The Mobile

Economy
Sub-Saharan Africa
2023
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Contents
Executive summary 3

1. The mobile industry in numbers 10

2. Mobile industry trends 25

2.1 Growing 5G momentum 26

2.2 Tapping into the power of AI 28

2.3 Towards a circular life for mobile phones 30

2.4 Addressing smartphone affordability 33

2.5 Mobile connectivity propels the fintech industry 35

3. Mobile industry impact 36

3.1 Operators explore new models to connect the unconnected 37

3.2 Mobile's impact on the SDGs 38

4. Policies for safe and inclusive digital development 40

4.1 Improving online safety 41

4.2 Spectrum policy for inclusive digital development 43

Executive
summary

Mobile connectivity in Sub-Saharan Africa continues

to drive digital transformation and socioeconomic
advancements. This underlines the need for
continued efforts to address the persisting barriers
that impact mobile internet adoption in the region,
particularly the affordability of devices, online safety
concerns and the lack of digital skills. Meanwhile,
authorities and enterprises see an opportunity to
leverage growing 4G and 5G networks, alongside
emerging technologies such as AI and IoT, to enhance
productivity and efficiency in service delivery.

The adoption of 4G has accelerated in recent years,

partly driven by the growing demand for faster
speeds among younger consumers. Over the next five
years, 4G adoption in Sub-Saharan Africa will more
than double to 45%. 5G momentum is also growing,
although the initial focus for 5G deployment is on
urban areas and industrial locations, where there is
greater need for the technology. 5G is expected to
benefit the Sub-Saharan Africa economy by $11 billion
in 2030, accounting for more than 6% of the overall
economic impact of mobile.

5G is expected to benefit the

Sub-Saharan Africa economy
by $11 billion in 2030,
accounting for more than 6%
of the overall economic impact
of mobile

Executive summary 3 / 46
Key trends shaping the
mobile ecosystem
Growing 5G momentum years, the average use period of mobile devices
is only around three years. Governments and
In 2022, there was a marked uptick in 5G-related industry players have a role to play in incentivising
activities in Sub-Saharan Africa, including 5G consumers. This includes building new channels
commercial launches in 15 countries and a growing and suppliers to collect, refurbish and resell
number of spectrum allocations. This comes at a devices and implementing awareness campaigns
time when 3G is the most dominant technology in on sustainability. Some operators in Sub-Saharan
the region (accounting for 55% of total connections Africa are already taking a lead in this regard, with
in 2022) while 4G is already dominant in other initiatives to drive circularity in mobile phones and
regions, implying network and customer readiness other digital devices.
for the transition to 4G. The approach to 5G in the
region will need to consider the current connectivity
landscape and unique market features that could
affect the rollout and adoption of the technology. 5G Improving smartphone access
network ecosystem players in the region must also Smartphone affordability is a key barrier to using
find ways to deliver cost-effective and efficient 5G mobile internet. The average selling price of
networks, balancing investment and value creation. smartphones in Africa has reduced significantly
in recent years, with an influx of devices priced at
below $100 – but the cost remains unaffordable
Steering growth with AI for many. The challenge for manufacturers is to
produce devices at low enough price points that
The emergence of new AI tools and use cases align with local earning capacities and allow them to
is accelerating the implementation of AI across gain market share. To ease the current cost burden,
various verticals and business processes. Most AI operators offer a range of initiatives, including
developments are occurring in advanced markets. device financing plans, instalment payments and
However, the technology can be utilised in any entry-level smartphones through partnerships with
scenario where there is sufficient data to draw manufacturers.
insights. As a result, several industry players are
already taking steps to apply AI across a variety
of use cases in Sub-Saharan Africa. The potential
benefit of AI in the region is significant, given that Collaboration and innovation in
it can help offset the impact of limited resources fintech is on the rise
and poor infrastructure in the delivery of many
Fintech has become increasingly prominent in
life-enhancing services, such as healthcare and
Sub-Saharan Africa, driven by the need to improve
education. Mobile operators in the region have
regional financial and digital inclusion. The industry
employed AI at different levels, from improving
has seen a rise in partnerships and innovation,
network operations and customer services to
leading to the diversification of products on offer,
achieving efficiencies and cost savings.
particularly in the payments segments. Operators
have partnered with ecosystem players to expand
products and offer options such as buy now, pay
Climate-related risks spur circular later (BNPL). At the same time, the growing fintech
economy principles startup industry continues to attract investors,
allowing them to improve access to a variety of
The concept of circularity has risen to the top of financial products for both individuals and small
the agenda for policymakers and industry players businesses, such as microlending and B2B payments.
in light of growing concerns around the generation
of e-waste and unsustainable levels of consumption
of natural resources. Although the technical lifespan
of a mobile device is now between four and seven

