The Nation Newspaper

Category: Infotech

  • Broadband is next ICT industry revolution, says NCC

    The Nigerian  Communications Commission (NCC) has said the next revolution in the information communication technology (ICT) sector is broadband, adding that its availability and affordability will have multiplier effect on the economy.

    Its Deputy Director, Projects, Bashir Idris, who spoke on the sideline after receiving Government Agency of the Year Awards on behalf of the Executive Vice Chairman/Chief Executive Officer of the Commission, Dr Eugen Juwah in Lagos, said with the level of support the regulator has received from stakeholders, the broadband revolution will be fruitful in the coming years.

    He said the revolution will benefit the entire Nigerian populace as it will open up new vista of opportunities such as job creation, health, agriculture and so many others.

    He said the NCC will not relent in its efforts at ensuring that subscribers get the full value for their money through improved quality of services. “Subscribers should expect quality service provision, improved service quality, pursuit of broadband development, which is the next phase of our development,” Idris said, adding that companies are already keying into the broadband revolution.

    “In the next couple of years, there will be pervasive broadband and the consumers will be the best for it because they will be able to do whatever they want to do easily and affordably,” he said.

    He said it is a thing of joy to be recognised as it is a sign that efforts of the NCC at providing level playing field for all the operators and encouraging innovations are being acknowledged, adding however that the regulator will not be carried away by the awards but would remain focused to ensure that it delivers on its core mandates.

    He said: “It is gladdening to be recognised. It is however not going to be our limit as we will continue to do more. We will continue to strive to beat what we have achieved so far. I must add that the achievement of the industry is a function of the cooperation of all the stakeholders in the industry. This has made the agency to be of foremost recognition both in the country and outside the country. We thank the operators and service providers for cooperating with the NCC by ensuring that the rules are obeyed so that we have less friction in the industry.”

    The event was largely attended by telecommunication experts including Chairman of Teledom International, Emmanuel Ekuwem; Managing Director of VDT Communication, Biodun Omoniyi; Chairman of Association of Licensed Telecom Operators of Nigeria (ALTON) Gbenga Adebayo; while CEO of Zinox Technologies, Leo-Stan Ekeh chaired the event.

    DHL, Unified Payments, Jumia, GTBank, Vodacom  Business also won in different categories at the award.

  • Reasons Nigerians ‘prefer’ Paypal

    Reasons Nigerians ‘prefer’ Paypal

    Since mid-2014 when PayPal, an online payments system was launched in Nigeria, online money transfer service has undeniably improved – a study proves.

    The study has it that the launch of PayPal introduced a more secured way of transacting businesses in a simpler and more flexible manner across borders; opening up a world of shopping possibilities for Nigerian consumers.

    According to the study, PayPal gives people better ways to connect to their money and to each other, helping them pay online bills without sharing financial information with sellers.

    The study conducted in Nigeria by Ipsos – a global market research company, shows an expectation by Nigerian consumers to conduct more shopping online.

    “Out of the approximately 50 million internet users in Nigeria, 65% of users already shop online and another 24% of users expect to do so in the nearest future.

    These numbers clearly demonstrate that Nigerians have a big and growing appetite for E-commerce,” the study observed.

    It further highlighted 5 reasons Nigerian consumers choose PayPal and use it for online shopping to include:

    1. It is a more secured way to pay online

    When you make a payment with PayPal your financial details are not shared with the seller. This gives you more control over your financial information and provides you with an extra layer of security.

    2. The benefit of PayPal Buyer protection

    The online payment platform also protects eligible purchases with PayPal Buyer Protection. If an eligible item doesn’t show up, or turns out to be different from what was described, PayPal can help sort things out with the seller. It is included in its Terms and Conditions.

    3. Shop on thousands of website around the globe

    PayPal, established in 1998 in California has proven to be a truly global payment platform that is available in about 203 countries and markets.

    You no longer need to book a flight ticket to shop worldwide as PayPal is an accepted form of payment on thousands of websites around the globe and countries you do not necessarily need to go.

    4. Online shopping made easier

    Online payments using PayPal makes your life easier because when checking out with your PayPal account, you do not need to type in all your credit card details and shipping information for each transaction- everything is already stored in your PayPal account and kept secured.

    All that is needed is a PayPal account’s email address and password and the shopper will get through the checkout in no time.

    5. Free to sign up

    Interestingly, signing up for PayPal is free and it is a breeze. All that a shopper needs to do is follow the steps on the website which are to sign-up, choose country, enter identification details, enter card details then click continue. Lastly, go your email to confirm the mail from PayPal.

    The online payment system serves as electronic alternatives to traditional paper methods like checks and money orders, which is currently one of the world’s largest internet payment companies.

    The company operates as an acquirer, performing payment processing for online vendors, auction sites and other commercial users, for which it charges a fee.

  • Infrastructure, others stalling payments’ digitalisation

    Global lender, the World Bank, has identified dearth of infrastructure, low awareness and security concerns as factors stalling a paradigm shift to digitising payments and shifting cash payments into accounts in Nigeria and other parts of the world.

