Tech Top 5 News

THISWEEK IN Tech

US Plans Deployment of Cybercrime Adviser to Combat Fraud

The United States has unveiled plans to send a cybercrime advisor to Nigeria.

The advisor is poised to facilitate cooperation between the two nations, offering essential training, equipment, and technical assistance to bolster Nigeria’s capacity to address cyber threats, including fraud and sextortion. The decision to deploy the advisor, expected to be funded by the International Narcotics and Law Enforcement Affairs (INL), was disclosed in a joint statement released by the Governments of the United States of America and Nigeria during the sixth U.S.-Nigeria Binational Commission held recently.

The joint statement emphasised the imperative to reinforce efforts against cyber-enabled money laundering and fraud, underscoring the importance of leveraging technology and international cooperation mechanisms such as extradition and mutual legal assistance.

According to the statement, Nigeria and the United States shared concerns regarding cybercrime’s threats to mutual peace, prosperity, and security. Nigeria identified its several efforts and capabilities for combatting cybercrime, presenting many avenues for bilateral cooperation.

The United States commended Nigeria for acceding to the Budapest Convention on Cybercrime in 2023 and for collaborating in several cybercrime forums. The United States and Nigeria pledged to work together to combat cybercriminals who target citizens of both countries.

“To that end, the United States announced the upcoming deployment of an INL-funded cybercrime advisor in Nigeria to facilitate that cooperation and provide training, equipment, and technical assistance to build Nigeria’s capacity for cybercrime, including fraud scams and sextortion,” the statement said.

It added that both countries “understand the need to reinforce efforts to combat cyber-enabled money laundering and [cyber-enabled] fraud and to make greater use of both technology and international cooperation mechanisms such as extradition and mutual legal assistance.”

Controversy Brews as Nigeria Plans Cybersecurity Levy on Electronic Transactions

Nigeria’s financial landscape is controversial following the Central Bank of Nigeria’s announcement of a cybersecurity levy on electronic transactions, slated to begin on May 20. The levy, set at 0.5 per cent of the value of electronic transfers, marks a substantial increase from the previous rate, sparking widespread debate and concern among stakeholders.

The circular issued by the Central Bank mandates all banks and mobile money operators to enforce the levy, with funds managed by the country’s security adviser’s office. Non-compliance will incur a hefty charge of two per cent of the institution’s annual turnover, intensifying the pressure on financial entities to adhere to the directive.

The central bank defended its decision, citing alignment with the recently amended Cybercrime Act of 2024. However, this rationale faced scrutiny as the House of Representatives intervened, directing the apex bank to halt levy implementation.

The Minority Leader of the House, Kingsley Chinda, criticized the Central Bank’s interpretation of the Cybercrime Act, arguing that the burden of the levy should fall on specific businesses outlined in the law, not bank customers.

“The wording of the CBN circular is ambiguous, leaving room for multiple interpretations, including the imposition of the levy on bank customers, contrary to the Cybercrime Act,” Chinda stated.

In response to mounting criticism, The House unanimously adopted a motion urging the central bank to withdraw the contentious circular and issue a revised version that aligns with the law’s provisions, offering clarity and proper interpretation.

The unfolding saga underscores the complexities of cybersecurity regulation and highlights the need for clear, consistent directives to navigate Nigeria’s evolving financial landscape while ensuring consumer protection and regulatory compliance.

Jumia Reports Remarkable Q1 Performance

Africa’s leading e-commerce platform, Jumia, announced a substantial reduction in its operating losses, plummeting by 71% year over year to $8.3 million in the first quarter of 2024, a stark improvement from $28 million reported in the same period of 2023. The company’s robust financial performance was unveiled in its Q1 2024 report released recently.

Jumia attributed this impressive feat to a series of strategic initiatives to bolster profitability, including substantial cost reductions and enhanced gross margins. Despite a five per cent decline in its active customer base during the same quarter, the company managed to achieve a noteworthy 19 per cent revenue growth year-on-year, reaching $49 million in Q1 2024.

Moreover, Jumia’s gross merchandise value, representing the total customer payments before deductions, experienced a five per cent surge year-on-year to $181 million. The company’s strategic focus on cost-cutting measures, such as scaling back customer incentives and free shipping expenses, reduced quarterly active customers from two million to 1.9 million. However, this move contributed to a higher-quality customer base with increased repurchase rates.

