Chinese Entrepreneur Acquires 10M+ IPv4 Addresses, Impacting African ISPs

A Chinese entrepreneur has acquired over 10 million IPv4 addresses, primarily sourced from Africa, significantly impacting local Internet Service Providers. According to Alexandra Wexler in the Wall Street Journal, these transactions have left African ISPs struggling to expand their capacity in an already challenging infrastructure landscape.

The entrepreneur, identified as Wang Wei, has been leasing these addresses to companies outside of Africa, intensifying the pressure on regional ISPs. African ISPs, which have been facing persistent issues with IPv4 address scarcity, now see an exacerbation of their problems as the African Network Information Centre, or AFRINIC, continues to deal with limited IPv4 allocations.

This situation raises alarms about the future of internet accessibility in these regions. The acquisition of such a large number of IP addresses by an external entity poses questions regarding sovereignty and control over critical digital resources.

Industry experts suggest that the move could hinder growth in mobile technology and telecommunications infrastructure within Africa, particularly as 5G network rollouts are underway. Local ISPs are reportedly at a disadvantage, unable to secure the necessary IP addresses to meet growing demand.

The report also highlights that some African governments are considering regulatory frameworks to protect their digital assets and enhance local control over internet resources. As the digital divide widens, calls for greater investment in local capacity and infrastructure are intensifying.

With the advent of 5G networks, the need for robust IP address pools becomes even more critical for future growth. This acquisition not only represents a significant business maneuver but also highlights the geopolitical complexity of internet governance and resource allocation in a globalized digital economy.