They expressed their views at the Telecom Sector Sustainability Forum third edition (TSSF 3.0) organised by Business Remarks themed “Starlink: A Threat or Prospect to the Sustainability of Nigeria ISPs, MNOs and Infracos”, held in Lagos.

Acknowledging the fact that the emergence of Starlink has re-introduced satellite internet technology to the market space, Nigeria ICT stakeholders however noted that the telecoms regulator needs to address the business model to protect local players and create healthy competition.

Recall, SpaceX’s satellite internet service, Starlink announced its availability in Nigeria, months after it signed an agreement with the Nigerian government to bring in its satellite-based internet coverage, thereby, making Nigeria the first African country to use satellite internet and 46th in the world.

The public believes that the introduction of Elon Musk’s satellite internet service, Starlink will widen competition in the Nigerian internet market while disrupting the internet market.

Starlink was included alongside 37 other Internet Service Providers, increasing the number of ISPs issued licenses to operate in Nigeria to 255 as of September 2022, up from the 187 reported in December 2021.

Speaking at TSSF 3.0, Muyiwa Ogungboye, eStream Network Chief Executive Officer, who was ably represented by Mr Martins Akingba, the Chief Operating Officer, stated that Starlink can be a threat to the local ISPs if the gaps found with the solutions are treated.

According to him, if the objective of the Nigerian Communications Commission (NCC) with Starlink’s introduction is to provide high-speed internet access to underserved and rural areas in the country, this solution will not serve the purpose. 

Stating that Starlink is not designed for the Nigerian rural market, Akingba highlighted pricing and lack of local and after-sales support as part of the reasons.

Furthermore, he said ISPs served both the retail and the enterprise markets. In his words “A lot of our enterprise market is already considering the solution but security is a major concern because they do not have an idea of how the traffic is being routed.

As an ISPs local player, the advent of Starlink makes us question if the regulator is really careful of the investments made by players in this industry, millions of naira have already been invested in infrastructures even in the underserved areas”.

– Muyiwa Ogungboye

Also speaking, the Chief Executive Officer, Pan African Towers, Azeez Amida who was represented by the General Counsel, Babatunde Olaniyan said Starlink might both be a threat and a prospect but the wide adoption of the 5G network in Nigeria will pose a greater challenge to the solution.

On his part, Mr Biodun Omoniyi, the Chief Executive Officer of VDT Communications, encouraged local players not to see the solution as a threat because Starlink is a leo-satellite, not too far fetch from the satellite technology. 

He posited that as a disruptor, local players need to identify the gaps and fix them to have an edge over the solution. 

There will definitely be some adjustment in the market, and not a case of the winner takes all kind of situation. Some people will take up the solution, some will continue to rely on their mobile devices for internet access and others will be for fixed wireless access. If this happens, the consumers are provided with alternatives.”

– Biodun Omoniyi

Although, he said being the first to launch is not really a big thing but is the industry, players and citizens are protected. Is the data accessible to the regulators, how do we do KYCs, and can the rural dwellers afford it, questions such as these need to be asked following the solution emergence in the Nigerian space.

Ominiyi charged the regulators to licence both the sellers, agents and providers to create a better ecosystem while encouraging operators to address their business models (pricing, positioning and support) to stay afloat and be profitable in the market.

Mr Lanre Olanrewaju, the Chief Executive Officer, Equinoxcore Technology, spoke on the challenges subscribers are facing such as loss of money, falling victim to fraud, poor signal quality due to poor installation, data loss, and irregularity in the cost of gadgets. 

According to him, the lack of physical office and after-sales support is a major concern for users and this challenge will continue to persist if there are no proper regulations around this. 

Lanre noted that the disruptive agenda might not be achieved. On contribution to the economy, he asked if the organisation pays VAT.

Expressing his concern, Mr Gbolahan Awonuga, the Head of Operations, Association of Licensed Telecoms Operators of Nigeria (ALTON), said the licenses given to Starlink might lead to the extinction of ISPs and also the domination of the market space if not checkmate. 

Awonuga urged NCC to create a level playing field for operators bringing to remembrance the extinction of CDMA in the Nigerian Telecoms market. He also make case for affordable internet service for consumers.

In addition, Mr Ajibola Olude, the Executive Secretary of the Association of Telecommunications Companies of Nigeria (ATCON), stated that the regulatory safety might be weak, once there is no balancing game.

He also urged NCC to create guidelines to safeguard local players, edges on the value chain such as generating employment opportunities and restrictions in the rural areas.

On her part in her welcome address, the Convener, Bukola Olanrewaju who also doubles as the Managing Editor of Business Remarks stressed that given the internet’s increasingly important role as a communication tool, internet connectivity has become a vital component of daily life, and many nations have embarked on ambitious projects to expand and improve access to the internet.

