- A Guardian analysis posits that Nigeria’s insurance industry lost ₦240 billion in premium income from the non-insurance of an estimated eight million tricycles and motorcycles between 2000 and 2017. The paper says that the figure is only ₦10 billion less than the total premium income earned by insurance companies in 2016 alone, following a drop in insurance renewals and a preference for quarterly and monthly premiums as a result of the current economic recession. The paper says the industry loses ₦40 billion annually to uninsured tricycles and motorcycles, as virtually all of them have no third party motor insurance cover, which is ₦5,000 under the Third Party Motor Insurance Act.
- Vivendi’s Universal Music Group will launch a new division in Nigeria as part of efforts by the world’s largest music label to expand into Africa’s most populous nation and the wider region. The music entertainment group said on Tuesday its new strategic division, Universal Music Nigeria, will operate from Lagos. Music revenue in Nigeria – mostly derived from sales of mobile phone ringtones – grew 9 per cent in 2016, year-on-year, to reach $39 million and is expected to rise to $73 million by 2021, auditing firm Pricewaterhouse Coopers said last year. Universal Music Nigeria also plans to open a recording studio in Lagos, which would be the label’s second fully purposed studio in Africa alongside another in Johannesburg, South Africa. Sipho Dlamini, Managing Director of Universal Music South Africa and Sub-Saharan Africa said the Nigeria division will focus on developing West African artists and musicians, particularly Nigeria, Ghana and Gambia. UMG said the new division will work alongside the label’s existing operations in Ivory Coast and Morocco.
- More than half of Sub-Saharan Africa will be subscribed to a mobile service by 2025, according to the latest GSMA Mobile Economy report published at its ‘Mobile 360 – Africa’ event being held in Kigali this week. The new report forecasts that there will be 634 million unique mobile subscribers across Sub-Saharan Africa by 2025, 52 per cent of the population, up from 444 million at the end of last year. The report calculates that the mobile ecosystem will add more than $150 billion in value to the region’s economy by 2022, almost 8 per cent of regional GDP. Sub-Saharan Africa has been the world’s fastest-growing mobile region in recent years but subscriber growth has slowed as the industry faces the challenge of device affordability by a young demographic. The region’s current mobile penetration rate at 44 per cent is significantly below the global 66 per cent average.
- The Lagos headquarters of ExxonMobil’s Nigerian operations were shut down by employees over the sacking of 860 spy police without entitlement. The employees as saying that their colleagues were sacked after being with the company for 22 years without regard for the rule of law. Razak Obe, the chairman of ExxonMobil’s PENGASSAN branch, said the company is quick to indiscriminately sack Nigerians and replace them with expatriates. The union leader also urged the management to immediately reinstate the 16 employees purportedly sacked in December 2016 in a similar fashion.
- Eagle Eye Productions, an Abuja-based production company is in the midst of a ₦65 million legal fight with Samsung Nigeria and Ringier Media Nigeria for allegedly using a part of its ‘Lekki-Ikoyi Link Bridge at Night’ video in a Galaxy S8 advert without its permission. Samsung had, after receiving the lawsuit, claimed it had no knowledge of the creative process of the ad, as it outsourced the job to a Cheil Communications. Cheil, in turn, claimed it outsourced the job to Ringier. The suit, which has been on since May, has seen a dizzying number of claims and counterclaims, including a squabble over Ringier’s proper given name.