Commerce

SEACOM celebrates its 15th anniversary, highlighting its impact on Africa's ICT and connectivity with milestones in subsea cable and fibre services. (Image source: Adobe Stock)

SEACOM, one of Africa's leading telecoms and managed services providers, celebrated its 15th anniversary today by emphasizing its impact on the continent's ICT and connectivity journey

In a statement, the company traced its origins back to July 23, 2009, when Africa's first high-capacity subsea cable went live. The 17,000-kilometre-long cable, connecting South Africa, Mozambique, Tanzania, Kenya, Djibouti, France, and India, is supported by landing stations along the Eastern and Southern African coasts, providing high-speed internet connectivity to Africa, Europe, and Asia.

Connectivity milestones

The company noted that in 2018, the SEACOM cable's capacity was increased by 1.5Tbps, bringing it up to 3Tbps to better meet Africa's growing connectivity needs. In 2011, SEACOM opened its first point of presence in Teraco Isando, Johannesburg, ushering in a new digital era in South Africa marked by lower latency and higher performance.

In 2016, SEACOM launched direct-to-business fibre services in South Africa, significantly transforming the local connectivity industry. The company stated: “With the necessary infrastructure in place, SEACOM set about defining and benchmarking the connectivity experience across key African markets. With each year, the group expanded and offered more products and services. Today, alongside offering enterprise-grade connectivity, SEACOM offers digital IT services, cloud, and cybersecurity solutions that enable African consumers and businesses.”

Alpheus Mangale, group CEO of SEACOM, commented on the milestone: “15 years ago today, Africa’s trajectory was forever changed with the introduction of fibre connectivity. In that time, the SEACOM group has evolved to become not just a leading connectivity provider, but an industry leader in the provision of IT and enterprise managed services. We owe these achievements to the hard work and commitment of all our SEACOM colleagues, and the ongoing loyalty and support of our clients, partners, and stakeholders.”

PalmPay was recognised in CNBC/Statista's "Top 250 Fintech Companies in the World" list, highlighting its role in advancing financial inclusion in Africa. (Image source: Adobe Stock)

PalmPay, a prominent Africa-focused fintech platform, has been named in the 2024 edition of CNBC and Statista’s esteemed “Top 250 Fintech Companies in the World” list

This accolade highlights PalmPay's swift growth and notable efforts in promoting financial inclusion.

Celebrating fintech excellence

The CNBC/Statista list celebrates fintech innovators who are significantly transforming the financial services sector through technology. Over 2,000 companies were assessed globally using general and sector-specific KPIs to finalise the selection. The 2024 list features some of the world's most influential fintech firms, such as Alipay, Nubank, Monzo, and Revolut. Six other African companies also made the list.

Since its inception in 2019, PalmPay has created an integrated platform serving both consumers and businesses in the African market. The startup introduced a distinctive model in Nigeria, offering financial services like money transfers, bill payments, credit services, and savings through a comprehensive fintech ‘superapp’ and mobile money agents.

This combined approach of user-friendly digital banking and offline touchpoints for those without smartphones has significantly contributed to financial inclusion in a market where over 40% of adults remain unbanked.

In 2023, PalmPay celebrated reaching 30 million registered users on its smartphone apps and connecting with 1.1 million businesses through its network of mobile money agents and retail merchants. Notably, a third of PalmPay’s customers reported that the platform was their first financial account.

PalmPay's rapid rise to market leadership in Nigeria is attributed to its intuitive interface, dependable transactions, and strategy of growing market share through fee-free transfers and promotions. The platform processes 15 million transactions daily on its consumer app, maintaining a 99.5% transaction success rate.

To achieve this scale in a market where a 10% transaction failure rate was common, PalmPay developed robust payment infrastructure, channel integrations, and transaction routing systems. Beyond its consumer wallet, PalmPay provides business services through its suite of POS machines, APIs, and checkout solutions.

"It’s an honour for PalmPay to be recognised by CNBC and Statista as one of the world’s top fintech companies," said Sofia Zab, global chief marketing officer, "This recognition validates our unique approach to financial services and our commitment to driving financial inclusion. We are actively expanding PalmPay’s reach and offerings, ensuring more people have access to essential financial services and promoting economic development in emerging markets"

PalmPay operates in several key markets across Africa, including Nigeria, Ghana and Tanzania, with plans to expand further in the region and other emerging markets. The company has global HQs in China and London.

Network International extends partnership with EGBANK to enhance ATM acquiring services and drive digital payment transformation in Egypt. (Image source: Network International)

Network International has announced the expansion of its strategic partnership with EGBANK to advance the bank’s ATM acquiring services, marking a key development in enhancing EGBANK’s banking experience and driving its digital transformation with cutting-edge solutions

This extended collaboration will harness Network’s expertise to bolster EGBANK’s market position in Egypt. It also builds on the existing relationship by integrating new payment technologies and innovative solutions to boost consumer trust and convenience.

Hossam El Sholkamy, deputy CEO of EGBANK, stated, “We are thrilled to enter a new phase of growth through the strategic partnership with Network International. Using Network’s expertise, we are shaping the market with new products and services that will facilitate our digital payment transformation, offering an elevated experience for our customers and emphasising our pivotal role in the Egyptian financial market.”

