriculture to achieve food security.

Speaking during the signing of the MoU at the NITDA Headquarters, Abuja, the Director General, Kashifu Inuwa, CCIE maintained that AI and Cybersecurity go hand in hand, this has made it imperative to upgrade the NCAIR to a world class AI Lab because as “we develop the AI, we also need to develop and design it with a security in mind.”

On the second initiative, the NITDA boss noted that broadband is the backbone to digitisation and digital transformation, and it provides the connectivity needed for transformation adding that the establishment of the innovation hub would encourage local startups and companies to come up with affordable broadband solutions in Nigeria by using cutting edge technology.

He said, “We have a National Broadband Plan that aims to achieve 95 percent broadband coverage in Nigeria, and we need to be smart in the way we do things in order to achieve the target.”

According to Inuwa, the initiative on smart agriculture would help to improve food production and productivity in agriculture, noting that the use of Internet of Things, IoT, Drones and other technologies would enhance productivity in agriculture.

He said, “As part of the Presidential Redefined Priority Areas of achieving food security in the country, the President has mandated the cultivation of 500,000 acre of land in the country and to achieve this successfully and efficiently, we need to use technology.”

The Director General expressed the willingness of the Agency to work with Cisco to establish a pilot of the Learning Centre adding that it is part of the Agency mandate to deploy IOM technology to the under-served and unserved areas.

He said, “Cisco is already working with International Organisation for Migration, (IOM) for a pilot project in Maiduguri, Borno state capital to deploy three Learning Centers using Cisco technology. So, we want to see how we can partner to also scale up that initiative, because we also have as part of our mandate to deploy this technology in under-served and unserved communities.”

In his remarks, the Cisco’s Country Director, Mr. Clayton Naidoo expressed that Nigeria would benefit from the MoU as it would improve agricultural production, create job opportunities, and increase the financial strength of the citizens.

“What we want to do is we want to make sure that we leverage technology to bring the right level of economic opportunity to Nigeria that will contribute towards economic growth and job creation. So that will be the first programme.”

According to him, Cisco has been unpacking the National Digital Agenda of the country and noted the Strategic Roadmap and Action Plan which are in alignment with the Cisco programmes, resources, technology and investment.

“And we try to implement pilot projects to ensure that we can help advance the acceleration of that digital plan,” he added.

While reacting to each of the initiatives, Mr. Naidoo disclosed that Cisco is at the vanguard of Cybersecurity and Artificial Intelligence and will partner with NCAIR to build an experience centre in the country by using the experience.

According to him, the experience centre will be designed to support organisations across Nigeria, building robust Cybersecurity and AI architectures which would be done through labs, design thinking rooms, and equipment that can test models.

While noting that Cisco intends to build a world-class experience center that would benefit all parts of Nigeria, the Country Director reiterated that “we are looking to bring the power of the Cisco business unit into the space using technology.”

“This is our immersive video technology using our platform called WebEx, where we can bring the power of those subject matter experts into Nigeria to collaborate and design together,” he emphasised.

He said the company will also build a broadband innovation hub with Galaxy Backbone in partnership with NITDA. He noted that the initiative is in alignment with the National Broadband Policy that was outlined by the Minister. He disclosed that Cisco would work with IXPs and various service providers to help them build networks that can serve underutilised communities or marginalised communities.

“We believe that with the technology that we are going to build, we will leverage the right level of platforms that will ensure that the internet economics are right. Because there is one thing building on technologies but if the technology is too expensive for service providers, they won’t be able to offer that into marginalised communities.”

While assuring that Cisco has an IoT team that builds sensor technology, he said the company will build a use case around smart agriculture using some agricultural bots and drone technology.

He commended the Agency for the partnership disclosing that Cisco is really focused on it. He said the work will start immediately.

“We are really looking forward to the partnership and as Cisco, we believe in creating inclusive models that empower local communities and empower all citizens of Nigeria.”

The highlight of the event was the visitation to a demo smart farm at the Abuja Technology Village.

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MEA 2024 returns with LG Electronics’ showcasing latest innovations

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LG Showcase MEA 2024 yesterday welcomed guests and partners in Abu Dhabi to in-person experience the latest and greatest the brand has to offer.

