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Glovo To Cease Operations In Ghana After Investing $3.7 Million In Two Years!

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TLDR:
  • Glovo, a food delivery platform, will cease operations in Ghana on May 10, 2024 due to profitability challenges.
  • The company will focus on other African markets like Morocco, Uganda, Kenya, Côte d’Ivoire, and Nigeria.
  • Ghana’s online food delivery market is projected to grow but Glovo could not overcome industry hurdles.

Glovo, a popular food ordering and delivery app, revealed plans to cease operations in Ghana on May 10, 2024, following substantial investments over the past two years aimed at broadening its services. The company informed its restaurant partners of this decision via email, citing challenges with profitability in the Ghanaian market as the reason. Going forward, Glovo will concentrate on strengthening its position in other African countries, including Morocco, Uganda, Kenya, Côte d’Ivoire, and Nigeria.


“We are reaching you to communicate that Glovo has decided to close our Ghana operations by May 10th at 10:00 pm. The decision to end our operations in the country is based on a reassessment of our investment priorities as we focus our resources on the other 23 countries where Glovo operates.”

“As your service provider company will also inform you, the app and the slots will remain active until May 10th, 10:00 pm… after that, the app will close, and won’t be able to book any slots.”

In 2021 co-founder of Glovo, Sacha Michaud said the company was investing 1.7 million euros in the company.

“The Ghanaian market is a promising market for Glovo and we will continue to invest to reach all the regions of the country and bring convenience to people,” he said at the time.

Glovo, a technology delivery company established in 2015, with headquarters in Barcelona, Spain, entered the Ghanaian market in March 2021.

According to Mr. Michaud, Glovo entered the Ghanaian market to provide customers with the convenience of ordering products online and having them delivered to their doorstep. During the launch, he noted that Ghana’s growing population and increasing internet access created a favorable business environment. Ghana was one of seven African countries where Glovo operated, alongside markets like Kenya, Nigeria, and South Africa. Additionally, Mr. Michaud revealed that Glovo Ghana had partnered with around 400 businesses in Accra, including pharmacies, grocery stores, electronics retailers, and restaurants, to offer a diverse range of products to customers.

The food delivery ecosystem is currently facing numerous challenges, including high taxes, low wages, and high inflation. Despite these challenges, Ghana’s online food delivery market is expected to experience significant growth, with projected revenues of $224.60 million in 2024. The market is expected to grow at an annual rate of 19.37% between 2024 and 2029. By 2029, the market is expected to reach a volume of $544.30 million. The growth of the online food delivery market in Ghana is driven by increasing consumer demand for convenience and efficiency in food delivery services.

Jumia, like some other African countries, discontinued its services in Ghana in December 2023. Meanwhile, Bolt Food has closed its operations in Nigeria and South Africa but remains active in Ghana. 

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2 Comments

2 Comments

  1. Naa Darkua

    May 1, 2024 at 2:15 pm

    Why am I seeing this as a positive? When it comes to Ghanaians and food, convenience does not appear to be a priority factor.

    • Henri Allotey

      May 2, 2024 at 7:12 am

      i get what you mean

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Unlimited Internet for Ghana: Starlink’s Satellite-Based Solution Now Available!

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TLDR;

  • Starlink has officially launched in Ghana, allowing users to purchase a kit directly from their website for Gh¢5604.00 (hardware and shipping) and Gh¢770.00/month (unlimited internet).
  • The service aims to provide connectivity to underserved areas, such as remote communities, farms, and offshore rigs, rather than replacing existing urban infrastructure.
  • Starlink’s presence in Ghana is expected to drive competition, prompting local telcos and ISPs to offer better internet deals, and potentially leading to more accessible and affordable connectivity solutions in the future.

 

After months of waiting and constantly refreshing the Stalink availability map, they have finally officially commenced operations in Ghana, They sent out emails to all those who signed up for their pre-order when they first made announcements of planning to set up operations in Ghana.

You can now go to their official website to get a kit and ship it directly to your house without going through any third party or middleman.

 The official cost on their website is ¢770.00 a month for internet connectivity, which will be unlimited, and Gh¢5604.00 for  Hardware and shipping. 

For most people, paying ¢770.00 a month for unlimited internet is a really good deal, but they won’t take a step towards getting it because of the cost of the kit. But STARLINK is primarily meant to provide “CONNECTIVITY WHERE YOU LEAST EXPECT IT” and not to replace Fibre and broadband options in the major cities or become that ubiquitous.

It is not their goal that every household should have a Starlink kit installed. But rather a lot of places where connectivity is & has been a major challenge up until now, get that solution. (ie. Remote areas, hinterlands, farms, on ships & boats, offshore rigs, mines & construction sites, etc) 

However, they know how good the technology & solution are such that there’s increased demand and people would want to scale it up/utilize it by diversifying into other connectivity solutions; which might be more accessible or affordable for more people.

 

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THE STARS ALIGN FOR STARLINK TO FINALLY COME TO GHANA.

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Starlink, the satellite internet company founded by Elon Musk, has received authorization from Ghana’s National Communications Authority (NCA) to start operations by the end of August 2024. This approval comes after several months of discussions between the NCA and SpaceX, Starlink’s parent company, primarily due to licensing and regulatory hurdles.



This milestone is viewed as a major boost for Ghana’s technological progress, given Starlink’s reputation for reliability across 102 countries.

Starlink operates using a network of low-Earth-orbit satellites that communicate with one another and with ground stations to provide high-speed, low-latency internet. This technology is well-suited for enhancing connectivity for both individuals and businesses.

Could the arrival of such a major international ISP see the local ISPs rise to the occasion, potentially leading to more innovative solutions and advancements in the sector or, would it simply blow them out of the water?

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OpenAI Grants Early Access to US AI Safety Institute and Reaffirms Commitment to Safety Resource!

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TLDR;

  • OpenAI will provide the US AI Safety Institute early access to its upcoming safety test, aiming to collaborate on improving AI evaluation methods.
  • OpenAI is dedicating at least 20% of its computing resources to safety initiatives, following the dissolution of its Superalignment team, though a release date for the safety test is not yet specified.
  • In response to recent criticisms, OpenAI has taken steps to enhance transparency, including removing non-disparagement clauses for employees and making efforts to improve internal practices.

 

OpenAI has announced that it will grant the US AI Safety Institute early access to its upcoming safety test, as detailed in a tweet by OpenAI founder Sam Altman on X.

Altman explained that the aim of this early access is to collaborate on advancing the science of AI evaluations.

In the same post, Altman also emphasised OpenAI’s commitment to dedicating at least 20% of its computing resources to safety initiatives. This commitment was intended to be executed by the now-dissolved Superalignment team, which was co-led by Jan Leike, Head of Alignment, and Ilya Sutskever, co-founder and Chief Scientist of OpenAI. However, a specific release date for the safety test has yet to be announced.

Addressing recent criticisms, Altman suggested that OpenAI has taken meaningful steps to enhance transparency as part of its safety measures.

He noted, “In May, we eliminated non-disparagement clauses for both current and former employees and removed provisions that allowed OpenAI—though they were never used—to cancel vested equity. We’ve made significant efforts to rectify these issues and improve our practices.”

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