    It said moving from cash-based to digital payments has many potential benefits, for both senders and receivers, stressing that it will not only  improve the efficiency of making payments by increasing the speed of payments and by lowering the cost of disbursing and receiving them, but it could enhance the security of payments and thus reduce the incidence of crime associated with them.

    Digital payments, it is argued, can increase the transparency of payments and thus reduce the likelihood of leakage between the sender and receiver

    In its latest report titled: The Global Inclusion (Global Findex), which was carried out in partnership with the Gallup World Poll, with funding from the Bill & Melinda Gates Foundation, the global lender said: “Shifting to digital payments can also provide an important first entry point into the formal financial system, which can lead to significant increases in savings and the substitution of formal or informal saving.”

    It lamented that there were still obstacles to payment digitisation. It identified challenges to digitising payments to include making up-front investments in payments infrastructure, ensuring that recipients understand how accounts work and can be accessed, and taking steps to guarantee a reliable and consistent digital payments experience.

    “Also important is to educate new account owners on the basic interactions involved in a digital payments system—using and remembering personal identification numbers (PINs), understanding how to deposit and withdraw money, and knowing what to do when something goes wrong. Moreover, the benefits of moving cash payments into accounts are realised only if sending or receiving payments electronically is at least as easy, affordable, convenient, proximate, and secure as doing so in cash,” it said.

    The report, however, showed that the adoption of mobile money in Nigeria and other parts of the world has tremendously reduced the number of unbanked adults and promoted Financial Inclusion, stressing that between 2011 and last year, 700 million adults globally became account holders. The number of adults without an account—the unbanked—dropped by 20 per cent to two billion. Globally, 62 per cent of adults have an account, up from 51 per cent it was in 2011.

    The global lender said this is a good development as it is a manifestation of growth in Financial Inclusion, which it said has been broadly recognised as critical in reducing poverty and achieving inclusive economic growth. “Financial inclusion is not an end in itself, but a means to an end—there is growing evidence that it has substantial benefits for individuals. Studies show that when people participate in the financial system, they are better able to start and expand businesses, invest in education, manage risk, and absorb financial shocks,” the report read in part.

    It said access to accounts and to savings and payment mechanisms increases savings, empowers women, and boosts productive investment and consumption, adding that access to credit also has positive effects on consumption—as well as on employment status and income and on some aspects of mental health and outlook.

    “The benefits go beyond individuals. Greater access to financial services for both individuals and firms may help reduce income inequality and accelerate economic growth. Informed by a fast-growing body of knowledge and experience, policy makers and regulators are beginning to make expanding financial inclusion a priority in financial sector development.

    “An increasing number of national governments are introducing comprehensive measures to improve access to and use of financial services. Among bank  regulators in 143 jurisdictions, a recent survey  found, 67 per cent have a mandate to promote financial inclusion,” the global lender said.

    It said international organisations, including the G-20 and the World Bank, are also beginning to formulate strategies to promote financial inclusion. In recent years more than 50 countries have set formal targets and ambitious goals for financial inclusion.

  • NCC eyes N30.4b from levy, licensing

    Regulator of the telecoms sector, the Nigerian Communications Commission (NCC) is targeting N30.4 billion from telcos and other investors that will be interested in investing in the economy this year.

    This is contained in this year’s N60.2billion budget of the regulator, approved last week by the lower legislative chamber, the House of Representatives.

    According to a breakdown of the budget, the revenue component showed that the regulator is expected to make N2.4 billion as licensing fees while it is looking at making another N28.9 billion from the annual operating levy (AOL) paid by incumbent carriers in the country.

    But the continued postponement of the licensing round for the 2.6Gigahertz (GHz) spectrum and hanging fate of the country in meeting the International Telecommunications Union (ITU’s) deadline for analogue switch-off, may make this a wishful thinking. This is because the spectrum that would be freed as a result of the migration would be handed over to the telecoms sector, which NCC will hopefully auction to meet the revenue target.

    The NCC is also targeting N5.2 billion from spectrum fees while another N5 billion will come from Numbering Plan. It also expects to raise N2.5 billion from Sundry Income just as it looks forward to making N5 billion from what it described as Investment Income.

    In the projected N51.2 billion revenue, N9 billion was brought forward from last year to put the regulator’s available total revenue at N60.2 billion for this year.

    On the recurrent expenditure side, from N16.2billion, N80 million is for establishment costs; N10.677 billion goes for staff and other costs while N823.927 million is for Travel costs. Operational costs gulps N3.151 billion; N1.508 billion for Administrative Costs and N1 million for bank charges.  N10 million is also meant for development/acquisition of document management system; N10 million is for e-documents and archiving, while another N10 million was provided for same project. N10 million is for implementation of automated e-filing and electronic document management system; N20 million is for procurement of new ICT tools and accessories

    N3.2 million has been earmarked for cash counting machine, N20 million for CCTV and installation of photocopy machines, which is N8million higher than the approved estimate of N12 million in 2014.

