Information Technology
Nigeria to invest N2.6tn in set-top box manufacturing
Thirteen indigenous companies will soon begin the manufacturing of set-top boxes at a projected rate of about N200bn each, amounting to N2.6tn.
Although the National Broadcasting Commission only disclosed the identity of just one company on Wednesday, it said the licences were awarded as part of efforts to meet up with the rescheduled June 2017 deadline on migration from analogue to digital technology.
Our correspondent gathered that the STBs would be used to convert analogue television sets to digital channels to enable Nigerians to watch TV by June 2017.
The Director-General of the NBC, Mr. Emeka Mba, said the Media Concept International was the first STB manufacturer licensee to pay N50m authorisation fee over a year ago, “and has since commenced the process for local manufacturing of set-top boxes at $1bn (N200bn) by 2016.”
He said, “The other 12 companies may likely be spending about the same amount, but since we missed the June 17, 2015 deadline, the most important thing to note here is that we have made progress to ensure that we meet the 2017 target.
“We see a digital future driven by set-top boxes that can give digital channels, Internet access and enhance digital lifestyle and shorten the digital divide in Nigeria.
“We believe this is the future which requires bold steps. Local investors like MCI are making investments that will create technology transfer, and that will permeate through television to bring job creation and economic growth.”
Mba, however, said that the biggest challenge before NBC was that Nigeria had the biggest market with 26 million TV households, saying, “We have to manage the digital migration process carefully to carry all stakeholders along.”
He added, “The efforts of NBC’s former director generals on the Digital Switchover are bearing fruit. The DSO is monumental. It is a national project of how people receive digital channels.”
Meanwhile, MCI has stated that the over $1bn investment was due to its partnership with a South Korean firm, KAON.
The company’s Chairman and Chief Executive Officer of MCI, Mr. Babatope Agbeyo, said part of the technical agreement with KAON as a technical partner was to establish a set-top box assembly plant in Nigeria.
“The plant will create about 1000 jobs in the country and foster technology transfer between MCI and KAON. It will be located at Abule-Egba in Lagos when completed, and would have the capacity to manufacture mobile phones, tablets and television sets,” he said.
Agbeyo added that the partnership signalled the beginning of development, “as the future of digital broadcasting rests on the availability of set-top boxes.”
The PUNCH recalls that the NBC in September 2015 awarded digital pay TV broadcasting services licence to MTN Nigeria, and had stated that digital migration was expected to add N320bn yearly to the Nigerian economy, creating over 55,000 direct and indirect jobs.
More so, industry players have said

punchng.com/2015/11/5099

Thanks for the update