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Great News for Tekedia Capital

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Today began really well: a really brilliant startup in Tekedia Capital raised $millions today. I will allow the team to work on their moments. But I want to congratulate the team for the tenacity, excellence and can-do-attitude they have demonstrated.

I am a teacher and typically teachers get good gifts: I want a gift to go to that special market where they ring bells. I have got a good bell waiting and ready. Kpam kpam, bell rings. Glory!

At Tekedia Capital – we discover and fund winners. Our members, it is a festival today; really great news.

Read The Testimonials – Send Your Team To Tekedia Mini-MBA

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If you send your team to our program, upon graduation, they will see markets in ways that will unlock value creation and business growth. And I guarantee it. A new edition begins Sept 13; read more testimonials here.

More and more companies are attending Tekedia Mini-MBA. As a business owner, as a CEO, as a Chairman of Board, as an innovator, as a builder, as a maker, etc, send your team to Tekedia Mini-MBA.

From 140 companies, from Microsoft to Flutterwave, from Shell to Nigerian Breweries, from BUA Cement to KPMG, from Amazon  to those amazing firms you know, your team will be ready to Innovate, Execute and Capture Value.

 

 

China Takes A Swipe at Gaming Industry With New Rules Limiting Play Time For Minors

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In a new episode of its tech crackdown, China’s National Press and Publication Administration (NPPA) has released a notice imposing new rules, limiting online gaming time for minors. Kids and teens under 18 years old will have three hours weekly to play online video games.

On September 1st, video game companies will have to restrict gaming time to three hours a week — from 8 PM to 9 PM on Friday, Saturday and Sunday.

According to the translated version of the notice, the new rules will apply to companies providing online game services to minors, limiting their ability to serve those users outside the approved hours. The companies are also restricted from providing services to users who do not log in with their real-name registration.

The new set of restrictions are geared toward tackling addiction to online games. China has had to deal with growing cases of game addiction, especially among youths. The National Press and Publication Administration said online gaming has an impact on both the physical and mental health of minors.

The restriction system was adopted by Tencent in 2018, to limit play time on Honor of Kings, a widely popular mobile game.

But as TechCrunch noted, back then, limits weren’t as strict, as children up to age 12 could play one hour per day, and up to two hours per day for children between 13 and 18. At the time, authorities were concerned about worsening myopia among minors.

There is concern that the new rules will exacerbate the predicament of Tencent and gaming companies in China, who are already under the weight of the government’s crackdown.

“There are over 110 million minors that play video games in China today, and we expect the new limits to lead to a decline in the number of players and a reduction in the amount of time and money spent in games by those under 18,” Niko Partners senior analyst Daniel Ahmad said.

As TechCrunch noted, online gaming is mentioned specifically, which could mean that solo games won’t be restricted going forward. Also it’s unclear whether console games and foreign games will go along with the new rules, including the implementation of the new real-name-based registration system.

Some young gamers will also be tempted to circumvent the restrictions by signing up on a foreign server.

These open the Chinese gaming industries to uncertainties, though there is hope that it would have less impact on game companies as adult players will still be able to play 24/7.

“However, we do not expect the decline in spend to have a significant material impact on the bottom line of game companies given limits on time and spending have already been in place for minors for the past two years. Therefore, we expect a softer impact on overall growth rates as spending among minors was already low,” Ahmad added.

Tencent had earlier said that the amount of revenue coming from young game players is insignificant, given the existing restriction that allows them only a limited time. The company said it received only 2.6% of its second quarter gross game receipts in China from players under the age of 16.

In response to the new rules, Tencent issued a statement expressing its strong support for the new rules, saying it “will make every effort to implement the relevant requirements of the Notice as soon as possible.”

However, the news has seen the shares of some game companies drop. US-listed NetEase, another popular Chinese game development company, and Tokyo-listed Nexon and Koei Tecmo, shares fell 3%.

The culminating consequences of China’s crackdown on its tech industry is painting a grim future for its companies. Investors’ confidence in China’s market is plummeting, especially for US-listed Chinese companies.

“Policy uncertainty remains in the forefront. There is some calmness in the Chinese markets now from the lack of negative news. However, confidence is extremely fragile now,” Dave Wang, portfolio manager at Nuvest Capital, told CNBC. “Thus, if the Chinese authorities continue to release bits and pieces of negative news and worse another unexpected policy, we could see a renewed sell off.”

South Korea Enacts Law to Scuttle Apple, Google App Stores Dominance

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While the US is still deliberating around legal bottlenecks in its efforts to break up the big tech and scuttle their dominance, an Asian country has scored a major win with a new legislation that will change how American companies, Apple and Google run their app stores.

On Tuesday, South Korea’s parliament passed a bill that would rein in the dominance Google and Apple exert over payments on their app stores, becoming the first nation in the world to enact such a law.

South Korean lawmakers voted to approve the amendments to the Telecommunications Business Act, which bars app market operators from forcing certain payment systems on mobile content businesses by abusing their market positions.

App store operators will also be restricted from unfairly delaying reviews of mobile content.

The move comes amid growing global scrutiny against Google and Apple, who maintain a strong grip over mobile ecosystems, for requiring developers on their app stores to use their proprietary payment systems that charge fees of up to 30 percent when users purchase digital goods within apps.

Developers around the world have questioned app market operators’ exclusive in-app payment systems, opposing their relatively high commissions and demanding that they should be able to freely use other systems.

The latest legislation in South Korea is expected to give app developers the choice to use other payment systems, potentially signaling a major shift in how Google and Apple run their app markets.