    Document digitalisation and archiving system will swallow N10 million while N40 million is for project management system (consultancy and software applications) including training.

  • Pirates take game to cloud

    Pirates take game to cloud

    Piracy has moved from the physical to ‘virtual’ space. Cloud technology is the new frontier in  information technology (IT). Online piracy of music, films and other contents has moved to this new frontier. While the digital thieves are smiling broadly to the banks, the intellectual property right owners are licking their wounds, reports LUCAS AJANAKU. 

    Since he is not serving any master, he wakes up and goes out any time he likes. Money is not his problem as he has an illegal, but steady stream of income flow.

    What he does is that he goes to the popular, but notorious Otigba Market (Computer Village), Ikeja, Lagos or Oshodi or, better still, Alaba International Market, on the outskirts of the city to buy empty compact discs (CDs). He buys a pack containing 50 CDs at N1,400. With his dubbing machine at home, .he mass produces new home videos and music. He even records global landmark events such as the funeral rites of the late   Nelson Mandela and European Premier League (EPL) matches.  He also records wrestling matches from pay TV channels. All these, he moves from one office to the other to sell at N100. Depending on the buyer’s bargaining power, it could go two for1 N150. Welcome to the world of James John, the pirate.

    John and his ilks are the nightmare of the Nollywood industry in Nigeria. They are everywhere, living big in a country that experts say is not only permissive, but also acquisitive. “Nobody, not even the government gives a hoot about how you make your money. Whichever way you make your money is immaterial; when you make the cash, they will say ‘He has arrived’. Any society that celebrates cash and relegates character to the background can hardly make progress,” a Lagos-based legal practitioner, who identified himself as Onyeka said.

    President of Gabosky Films Incorporated, Gab-Onyi Okoye, has urged the Federal Government to enact laws that would curtail the activities of pirates at the Alaba International Market, Lagos.

    Okoye lamented that Alaba Market was where lots of film producers’ intellectual properties were being pirated.

    “That is where they pirate movies that are supposed to be distributed by me, thereby leading my company to lose millions of naira. So, government should be proactive in addressing the problem of piracy in the country,’’ he told NAN.

    According to him, Nollywood producers suffer great financial losses annually to piracy in the country because pirates are only interested in reaping where they did not sow.

    He lamented that producers spend millions of naira in producing a movie, but would not realise half of the money spent on such movies, due to piracy.

    He said: “Movie producers suffer losses in the money invested on movies as a result of piracy. Producers will spend their time and strength to produce a movie, but will not enjoy the benefits of his labour as a result of his work being pirated. Piracy, if not eradicated or curtailed, will cripple the entertainment industry.

    “Piracy is the greatest obstacle militating against the growth and development of the entertainment industry in the country.”

    The director, who described the attitude of pirates as wicked and insensitive’ to creativity, said their attitude had crippled the pride in the profession.

    He said if marketers did not make money from the films they produced because of activities of pirates, they would not be able to pay actors good money.

    “We have tried going against the menace, but our efforts have been to no avail. We are helpless. Assuming there are laws backing us or things we can do to curtail the activities of pirates; we would have done it before now,’’ Okoye added.

    But piracy has moved from the physical to the virtual realms, no thanks to the rise in the number of internet users bolstered by a concomitant rise in the mobile phone use globally.

    Currently, online piracy of music, films and other contents has moved to the internet cloud, with criminals reaping big profits for digital thievery, a new study has shown.

    According to MyBroadband Newsletter, an online platform, the study identified 30 cloud-based “cyberlockers”, which operate globally and are hosted in various locations around the world. They are said to be raking in some $96 million annually as revenue.

    These operators use the same kind of technology as legitimate services such as Dropbox and Amazon Cloud Drive to deliver illegally copied content, according to the study by the Digital Citizens Alliance and British-based NetNames, two groups focused on online safety and fraud protection.

    The cyberlocker or cloud model has largely overtaken the older online piracy of peer-to-peer networks that allow individuals to share content on their computers, but the result is the same.

    “The cyberlocker business model is designed around content theft,” the report said.

    “Operating a cyberlocker is a business which has the potential to produce considerable returns — and crucially, is also a business that requires only a modest initial investment, especially when owners do not pay for any of the content that their sites distribute.”

    The report released in Washington was described as “the first major assessment of how cyberlockers profit and how much money they make.”

    The cyberlockers operate in a manner similar to legitimate services like Pandora or iTunes. Some offer free streaming content with advertising, and others allow direct downloads on a subscription model — such as $10 a month.

    One of the best-known cyberlockers, Megaupload, was shut down by US law enforcement in 2012. But the New Zealand-based operator has launched a new service, known as Mega.

    For some of the cyberlockers, tracing their home base is complicated because their locations are obscured by use of proxy servers. But the study said it identified cyberlocker operations based in the United States (US), Switzerland, the Netherlands and other countries.

