Nigerian Startups Pivot to Domestic Solutions Amid AWS, Azure Cost Pressures Due to Naira Depreciation
- MTN Nigeria, Cadbury Plc, and BUA Foods suffered financial losses due to their operating costs being linked to the dollar.
- Nigerian startups are shifting their technology requirements to local service providers like Zoho for internal communication tools.
- The depreciation of the naira has led several entrepreneurs to consider a shift towards local cloud hosting providers.
The depreciation of the naira has had significant implications for businesses tied to the dollar, resulting in increased costs and financial losses. However, the shift towards local service providers, including cloud hosting, offers cost savings and equivalent service quality. Local providers like Nobus Cloud Services and GigaLayer are stepping up to meet the challenge and provide viable alternatives for startups. This transition presents an opportunity for startups to reduce expenses and mitigate risks associated with the currency devaluation.
