Telkom South Africa enters the MVNO space

Bonjour,

Victoria from Techpoint here,

Here’s what I’ve got for you today:

• Telkom South Africa enters the MVNO space
• How bank transfers became Nigeria’s favourite payment method
• Google Play now accepts Airtel Money in Kenya

Telkom South Africa enters the MVNO space

Telkom is entering the Mobile Virtual Network Operator (MVNO) space, teaming up with a top Mobile Virtual Network Enabler (MVNE) platform provider. This partnership isn’t just about business; it helps Telkom meet South Africa’s telecom regulations, while also opening doors for more MVNOs, especially black-owned ones.

The MVNO market in South Africa is heating up, with banks, insurance companies, and big retail brands all jumping in. Everyone wants a piece of the telecom pie, and for good reason, the sector is booming. A report from Africa Analysis in February 2024 predicts that MVNO revenue will hit a massive R83.6 billion, which is a clear sign that there’s a lot of room for growth.

Since MVNOs first launched in 2006, the number of subscribers has skyrocketed, growing by 51% year-on-year by the end of 2023, with over 4.3 million users. More and more consumers are turning to mobile services from financial services providers, retailers, and niche brands, proving that people love having customised mobile options that fit their needs.

Telkom’s CEO, Lunga Siyo, is pumped about this new direction. “The MVNO market is an exciting space, and we’re ready to support new players with our network and infrastructure,” he said. Telkom is simplifying the process for new MVNOs with a streamlined, scalable platform that makes it easier to integrate, operate, and ensure smooth network access.

By working with experienced MVNE providers, Telkom isn’t just offering network access; it’s helping businesses build sustainable models with end-to-end customer engagement, smart product design, and seamless tech integration. Their goal? To help brands, no matter their industry, connect with customers in a way that actually adds value.

This isn’t just a short-term play for Telkom. They’re in it for the long haul, aiming to become a major player in the MVNO space.

---

How bank transfers became Nigeria’s favourite payment method

Paystack just dropped Zap, its first-ever consumer app, and it’s all about making bank transfers faster and easier. CEO Sola Akinlade announced the launch at a special event on Monday, saying Zap isn’t trying to be another neo-bank. Instead, it lets Nigerians link their existing bank accounts and transfer money quickly, no extra hassle.

But there’s a catch: only traditional bank accounts can be linked. That means no OPay, PalmPay, or Moniepoint for now. Akinlade explained that Zap was built with one goal: completing bank transfers in under 30 seconds. No distractions, just smooth and speedy transactions.

Users can link multiple bank accounts to the app, but there’s a twist — they’ll also get a Paystack-Titan account. The linked accounts basically fund this account instantly through direct debit, so you don’t even need to touch your bank app. And it’s not just for locals; foreigners in Nigeria can also use Zap to send money to Nigerian accounts. Akinlade even did a live demo, transferring funds from a Bank of America account to a Nigerian one.

Even though Paystack insists Zap isn’t a neo-bank, it’s still stepping into the B2C space after nine years as a strictly B2B company. And the timing makes sense: transfers have become the go-to payment method for Nigerians. In fact, Paystack’s 2023 report showed that 58% of its transactions were transfers, while Flutterwave’s 2024 report put that number at 51.77%.

So why are Nigerians ditching cards? One big reason is the cost. Getting a debit card isn’t cheap; some banks charge up to ₦2,500, including delivery fees. That’s part of why only 35.5% of Nigerians over 18 own one. Plus, transfers are just more convenient in a country where card payments can be unreliable.

To find out how bank transfers became Nigeria’s favourite payment method, check out Chimgozirim’s latest story.

---

Google Play now accepts Airtel Money in Kenya

Airtel Money is now a payment option for Google Play in Kenya, thanks to a new partnership with dLocal, the cross-border payment platform that connects global businesses to emerging markets. This move makes it easier for Kenyans to purchase apps and other digital content without needing a card or bank account.

With this integration, Google is making digital payments more accessible in Kenya. dLocal says it’s all about providing a localised payment solution that meets the needs of more people, ensuring that anyone with Airtel Money can now make purchases on Google Play hassle-free.

Airtel Money is Kenya’s second-largest mobile money service, and it’s growing fast. According to the Communication Authority of Kenya, its market share jumped from 7.6% to 8.9% in Q4 2024, bringing its total users to 3.76 million out of Kenya’s 42.3 million mobile money subscribers.

Airtel Money’s big selling point? Interoperability. Users can send money and make payments across different networks, making it a solid alternative to M-PESA. With this Google Play partnership, Airtel Money is strengthening its position as a reliable payment option for millions of Kenyans.

dLocal, on the other hand, continues to make payments easier for businesses in Africa, Asia, and Latin America. Through its “One dLocal” model, it lets companies accept payments, send payouts, and settle funds globally without dealing with multiple local partners.

---

In case you missed them

• Samsung adds Kiswahili, Amharic support to boost digital inclusion in East Africa
• This Nigerian AI startup built and patented algorithms that could fetch it a $500m exit

What I’m watching

• The Reality of Fiction with Chimamanda Ngozi Adichie  | What Now? with Trevor Noah Podcast
• Does God Exist? AI debates (Atheist vs Believer)

Opportunities

• Building a startup can feel isolating, but with Equity Merchants CommunityConnect, you can network with fellow founders, experts, and investors, gaining valuable insights and exclusive resources to help you grow your business. Click here to join.
• SheCode is hiring a design lead. Apply here.
• Want to exhibit or attend the Lagos Startup Expo in June? Visit this website here. 
• Uber is looking for a Country Manager in Nigeria. Apply here.
• Help us make Techpoint better for you! Your feedback shapes what comes next (your responses may potentially save my job. A bit dramatic, but still). It will only take 30 seconds to tell us what works and what doesn’t. Fill it here.
• To pitch your startup or product to a live audience, check out this link.
• Have any fresh products you’d like us to start selling? Check out this link here.
• Flutterwave is hiring to fill in several positions. Apply here.
• OPay is looking for a State Manager. Apply here.
• Interswitch is hiring a Senior Software Developer. Apply here.
• Paystack is hiring for several roles. Apply here.
• Moniepoint is hiring for several roles. Apply here.
• Follow Techpoint Africa’s WhatsApp channel to stay on top of the latest trends and news in the African tech space here.

Have a wonderful Wednesday!
Victoria Fakiya for Techpoint Africa.