The CEO of Jumia Group, Francis Dufay, expressed confidence in the company’s trajectory, emphasizing a strong start to the year and the execution of strategic priorities to fortify Jumia’s core business and enhance cash efficiency. Despite challenging economic conditions and significant currency devaluations in key markets impacting purchasing power and supply availability, Dufay highlighted Jumia’s resilience in securing adequate inventory and offering a diverse product range at competitive prices, fostering sustained consumer engagement on its platform.

Microsoft, OpenAI Unveil $2m Fund to Combat AI Misinformation, Promote Education

In a groundbreaking move, technology giants Microsoft and OpenAI have introduced a $2 million Societal Resilience Fund to tackle AI misinformation and enhance global AI education. This initiative comes as several countries prepare for elections, highlighting the critical need for informed and literate voters.

The fund, specifically targeted at AI education and literacy among voters and vulnerable communities, is a proactive step towards navigating the complexities of the digital age. Microsoft and OpenAI emphasized the importance of providing tools and information to help individuals navigate the digital landscape and access authoritative resources amidst a surge in AI-related content.

In a statement, both companies highlighted the significance of providing tools and information to navigate the complex digital ecosystem, stating, “In a year when two billion people across the globe will vote in democratic elections, it is more important than ever to provide tools and information that will help people navigate an increasingly complex digital ecosystem and find authoritative resources.”

The fund’s objectives include promoting whole-of-society resilience against deceptive AI content. Grants from the fund will support organisations such as Older Adults Technology Services from AARP (OATS), the Coalition for Content Provenance and Authenticity (C2PA), the International Institute for Democracy and Electoral Assistance (International IDEA), and Partnership on AI (PAI). These grants will aid in delivering AI education and fostering a better understanding of AI capabilities.

“Our shared goals are to combat the growing risk of bad actors using AI and deepfakes to deceive the voters and undermine democracy,” said Microsoft and OpenAI.

Google Empowers African SMBs with AI Training in Hustle Academy 2024 Cohort

Google has unveiled applications for the 2024 cohort of its Hustle Academy, signalling a renewed commitment to accelerating the growth of small and medium-sized businesses across Sub-Saharan Africa. The program introduces a groundbreaking upgrade by integrating business-focused AI training directly into its curriculum.

The Hustle Academy emerges as a beacon of hope, offering comprehensive business education, mentorship, and networking avenues. Since its inception in 2022, the program has empowered over 10,000 businesses, leading to a notable increase in funding success rates and job creation. Participants who received grants nearly doubled their success rate in securing new funding sources beyond personal networks, indicating a significant impact on financial sustainability and growth.

Head of B2B Marketing, SSA, Kristy Grant, highlighted the transformative potential of AI for African SMBs, stating, “Artificial intelligence holds immense potential for African small and medium-sized businesses, enabling them to drive innovation, increase efficiency, and unlock new levels of economic growth.”

Grant emphasised the Hustle Academy’s role in supporting businesses in raising funding and creating jobs, with the incorporation of AI poised to amplify this impact further.

The new AI modules within the curriculum focus on data-driven decision-making, operational optimisation, and AI-powered marketing strategies. Participants will delve into practical applications through modules such as ‘Boost Your Productivity with AI’ and ‘Marketing Strategy and AI’, equipping them with tools to enhance efficiency, streamline operations, and drive digital outreach.

Tech Personality of The Week

Jude Dike: Driving Innovation, Financial Inclusion and Empowering People

This week’s spotlight shines on Jude Dike, the CEO and co-founder of Get Equity. Established in 2021, Get Equity operates as a private marketplace facilitating the trading of digital securities and assets securely. The platform serves as a bridge for investors and companies, offering a seamless avenue to digitise assets and cultivate liquidity through investment management and syndication.

Get Equity’s inception focused on democratising venture capital investments. However, with a successful record of channelling $3 million into startup ventures, the platform has evolved to encompass a broader spectrum of investment options. Now, users can access a diversified portfolio, including bonds, commodities, and other fixed-income instruments, catering to varying risk appetites.

Dike brings a wealth of expertise to the tech and finance realms. His previous roles as engineering lead at Bloc, senior software engineer at Ethereum Push Notification Service and Concourse Open Community, and head of product at Africave reflect his proficiency in overseeing engineering projects, building technical infrastructures, and managing teams.

Beyond his role at Get Equity, Dike also serves as a venture partner at Wefunder and RaliCap, further cementing his influence and impact within the investment and entrepreneurial landscape. With a background in computer science, Dike continues to drive innovation, foster financial inclusion, and empower individuals to navigate the dynamic world of digital assets and investments.