Executive summary 4 / 46
Key mobile industry
milestones to 2030

Over 25% mobile 3G adoption goes 100 million 5G 187 million 5G

internet penetration below 50% connections connections

574 million 3G 2G adoption drops 72% smartphone 3G adoption falls

connections below 10% adoption below 40%

Over 11 million 5G 45% subscriber 47% subscriber 83% smartphone

connections penetration penetration adoption

2023 2024 2025 2026 2027 2028 2029 2030

88% smartphone
3% 5G adoption 40% 4G adoption Over 10% 5G adoption
adoption

53% 3G adoption as
3G adoption falls 17% 5G
3G adoption begins 45% 4G adoption
to 47% adoption
to fall

67% smartphone 2G adoption goes 49% 4G

90% mobile adoption
adoption below 5% adoption

Policies for safe and

inclusive development
As cyberattacks continue to grow in scale and scope, Meanwhile, the International Telecommunication
governments face increasing pressure to protect their Union’s (ITU) World Radiocommunication Conference
citizens and infrastructure and establish a framework 2023 (WRC-23) will take place from 20 November to
for the mobile industry. Sub-Saharan Africa’s 15 December 2023 in Dubai. Held under the auspices
rapid technological evolution makes the region an of the ITU, the conference is an opportunity to
attractive target for fraud and cyberattacks. increase digital equality, widen harmonisation and
provide a clear roadmap to address future spectrum
Understanding, mapping and mitigating these
capacity needs. The futures of low-band and mid-
existing and upcoming security threats in an
band spectrum are both on the agenda at WRC-23.
objective, speedy and effective manner is essential.
For mid-bands, there is an opportunity to expand
Some countries, including Eswatini, Ghana and
the harmonisation of 3.3–3.8 GHz, 4.80–4.99 GHz
Nigeria, already have comprehensive cybersecurity
and 6 GHz at WRC-23. Because of Africa’s high
laws in place. Over the coming years, there will
percentage of rural population and vast geography,
likely be an increased prevalence of legislative
low bands form a critical part of the region’s digital
policies to promote cybersecurity related to critical
future and can ensure that 5G delivers benefits for all
infrastructure and supply chains.
consumers.

Executive summary 5 / 46
The Mobile Economy
Sub-Saharan Africa
Unique mobile
subscribers

2022
489m 43% 50%

692m
2022 2030

2030 Penetration rate

Percentage of population
CAGR
2022-2030 4.4%

Mobile internet
users

2022
287m 25% 32%

438m
2022 2030

6.2%
2030 Penetration rate CAGR
Percentage of population 2022-2030

SIM connections 4G Percentage of connections

(excluding licensed cellular IoT) (excluding licensed cellular IoT)

2022
980m 2022
22%
2030
1.36bn 2030
49%
Penetration rate
Percentage of population
86% 99%
2022 2030
5G Percentage of connections
(excluding licensed cellular IoT)

CAGR
2022
0.2%
17%
2022-2030

4.3% 2030
 Smartphones Licensed cellular
Percentage of connections
(excluding licensed cellular IoT)
IoT connections

