Njabulo Mhlongo, Head of Cloud, MTN Business

"In the context of cloud computing and AI, tokens are digital representations that serve specific functions such as access control, authentication, or as placeholders for other values,” Njabulo Mhlongo, Head of Cloud, MTN Business, says. “They are an essential part of the digital infrastructure that enables secure and efficient interactions within and across various systems and platforms.”

Tokens are an efficient way of delivering solutions, because they have universal application. Additionally, they allow for better security, making sure that whatever data is transmitted is fully secure, and its integrity is preserved. “They enhance operational efficiency, and reduce the need for manual intervention,” Mhlongo says.

Tokens can simplify the process of tracking and managing digital assets across different platforms and services. They can also enable faster and more secure transactions, reducing transaction times and costs, and contributing to a more agile and responsive business environment. Tokens offer immense value to an organisation, particularly in giving them a competitive edge in the speed and efficiency of authorisations.

“At MTN Business, we operate an expansive network, with millions of customers, and this network needs to run efficiently, and prevent fraud. As fast as we innovate, the bad guys try to find loopholes. Tokens are a key element in authorising transactions correctly, and verifying access,” Mhlongo adds. “As we start to offer more services digitally, we start accumulating assets. APIs are an example. We can use tokens to track and manage these assets.”

By allocating funds for tokens, enterprises can invest in a digital inventory that supports current operations and provides a foundation for future growth opportunities. Tokens can represent various forms of digital assets, from access rights to software services to ownership of digital goods, making them a versatile tool for businesses looking to expand their digital footprint.

AI is a huge focus area for MTN Business, from a business-to-business point of view, as well as internally for the organisation’s operational improvement. “AI is at the centre of MTN’s strategy, and we’re bolstering ourselves in terms of the partnerships, technology, people and skills that we need to use it to its full potential,” says Mhlongo.

MTN has a strategic alliance with Microsoft, with a huge focus on cloud. We’ve already adopted Microsoft Copilot. As we seek to offer more solutions to our customers, security is always a concern. Tokens are a critical component to give customers the confidence that their data is safe, and correctly stored. It allows authentication to be automated. Tokens are key in making sure the data is secure and the integrity is preserved,” Mhlongo says.

There’s always apprehension about sharing data, because of the possibility of breaches, but the use of tokens can give enterprises reassurance that there is a stronger layer of security and authentication in place. This will incentivise data sharing, giving other parties the confidence that the data is secure, and its integrity has not been compromised.

In the context of AI-driven organisations, tokens can be a powerful mechanism for monetising data. They can be used to create a marketplace for data exchange, where they serve as a medium of exchange for valuable insights and analytics. This approach not only incentivises data sharing, but also provides a way to quantify the value of data, turning it into a tradable commodity that can be managed like a traditional inventory.

Says Mhlongo: “Tokens provide us with a more efficient way of delivering our solutions, because they have universal application. They facilitate a way of anonymising data, which allows us to offer it to other companies for insight, so that they, in turn, can offer relevant products to their own customers. They allow us to optimise our organisation’s own digital assistance and chat boards for customers, with faster authentication, and collecting and storing critical data, so that we can provide customers with relevant offers.” Tokens allow an organisation to look at a customer’s patterns, and to offer them what is relevant and useful to them, based on those patterns.

“The packaging of our data assets is another form of innovation. We can offer customers actionable insights that they would not normally have. The ability to generate these insights so that they can make informed decisions is of great value,” Mhlongo says.

As tokens gain traction, it’s essential for businesses to stay informed about the regulatory environment. This includes understanding the legal implications of using tokens, the compliance requirements for different types of tokens, and the potential impact of future regulations on token usage. By incorporating these considerations into their budgeting process, businesses can ensure they are prepared to navigate the complexities of token regulation.

The success of tokens within an enterprise’s AI strategy is influenced by various market factors. Demand for tokens, their liquidity in the market, and their acceptance within the industry are all critical considerations. “Enterprises need to conduct market research to understand these dynamics and determine how tokens can be effectively integrated into their business models. This research should inform decisions about the types of tokens to invest in, the scale of investment, and the potential return on investment,” Mhlongo concludes.

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