1. Providing Seamless Connectivity in E-commerce
Prof. Umar Garba Dambatta
Executive Vice Chairman, Nigerian Communications Commission

2. Content Context Broadband/ Data Services Conclusion What is Broadband
The Nigerian Telecommunications Industry
Connectivity Statistics
Broadband/ Data Services
What is Broadband
Current status
Challenges of Broadband Development in Nigeria
Broadband and Frequency Spectrum
National Broadband Infrastructure Initiatives
Conclusion

3. Context

4. The Nigerian Telecommunications Industry
Increasing use of data enabled devices (Smartphones, dongles, MiFis etc)
Voice service dominates the industry (Dominated by the 4 GSM providers)
Internet and VAS usage increasing
E-commerce entities increasing
Increasing confidence of transacting online by the populace
Online transaction security becoming critical
Increasing network coverage for 3G and 4G data services
Increased Colocation of services
Reducing Average Revenues per User
Increasing competition among players
Rather limited competition to GSM providers in the mobile broadband segment
Continued strong growth from the mobile sector threatens fixed-line growth
with mobile substitution
The insurgency in the north threatens the operations and network expansion
plans of service providers

7. Broadband / Data Services

8. What is Broadband?
Traditionally, the term broadband referred to high-speed communications networks that connected end-users at a data transfer speed greater than 256 Kbit/s.
Broadband within the Nigerian context is defined as an internet experience where the user can access the most demanding content in real time at a minimum speed of 1.5 Mbit/s.
Source: Nigerian National Broadband Plan

9. Current Status International Submarine Cable landings at our shores
Inadequate metro fiber infrastructure in several cities
Distribution and last mile challenge
Over 30,000 km inter - City Fiber laid already
Unutilized Capacity Due to Duplications in some inter-city fibre routes
Internet access mainly through wireless means
Relatively limited locally relevant content

10. Challenges of the ICT industry in Nigeria
The challenges of the ICT industry in Nigeria have also been identified as the absence of a robust national backbone infrastructure, high cost of access to devices, threat of power supply, right of way issues, damage/vandalization of fibre infrastructure, multiple regulations and taxation, discriminatory special high taxes and security of telecommunications infrastructure, spectrum availability - underutilization and non-utilisation of spectrum.
Investment and funding have also contributed to the rate of deployment of needed infrastructure for the telecoms industry. Telecoms infrastructure is capital intensive and while it is also true even at the level of investment so far, more would have been achieved if the operators had shared infrastructure at various levels.

11. Challenges of Broadband Development in Nigeria
Supply Side
Demand Side
Relatively limited Infrastructure sharing
Power supply issues
High Right of Way charges and multiple taxes and levies
Duplication of backhaul intercity fibre
Lack of metropolitan fibre infrastructure
Multiple Taxation and regulation
Limited spectrum bandwidth
Discriminatory pricing by existing infrastructure owners
Security and Community issues
Government policy
Availability of skilled manpower
Clear regulatory frameworks
Profitable data business model
Cost of terminal devices
Availability of applicable content
Cost of broadband access
Relatively low level of digital literacy
Unsatisfactory “broadband” speeds
Scale of fake or sub-standard devices
Poor perception of broadband value
Government policy
Electrical power supply

12. Broadband and Frequency Spectrum
Broadband is the centrepiece of the digital age
National Backbone Broadband Networks in conjunction with latest generation mobile telecommunications will drive the digital economy
Aim to deliver - Productivity - Connectivity – Mobility
Vast majority of Nigerians carry out online transactions via mobile devices making frequency spectrum critical
Spectrum is critical mobile infrastructure
The trend world wide is transactions and other interactions between business entities and consumers and potential consumers are going online and mobile

13. National Broadband Infrastructure Initiatives
Accelerated rollout of Metropolitan Area Fibre Infrastructures across the country
To address last mile challenges to businesses, homes, telecommunications sites etc
Instituting price caps and price floors for wholesale broadband capacity
Instituting an open access framework for access to broadband infrastructure
Licensing several Retail Service Providers to encourage innovation, choice and improved service delivery
Licensing additional spectrum for wireless broadband
Effective compliance monitoring and enforcement frameworks
Clear regulatory frameworks to encourage investment and effective industry operation

14. Conclusion

15. Conclusion
Effective E-commerce ecosystem requires pervasive telecommunications and broadband infrastructure deployment
Mobile broadband demand growth strong and prices falling
Mobile economic contribution – direct and indirect – Access
Mobile Broadband – productivity enabling technology
Global and local demand for mobile broadband on the rise
Technology pathway – speed and capacity evolution
New spectrum allocations – critical future infrastructure
With further technological advancements and international standardization, average terminal device price will keep falling
Content is crucial is driving broadband adoption
Optimal deployment of broadband infrastructures in the face of falling ARPU’s critical to driving broadband availability and affordability as well as effective support for the E-commerce ecosystem

16. Thank You
Dr. Eugene Juwah
Nigerian Communications Commission