2022
51%
23m
88%
2022 Total
connections

53m
2030

2030

Operator revenues
and investment

$48bn
Operator capex

$75bn
2022 Total
revenues

2030
$58bn 2023 2030

Mobile's contribution Public funding

to GDP

2022
$170bn 8.1% of GDP
2022
$20bn
$210bn
Mobile ecosystem contribution to
public funding (before regulatory
2030 and spectrum fees)

Employment

2.2 million
1.4 million jobs jobs
Directly supported by the mobile ecosystem in 2022 supported
indirectly
Subscriber and technology trends
ECCAS

39+45+16Q 3+39+4810Q
Technology mix* Subscriber penetration
10% 3%
16% 2022 33%

39% 2030 39%

39%

2022 2030 Smartphone adoption

48%
2022 42%
45%
2030 80%
2G 3G 4G 5G

ECOWAS

20+60+191Q 1+36+4617Q
Technology mix* Subscriber penetration
0.1% 1%
20% 20% 17% 2022 45%
36% 2030 52%

2022 2030 Smartphone adoption

2022 51%
46%
60% 2030 92%
2G 3G 4G 5G

SADC

23+48+281Q 1+28+4922Q
Technology mix* Subscriber penetration
0.5% 1%
2022 43%
23% 22%
28% 28%
2030 49%

2022 2030 Smartphone adoption

2022 56%
49%
49%
2030 86%
2G 3G 4G 5G

EAC1

28+56+16Q 3+39+4711Q
Technology mix* Subscriber penetration
3%
16% 11% 2022 47%
28%
39% 2030 59%

2022 2030 Smartphone adoption

2022 44%
47%
56%
2030 84%
2G 3G 4G 5G

Ethiopia

1+74+241Q 1+32+589Q
Technology mix* Subscriber penetration
0.2% 1% 9% 1% 2022 34%
24%
32% 2030 38%

2022 2030 Smartphone adoption

2022 44%
75% 58%
2030 89%
2G 3G 4G 5G

* Percentage of total connections (excluding licensed cellular IoT)

1. The Democratic Republic of Congo joined the EAC in March 2022 but has not been included in the data for the EAC in this report.

Executive summary 8 / 46
01
The mobile industry
in numbers

The mobile industry in numbers 10 / 46

There will be more There has been a steady growth of unique mobile
subscribers in Sub-Saharan Africa. This will continue

than 200 million

over the next seven years, taking the total to nearly
700 million by the end of 2030. Nigeria and Ethiopia

additional unique
will account for almost a third of total subscribers
in 2030.

mobile subscribers Mobile penetration in Sub-Saharan Africa will reach

50% by 2030; however, this will be much lower than

in Sub-Saharan the global average of 73% by the same year. Within

the region, the penetration rate will be highest in

Africa by 2030 Mauritius at 93% of the population.

Figure 1
Sub-Saharan Africa: mobile subscribers and penetration
Million, percentage of population

800
50%

700

600
43%

500

400

300

200

100

0
2022 2023 2024 2025 2026 2027 2028 2029 2030

Source: GSMA Intelligence

The mobile industry in numbers 11 / 46

The coverage gap in In 2022, Sub-Saharan Africa had around 287 million
mobile internet subscribers. The mobile internet

Sub-Saharan Africa
usage gap in the region is still significant, highlighting
the impact of the barriers to mobile internet

has narrowed to 15%,

adoption, including lack of affordability and low
levels of digital skills.

but the usage gap The mobile internet landscape in the region varies
significantly: mobile internet penetration levels

remains significant are over 50% in Mauritius, South Africa and the
Seychelles, but still below 15% in Benin, Chad and the
Democratic Republic of Congo.

Figure 2
Mobile internet penetration by region, 2022
Percentage of population

5% 5% 6% 4% 4% 15%

28%
38% 32%
47% 44%

59%

67% 62%
57%
49% 51%

25%
23%

Global CIS Latin Asia MENA Sub-Saharan

America Pacific* Africa

Connected Usage gap Coverage gap

* Excludes China
Source: GSMA Intelligence

The mobile industry in numbers 12 / 46

4G adoption 4G connections in the region will almost double
by 2030, increasing the 4G adoption rate in Sub-

accelerates while
Saharan Africa, as a percentage of total connections,
to 49%. This will be driven by continued network

5G adoption also
upgrades and efforts to make 4G devices more
affordable. This transition to 4G means that the

begins to rise
number of connections on legacy networks (2G and
3G) will decline steadily in the coming years.