The legislative movement in South Korea picked up after Google announced in September last year it would enforce its billing system on all developers on its Play store starting October this year.

Local tech groups vehemently opposed the move, calling it a monopolistic measure and saying it would likely lead to a price hike in the broader digital content industry.

South Korea is home to a robust mobile app economy, with total sales from Google’s Play store at around 5 trillion won (US$4.2 billion) last year and that of Apple’s App Store at 1.6 trillion won, according to the Korea Mobile Internet Business Association.

But the legislative movement initially faced fierce controversy amid concerns over a potential trade conflict with the United States as it essentially took aim at U.S. companies.

In March, the Office of the United States Trade Representative made mention of South Korea’s legislative movement in its National Trade Estimate report.

“The requirement to permit users to use outside payment services appears to specifically target U.S. providers and threatens a standard U.S. business model that has allowed successful Korean content developers to reach global audiences,” the report read.

Local experts say a trade dispute is unlikely, considering recent similar movements in the U.S.

“The United States is currently reviewing measures against such market dominance, so it’s unlikely for it to become a big problem for South Korea,” Ku Ki-bo, a professor of global commerce at Soongsil University, said. “The legislation will likely present an opportunity for local IT companies to expand their market presence.”

Earlier this month, U.S. senators introduced a similar bill that seeks to limit the dominant control Apple and Google have over their app stores.

The bill adds pressure on Apple and Google who are locked in legal disputes with hit video game “Fortnite” maker Epic Games Inc. over app market operations.

In July, 36 U.S. states also filed a lawsuit against Google, alleging anti-competitive behavior in its Play store operations to collect and maintain its commission.

South Korean app developers have high hopes for the revised legislation to resolve their long-held complaints against the commissions charged by app store operators.

“The legal amendment is expected to lead to an expansion of diverse payment methods for consumers within apps,” said Jung Mina, policy director at the Korea Startup Forum.

“We welcome the revision and its efforts to maintain a fair market order. We believe South Korea has become a leading example in a global movement (against app market operators’ dominance).”

Apple and Google have expressed concerns about the revisions, arguing that allowing other payment systems could lead to security and privacy risks for users.

Other international tech groups, including NetChoice, have expressed that the revision would have a negative impact on the broader app ecosystem, according to National Assembly documents.

The bill’s passage also comes after multiple attempts from Apple and Google to appease developers.

Last week, Apple reached a class action settlement in the U.S. with developers who have accused it of exerting dominance in app content distribution.

Under the settlement, Apple said it would allow developers to share information about payment methods outside of apps with its users — a move the iPhone maker had previously limited.

Apple has also cut its 30 percent commission by half for app developers that earn up to $1 million annually at the start of this year.

Google has taken similar measures, lowering its commission to 15 percent for the first $1 million of revenue earned by developers from July.

JAMB Gives Nigerian Schools Liberty to Set Admission Cut-off Marks

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The Joint Admissions and Matriculation Board (JAMB) has on Tuesday cancelled general cut-off marks for admission into tertiary institutions, giving schools the right to decide their individual minimum benchmarks for admission.

According to Punch, the examination board took the decision at the virtual 2021 policy meeting, chaired by the Minister of Education, Adamu Adamu.

JAMB Registrar, Prof. Is-haq Oloyede, disclosing the decision said: “Some universities such as the University of Maiduguri, proposed 150; Usman Dan Fodio University, Sokoto, proposed 140; Pan Atlantic University proposed 210; University of Lagos 200; Lagos State University, 190; Covenant University 190; and Bayero University, Kano, 180.

“Institutions have now been given the liberty to decide cut-off marks; there will be no cut-off marks [stipulation] from JAMB.”

During the meeting, stakeholders delved into other matters relating to admission into higher institutions.

The report stated that the stakeholders resolved to allow the education ministry to decide on the deadline for the closure of admissions, as they could not agree on the December 31, 2021 deadline for all public institutions and January 31, 2022 for all private institutions.

Stakeholders also adopted the 2021 admission guidelines, which provide that all applications for part-time or full-time programmes for degrees, NCE, OND, and others must be posted only through JAMB.

The meeting approved that, for Direct Entry, the maximum score a candidate could present is six and the minimum is two or an E, as required by law.

These decisions mark a significant shift from what have characterized the admission process in Nigeria for ages, paving way for admission practice that will be at par with what is obtainable in other countries.

Long before now, reform advocates have called on Nigeria’s education authorities to initiate a swiffer process for admission into tertiary institutions, which involves scraping JAMB that has been described by many as a “revenue making scheme.”

Compared to many other countries where senior school examination is the only requirement for admission into college, Nigerian students seeking admission into tertiary institutions have had to pay more in time and resources. Many have had to wait for years in search of cut off marks for their desired courses, and when they got it, they got denied admission for not meeting Post-Jamb, (a further test taken after JAMB) cut off marks.

The tedious process fueled the federal government’s decision to scrap Post-JAMB in 2016.

“Our universities shouldn’t be conducting another examination; if they have any complaint against JAMB, they should come to the Ministry of Education and we will look into it,” Adamu said. “If JAMB is qualified to conduct the computer-based test and they are conducting the test, then there should be no need for students to sit another examination to get admission.”

However, the argument over JAMB’s right to set cut off marks remained since 2016, as schools pushed for the liberty to make the decisions. While the examination board’s Tuesday’s decision has put an end to the clamor, the call to scrap JAMB itself remains a decision to be made another day.