‘How MVNOs can navigate Nigeria’s $75b telecoms sector’
To navigate Nigeria’s telecoms sector, estimated to be worth over $75 billion, the over 25 newly licensed mobile virtual network operators (MVNOs) in the country have been told to come out with innovative products that will deepen the nation’s communication and technology space.
Telecommunications infrastructure provider, Wireless Technology Labs (WTL), which tasked the operators with new products, said this has become necessary going by competition that already existed in the sector.
Recall that the Nigerian Communications Commission (NCC), earlier in the month, licensed some 25 firms for MVNO operations in the country. They include Routelink Integrated Systems Ltd, Hazon Technologies Limited, Asel Telecom Nigeria Limited, Briclinks Africa Plc, Pisi Mobile Services Limited, Univasa Nigeria Limited and Imose Technologies Limited among others.
According to the Chief Executive Officier and Co-Founder, WTL, Satya Mekala, there are huge opportunities for MVNOs growth and survival in Nigeria’s ICT space.
Mekala, who said this at MVNO Conference organised by WTL in Lagos, noted that connecting the unconnected population would help to boost the country’s economy and develop other sectors such as telemedicine, education, agriculture and micro, small and medium-scale enterprises (MSMEs).
The conference brought together MVNOs licensees, experts and stakeholders to explore and discuss innovative approaches to serve as niche drivers, design products and enhance digital connectivity for the market space and the entire community.
Satya also noted that WTL has been contributing to the Nigerian economy for 10 years by supplying rural connectivity solutions to communities with no connection. WTL has an innovative solution to connect them to the rest of the world, he said.
In his words: “MVNOs have the license to run on the mobiles network operators, while the tier 3 to tier 5 have the license to put radios in the rural communities. WTL is the only company that can supply them with the components to run their businesses. We are the only company that has an office in Nigeria. We understand the business terrain and we can also help MVNOs make a successful business.”
Speaking on this, WTL Sales Director, Emeka Isiguzo, said MVNOs operation in Nigeria is novel. MVNOs are going to serve as niche drivers to help extend telecom services to certain segments of the country.
Isiguzo stressed that the licensees have to be innovative in designing products and services so that they can adequately deliver sustainable solution services and differentiate them from the mobile network operators (MNOs).
“MVNOs have a very huge opportunity in rolling out the products, especially in the digital space. With the rate of digitalisation in the world, MVNOs business has gone beyond just delivering voice and data services, to designing digital products that their customers can leverage.
With their platform, licensees are not just driving subscribers’ growth but also driving economy and value. The opportunity is quite huge, but it takes planning, to ensure that you design your business the right way and launch the right way.
“For them to successfully interconnect with the mobile operators, there are technical elements that must be put in place, according to their licences for them to successfully interconnect with these operators. That is where WTL comes in. We are a MVNO core company. We have designed and built a system that can take care of Tier 2 to Tier 5. So, we are helping these new entrants in the market to understand the technical requirements to successfully connect to the mobile operators network. We have all the core components to supply and deploy for them and help them to interconnect with the digital layer customers like convenience, who is our partner. It is an end-to-end solution to enable the MVNOs to launch successfully and run successfully to make a good business for themselves.
“It is going to be a competitive space and the fact that the MVNOs are going to leverage on the MNOs, they would need to make agreements with the MNOs such that they can roll out services that are affordable to their customers. The rate of competitiveness and the quality of services rendered will determine the choices of Nigerians” he stated.
On his part, Covalense Digital Vice President, Africa Business, Seshan Krishnamurti applauded NCC for issuing the license and its framework.
He said MNOs have their limitations but by working together with MVNOs, they can make a big difference to the people and the industry. “It is important to understand the role of technology in transforming lives. We know that telecoms is a fundamental business. They also need to partner with stakeholders to know how the ecosystem is going to get value