In July 2023, MTN and Airtel launched 4G LTE

services in Rwanda after the government amended
their operating licences to allow them to roll out
the technology. The operators were previously only
able to offer 4G services using the infrastructure of
wholesale provider KT Rwanda Networks (KTRN).
This development highlights the importance of
competition at the infrastructure level to attract
much-needed investment and improve services for
consumers.

5G is also gathering momentum in the region due

to operators’ efforts to modernise and prepare their
networks. 5G adoption is expected to grow more
quickly in the second half of this decade, rising to
17% by 2030.

Figure 3
Sub-Saharan Africa: mobile adoption by technology
Percentage of total connections

60%

50%
4G 49%

40%

3G 33%
30%

20%
5G 17%

10%

2G 2%
0%
2022 2023 2024 2025 2026 2027 2028 2029 2030

Source: GSMA Intelligence

The mobile industry in numbers 13 / 46

There will be over Sub-Saharan Africa will have 226 million 5G
connections in 2030, equivalent to an adoption rate

200 million 5G
of 17%. Nigeria and South Africa will account for
almost half of these connections. 5G growth in the

connections in the
region will be slow but steady, as a larger share of the
customer base will continue to migrate to 4G.

region by 2030 Growing demand for internet is catalysing the growth

of the 5G fixed wireless access (FWA) market in the
region, with operators such as Orange Botswana and
Telkom South Africa having launched commercial 5G
FWA services. FWA will act as a primary broadband
connection and help improve coverage in the
region. At the same time, it will give operators an
opportunity to increase their number of subscribers
and build new use cases.

Figure 4
5G adoption in 2030
Percentage of total connections

5G connections
Global average: 54%
(2030)

GCC states 95% 99m

Developed Asia Pacific* 93% 281m
North America 91% 447m
Greater China 88% 1.6bn
Europe 87% 638m
Latin America 55% 435m
MENA 48% 387m
Rest of Asia Pacific 36% 1.05bn
Sub-Saharan Africa 17% 226m

* Australia, Japan, Singapore and South Korea

Source: GSMA Intelligence

The mobile industry in numbers 14 / 46

There will be over By 2030, smartphones will account for 88% of total
connections in Sub-Saharan Africa, compared to the

1.2 billion
global average of 92%. There has been a substantial
increase in the number of smartphone connections,

smartphone
partly due to increasing affordability.

However, there is still a large opportunity for the

connections in smartphone market in the region, given the usage

gap and rising 4G and 5G adoption.

Sub-Saharan Africa
by 2030

Figure 5
Sub-Saharan Africa: smartphone adoption
Percentage of connections (excluding licensed cellular IoT)

Global
average
94% 93% 94% (2030): 92%
91% 89%
88%
81%

69%

60%

51% 50% 52% 50%

44%

Sub-Saharan South Africa Kenya Côte d'Ivoire Nigeria Tanzania Ethiopia

Africa

2022 2030

Source: GSMA Intelligence

The mobile industry in numbers 15 / 46

Mobile data traffic As service providers across Sub-Saharan Africa
continue to invest in 4G and users migrate from

set to quadruple in
legacy networks, mobile data traffic will rise
considerably.

the region in the The increase in data traffic will be driven mainly by
the growing usage of data-heavy services, primarily

next five years video streaming and online gaming. In Sub-Saharan

Africa's streaming market, where most customers rely
on mobile broadband for connectivity, competition
is heating up among global streaming providers (e.g.
Netflix and Amazon Prime Video) and local providers
(e.g. Showmax and Wi-flix).