    The study said the most profitable cyberlockers using the direct download model were 4Shared, Mega and Uploaded. The biggest profits for the streaming operators were at Putlocker, YouWatch and Streamcloud.

    The researchers discoveredthat roughly 80 per cent of the content on the sites had infringed copyrights.

    The report said almost all the websites operating the cyberlockers accepted payments from Visa and Mastercard, and that these payment processors could deal a major setback to piracy if they would block the transactions. PayPal, according to the study, was accepted only on one of the sites.

    “MasterCard and Visa should follow PayPal’s lead and adopt policies for their networks against doing business with these rogue operators,” the report said.

    “If they take such an approach, it would drive customers to less trustworthy forms of payment.”

    The report noted that if users cannot pay with credit cards, they “may be reluctant to give a cyberlocker their bank routing information or (use) Bitcoin to make a purchase.”

    Because  some of the sites appear legitimate, they draw advertising “from brands we know” that give the operators revenue and boost their credibility, the report said.

    And many of the cyberlockers also contain malware that can infect computers of people who download from them, the report added.

    “It’s going to take concerted action by the Internet and the payment processors, advertising industries, consumers, public interest groups, Internet safety organisations and responsible government officials to address this corrosive issue that threatens our basic trust in our online world,” the report said.

    Though the internet has done a lot in helping to bridge the digital divide and turning the world into a global village, it remains a largely unregulated space.

    The number of internet users has continued to go up in Nigeria. According to the Monthly Internet Subscriber Data of the Nigerian Communications Commission (NCC), mobile internet subscribers rose from 76,324,632 in December 2014 to 81,892,840 in January 2015 – translating to 5,570,038 new users in January alone.

    The growth will no doubt continue as Federal Government implements the National Broadband Plan for the country, which will hopefully crash the cost of access to the internet and democratise information communication technology (ICT).

    Director, Public Affairs at NCC, Tony Ojobo, said for now, the internet remains an unregulated market space. He hopes the International Telecommunications Union (ITU) will someday, sooner that later, evolve a mechanism for the regulation of the internet.

    Chief Executive Officer, Teledon Group, Dr. Emmanuel Ekuwem, is disturbed that government is not taking pro-active measures to mitigate the adverse effects of the use of internet such as cyber frauds.

    He said the Federal Government should appoint a national chief information technology officer just the way there are offices for service chiefs (Chief of Army Staff, Naval Staff, Director, State Security Services-DSS) and others responsible for the physical security of the country.

  • Will ‘digital dividends’ ever come?

    Will ‘digital dividends’ ever come?

    In the telecoms and broadcast industries, frequencies are considered scarce resources. Their availability and judicious deployment are expected to deepen broadband internet services across the country. However, this depends on the release of broadcast spectrum known as ’digital dividends’ by the Nigerian Broadcasting Commission (NBC) to the Nigerian Communications Commission (NCC), writes LUCAS AJANAKU.

    TELECOMS global body, the Global System for Mobile Communications Association (GSMA), says broadcast frequencies’ sale as a result of digital switch over (DSO) could fetch the country over $2 billion.

    The group also said with the release of digital dividend spectrum, sub-Saharan Africa could grow its gross domestic product (GDP) yearly by $82 billion by 2025; earnings by about $18 billion in tax revenues and creating no fewer than 27 million jobs.

    Digital dividends spectrum is the frequency band located in 700m egahertz (MHz) spectrum band. It has been internationally adjudged to be very useful in deploying high-speed internet services globally.

    The spectrum was approved by the International Telecommunications Union (ITU), an arm of the United Nations (UN), for mobile broadband deployment about three years ago for its member-countries.

    In Nigeria and other countries, this spectrum bands is in the possession of the broadcast industry, which will implement the DSO of ITU by July 17, this year.

    However, a pall of uncertainty hangs over whether Nigeria will join the rest of ITU member-countries to switch off analogue transmitters’ televison sets.

    An official of the NCC, who craved anonymity, lamented that this all-important spectrum bands are still in the hands of the Nigerian Broadcasting Commission (NBC).  “As at today, none of these frequencies has been released in spite of the fact that we are getting so close to DSO. Besides, we are not sure yet whether any of these broadcast media is ready for digital transmission,” the source lamented.

    NBC’s Director-General, Emeka Mba, said the nation will achieve DSO, adding that more than 26 per cent of the population was already doing digital transmission while the huge mass with analogue transmitters and television sets have their fates hanging in the balance. Inview Technologies of the United Kingdom (UK) and a consortium of indigenous broadcasters, have been contracted to provide set top boxes and make available the software that will make the provision of key service available.

    Since spectrum availability is closely linked with broadband infrastructure development, the freeing up of the locked 700Mhz frequency will, no doubt, complement current efforts by the country to increase broadband penetration from about eight per cent to 30 per cent by 2018. This is in line with the Federal Government’s target contained in the National Broadband Plan (NBP).

