72% of Nigeria’s internet revenues lost to the US

by | December 29, 2017 4:52 pm



A new report has revealed that a majority of websites with Nigerian domains are hosted in the United States, translating into a loss of about 72 percent hosting revenue for Nigeria.

The research carried out December 2017 by HUB8, a web-hosting company shows that out of about 34,000 websites with dot com dot ng or dot ng domain, only about 1,000 of them are hosted locally.

The dot ng is Nigeria’s country code Top Level Domain (ccTLD), which is the country’s digital imprint on the World Wide Web (WWW).

Although the Nigeria Internet Registration Association (NiRA), managers of the country’s domain names system (DNS) ecosystem, declared it has, so far, registered 100,973 domains in dot ng domain zone as at November 30, 2017, which many thought was a laudable achievement, the new report has revealed that this is might be costing Nigeria a lot more money as majority of the dot ng domain is hosted abroad.

Sunday Folayan, president of NiRA, said, “We need to encourage local hosting with the Internet Exchange Point of Nigeria (IXPN) and similar organisations. With this we reduce cost of accessing the internet and curb revenue flight to foreign lands.”

The HUB8 report is based on 89,165 domain names in the dot ng domain zone, with particular focus on the details of the usage of dot ng domains as it relates to website hosting.

The report, however, does not include data on premium domains (about 2,000) and some special domains that are technically registered though not used by end users.

On the distribution of the domain zones, the report reveals that most popular domain zone is dot com dot ng, having almost 70 percent of all national domains registered.

The dot ng domain zone, the report says, comes next although within the zone a domain name is shorter “but domain registration here costs several times more than in dot com dot ng, while dot org dot ng, which is usually used by non-profit organisations, ranks third with an age backlog.

“The number of zones identified by the study include .com.ng; .ng; .org.ng; .gov.ng and .edu.ng with number of domains being 61,609 (69.1 percent); 15,353 (17.2 percent); 6,077 (6.8 percent); 1,738 (1.9 percent and 996 (1.1 percent) respectively,” the report states.

Also, 15 percent of registered domains are said to be with errors indicating “connection time-out” presumably for some temporary problems regarding hosting or channels. About 3 percent of domains are redirected to other sites and the same number displaying error pages.

Commenting on the findings of the report, Dmitry Deniskin, director for Emerging Markets at HUB8, said, “Often used Content Management System (CMS) was detected in the existing websites. This sates that the most popular CMS is expected to be WordPress, being installed on every one in three sites in the dot ng and dot com dot ng domains.

WordPress has a 78 per cent share of all used CMS. Blogging is currently very popular in Nigeria: almost 1, 500 domains are affiliated with Blogger dot com.

Specialised CMS utilised for e-commerce; such as Magento, Prestashop, Shopify, WooCommerce, nopCommerce, oSCommerce and X-Cart use about 500 sites in the dot com dot ng and dot ng zones,” Deniskin explained.

According to Deniskin, HUB8 intends to help Nigeria reverse the current situation in which 72 percent of Nigeria’s domain names hosting are lost to the US.

Deniskin said: “HUB8 is a global web hosting company helping brands and individuals to easily set-up a website. Our ultimate goal is to become a Growth Partner for individuals and small enterprises in emerging markets in Africa, Asia and Latin America.

“We are providing free web hosting in Nigeria because we are aware that people postpone launching a website due to the investments involved.

“We want to make it possible for all to have a personal or business website without worrying about the costs. We have created this report to promote the national domain of Nigeria. Register your dot ng domain on the HUB8 Nigeria website,” he urged.

 

Jumoke Akiyode- Lawanson

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