The cloud is raining cash on Amazon, Google and Microsoft

Embedded image, Google, and Microsoft all topped profit estimates last quarter, highlighting the widening gulf between companies that deliver computing via server-laden warehouses and a generation of latecomers to the cloud boom. Together, the three companies added almost $100 billion in market cap in early trading following their earnings reports on Thursday.

The trio shares a reliance on technology that comes from powerful machines lashed together in bunkers the size of football fields. These data centers are capable of providing a broad range of services at a low cost—be it Microsoft’s personal and business software, Amazon’s e-commerce and computing power, or Google’s Web search and advertising algorithms. Contrast that with technology firms, such as IBM, Hewlett-Packard, EMC, and Oracle, which are suffering from slowing growth or declines as cloud operators shun traditional hardware, software, and services. Read more

Africa’s growth of mobile subscriptions slowing down: Will tower sharing help?

frica’s mobile connections may be edging closer to the one-billion mark, but growth in unique mobile subscribers—the number of individuals that have subscribed to a mobile service—will slow down over the next years says a a new a report from GSMA, the international organization of mobile operators and companies.

Africa currently has 367 million unique mobile subscribers, and its fastest growth period for these subscriptions was in the first half of this decade (2010-2015), with an annual growth rate of 13%. The GSMA now expects the growth rate of unique mobile subscribers to slow down to 6% in the second half of the decade (2015-2020). Read more

Facebook and Eutelsat launch satellite to boost internet access across Africa

Some of the most remote parts of Africa are to be given internet access under a partnership agreement between social networking web site Facebook and French satellite internet operator Eutelsat.

The companies have signed a multi-year agreement with fixed satellites operator Spacecom to utilise the entire broadband payload on a future Spacecom ‘AMOS-6’ geostationary satellite. The companies said they plan to build “a dedicated system comprising satellite capacity, gateways and terminals”.

Eutelsat said the service, which is scheduled to start up in the second half of 2016, will see the satellite enable broadband access to large parts of Western, Eastern and Southern Africa. According to the terms of the agreement, the capacity will be shared between Eutelsat and Facebook.

“The capacity is optimised for community and direct-to-user internet access using affordable, off-the-shelf customer equipment,” Eutelsat said. Read more

Mobile connections will rise to 57% by 2020

Mobile connections will rise to 57% by the end of the decade and smartphones will account for half of all mobile connections in the region come 2020.

This is all being driven by declining prices, Sinclair noted. By the end of the decade there will be 400 million new smartphones, which will make a total installed base of over half a billion. As of the middle of 2015, 200 million people were accessing the Internet using mobile devices; a figure that is expected to double in the next few years.

“Mobile has had a significant impact on Sub-Saharan African economies,” he said. In 2014 alone, mobile contributed $102 billion to regional GDP, which is expected to grow to $166 billion by 2020. The mobile economy directly and indirectly supported about 4.4 million jobs in 2014 and this is expected to rise to about six million by the end of the decade.

“Sub-Saharan Africa has been a centre of innovation over the last five years, not only in terms of money but also in terms of crowdsourcing. A number of incubators have been developed and there is a flourishing mobile economy in this region.” Read more