Figure 6
Mobile data traffic per smartphone
GB per month

Middle East and Southeast Asia and

Northeast Asia
North Africa Oceania
(includes GCC countries)
2022 15 2022 18
2022 12
Increase 3.6x Increase 3x
Increase 3.1x
2028 54 2028 54
2028 37

Latin America Sub-Saharan Africa Global Average

2022 11 2022 4.7 2022 16

Increase 3.7x Increase 4x Increase 2.9x

2028 41 2028 19 2028 47

Source: GSMA Intelligence, based on Ericsson Mobility Report June 2023

The mobile industry in numbers 16 / 46

Licensed cellular There will be around 53 million licensed cellular IoT
connections in Sub-Saharan Africa by 2030. South

IoT connections will

Africa is the leading contributor of IoT connections
in region and will cover almost half of the total

almost double
connections in 2030. The region will see growth in
IoT applications as 4G and 5G networks expand.

by 2030
Government initiatives to use innovative solutions as
part of smart city programmes are also boosting IoT
deployment in Sub-Saharan Africa.

IoT devices have reached households and businesses

across the region, helping streamline processes and
increase efficiency in the utilities sector, including
through smart sensors for waste management
in Kenya. Operators such as Safaricom continue
to build IoT use cases and expand their NB-IoT
activities. Operators are increasing IoT coverage by
targeting a range of vertical use cases, including
digital payments, smart metering and smart utilities,
digital agriculture, digital health, telematics and fleet
management. 2

Figure 7
Sub-Saharan Africa: licensed cellular IoT connections
Million

60

50

40
50%

30

20 18%

10
32%

0
2022 2023 2024 2025 2026 2027 2028 2029 2030

Rest of SSA Nigeria South Africa

Source: GSMA Intelligence

2. Operators in IoT: progress in the last decade and pathway to sustained success, GSMA Intelligence, June 2023

The mobile industry in numbers 17 / 46

Sub-Saharan Africa Revenue is expected to grow slowly but steadily in
the region as operators continue to invest in 4G and

sees steady revenue

5G network deployments and diversify their services
with new revenue streams.

growth as 4G Growing revenue from mobile money and mobile

data services continue to underpin operator growth

adoption and data in Sub-Saharan Africa. For example, at the end of

March 2023, Airtel Africa reported year-on-year

usage both rise increases in mobile money revenue of 29.6% and data
revenue of 23.8%. 3 MTN also saw double-digit gains
across both categories by the end of 2022.4

Figure 8
Sub-Saharan Africa: mobile revenue and year-on-year growth
Billion
$70 10%
8.2%
$60 8%

5.6%
$50 6%

3.4%
$40 2.7% 4%
2.9%
2.6% 2.6% 2.6%

$30 2%

$20 0%

$10 -2%
-2.2%
$0 -4%
2022 2023 2024 2025 2026 2027 2028 2029 2030

Revenue Annual growth (%)

Source: GSMA Intelligence

3. “Airtel Africa Records Double Digit Revenue Growth, Rakes in $750m Profit”, This Day, May 2023
4. “MTN revenue growth continues in Uganda, Rwanda”, Connecting Africa, June 2023

The mobile industry in numbers 18 / 46

Operators will spend As a result of extensive 4G network buildout and
growing 5G network deployments in Sub-Saharan

$75 billion on their

Africa, capex will be on an upwards trajectory
over the next few years. This will begin to trend

networks during
downwards closer to 2030 as operators turn their
focus to generating returns on investment.

2023–2030, mostly The focus over the next few years will be on
extending coverage, along with network upgrades.

on 4G At the same time, operators will be ramping up

investments to support the growing momentum
behind 5G.

