‘Access to quality broadband key to Nigeria’s transition to knowledge-based economy’
Swift Networks recently unveiled a service called Red Cheetah which allows consumers access to free Wi-Fi at designated hotspots across Lagos. It is expected that many internet consumers will key into this platform which will equally create traction for advertisers who are looking for reach and precision results. In this interview, the CEO of the Swift Networks, Charles Anudu, further explains the product and speaks more on internet usage in Nigeria. Excerpts
Swift Networks recently launched Red Cheetah, a service which allows consumers access to free Wi-Fi at designated hotspots across Lagos. Can you tell us more about this service?
Red Cheetah is arguably the most ambitious free Wi-Fi service to ever emerge out of the shores of Nigeria. That is because Red Cheetah offers so much more than what the existing, regular free Wi-Fi service providers offer, especially in terms of capacity, speed and user experience. Our objective is to make fast, reliable and secure broadband access available to Nigerians at no cost while creating measurable value for brands that support the platform. For us, this service not only complements the revolutionary democratization of information in our fast-paced, digital economy, it also empowers individuals to connect, explore the world and play participatory roles in global democracies and economies. We understand that internet access is no longer the exclusive preserve of the rich. Even the United Nations now sees denial of access to the internet as a breach of human rights.
We are confident that it is only when a society is thoroughly empowered with access to the right information and opportunities that true economic development and social inclusion can happen. We want to drive that revolution by putting our customers first. Users are required to download the Red Cheetah app on Google Play Store and go through a one-time registration process to enjoy this free access in our hotspot channel locations across Lagos. The app version gives superior customer experience.
How will this initiative help to achieve the 30% broadband penetration ambition of the federal government under the National Broadband Plan?
Red Cheetah is a timely intervention in a country where broadband penetration still hovers at around 21%. We felt we needed to turn up the dial since Nigeria’s transition to a knowledge-based economy rests firmly on the quality of broadband access available to the citizens. We have been able to evolve a technology and business model that help drive internet penetration to the various segments of the Nigerian society. We started from Lagos. So far, our hotspot locations are expanding by the day and we encourage more businesses to take advantage of this offering to delight their customers with free broadband Wi-Fi. We believe that by the time we reach our 10,000 locations target, we would have succeeded in plugging in a substantial percentage of Lagosians to the Red Cheetah service. That is massive vision in terms of user base. We also have aggressive plans to extend the offering to other major cities in the country and boost the democratization of information and opportunities to Nigerians. We are confident that by offering free Wi-Fi service to Nigerians, we would have succeeded in helping to scale up Nigeria’s broadband growth as encapsulated in Nigeria’s 5-year broadband plan.
What motivated your company to introduce this product?
Our purpose as a company is to connect Nigerians to the digital society and economy and to ensure that nobody is left behind because those excluded will suffer severe disadvantages. So it is part of our social responsibility to ensure that as many people as possible are availed of the benefits of the fourth industrial revolution. The instinct of most people nowadays is to look for a free wifi service once they get into any public or enclosed space. This is true for those who can and those who cannot pay, from our studies. Red Cheetah exists to meet this need.
As a free Internet platform, consumers will likely be skeptical about its security, how is the security and speed guaranteed?
We have addressed from the outset any possible skepticism, especially as regards users’ privacy and security while using the service. That is why Red Cheetah was painstakingly developed in such a way that the app establishes a unique and secure Virtual Private Network (VPN) connection to the internet for each distinct device on the platform. We value the security of our users and that is one of the reasons we spent over two years building and fine-tuning what we believe will be most effective and secure internet service for Nigerians.
How do you think this product will deepen internet usage which will lead to more economic activities ?
Even though internet users rose marginally to 98.3million in December 2017, the bulk of what these Nigerians have is access to narrowband internet that limits the digital experience. Where broadband exists, it is unaffordable. We want to change that narrative for good. So, Red Cheetah is a strategic intervention to shore up the numbers, empower many more Nigerians with access to opportunities and contribute to the nation’s economic growth. Remember that every time a developing nation achieves a 10% rise in broadband penetration, it triggers a corresponding 1.3% increase in the nation’s GDP. We recognize that Internet access is the heart and soul of the fourth industrial revolution and to play effectively in that revolution, we must begin to see internet no longer as a luxury, but a growth enabler that should be made available to every citizen.
Would you say Red Cheetah is a competitive or complementary product in the internet services eco-system?
Red Cheetah does not compete with our regular broadband services; it is an offering that is distinct in its character and proposition. At a fundamental level, it serves as a major differentiation that sets SWIFT Networks apart from the other operators in the industry. Beyond this, it helps to accentuate our bold ambition to keep Nigeria connected to the larger world, discovering opportunities, exploring passions and ultimately empowering the individual and the larger community with the right knowledge to make informed decisions and transform our society.
What could be responsible for high cost of internet service in Nigeria and what kind of government policies are expected to change the situation?
Contrarily, the cost of internet service in Nigeria is one of the lowest anywhere in the world, notwithstanding the cost structure here. In fact, a lot of the prices in the market are below the cost of providing them. For the native broadband service providers like SWIFT, the cost of generating 1 Gigabyte of data is about N650 but our selling price is far below this. The same is true for the other service providers. There are many reasons for the high cost of providing internet service in Nigeria among which are shortage of electric power, security, exchange and interest rate costs. Secondly, since the equipment are not made in Nigeria, they are imported at unfavorable exchange rates. So each time there is a devaluation, the operators also take a major hit. Additionally, the operators borrow funds to build and run their networks at unimaginable interest rates.
There is no way you can run such a capital intensive business at the current interest rates that challenge most of the operators’ balance sheets. Then the problem of vandalism is there to contend with. Every fibre you lay is likely to be cut by contractors undertaking public works or malicious and mischievous people who wantonly steal or destroy telecoms infrastructure. The problem of multiple taxes is also a nightmare that most operators live with. To lower internet cost for Nigerians, we need good synergy between the government and the private sector to build and protect the critical infrastructure required for telecoms services.
You are leveraging advertisement for the offer of free internet, what do advertisers stand to gain?
The future is digital and by 2025 unique subscribers will hit a record 5.9 billion which will account for 71% of the entire global population. To bring that home, Sub-Saharan Africa will record the highest mobile penetration levels by 2025 and Nigeria is a focal point of that digital transformation. So, what all of these mean is that digital advertising – where Red Cheetah essentially sets out to play – is going to drive incredible ROI for brands, as we have seen over the past few years. So, Red Cheetah offers targeted advertising solutions to brands who are looking to reach their desired audiences in a way that is more engaging, measurable, cost-effective and with zero media waste.
A consumer is entitled to 1 Gigabyte of data daily, can this be rolled over?
The user gets 1 Gigabyte at 12 midnight every day. Any left-over data cannot be rolled over at this time but the full 1 Gigabyte is renewed every day.