    If the 700Mhz frequencies are taken over from the NBC, it will first be handed over to the National Frequency Management Commission (NFMC) which is the custodian of all frequencies in the country. It is under the Ministry of Communications Technology and currently chaired by Communications Technology Minister, Dr. (Mrs) Omobola Johnson.

    The NFMC, then, decides what slots it gives out to the NCC for allocation according in line with global best practices, especially as stipulated by the ITU.

    President, Association of Telecoms Companies of Nigeria (ATCON), Mr. Lanre Ajayi, said releasing the spectrum bands to investors that will roll-out service on them will add a new fillip to the industry, especially now that the next revenue frontier of the  industry has shifted from voice to data.

    He said: “It will be an advantage for the country if these spectrum bands are released by the appropriate authority for NCC to allocate to would-be applicants.”

    NCC’s  Director, Spectrum Administration, Austine Nwaulune, said June 17 DSO deadline is a global phenomenon, stressing that any analogue station that failed to migrate ran the risk of losing ITU’s protection, warning that “and if Nigeria causes interference, it will be sanctioned.”

    But the truth of the matter is that the digital dividends are not yet available and NCC cannot give what it does not have. In the light of this, the regulator said it has commenced consultation with stakeholders on the best way to allocate the spectrum bands ahead of its expected release by the NFMC.

     

    Declaration of broadband year

    The Federal Government earlier declared this year as Broadband Year. For carriers, the most technically-advanced technology for broadband offering is the LTE or 4G.

    LTE, an acronym for Long-Term Evolution, commonly marketed as 4G LTE, is a standard for wireless communication of high-speed data for mobile phones and data terminals.

    Online knowledge encyclopaedia, Wikipedia defined LTE as “the natural upgrade path for carriers with both GSM/UMTS networks and CDMA2000 networks. The different LTE frequencies and bands used in different countries will mean that only multi-band phones will be able to use LTE in all countries where it is supported.

    “Although marketed as a 4G wireless service, LTE (as specified in the 3GPP Release 8 and 9 document series) does not satisfy the technical requirements the 3GPP consortium has adopted for its new standard generation, and which were originally set forth by the ITU-R organisation in its IMT-Advanced specification. However, due to marketing pressures and the significant advancements that WiMAX, HSPA+ and LTE bring to the original 3G technologies, ITU later decided that LTE together with the aforementioned technologies can be called 4G technologies. “The LTE Advanced standard formally satisfies the ITU-R requirements to be considered IMT-Advanced. To differentiate LTE Advanced and WiMAX-Advanced from current 4G technologies, ITU has defined them as “True 4G”.

    Experts say LTE can support downloads at 300 megabits per second (Mbps) or more based on experimental trials. However, the actual network bandwidth available to an individual LTE subscriber sharing the service provider’s network with other customers is significantly less.

    According to latest Ericsson Mobility Report, there will be 9.3 billion mobile subscriptions in 2019, adding that 65 per cent of the global population will have LTE coverage by that same year.

    GSMA’s March last year report indicated that there were 279 commercially-launched LTE networks in 101 countries and 482 LTE network commitments in 147 countries.

    Experts say for telecoms end-users, LTE services will give them a superior user experience when it comes to stability, throughput, and latency. The increased capacity will bring new and better services to users.

    For carriers, LTE offers them the advantage of a proof network delivering capacity, throughput and redefined user experience that creates new business opportunities and revenues. The technology offers low long-term capital outlya and operational costs.

    On the development, a telecoms analyst, Mr. Akin Akinbo, said: “The introduction of LTE is an evolutionary step, rather than revolutionary, as large parts of existing infrastructure is re-used providing a future-proof technology path for flexible migration of services between 2G, 3G and 4G mobile technologies. But in order to meet customer expectations and demands for capacity and speed tomorrow, all major players need to put an LTE strategy in place.”

    In addition to the efforts being made to ensure the availability of 700Mhz, the NCC early this year convened a stakeholders’ consultative forum on the 70/80 Mhz band, in Lagos.

    As it awaits the release of the spectrum bands, the NCC is working to fine-tune the document and release the rules for its bidding process soon.

    Before the implementation of its open access broadband model, the regulator auctioned the 2.3 gigahertz (Ghz) spectrum band to an indigenous player, Bitflux Communications Limited to provide wholesale services. Its Managing Director, Biodun Omoniyi, said environmental issues stopped the firm from rolling out services on the spectrum it defeated national carrier, Gloobacom, to clinch. He, however, said the firm would commence commercial service any moment.

    It is part of the regulator’s move to make adequate spectrum available for broadband services to a country where more than 90 per cent of telecoms services are deployed through wireless means.

    Another effort to complement the 2.3GHz auction was the 2.6 GHz spectrum band auction, which had experienced two postponements.

    Government sources said the NCC wanted to get it right before putting the spectrum on sale. “Recall that in 2001 after the Digital Mobile Licence (DML) auction, Communication Investment Limited (CIL), one of the winners, did not pay for the licence because the frequency allocated to CIL was believed to be encumbered and it lost the licence and the deposit for same.

