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The Evolution Of Broadband, The Impact On ICT & The Way Forward

The Evolution Of Broadband, The Impact On ICT & The Way Forward. By Mr. Ejovi Aror (Group Managing Director). The evolution of broadband in Nigeria The impact on information technology The ICT ecosystem today Challenges to the future of broadband Challenges to the future of ICT.

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The Evolution Of Broadband, The Impact On ICT & The Way Forward

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  1. The Evolution Of Broadband, The Impact On ICT &The Way Forward By Mr. Ejovi Aror (Group Managing Director)

  2. The evolution of broadband in Nigeria • The impact on information technology • The ICT ecosystem today • Challenges to the future of broadband • Challenges to the future of ICT

  3. The evolution of broadband in Nigeria 1990’s 2000’s 2010’s 1990 – 2000 2000 – 2010 2010 – Present

  4. The evolution of broadband in Nigeria The 1990’s • The deregulation of the Telecommunications sector in 1992 and the establishment of the Nigerian Communications Commission (NCC) • Emergence of licensed telecoms providers (e.g. Hyperia, Nova & Linkserve) operating dial-up and VSAT services • Typical speeds were between 2.4Kbps and 9.6Kbps and service was very expensive

  5. The evolution of broadband in Nigeria The 2000’s • Full deregulation of the Telecommunications sector • GSM rollout with focus on voice (licensed in 1999) • Emergence of fixed wireless operators such as ipNX, Swift & Mobitel • Emergence of SAT-3 submarine cable (2001) • Improvement in speeds (1Mbps to 5Mbps) • Entry of MainOne and Glo 1 submarine cables (late 2000’s) • Drop in cost of international bandwidth

  6. The evolution of broadband in Nigeria The 2010’s • More fixed wireless players such as Smile & Spectranet • Wireless broadband becomes highly competitive in terms of price and speed • GSM telcos focus on data (3G & 4G, 5G coming soon) • More submarine cables (ACE & WASC) and further drop in cost of international bandwidth • Rollout of fibre-optic broadband (ipNX, MainOne, MTN, etc) • Speeds of over 50Mbps are now available and affordable

  7. The evolution of broadband in Nigeria The Highlights (Over 25yrs) • Proliferation of players in the industry • Data went from a luxury to a commodity (International capacity per Meg per month cost $6,000 in 2005, $300 in 2010 and is less than $20 today) • The rapid increase of internet speeds (Over 100,000% growth in 25yrs) Over 100million Internet subscribers

  8. The impact on information technology

  9. The impact on information technology Via broadband, • Data is generated, processed, transferred, consumed, analysed and utilised over thousands of times more and over thousands of times faster than 25yrs ago • The explosion of social media (over 16million facebook users) and the app industry has made the way we live, work and play more dynamic than ever before • Businesses, from the smallest to the largest are embracing the internet as the best way to engage, interact and sell goods and services to their consumers.

  10. The impact on information technology • High demand for new IT skills and services in the IT sector • The potential for exponential job growth • Requirements for global standards in the sector Are we ready for this? It may also have a negative impact: • Exportation of IT jobs and revenue where skills, resources and standards are lacking • Brain-drain in the IT sector

  11. The ICT ecosystem today Cloud Broadband needs the IT sector to thrive Broadband End User Devices

  12. The ICT ecosystem today • The more value that is created in the IT sector, the more the demand for broadband services • Majority of broadband traffic today is international. This means we are: • Supporting the growth of foreign IT sectors; • Driving their IT costs down through economies of scale; • Majorly dependant on foreign innovation; and • Digitally exposed (socially and commercially) to foreign nations (they have all our data).

  13. A state of emergency needs to be declared in Information Technology

  14. Challenges to the future of ICT • Not enough focus on local capacity building in ICT development (e.g. software development & cloud technology are majorly exported to foreign companies) • Government support and patronage of local ICT via policy development and direct investment • More investment in IT skills development to bridge the gap with foreign nations • Investment in start-ups and innovative technologies

  15. Challenges to the future of broadband • The current approach to Right-Of-Way for laying fibre cables is not harmonised across the states and is sometimes affected by a change of administration • Multiple taxation across various parastatals and tiers of government hinders business operations • The cost of long distance services (LDS) to other states is very expensive and hinders the necessary expansion of broadband across the country (capacity from Lagos to Abuja is more expensive than Lagos to London) • The removal of IT/Telecoms from the exclusive list • High-interest rates

  16. Thank You Questions?

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