“It is believed that the use of satellite technology in Nigeria dates back to the military era and also a known fact that satellites have played a fundamental role in providing connectivity.  In the last few years, the space industry has seen a rapid increase in satellite launches.

“Although Nigeria is regarded as Africa’s fastest-growing telecommunications market, its broadband penetration is largely dependent on fibre connectivity,” she said.

She recalled that at the first edition of the telecoms sector Sustainability Forum, the Nigerian Communications Commission (NCC) noted that as a result of the challenges militating against ISPs, deliberate policies and regulations are being looked at in the Commission in ensuring that ISPs and other smaller players in the industry thrive. Olanrewaju stated further that it is on this basis that stakeholders and experts were assembled to dissect this edition’s theme.

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The forum scheduled to hold physically on Thursday, 30th March 2023 in Lagos organised by Business Remarks is themed “Starlink, A Threat or Prospect to the Sustainability of Nigeria’s ISPs, Infraco and MNOs”.

TSSF 3.0 will feature the Nigerian Communications Commission (NCC), Internet Service Providers (ISPs), Infrastructure and Tower Companies, Network Operators, industry associations and other telecom stakeholders.  The problem is that

These stakeholders will address front-burner issues and the impact of satellite broadband disruption in a rapidly changing, tech-induced space.

Speaking on this, the Convener and Managing Editor of Business Remarks, Bukola Olanrewaju said studies and researchers have shown that the time has called for operators to reinvent their businesses, change their operating model to enable them to take advantage of newer and fresher opportunities, induced by technology advancements. This is because technology can also accelerate a business’ decline and extinction, if not taken advantage of.

Nigeria’s digital economy is growing fast and the telecom industry is the main driver of this growth.

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The discourse, to be hosted by Business Remarks, will feature Internet Service Providers (ISPs), Infrastructure and Tower Companies, Network Operators and other telecom stakeholders at the upcoming third edition of the Telecom Sector Sustainability Forum (TSSF).

Tagged: “Starlink, A Threat or Prospect to the Sustainability of Nigeria’s ISPs, Infraco and MNOs”, the event is scheduled to hold in Lagos State.

The event will see the telecom regulator, Nigerian Communications Commission (NCC) address front-burner issues and enlighten telecom stakeholders on the impact of satellite broadband on the general macroeconomic sustainability of the sector and its players.

ALSO READ: Buhari Claims Starlink Has Given Nigeria 100% Broadband Penetration

Speaking about the event, the convener of the forum and Managing Editor of Business Remarks, Bukola Olanrewaju stated that as access to internet connectivity becomes an essential part of people’s daily lives, the push for quality internet connection are now in very high demand.  As a result, competition among players have become fiercer.

“Nigeria, Africa’s fastest growing telecommunications market is largely dependent on fibre connectivity.  While broadband penetration in Nigeria sits at 47.4% as of December 2022, the country is still far from attaining its targeted 70% penetration threshold by 2025, in addition to bridging the currently identified 114 access gaps.

“Satellite internet has many advantages in African countries, making it possible to open up rural, isolated or poorly served areas. However, the emergence of Elon Musk’s Starlink in Nigeria has sparked different reactions with many industry observers warning that it will cause a major disruption in the telecommunications industry in Nigeria.

The post TSSF 3.0: Experts to Brainstorm on Satellite Broadband Disruption in Nigeria appeared first on Tech | Business | Economy.

The event organised by Business Remarks which is themed “Creating Awareness and Ensuring Sustainability of Mobile Virtual Network Operators (MVNOs) in Nigeria’s 5G Ecosystem” seeks to address the growth opportunities, hurdles and how these present realities will shape the Nigerian telecommunications sector.

Recall the Nigeria telecom regulator, NCC has announced that the commission is ready to license Mobile Virtual Network Operators (MVNOs) in the country as part of an effort to ensure the provision of qualitative and efficient telecommunications services throughout the country.

Speaking about the event, the convener of the forum and Managing Editor of Business Remarks, Bukola Olanrewaju stated that “up until recently, MVNO penetration across Africa has been relatively slower than the rest of the world. However,  COVID-19 pandemic has created more opportunities for MVNOs to position themselves as competitors within this market.

“The increasing number of mobile subscribers, technological advancements, and demand for connectivity has also played an important role while creating a significant opportunity for MVNOs to thrive in the sector,” she stated.

According to Adroit Market Research, the MVNO market will reach USD 112.0 billion by 2025 due to this growth, although the market in the United States is considered mature and developed, Europe is the region that stands out the most in the results, since it accounts for 60% of the total existing MVNOs.

It is also believed that the world of mobile virtual network operators (MVNOs) is facing another wave of change as evolving competition and demand along with technology advancements bring new opportunities and challenges for MVNOs and their mobile network operator (MNO) hosts.