    “So, the NCC wants to clear the coast before another major licence round will take place. Let me assure you that the licensing round is work in progress,” the NCC official said.

    Also, the Infrastructure Companies (Infracos) licencees have swung into action, as Lagos and North Central including Abuja licensing has already been concluded.

    The other five zones, according to the NCC, are works in progress. The government, through the NCC, is dangling incentives to attract bidders to the zones considered less attractive commercially.

    Besides, the Ministry of Communications Technology said tax holidays of between five and seven years, 30 per cent rebate on capital expenditure (capex) is also in the offing for the investors.

    Additionally, the 5.4 GHz spectrum auction has already been advertised and applications are already being received by the NCC.

    Stakeholders say the NBC should put its house in order, raise the funding required for DSO, rise up to surmount the legal and logistical cobwebs on its way so that the digital spectrum band could be relaesed for national development.

  • ‘Cybercrime law, policy crucial for e-commerce growth’

    The Chief Executive Officer, phonekings.con.ng, an online trading mart, Tayo Olusanya, has said the passage of the cybercrime bill pending before the National Assembly and drafting a framework for the operation of electronic commerce or e-commerce, will help grow the sector and make it contribute to the nation’s Gross Domestic Product (GDP).

    Speaking on the sideline during the unveiling of the platform in Lagos, he said the feat that an online platform, Alibaba, performed in China could be replicated in the country if the right policy is in put in place.

    He said: “At the moment, there is no clear defined policy for e-commerce. The Federal Government and government institutions that are in charge of the Ministry of Communication Technology (ComTech), Nigeria Information Technology Development Agency (NITDA) and several others including stakeholders in the telecoms sector such as the Association of Telecoms Companies of Nigeria (ATCON) and Association of Licensed Telecoms Companies of Nigeria (ALTON) should all sit down and draft a policy for online businesses. The segment, as it is, now is undocumented and unregulated. We hope as time goes on, government will come with a clear cut policy regulating the ICT industry and online business in Nigeria.”

    “If you look at big names in  the United States and South Africa and other developed nations, the gross domestic product (GDP) per capital income is about  between four and five per cent. I believe that can still happen in Nigeria where the online businesses contribute between six and 10 per cent to the growth of the nation’s GDP.”

    He argued that after the re-basing of the economy, it was discovered that some industries that were previously not captured were contributing handsomely to the GDP, adding that the entertainment industry was one of them. “So, I see online businesses contributing about 10 per cent to the total growth of the country.  This is possible. Take Alibaba for example in China. During its initial public offering (IPO), they raised over $10billion. You have other online businesses doing well across the world.  So I don’t see any reason this cannot work in Africa. It is practicable but the infrastructure must be there too,” he said.

    He said the future of e-commerce is bright and promising as it could displace oil as Nigeria’s cash cow because the market is potential is huge. It is promising.

    He added: “The potential of the market is quite big. If only government can draft a policy that will support the industry; if only the financial institutions are also committed to investing in real time online commerce platforms, I think the market is huge and I see the time is here when people will no longer need to drive from their homes to malls; where all you need to do is to click your phone. It happens all over in the world; it happens in China and Asia and I believe that it can also be replicated in Nigeria. We have the market, human resources and the environment. So all we need to do is the government putting in place structures for all players to follow.”

  • Nigeria needs $200b to develop broadband infrastructure

    KPMG’s Partner, Management Consulting, Mr. Joseph Tegbe, has said Nigeria requires $200 billion to develop the broadband infrastructure required to take the nation to the next level between now and 2019.

    Tedge, who spoke at an international forum to woo investors to the nation’s broadband sector in Dubai, the United Arab Emirate (UAE), said over the past years, the country has witnessed massive investment, adding the growth in the social media space has catalsyed this growth.

    He said in the micro wave and optic fibre infrastructure provision space, Nigeria has demonstrated a readiness to accommodate foreign investors who would only be required to plug into the existing infrastructure, adding however that there is still limited coverage.

    “In the metropolitan transmission ring, what you see is limited coverage. Only about 10 per cent of the cities and towns are covered today. Moving to the homes, we have extremely limited coverage. These two top layers provide a huge opportunity and gap in the broadband supply chain

    “For investors in this room, an estimated $200billion is required annually over the next five years to meet this infrastructure gaps. Nigeria offers the best returns on investments according to recent studies,” Africa Telecoms & IT quoted Tegbe as saying at the forum which was organised by the Nigerian Communications Commission NCC).

    According to Tegbe, the Open Access Model of making broadband ubiquitous being championed by the regulator aligns squarely with the Federal Government’s National Broadband Plan, stressing that over the past years, the diversity and growth in the information communications technology (ICT) sector has been due largely to the regulatory environment which has been friendly to investment.

