Convergence

The lines get thinner (1)

By SEGUN ORUAME.

Techno-optimists dreamt of technology convergence in the early 90s when digitalization would erase the lines between traditional mode of communication to bring all content whether audio, video or text storable in the same format and delivered through a wide variety of technologies including computers, mobile phones, televisions and other devices. That dream is now a solid reality in the 20s. Welcome to the age of convergence where you make flight booking via your mobile phones and pay for the same service via an SMS or Internet window that connects to your bank account.

The distinct walls of IT, telecoms, media and consumer electronics industries have collapsed to create one large 'converged' industry as technology analyst Kate Wild has put it far back in 2006 when convergence was beginning to gather momentum across countries. Now in Nigeria’s mobile phone market of over 90 million subscribers, digital satellite pay TV company, MultiChoice DSTV is offering digital television broadcast on mobile devices including iPod Touch, the iPhone, iPad, notebooks and other smartphones via its DSTV Mobile network coverage in several cities such as Lagos, Abuja, Ibadan, Port Harcourt, Onitsha, Asaba, Benin City, Kaduna and Enugu.

The launch of the mobile television services early this year by MultiChoice DSTV using the Digital Video Broadcast – Handheld (“DVB-H”) technology standard thickens the argument for regulatory convergence in respect of the National Broadcasting Commission (NBC), the regulatory authority for the broadcast industry and the Nigerian Communications Commission (NCC), the telecom regulator. This much is stressed by the Director General of the NBC, Engr Yomi Bolarinwa: “Convergence is here and we cannot run away from it, much more so that technology that has converged keep on growing in leaps and bound, technology in communication today keeps on looking out for the best and the technology is based on digitalization and digitalization is based on conversion,”

Even then, as Nigeria begins to explore the market for mobile money following the licensing of several mobile money operators by the Central Bank of Nigeria (CBN), the country’s regulatory authority, convergence is helping to reshape the relationship of the CBN and NCC in a market valued at over $2 billion (about N300 billion) that is bound to change service delivery in the financial market. Mobile payment or m-payment is a point-of-sale payment made from or via a mobile device; m-payment allows individuals and corporate bodies to pay for goods and services and even effect transfer of monetary instruments without physical interaction.

Much of corporate Nigeria has followed the convergence trail to deliver services to customers that have web or mobile access. Virtually all banks offer online or SMS-based banking services. In the top league are First Bank Plc, GTBank, UBA Plc and Fidelity Bank. Customers need not go to bank to confirm cheque payments to third parties. They only need a mouse click to make transfer from their account to another account even if the account is domiciled in another bank. In the aviation, the big industry players particularly Aero Contractors and Dana Airlines lead in online and SMS-driven flights booking and payments. Notably, Aero Contractors has helped to redefine customers’ behavior using mobile SMS and web tools to pep up patronage and bring ease of interaction between a service provider and its potential customer. A new generation of Nigerians would never know what flight booking was before the advent of convergence.

Across West Africa, convergence is gathering steam helped by the connivance of increased bandwidth courtesy of the entry of several undersea cables and the growing number of smart mobile devices delivered by foreign and local hardware supplies such as rlg Communications in Ghana, Zinox and Omatek Computers in Nigeria. With the steady shift from narrow band to broadband, West Africa is poised to experience more trends in convergence even as the market gets more sophisticated across all sectors from health, education and the media among others.

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