winning the data war
TRANSCRIPT
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Winning the Data War: The Strange Marriage between the Business Solutions and
the Network team
In Africa, the biggest ISs are the mobile Network o!erators, their entrance into the
IS s!ace was une"!ected but ine#itable as traditional means of re#enue generation
for the MN$s began to dr% u! after about a decade into the new millennium,
A#erage re#enue !er user &A'(), which is indicati#e of the amount s!ent b% thea#erage subscriber has either stagnated or declined, this is against the back dro! of
an increasing growth of subscriber number on the continent, mobile short
messaging ser#ice &SMS) could not hold its strength against newer messaging
solutions like WhatsA!!* +#en the data big bang could not mitigate the decline as
there was a gradual decline in re#enue generated !er megab%te of data used b% the
mobile subscriber*
The amount of ca!ital in#estment needed in su!!orting the network infrastructure
of toda%s data hungr% societ% has howe#er not uietened, and as if to make a bad
case worse, the !olitical class in most African countries ha#e targeted this MN$s for
high ta"ation b% introducing new ta"es solel% targeted at the MN$ communit%*In an e-ort to re#erse this u!setting trend, most telco.s ha#e resorted to
infrastructure sharing and managed ser#ice agreements in a des!erate attem!t to
sur#i#e and retain shareholder interest in the mobile network market* These
attem!ts did make some im!acts in stabili/ing the market but was not enough to
re#erse the trend* 0enturing into the IS s!ace did !ut some smiles back onto the
face of their in#estors* With nationwide network infrastructure at their behest, A
new com!etiti#e turf was created among the MN$s albeit to the decline of the small
traditional IS who do not ha#e the ad#antage of such massi#e infrastructure at the
call*
The ma1or telco.s on the continent2 MTN, 0odafone and Airtel set the !ace* Airtelcame with 3Airtel Business Solutions4, MTN had its 3MTN Business Solutions4 whilst
0odafone christened their enter!rise unit 30odafone Business solutions4* These
enter!rise business unit were created with the sole ob1ecti#e of selling Internet and
WAN solutions, and to some degree o#er cloud ser#ices to organi/ations, both big
and small*
5a#ing being a !la%er in this industr% from the #er% beginning, It is ob#ious what a
ma1or inter#ention these units ha#e become in generating the needed re#enue for
these MN$s* But e#en as I admit to their !ro6tabilit%, I dare conclude that their
im!act could ha#e been bigger but for some ubiuitous constraints that ha#e
!lagued the industr%* I will like to bring these contraints that ha#e been a little dam!
on the success stor% of the +nter!rise dealings of these MN$s*
7* Most MN$s saw the +nter!rise business units more as a sales unit and little
Becoming an IS or lease line !ro#ider seems like the master stroke to arrest the
decline in re#enue generation for these MN$s*
The% had one ad#antage o#er the traditional ISs2 Network Infrastructure*
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It was a case of su!!l% meeting demand, the network age was 1ust dawning in sub8
Saharan Africa, with banks and other big organi/ations interconnecting their man%
o9ces and branches to their head o9ces* There was little time to !ro!erl% audit
and !ut in the necessar% structures for the new de!artment, !otential customers
must not be lost to other com!etitors b% following bureaucratic strategies in
building a new de!artment, and so Business solutions o9ces were launched ando!ened to business*
5a#ing been in#ol#ed from the #er% beginning, the alignment between the BS o9ce
and the Network team missed some ste!s from the beginning, this resulted in
7* +nter!rise business architecture not !ro!erl% de6ned* +nter!rise unit and Network team not !ro!erl% aligned;* * Signing of o#erl% tight S
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etween 456; and 456 and focusing on enterprise services.
In the second group, the most important areas of new revenue are the ‘internet of things’ (IoT), in which
all kinds of everyday devices are connected to the internet, often wirelessly, and cloudbased services for
enterprises. y 456