    He emphasised Nigeria’s market potential, which would always assure return on investment (RoI) to investors, adding that the World Bank has projected that the country’s population will overtake that of the United States (US) and even going to be the third largest populated country in the world next to China and India.

    Tegbe said: “Interestingly, the World Bank has projected that Nigeria will surpass the US in population by 2050 and most likely to become the third largest population by 2050 after China and India with a population of about 460 million people. That represents the size of the population that the investors have the opportunity of exploring.”

    He said investors stood to gain incentives such as tax holiday and pioneer status in addition to a ready-made market as a result of the large population and current low spread of broadband which is also a potential high growth market because of the expansive uptake of smart devices in the country.

    He recalled that in less than three years, the market had grown from being N162 million in 2011 to N150 billion to date, adding that it is the evidence of the widespread demand for broadband internet service.

    “Just in less than three years, this market has grown from N162 million in 2011 to N150 billion to date. This is evidence of the widespread demand for broadband internet service in Nigeria,” he said.

  • Deploying ICT solutions for polls

    Deploying ICT solutions for polls

    Across the world, information communication technology (ICT) tools and solutions are being deployed to provide answers to human problems. It is now common to find ICT solutions in areas such as medicine, agriculture, commerce and even in churches and mosques. Experts have commended the introduction of permanent voter cards (PVCs) and the card reader for elections. They urge the Federal Government to fine-tune the tools to allow people vote conveniently, reports LUCAS AJANAKU.

    She woke up early last Saturday, prepared breakfast for her five children and headed for Salvation Army Primary School, Ayobo in the Ipaja/Ayobo Local Development Area of Lagos State where she had done her voter registration, collected her temporary voter card and voted at previous general elections.

    Armed with her permanent voter card (PVC), 36-year old Mrs. Esther Kokumo got to the school compound at about 8.15am. She met a long queue of people who wanted to do accreditation with their PVC using the card reader technology which the Independent Electoral Commission (INEC) had introduced to enhance the smooth conduct of the election.

    When it was her turn to be accredited, she presented her PVC and her right thumb was placed on the machine which brought out all her data earlier captured during the registration exercise.

    “I spent less than three minutes to do it and returned home to join my children and to wait for about 1pm when voting proper was scheduled to take place,” she said.

    But reports from some parts of the country indicated that the card reader didn’t live up to expectation. For instance, at the polling booth of President Goodluck Jonathan, about four card readers were said to have failed to work in quick succession. That is however not to say the technology was a colossal failure as it was applauded across the country for performing so well and lending credibility to the entire process.

    Wikipedia, the free encyclopedia, said:  “A card reader is a data input device that reads data from a card-shaped storage medium. The first were punched card readers, which read the paper or cardboard punched cards that were used during the first several decades of the computer industry to store information and programs for computer systems. Modern card readers are electronic devices that can read plastic cards embedded with either a barcode, magnetic strip, computer chip or another storage medium.”

    When the idea of the card reader was first sold to the Federal Government by INEC, it was bought with excitement but as the general elections inched closer, opposition to its use grew, especially from the ruling party which had earlier gave its approval to it.

    INEC had configured and distributed to states, over 154,000 card readers for the general elections.

    Experts in the ICT industry have commended the introduction of the card reader technology in the country, arguing that in spite of the little challenges that arose from its use, it should be fine-tuned with a view to making it work more efficiently.

    Both the Nigerian Computer Society (NCS) and the Association of Telecoms Companies of Nigeria (ATCON), the umbrella body of telcos in the country, have urged the upgrade of the technology to a level where a registered voter in Lagos could vote in any part of the country.

     

    NCS’ position

     

    NCS said its position has always been that ICT tools should be sued by government institutions not only to save cost but also enhance efficiency.

    The body believes the country is ripe for electronic voting or e-voting, adding that the introduction of PVC and card reader is encouraging as it will one day dovetail to the use of e-voting.

    It said if e-voting is adopted, it is not only cost-efficient, it will also erase whatever doubts the electorate might have concerning the electoral umpire in terms of transparency.

    Its President, Prof. David Adewumi who spoke with The Nation said there is no basis why the country should not adopt e-voting which the Nigerian Society of Engineers (NSE) have used a couple of time with great success.

    He said: “Our position in the NCS remains the same. We are ripe for e-voting. When you look at e-voting, it is no longer rocket science. The major requirement is the infrastructure, I mean the information technology (IT) equipment, capacity building. Then INEC must provide the purposeful leadership that is required to deploy the technology and consequently, e-voting. I think that is all that is needed. There no space science to that.”

    On the low level of computer literacy and personal computers (PC) ownership in the country, the NCS chief said it was no true that the level of computer literacy in the country was that alarming.

    According to him, the old people in the villages now use mobile phones, adding that keyboard of the mobile phone is even smaller than the ones on the PC. “Yes, the old people in the village now use mobile phones. So what is it about low level of computer literacy you are talking about? The key board for the mobile phone is smaller than that of the PC. I think what is required in this is determination to ensure it succeeds,” Prof Adewumi said.