Dr Reda Helal, group managing director – processing, Africa & co-head group processing at Network International, commented, “We are excited to extend our existing partnership with EGBANK to transform digital payments for their customers in the ATM acquiring side of the business. Implementing Network’s innovative solutions underlines the bank’s impact in the Egypt market by providing superior payment experiences. We look forward to capturing the opportunities that lie ahead and achieving new heights of success by working together.”

True hybrid networks integrate diverse connections into a seamless, unified network regardless of infrastructure. (Image source: Livewire Digital)

Livewire digital managing director Tristan Wood focuses on the impact of autonomous networks on Telcos and the Maritime Sector, following the launch of Inmarsat's NexusWave Driven by Livewire's RazorLink SD-WAN Software

Telecommunications companies are deeply involved in the journey of network automation. This is driven by artificial intelligence (AI), machine learning (ML), and the pressure to increase margins from connectivity while maintaining prices. However, another significant development is the impact of hybrid connectivity, which involves bonding multiple networks. Tristan Wood, UK MD of Livewire Digital, suggests this could be a major disruptor, especially in the maritime sector.

A PwC industry survey last year found nearly half of telecom CEOs predicted existential threats unless their companies adapted to the changing market. The entry of other B2B operators into the connectivity space is intensifying the battle for revenue.

Currently, satellite dominates maritime broadband communications, but the cost of airtime remains a key concern. True hybrid connectivity, which bonds multiple networks and routes traffic via the most effective network, is becoming crucial. Inmarsat’s newly launched NexusWave offers a unified multi-dimensional network that combines traditional GEO satellite connectivity with more cost-effective services, such as Low Earth Orbit satellite (LEO) and terrestrial LTE cellular services when near coastal cell sites.

Network autonomy is also a focal point for many telecom companies. These next-generation networks use generative AI tools to self-monitor and resolve technical issues on demand, potentially revolutionising telephony and connectivity markets. The transition from Level 3 autonomy (automating tasks within pre-defined limits) to Level 5 autonomy (adapting to unknown conditions) is inevitable, depending on how quickly established and new players implement it.

According to TM Forum,  the global industry association for service providers and their suppliers, most telcos (84%) are not yet at Level 3 autonomy, which ranges from manual maintenance to closed-loop operations with selective AI in specific environments. Capgemini Research Institute indicates most telcos aim to achieve at least Level 3 autonomy by 2028.

Why is this important?

Autonomous networks offer benefits in quality of service (QoS), experience (QoE), and cost-efficiency. Various autonomous network initiatives over the past two years have shown operational performance improvements by up to 20% and reductions in operational expenditure (OpEx) by 18%. The economics alone are compelling.

Although delving into the technical details of implementing autonomy across fixed-line, cellular, or satellite networks isn't possible here, the broad principles are similar. These include customer-facing conditions like subscriber churn and behavior predictive analysis, predictive maintenance, network slice optimisation, adaptive and dynamic network policies, and network failure prediction. Collectively, the benefits are substantial.

For telcos using satellite and cellular or other networks, the advantages of hybrid connectivity are even greater. This brings us back to the concept of true hybrid networks, which transition from vertical integration of autonomy to a three-dimensional approach.

True hybrid networks are heterogeneous, turning a single bonded connection (fixed-line, cellular, satellite, emergency services network) into one seamless connection, offering ubiquitous, always-on connectivity. Intelligent management of resources to suit various conditions is crucial in government and business-critical environments, where lives and livelihoods are at stake. Inmarsat’s NexusWave demonstrates the maritime sector’s potential to benefit from this technology.

Hybrid connectivity, enabled by SD-WAN, uses software-defined networking to distribute network traffic across a WAN, creating a virtual overlay that bonds underlying private or public WAN connections like fiber, wireless, satellite, or cellular. This seamless combination and transition between networks allow multiple technologies to work together, sharing the load and resources.

A hybrid platform adapts to various variables to optimise performance and reduce costs, using the most cost-effective option. Integrating existing and future connectivity services can enhance efficiency in systems, workflows, and people. Despite advances like 5G and LEO satellite services, no single network can address the demand for seamless connectivity on the move. Hybrid connectivity offers a comprehensive solution for coverage, bandwidth, reliability, and cost.

The market opportunities for true hybrid connectivity are vast. It addresses the challenges of dynamic connections across different network coverages, making it suitable for industries like defense, space exploration, autonomous vehicles, emergency services, telehealth, cloud-based HPC, AI, and machine learning. Hybrid connectivity enables intelligent connections, revolutionising telecommunications and other technology-driven sectors.

The maritime sector, with its need for data and speed of connection, will benefit greatly from true hybrid connectivity. Inmarsat’s NexusWave, featuring RazorLink’s SD-WAN technology, addresses challenges of network connectivity, efficiency, and cost.

Telecommunication companies face a critical pivot point. Embracing true hybrid connectivity early could yield significant market opportunities, allowing telcos to capitalise on this technology before others move into the space.