The two-day event held at Conrad Abu Dhabi Etihad Towers Hotel in Abu Dhabi, UAE had over 500 guests who witnessed all of LG Electronics’ new innovations that will be rolled out in the region. The LG Showcase, returning after a successful event last year, will create a common platform for experiencing LG Electronics’ unique customer-focused innovations and reaffirm the company’s vision to bring innovative products to the market that enhance the customer’s overall experience. The event revolved around the theme of Reinventing Together, which expresses the brand’s commitment and passion toward its customers and their requirements.

Mr. Il Hwan Lee, Chief Executive Officer, LG Middle East & Africa (MEA) Region said, “We saw a huge success when we returned to the LG Showcase MEA event last year and we are elated to see the same success in today’s event as well. It is a great pleasure to showcase our latest innovations and give our guests the chance to experience them all firsthand. We are happy to see the love and appreciation received for each product and look forward to bringing more to this region overall.”

He further added, “This event is a platform that showcases not just our products, but also reiterates our commitment to our customers. This event also serves as a platform for networking with our business partners and fostering relationships, another vital element of our work.”

The large-scale event was also home to multiple exhibition zones, where LG Electronics’ products were displayed in their ideal use-case scenario. This included a hero zone with the 97-inch LG SIGNATURE WIRELESS OLED M, the world’s-first consumer TV with Zero Connect technology which enables the transfer of 4K video and audio, wirelessly at 120Hz.

Also, on display was LG’s innovative StanbyME Go, the 27-inch FHD smart screen that comes in a carry bag design and a three-hour battery built in that allows for the ultimate in portability and making it a perfect companion for outdoor use, such as picnics and BBQs. The event highlighted the latest in LG Electronics’ innovation in processors and software with the new á (Alpha )11 processor that will be used in its flagship TVs and the latest WebOS respectively.

The á (Alpha )11 processor will be actively used in flagship TVs for powerful AI features that enhance the viewing experience, while the new WebOS brings a revamped home screen with wider title cards and smoother tiles. The new WebOS will expand into 300 TV brands and 3,500 content partners, including local partners and has an active user growth increase in the MEA region by 20 times.

A dedicated zone for audio visual products was also present, including the latest in XBOOM speakers which deliver bold and loud sounds with strong bass. This included the LG XBOOM XL9T, the most powerful-in-class party speaker, its smaller variant, the LG XBOOM XL5S with a 200W output, topped off with a dynamic pixel lighting effect that offers animation patterns, visual EQ or even characters, making it the perfect accessory for hanging out with friends or a must-have at parties.

The exhibition zone also included an area for home appliances, including washing machines and air conditioning solutions as well as the brand’s premium built-in solutions. Featured in this zone was the MoodUP™ refrigerator, which adds a unique personality to any home kitchen with the ultimate in customization by allowing users to choose from 22 colors for the upper door panel and 19 colors for the lower panel.

Also, on display was the LG built-in-kitchen package, a unique lineup that comprises an InstaView™ oven, QuadWash™ dishwasher, bottom-freezer refrigerator and microwave oven, making it easier for customers to build an all-inclusive experience powered by LG Electronics.

On display was also its Residential Air Conditioning units, such as the ARTCOOL lineup which features the LG DUAL Inverter Compressor™, a critical element that brings powerful cooling without affecting efficiency. Also, on display was LG’s new WashTower™ Compact laundry solution, which focuses on efficiency and space by combining both a washer and dryer with an all-in-one control panel and advanced AI in a single unit with a capacity of 13 kilograms for the washer and 10-kilogram capacity for the dryer.

Speaking at the event, Mr. Hyoungsub Ji, Managing Director, LG Electronics West Africa Operations said, LG is committed to bringing the latest innovations and cutting-edge technology to the West African market. “Our showcase highlighted our newest products and solutions, which will soon be available in the region. We are dedicated to enhancing the customer experience through our expanded retail presence, improved after-sales service, and engaging brand activations.”

On LG CSR activities, he said LG is passionate about empowering the local community through CSR initiatives, focusing on providing water to as many communities in Nigeria every month.

LG Electronics also set up Life Style zones, with a range of products appropriate for them. This included the ThinQ powered home setup, an elegant café setup as well as a camping setup.

For more details about LG Electronics’ range of products please visit: https://www.lg.com/africa

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