    He urged INEC perfect the use of the card readers for future elections and embark on the training of its workers.

    “The lessons here are that INEC should train its workers; liaise with professional bodies such as the NCS for professional advice. Card reader has erased the problem of double voting or voting by people who did not register in the first place,” Prof Adewumi said.

    On the possibility of registered voters voting anywhere in the country, he said infrastructure and logistics may make this a wishful thinking. He added that the existence of mistrust among Nigerians may also be a stumbling block in the realisation of the goal.

     

    ATCON’s views

     

    President of ATCON, Lanre Ajayi said technology will continue to simply processes. He expressed delight that public institutions such as INEC have started embracing ICT tools and solutions.

    “I congratulate INEC for introducing the card reader technology into the electoral process. It has brought credibility to the entire process by eliminating the menace of ghost voters. INEC should take the technology further. Having said that, time has come for us to do e-voting in the country,” he said.

    He however said the dearth of infrastructure may make voting as easy as using the automated teller machine (ATM) card to make financial transactions impossible in the short and medium term.

    He said: “Making voting as easy as using ATM card is not rocket science. However, while ATM has infrastructural back up such as internet running on the network of telcos, the card reader does not. So, for this to happen, there must be 100 per cent connectivity to support it. Hopes are not lost because we are investing heavily in building infrastructure across the country. So, it is something that could be achieved in the not too distant future in the country.

    “Some states such as Lagos have achieved almost 100 per cent coverage. The pilot of such innovation should be run in those states to see how it works. But if we are talking about running it in the entire country, that may not be possible now for obvious reasons, especially network coverage.”

    Namibia became the first African country to adopt the e-voting technology with the Southern African country using it during her general elections last year

    The e-Voting Machines (EVMs) were acquired at a cost of 24 million Namibia dollars from an Indian firm which said the machines were equipped with technology that was designed to eliminate flaws and address the scepticism of some political parties questioning the transparency of that country’s electoral body.

    The machines have features such as candidates’ photos, political parties together with other information next to the casting button. Voters will just have to click on their preferred candidate or party during elections to vote.

    India also successfully used half-a-million EVMs of the same type during its 2009 general elections.

    The EVM was used to choose 96 members of Namibia’s National Assembly and one of nine presidential candidates, ranging from the left-wing Economic Freedom Fighters to the white minority Republican Party. About1.2 million Namibians reportedly cast their ballots at nearly 4,000 electronic voting stations across the country.

  • E-PPAN alerts of fraudsters using BVN

    E-PPAN alerts of fraudsters using BVN

    Electronic Payments Providers Association of Nigeria (E-PPAN) has warned customers to be wary of fraudsters pretending to be carrying out Biometric Numebr Verification (BVN) registration to access details of customers’ bank accounts.

    Its Executive Secretary/Chief Executive Officer, Mrs Regha Onajite urged bank customers to do their BVN with their banks, warning that unscrupulous elements are hiding under the guise of the exercise to defraud customers.

    Mrs. Onajite, who spoke in Lagos during an interactive session with reporters, said: “One thing they (fraudsters) use to catch their unsuspecting victims currently is the ongoing Bank Verification Numbers (BNV) registration. Everybody is supposed to do the BVN and I urge Nigerians to go and do this exercise with their banks. It only takes few minutes to complete the process.

    “No bank will send you an email to go online to put in your details all in the name of registering for your BVN. So we must be very careful about giving information out.”

    E-PPAN is particularly worried that as the Easter festivities gather momentum, bank customers are more likely going to use these alternative channels to either withdraw or make payments. It has therefore offered tips to customers so that they will not be defrauded by cyber crooks.

    She said banking customers should not be carried away by ongoing general elections and Easter celebrations from taking proper protection of their personal sensitive data connected to their financial activities.

    She said:  “This is the period of election and there is a lot of anxiety. We are trying to change to a new administration or retain the existing one and because we are anxious about our political future, a lot of people may ignorantly open the flanks of their financial security.

    “We should always be on the alert because the fraudsters are always on the prowl. Because fraud happens when there is a state of less security, you be on your guard; protect yourselves, personal details because once you are able to protect our personal details, it reduces your chances of being defrauded by 50 per cent and even by 80 per cent.

    “So, the other 20 per cent would be handled by the financial institutions through different measures they have put in place to ensure that their customers are safe. Electronic payments come with a lot of convenience. Speed is one of them.

    “It, therefore, means that if somebody is about to get your details or cards and access your channels of payment, the person will also be able to conveniently and speedily steal your money.”

    She urged customers to be couscous of the increasing wave of phishing. “You need to protect yourself always. Do not open unsolicited emails; do not respond to them, don’t feel your information online as this may be phishing, and you may leak your personal financial details in the process”

    She said with electronic payments, a lot of banking customers have got increased financial security since they carry less cash and rely more on electronic platforms for their transactions, warning that during festive periods, cyber crimes always peak because people like to buy things online and do fund transfers to friends, parents and relatives.