Speaking further, the organizer noted that this edition will assemble Mobile Network Operators (MNOs), telecoms infrastructure providers, internet service providers, the Association of Licensed Operators of Nigeria (ALTON), Association of Telecommunications Companies of Nigeria (ATCON), 4G and 5G specialists, Experts and Consultants and other telecom industry stakeholders.

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Themed “Examining the Nigerian Internet Service Providers (ISPs) Viability in a Digitized Environment”, NCC expressed its support for the initiative during its maiden edition event held in Lagos.

The Nigerian telecommunications regulator noted that the forum has provided the Internet Service Providers (ISPs) stakeholders with an opportunity to brainstorm and share perspectives about their expectations, strategies and the way forward will regard to Internet Service Provision.

While commending Business Remarks for the initiative, the commission Executive Vice Chairman, Prof Umar Danbatta said TSSF will afford stakeholders the opportunity to discuss policies, regulatory directions as well as challenges that would lead to predictable outcomes which will impact the Nigeria internet service provisions sub-sector in particular and the Nigerian telecommunications sector at large.

Danbatta who was represented by Mr Yomi Arowosafe, the NCC’s Zonal Controller, reiterated the commission’s commitment to creating enabling environment for ISPs in Nigeria.

According to the NCC Boss, the National Policy on Digitization and the National Broadband Plan 2020 – 2025 can only be facilitated through internet service provision and its implementation can make Nigeria compete favourably in the world economy.

“The digitisation of the economy can only come into being when the ISPs are fully encouraged and that is what the commission is focusing on to ensure the enabling environment is created through the development of regulatory instruments that will address the concerns of ISPs in particular and the telecommunication sector at large.

Professor Umar Danbatta, the Executive Vice Chairman of NCC who informed that a total of 756 companies had been licensed as ISPs in Nigeria as of March 2022, but only 188 of them are currently active, said several issues including inadequate spectrum, the high price of bandwidth, high cost of Right of Way, and lack of good corporate governance practice in some of the companies have contributed in some of the licensed operators becoming inactive.

While noting that efforts are being put in place by the regulator to address the issues, Danbatta said: “As a result of these challenges, deliberate policies and regulations are being looked at in the Commission in ensuring that ISPs and other smaller players in the industry thrive. Some of the measures the Commission has embarked upon to continue to promote fair play and orderly development of the Nigerian communications ecosystem as well as boost competitiveness of the industry include providing the required regulatory frameworks and interventions in terms of policies, guidelines, and determinations, among others, that will encourage fair play in the telecommunications industry.”

In her opening speech, the convener of the Forum and Managing Editor of Business Remarks, Mrs Bukola Olanrewaju said: “The word has become a global village. This accurately sums up the important role internet plays in connecting businesses and people globally.

“Given the internet’s increasingly important role and adoption, the shift to digital economy offers abundant opportunities, in which connectivity plays a key role.

“However, over the years, studies have shown that the licence renewal rate of ISPs in Nigeria continues to drop, even as others take up the licence. In view of the critical need for internet connectivity for the digital economy and mass digitalisation of Nigeria, the role of ISPs is central also for uptake of internet of things (IoT).”

Some ISPs at the event sought the intervention of the Central Bank of Nigeria (CBN) to access foreign exchange (forex) to boost their operations and resuscitate the sub-sector.

They also want the Federal Government to grant them waivers and uniform payment for the right of way (RoW) with the tier one players in the industry.

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The event has been scheduled to hold on the 7th July, 2022 at Victoria Crown Plaza Hotel, Victoria Island, Lagos by 9a.m.

Telecom Sector Sustainability Forum (TSSF), is a special dialogue initiative of Business Remarks, to address and drive healthy competition for a sustainable telecoms sector in Nigeria.

According to Bukola Olanrewaju, Editor in Chief of Business Remarks, the forum will highlight important issues on ISPs towards a sustainable economy.

The forum will feature key stakeholders in the industry while also providing innovative ideas and insight that can guarantee a secured and strong ICT industry. 

“Although Nigeria can boast of a telecoms sector worth over $75 billion, Internet Service Providers in the Nigerian telecommunications industry have appeared to be struggling to stay afloat. Findings carried out by Business Remarks have shown that over the years, the Nigerian Communications Commission has licensed many ISPs, as they served as a gateway to the internet and a digitalized world, unfortunately, not all are still in business.” 

Through this forum, stakeholders will be able to discuss current challenges as it has become important to understand the reason for their demise and their impact on Nigeria’s digital economy agenda.

The event will feature top stakeholders in the industry including, the Nigerian Communications Commission (NCC), Association of Telecommunications Companies of Nigeria (ATCON), the Association of Licensed Telecoms Operators of Nigeria (ALTON), Chief Executive Officers of organizations and other concerned stakeholders.

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