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Experts Propose The Use Of Digital Technology To Reduce Capital Expenses


Even though some tech analysts believe that analogue technology is more accurate given some paradigms, we cannot ignore the fact that the future is digital. From wrist watches to the wall clock, mobile phone, computers, businesses, to even currencies. You really don’t need a soothsayer to tell you otherwise. In retrospect, experts in ICT have beckoned on organisations across the different sectors to embrace digital technology, as this will reduce operational and capital expenses.

Representatives from Dell EMC and BCX customer technology, during a technology update session in Nigeria, said that the huge cost of IT infrastructure has deprived many organisations the benefits attached to the new technology. However, they said that despite the little budget to put in place IT infrastructure, there were affordable and reliable solutions available for organisations to optimise growth in their operations.

The Managing Director, BCX Nigeria, Mr.Ayo Adegoye noted how many organisations had been discouraged due to the cost but explained the numerous benefits they stand to gain, especially in terms of cost conservation. He said:

The average barrier to entry has been reduced by making the technology affordable. We will keep seeing such happening by the cost of technology going down without compromising the quality but with enhanced quality service. The sort of acquisition is going down. We also help our customers in a way that instead of considering capex, we turn it into the opex model in a way that they pay for what they use from the first day. They don’t necessarily have to tie down huge infrastructure that is underutilized. This is what we are talking about in digital transformation.’

 He referred to it as ‘disruptive technology’ and true to his words, every sector needs disruptive technology to function. Disruptive technologies include personal computers, cell phones social networks, cell phones, cloud computing, laptops, smartphones and email. The use of PC displaced the tradition typewriters and has transformed the way we communicate and work, generally; the use of email displaced letter writing, making communication more effective and displacing postal agencies; smartphones replaced cell phone and PDAs and for many users, it replaced laptops; cloud computing displaced the traditional method of hosting and preserving information; the advent of social networks is by far the greatest transformation in the way we communicate and do business. In fact, it makes connecting globally very easy.  Without these in place, a business is likely to be from the surface of the earth, no matter the size of the enterprise. They are called ‘disruptive technology’ because they interrupted the old practice to pave way for an upgraded version of a whole new technology. 

Also, the Sales Engineering Director, Dell EMC, Europe Middle East and Africa, Adnane Alaoui beckoned on telecoms industries in Nigeria to reduce their investments in proprietary software and look towards investing in a new technology called Network Function Virtualisation. According to the Sales Director, proprietary software is not sustainable and consumes a lot of cost with minimal profit, thereby making the cost of data in the country quite expensive.

A number of firms, banks, oil and gas companies and government agencies are already leveraging on the proprietary software systems to compete against other competitors.  He said:

We are trying to help the telecom to do the same thing and there is a new technology called Network Function Virtualisation, which helps the telcos virtualize that proprietary system and leverage the new technology of SAD 6 standard servers that will help the telcos to be more agile, flexible and drive cost down.’

In retrospect, the problem with limited and expensive communication bandwidth persists in many African countries and these firms are proposing a solution.


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