Ict/Telecom
Experts Want Telcos To Tackle Structural Challenges In Industry
Senior Vice President, Technology Innovation and Ecosystem, Telefonica, Juan Lopez, has urged telcos to tackle the structural problems in the telecoms industry globally.
Lopez made the call in Lagos last Friday, on a webinar organised by GSMA to discuss how 5G could deliver value beyond basic connectivity.
The Tide’s source reports that GSMA is a global organisation unifying the mobile ecosystem to discover, develop and deliver innovation that helps business and society to thrive.
The theme of the webinar was “Unlocking the Value of 5G: Beyond Connectivity”.
He said the industry experts needed to face the current situation of the telecom industry, which suffered structural problems that required a deep model transformation.
According to him, technology was already offering new capabilities that would enable a new wave of services and applications, which comes from third parties.
Lopez urged telcos to key into this new capabilities to build the industry.
He explained that the missing link was finding enablers to expose and monetise these capabilities.
“Also, the investment to deploy them will have to be backed by a sustainable model and thankfully the industry is already working to deliver solutions for this in the short term with initiatives like Telefónica GSMA”, he said.
Speaking on 5G, he said since its initial deployment in 2019, 5G had rapidly expanded to 89 countries, reaching nearly 270 commercial launches worldwide, and achieving a remarkable 16 per cent market penetration.
He said this achievement was a testament to the exceptional speed, responsiveness and versatility offered by 5G networks, enabling reliable and secure connections for a multitude of simultaneous users.
Lopez, however, explained that 5G monetisation would create new opportunities in both traditional and new markets, including an innovative focus on digitalised operations in enterprise and industry.
According to him, the more businesses buy into 5G, the more telecom operators will gain from these offerings.
He added that it was in their interest therefore, to accelerate 5G adoption in the B2B (Business to Business) sector.
Lopez noted that telecom operators could become more proactive in demonstrating the value of 5G in the B2B sector and highlighting how this technology could meet specific client needs.
Lopez said 5G had already demonstrated its value through enhanced, speed, reduced latency, and improved security.
He explained that to justify the substantial investment in 5G, it was essential for it to succeed in both consumer and enterprise markets.
The Head of GSMA Intelligence, Peter Jarich also noted that 5G continues to set the bar for the mobile broadband uptake.
“In the 5G era, making money is the name of the game”, he said.
According to him, to address 5G use cases and deliver its full potential to customers, its monetisation capabilities must evolve together with 5G network implementation.
Jarich said the widespread adoption of 5G was driven by its adaptability to diverse industries and evolving use cases that demand the advanced capabilities it provides.
He explained further that to ensure the survival of the industry, it was crucial to generate a return on the substantial investments made in 5G.
The Managing Director, Shell Nigeria Exploration and Company Limited (SNEPCo), Elohor Aiboni, said Bonga, Nigeria’s first deep-water asset, has recorded major milestones, due to effective leadership, cutting-edge technology, continuous improvement and collaboration with stakeholders.
She noted that since coming on stream in November 2005, Bonga has maintained a track record of production that saw it achieve one-billion-barrel export on February 13, last year.
In her presentation, titled “The Bonga Journey to a Billion Barrels”, at the ongoing 2024 Offshore Technology Conference in Houston, Texas, United States, Aiboni, said: “SNEPCo is grateful for the contributions of all the parties to the Bonga story and we can all be proud of the milestones.
“Bonga has been consistent. In 2014, nine years after coming onstream, it achieved half a billion barrels of crude and doubled it in 2023. We have worked relentlessly to ensure excellent asset management, project and wells delivery and deployment of technology and innovations in our operations”.
According to her, these factors, “coupled with the supportive partnership of the Nigerian National Petroleum Company Limited and our co-venturers – TotalEnergies, EP Nigeria Limited; Nigerian Agip Exploration; and Esso Exploration and Production Nigeria Limited, make Bonga stand out as a world-class investment case”.