Figure 9
Sub-Saharan Africa: mobile operator capex
Billion

$12 30%

$10 25%
19%

$8 20%

18%
14%
$6 15%

$4 10%

$2 5%

$0 0%
2023 2024 2025 2026 2027 2028 2029 2030

Capex Capex as % of revenue

Source: GSMA Intelligence

The mobile industry in numbers 19 / 46

Mobile added $170 In 2022, mobile technologies and services
generated 8.1% of GDP across Sub-Saharan Africa,

billion of economic
a contribution that amounted to around $170 billion
of economic value added. The greatest benefits

value to the Sub-

came from productivity effects reaching $110 billion,
followed by mobile operators, which generated

Saharan African
$40 billion.

economy in 2022

Figure 10
Sub-Saharan Africa: total economic contribution of mobile, 2022
Billion
$110 $170

Mobile 5.2%
ecosystem

8.1%
$10
$10
$40 0.6%
0.4%

1.8%

Mobile operators Rest of mobile Indirect Productivity Total

ecosystem

Note: Totals may not add up due to rounding

Source: GSMA Intelligence

The mobile industry in numbers 20 / 46

At the end of the By 2030, mobile's contribution will reach
approximately $210 billion in Sub-Saharan Africa,

decade, mobile's
driven mostly by improvements in productivity and
efficiency brought about by the increased take-up of

economic
mobile services.

contribution will
reach $210 billion
Figure 11
Sub-Saharan Africa: economic impact of mobile
Billion
$210
$170

2022 2030
Source: GSMA Intelligence

The mobile Mobile operators and the wider mobile ecosystem

provided direct employment to around 1.4 million

ecosystem in
people across Sub-Saharan Africa. In addition, the
economic activity in the ecosystem generated more

Sub-Saharan Africa
than 2 million jobs in other sectors, meaning that
around 3.5 million jobs were directly or indirectly

supported 3.5
supported.

million jobs in 2022

Figure 12
Sub-Saharan Africa: employment impact of the mobile ecosystem, 2022
Jobs (million)

2.2

3.5

1.4

Direct Indirect Total

Note: Totals may not add up due to rounding

Source: GSMA Intelligence

The mobile industry in numbers 21 / 46

The fiscal In 2022, the mobile sector in Sub-Saharan Africa
made a substantial contribution to the funding of

contribution of the
the public sector, with around $20 billion raised
through taxes on the sector. A large contribution was

mobile ecosystem
driven by services, VAT, sales taxes and excise duties,
generating $10 billion, followed by corporate taxes on

reached $20 billion

profits at $5 billion.

in 2022

Figure 13
Sub-Saharan Africa: fiscal contribution of the mobile ecosystem, 2022
Billion

$2

$5

$2
$20

$10

Services VAT, sales Handset VAT, sales Corporate taxes Employment taxes Total
taxes and excise taxes, excise and on profits and social security
duties customs duties

Note: Totals may not add up due to rounding

Source: GSMA Intelligence

The mobile industry in numbers 22 / 46

5G will add almost 5G is expected to benefit the Sub-Saharan Africa
economy by $11 billion in 2030, accounting for

$11 billion to the

more than 6% of the overall economic impact of
mobile. Much of the 5G benefit will materialise over

economy in Sub-
the period to 2030, as some countries are in early
stages of deployment and 5G economic benefits will

Saharan Africa in
increase as the technology starts to achieve scale
and widespread adoption.

2030

Figure 14
Sub-Saharan Africa: annual 5G contribution by industry
Billion

$12

$10

$8

$6

$4

$2

$0
2022 2023 2024 2025 2026 2027 2028 2029 2030

Services (public administration, finance, healthcare, education) Manufacturing ICT

Utilities management, construction, oil and gas, agriculture Retail Other

Source: GSMA Intelligence

The mobile industry in numbers 23 / 46

Manufacturing and 5G is expected to benefit most sectors of the Sub-
Saharan Africa economy, depending on their ability

services will benefit

to incorporate 5G use cases in their business. Over
the period to 2030, 32% of the benefits are expected

the most from 5G in

to come from the manufacturing sector, driven by
applications such as smart factories, smart cities and

2030
smart grids, and 29% from the services sector.

