ICT
From The Report: Nigeria 2017
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Despite facing many challenges in 2016, the Nigerian telecoms market continues to grow and offers significant potential for investment. With a population of 189m, this substantial consumer base offers a variety of opportunities for mobile operators, broadband companies and content providers. Furthermore, the government’s intention to use telecoms and ICT not only for economic development, but also for financial inclusion, bodes well for the industry. At the same time, the Nigerian telecoms sector is constrained by high costs, general economic uncertainty and an uneven competitive environment. However, the long-term outlook for the market is positive: the country has a young, rapidly expanding population, providing a substantial pool of consumers, and smartphone use and data consumption are expected to increase swiftly over the next five years and beyond. Investment in infrastructure will be key in the years ahead, as well as a more attractive environment for both foreign investors and local start-ups. Despite these challenges, the country has managed to produce some of the continent’s most successful ICT firms, and the sector is expected to emerge as a standout market in the coming years.

This chapter contains an interview with Ayotunde Coker, CEO, Rack Centre.

Articles from this Chapter

Overview

Up and running: A new strategy and regulatory initiatives are set to address sector challenges
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Despite facing many challenges in 2016, the Nigerian telecoms market continues to grow and offer significant potential for investment. With a population of nearly 189m, this substantial consumer base offers a variety of opportunities for mobile operators, broadband companies and content providers. Furthermore, the government’s intention to use telecoms and ICT not only for economic development, but also for financial inclusion, bodes well for the industry. Recent sector programmes have…

Analysis

Fair play: Operators compete for spectrum to expand 4G offerings
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Given the drive towards high-speed mobile broadband, access to spectrum has become one of the leading issues in the Nigerian telecoms market. This problem is not only likely to determine the government’s ability to meet its goals for broadband accessibility, but also define the parameters of the market and its competitiveness moving forward. In 2016 there was a concerted drive to roll out 4G LTE services. Three of the four mobile GSM operators launched services and began building a customer…

Interview

Efficient growth: Ayotunde Coker, CEO, Rack Centre, on the expansion of data services in the region and at home
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Interview:Ayotunde Coker How is the demand for products such as data services evolving in Nigeria? AYOTUNDE COKER: Demand is evolving and rising rapidly. We are creating awareness of local quality and capability through advertisements, editorials in the business and technology press, and business conferences. This is being done with bodies such as the Lagos Chamber of Commerce and Industry, and the Nigeria Economic Summit Group. It is also key to ensure that global cloud players are aware…

Analysis

Good and ready: The government is set on tackling tough challenges for the rollout of infrastructure
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Abuja has turned its attention towards infrastructure in a bid to boost telecoms quality and coverage. Given the efforts by the Nigerian Communications Commission (NCC) to improve services, along with the government’s aim to increase broadband penetration rate to 30% by 2018, there is recognition that the market faces significant infrastructure deficiencies. Structural Aid As of July 2016 some $68bn had been invested in the Nigerian telecoms sector, of which $35bn came from foreign direct…

Analysis

Pay off: Demographics and increasing internet uptake favour e-commerce expansion
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While e-commerce is starting from a relatively low base, the market looks promising for rapid expansion. Demographics, income and internet uptake all suggest that online retailers are well placed to generate strong revenue in this key African market. However, e-commerce faces several impediments to growth, including poor distribution infrastructure, existing consumer payment preferences and logistical issues. Size Across the continent, e-commerce is seen as a promising area for investment.…