The Co-founder and CEO of Twitter, Jack Dorsey via a tweet on Monday, announced that the company’s presence in the African continent would be in Ghana.
Since the announcement, Nigerians have been questioning why the Jack Dorsey-led company chose Ghana over Nigeria to locate the Twitter headquarters.
It is unsurprising that Nigerians are reacting this way. This is because we have an incurable sense of entitlement as the giant of Africa and more importantly, we have one of the most vibrant Twitter communities or users in Africa.
According to a report by Portland Communications, Egypt tweets the most out of any country in Africa, with 28% of all geolocated Twitter volume (amounting to 500 million tweets). Nigeria (360 million geolocated tweets), South Africa (325 million geolocated tweets), Kenya (125 million geolocated tweets), and Ghana (70 million geolocated tweets) round out the top five tweeting African countries. Overall, there were 1.6 billion geolocated tweets in Africa in 2015 – a 34-fold increase from our initial research in 2012.
Even with this, Nigerians still feel that any company headquarters that comes to West Africa should automatically land in Nigeria. This is not the case as many of these international tech giants consider humongous factors before settling for a place to birth their business.
Why Twitter Chose Ghana?
Like Gesare Chife succinctly states- Nigeria is like the dazzling, exciting girl Jack dated. Ghana is the calm, dependable one he married.
This has never been truer. Jack loves Nigeria, loves the people, and our jollof rice. In fact, he is willing to visit the country uncountable times for a thrilling experience. However, when it has to do with serious business, he knows that Nigeria is not the place to be.
On why Twitter chose Ghana, the tech giant said in a post: “As a champion for democracy, Ghana is a supporter of free speech, online freedom, and the Open Internet, of which Twitter is also an advocate. Furthermore, Ghana’s recent appointment to host The Secretariat of the African Continental Free Trade Area aligns with our overarching goal to establish a presence in the region that will support our efforts to improve and tailor our service across Africa.”
For its democratic values, Ghana was no doubt the best choice for Twitter. In Nigeria, we have read political leaders calling for the restriction of anti-social media and members of parliament constantly looking for ways to introduce a social media bill under the radar.
All these combined with the unpredictable and unpalatable government policies that seem to limit the growth of the Nigerian tech ecosystem are reasons why Twitter snubbed Nigeria.
The Lagos State Government ‘is the main culprit’
If Twitter had chosen Nigeria as its African headquarters, it would more than likely be based in Lagos. Lagos is the centerpiece of the Nigerian tech ecosystem.
However, per policy, many believe that the state’s regulations are aimed at stifling innovation and technology.
A very good example was the abrupt shutdown or banning of motorcycle-hailing startups like ORide, Gokada, and MaxOkada. on major highways in the state.
According to the state government, the ban was to keep the highways safe and reduce the number of motorcycle (okada)-related accidents. It even added that it was going to provide alternatives. But, today, the motorcycles it claimed to have banned are plying these highways and the alternatives are yet to be provided.
Also, the state government is tightening the noose around the likes of Uber, Bolt and other ride-hailing startups in the state.
The Lagos State Ministry of Transportation released regulatory documents for taxi operators and ride-hailing companies like Uber, Bolt, and several others. Enforcement of these regulations started August 20, 2020.
The document, tagged “Guidelines For On-line Hailing Business Operation Of Taxi In Lagos State”, now categorises the taxi business operation as follows:
a. Service Entity: An app developer like Uber/Bolt that does not operate or own any vehicle, but connects car owners and commuters with their App.
b. Taxi and app operators: These are companies like Ekocab that operate their vehicles as well as the App. These companies might have their fleet, and also have third party car/fleet owners on their platform.
From August 20, 2020, service entities in the city with less than 1,000 drivers are expected to pay a ₦10 million ($27,341) licence fee, while those with more than 1,000 drivers are to pay ₦25 million ($54,682).
Subsequent renewals are pegged at ₦10 million ($27,341) for those with more than 1,000 drivers and ₦5 million ($13,670) for those with less.
Other provisions include:
- All Operators of e-Hailing Taxi Services must pay the State Government 10% service tax on each transaction paid by the passengers to the operators.
- They must commence the renewal process 3 (three) months before the expiration of the existing license
- They must have a quarterly meeting with the Ministry of Transportation for operational updates and feedback
- All operators of e-hailing taxi services must give the Ministry access to their database
Add all of the above to the indiscriminate tax systems of the state. Let’s not forget the Federal regulators that keep introducing policies to cage the Nigerian tech ecosystem.
Nigerians Are Rather Angry at the Nigerian System
Nigerians are obviously not happy with the Twitter HQ going to Ghana. But they are angrier at the fact that the government is not putting systems and infrastructure in place to ensure that the country is conducive enough to host the African headquarters of international companies.
Despite the unlimited potentials of the Nigerian tech ecosystem, the giant of Africa has a monumental job in its hands to convince businesses and international tech companies that it is the place to be.
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