By Alexander Chiejina
Rapid technological breakthroughs and a growing use of digital solutions across all industries and disciplines are driving the considerable digital transformation of African markets. This trend is expected to change and be influenced by several factors. The adoption of digital solutions across the continent will be made easier by the growing affordability of internet access and mobile connectivity. The demand for digital services and solutions, including fintech, e-commerce, and online education, will rise as more people have access to the internet.
Leveraging these breakthroughs, MTN appears to be pushing critical investments into cutting-edge technologies like 4G and 5G to meet rising demand for low-latency, high-speed data services, opening the door to provide advanced services beyond internet access and assisting in the expansion of digital and financial inclusion initiatives in various markets.
The company’s ‘MTN Ambition 2025’, which it said is anchored on building the largest and most valuable platform business with a clear focus on Africa, rests on a scale connectivity and infrastructure business, making use of both mobile and fixed access networks across the consumer, enterprise and wholesale segments. The implementation of this growth strategy is accelerated through selective partnerships and leveraging MTN’s brand as the most trusted and valued in Africa.
The ‘Ambition 2025’ strategy is supported by five growth platforms, underpinned by Africa’s largest connectivity network: MoMo (FinTech Solutions), Ayoba (Digital Solutions), Enterprise Services, Network (Network as a Service), and Chenosis (API MarketPlace). This strategy is focused on growing the largest and most valuable platform business with a clear focus on Africa.
Momo
MTN MoMo is a fintech platform providing consumers and businesses with a host of innovative digital financial services. Among other things, it enables users to access payments, e-commerce, insurance, lending and remittance services. Through this fintech solution, MTN is seeking to unlock economic growth through financial and digital solutions for consumers and businesses of all sizes. As it grows its service offering, it aims to create a marketplace that supports cashless and digital economies through affordable, inclusive, understandable and comprehensive financial services.
The company is playing a key role in the evolution of mobile financial services (MFS) to mobile financial platforms (fintech) by offering in-store payments, remittances, prepaid services, mobile wallets, micro-loans and micro-insurance.
Business A.M. checks reveal that 69.1 million MoMo users are in 17 markets at the close of 2022 with 1.3 million active MoMo agents; 1.5 million active merchants. It generated 13.4 billion transactions in 2022 with a transaction value of $221.3 billion. Over $2.2 billion remittances have been generated in 2022 with $1.4 billion in loans facilitated.
Ayoba
Ayoba is a powerful software created in Africa for the rest of the globe that enables users to chat, phone, follow micro-apps and localized content channels, play games, and listen to music. Ayoba is accessible to both MTN and non-MTN clients everywhere. Users can exchange photographs, videos, files, voice notes, and even their location while sending and receiving encrypted messages. Through channels and micro-apps, localized content is accessible with the goal of energizing, educating, and empowering communities.
Ayoba has millions of users across the African continent and beyond since its introduction in May 2019. Embedded within an African super-app, it provides users with free access to an ecosystem of digital and rich media services via channels, micro-apps, and payment options.
Enterprise Services
Businesses operating in the modern context always strive to improve productivity. With access to MTN’s ICT solutions which include Managed Network Services, Cloud, Unified Communications, Internet of Things and Security as A Service, nothing gets in the way of getting business done for institutions and enterprises.
Network as a Service
MTN has the largest collection of network assets. These include subsea cables providing international connectivity; terrestrial and metro fibre; data centres and cable landing stations; FTTx, towers and radio access network assets. Business A.M. checks revealed that MTN has invested in four subsea cables and 100,000 km in proprietary fibre. The company has 67, 000 physical sites in 18 markets with 60 data centre facilities in its top five operating companies.
Chenosis
Chenosis is a cross-industry API marketplace that enables developers, entrepreneurs and businesses to integrate into the fastest-growing library of open APIs. Chenosis provides access to a broad market of API products and services across telecommunications, health, government, financial services, entertainment and more. Users are able to find APIs in a number of categories such as messaging, e-commerce, identity, authentication, payments, collections, location, weather and so much more. Chenosis offers developers one point of integration, one commercial agreement, one point of contact, one bill and one marketplace for their API requirements.
Cloud Expansion
MTN and Microsoft are in the process of delivering a programme of work that will see the latest technologies deployed for the benefit of MTN’s customers, starting with South Africa and Nigeria. The core of the programme focuses on migrating BSS and OSS applications to the Microsoft Azure cloud aiming to realise operational benefits and cost efficiencies.
Information obtained by Business A.M. revealed that work has already begun with the establishment of MTN Group Cloud Centre of Excellence and Project Nephos to migrate, carefully selected, business applications to Azure. MTN and Microsoft will work closely with Accenture who will be providing technology implementation, integration and support services to successfully enable the migration and operations of the targeted environments.
“Our strategic partnership with Microsoft will enable us to transform the way we deliver products and services to our customers. We will bring the power of cloud computing to life driving development and innovation with speed, flexibility and predictable investments and operations. We remain focused on nurturing the digital skills within MTN and in the societies we operate in and building digital platforms to drive digital transformation across Africa and the Middle East,” said Nikos Angelopoulos, chief information officer, MTN Group.
More than 60 percent of Africans today are under the age of 25, Africa’s expanding young and tech-savvy population is projected to play a crucial role in accelerating the digital revolution that will result in a greater use of digital devices and a greater willingness to adopt new tech solutions.
The majority of African markets, particularly those where MTN operates, have seen significant improvements to their local surroundings in recent years. The rapid progress of technology, particularly in the mobile, internet, and fintech industries, is one of the most significant changes. The growing availability of inexpensive smartphones and internet connectivity has increased the number of individuals utilising online services and linked the unconnected, opening up new chances for organisations to grow and change the way they conduct business.
The telecom giant explained that the successful investment in telecom infrastructure has aided in economic development and growth and served as an example for luring foreign investment and enhancing the business climate, both of which have boosted the economy.
“Additionally, we were instrumental in facilitating the rise in mobile data usage during the pandemic, allowing customers and students to complete their tasks remotely. This accelerated the digital transformation.