She continued that, “SNEPCo also enjoyed the support of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Content Development and Monitoring Board (NCDMB) in the success of Bonga operations”.
Aiboni also listed the challenges of keeping the Bonga Floating Production, Storage and Offloading vessel full as the asset ages and dealing with unexpected developments with subsea wells and equipment.
She said: “SNEPCo responded with a campaign of operational excellence, which among other initiatives, led to the creation of a programme known as the Bonga Business Improvement Plan that continually reviews and identifies improvement initiatives and drives sustainability in operations and upskilling of staff.
“The Bonga success story has been led by Nigerians who have been managing directors of SNEPCo since it was established in 1993, in a deliberate policy by Shell to develop indigenous manpower for deep-water operations in Nigeria.
“Today, some 97percent of the SNEPCo workforce is Nigerian and overall, Bonga has helped to create a new generation of Nigerian deep-water professionals.
“Our vision at SNEPCo remains to be the best deep-water business, powering growth and achieving net zero emissions in line with Shell’s Powering Progress strategy”.
Banks’ borrowings from the Central Bank of Nigeria (CBN) fell month-on-month, (MoM) by 44 percent to N12.16 trillion in April from N21.7 trillion in March.
Analysis of latest data from the CBN shows that the 44percent drop represents the first MoM decline in banks borrowing from since January when it increased by 268.7 percent to N3.6 trillion from N976.29 billion in December 2023.
However, further analysis showed that banks’ deposits in the CBN SDF grew MoM by 118.4 percent to N428.97 billion in April from N196.37 billion in March 2024.
Banks make use of the SLF to access liquidity to run their day-to-day business operations while the Standing Deposit Facility window (SDF) on the other hand, is an overnight deposit facility that allows banks to lodge excess liquidity (money) with the CBN and earn interest.
The decline in banks’ borrowing from SLF may reflect an increase in banking system liquidity and also the decision of the apex bank last year to remove the limit on the remunerable daily placements by banks at the SDF.
According to the CBN Governor, Mr. Olayemi Cardoso, the CBN removed the cap on the remunerable SDF to increase activity in the SDF window and manage liquidity.
A Financial technology expert, Olatunji Akinrinola, has highlighted the exponential growth of the FinTech industry, which according to him, was driven by technological advancements.
Akinrinola made this assertion in a press release recently, where he stressed that the role of technology in driving this exponential growth in the FinTech sector was very outstanding.
According to him, Technology has revolutionised the way financial services are delivered, making them more accessible, efficient, and inclusive.
“Through innovations such as mobile banking, digital payments, and blockchain technology, FinTech companies have been able to reach a larger population and provided them with access to financial services”, he stated.
Akinrinola emphasised the role of technology in enabling financial inclusion, adding: “Technology has democratised access to financial services, particularly in regions with limited banking infrastructure.
“Mobile money platforms and digital wallets have empowered individuals to conduct financial transactions conveniently and securely, without the need for traditional banking services”.
He also underscored the role of Artificial Intelligence (AI) and data analytics in driving innovation within the FinTech industry, noting: “AI-powered algorithms and predictive analytics have revolutionised risk assessment, fraud detection, and customer personalisation in financial services.
“These technologies enable FinTech companies to provide tailored solutions and mitigate risks more effectively, ultimately enhancing the overall customer experience”.
Akinrinola stressed the importance of regulatory frameworks in fostering the growth of the FinTech industry.
“While technology has accelerated the growth of FinTech, it is essential to establish robust regulatory frameworks to ensure consumer protection and maintain market stability. Regulators play a crucial role in balancing innovation with risk management, thereby creating a conducive environment for the sustainable growth of the FinTech sector”, he stated.
Akinrinola underscored the role of technology in driving the exponential growth of the FinTech industry, saying, “Technology has been a game-changer for the FinTech sector, enabling innovation, expanding access to financial services, and driving economic growth.
“As technology continues to evolve, the FinTech industry will undoubtedly play a significant role in shaping the future of financial services ecosystem”.
Corlins Walter