Figure 15
Sub-Saharan Africa: 5G contribution by industry, 2030
Percentage of total benefit

Retail 4% 2% Other

Utilities management,
construction, oil and 20%
gas, agriculture

Services (public
administration,
29%
finance, healthcare,

$10.8bn education)

ICT 13%

Manufacturing 32%

Source: GSMA Intelligence

The mobile industry in numbers 24 / 46

02
Mobile industry
trends

Mobile industry trends 25 / 46

2.1
Growing 5G momentum
297 operators in 100 markets around the world enterprises in the region are increasingly utilising
have launched commercial mobile 5G services as of technologies to tackle the biggest challenges
September 2023. By 2030, there will be more faced by society, and 5G will play a key role in this
than 5.2 billion 5G connections, representing over area. This is especially important with regard to
half of total mobile connections globally. 5G networks improving coverage, meeting the growing demand
will cover over 50% of the world's population in the for enhanced connectivity and supporting new use
same year. cases across different verticals. Following the launch
of 5G by Orange Botswana in November 2022, the
In Sub-Saharan Africa, the momentum for 5G
Ministry of Health piloted the use of the technology
continues to grow. As of September 2023, 27
on teleradiology (the transmission of radiological
operators in 16 markets have launched commercial
patient images, such as x-rays, CT scans and MRIs,
mobile 5G services in the region, while several
from one location to another).
others have plans for 5G launch. Governments and

Figure 16
5G network launches in Sub-Saharan Africa in 2023*

Airtel
in Kenya and Zambia

MTN
in Uganda

Mafab Communications Vodacom Emtel

in Nigeria in Mozambique in Mauritius

February June August

January April July

Tigo (Axian) Qcell Airtel

in Tanzania in Gambia in Tanzania

Airtel
in Nigeria

* List not exhaustive

Source: GSMA Intelligence

Mobile industry trends 26 / 46

Despite the growing momentum, the approach to Operators across the region have stepped up efforts
5G in the region will need to account for the current to modernise and prepare their networks for 5G,
connectivity landscape and unique market features emphasising fibre deployment for backhaul as well
that could affect the rollout and adoption of the as network automation and virtualisation solutions to
technology. The region’s 5G network ecosystem manage costs. However, FWA will be a primary use
players must find ways to deliver cost-effective case for 5G in the region, given the growing demand
and efficient 5G networks, balancing investment for connectivity and limited FTTx infrastructure. FWA
and value creation. This comes at a time when 3G is an affordable broadband connectivity option for
is the most dominant technology in Sub-Saharan the last mile, where competing technologies, such
Africa (accounting for 55% of total connections in as fibre or copper, fall short. Due to the prohibitive
2022) while 4G is already dominant in other regions, costs of extending fibre connectivity, most countries
implying network and customer readiness for the in the region have very low adoption of fibre-based
transition to 4G. fixed broadband services and have been focusing on
extending mobile network coverage instead.
In this context, 5G rollout in Sub-Saharan Africa will
likely arrive in phases, starting in areas with stronger
demand for 5G services, such as densely populated
areas, and then spreading to other locations as the
business case for the technology improves.

FWA boosting the adoption of 5G

FWA provides an opportunity to enhance last-mile 2022, Orange Botswana and Telkom South Africa.
connectivity for home broadband services. Although The number of FWA services will continue to rise
it is already frequently used as a substitute for fixed as more operator networks are upgraded, more 5G
broadband, new global standards and 4G have networks are built out and more customer-premises
improved the economics and performance of FWA in equipment (CPE) devices (particularly 5G ones) are
recent years. Looking ahead, 5G will further catalyse commercialised.
the growth of FWA in Sub-Saharan Africa, making it
Operators are also leveraging FWA to improve
a primary broadband option.
other areas, such as education. For example, mobile
Along with providing basic connectivity, FWA will operator Free and Ericsson will together provide
help operators reach unconnected areas. FWA FWA connectivity to schools in Senegal. The project
can also help operators and service providers will demonstrate how FWA can utilise existing mobile
compete in the home broadband and small business radio networks to effectively connect schools and
markets, eventually helping their businesses to bridge the educational divide.
grow more quickly. Although FWA solutions have
While FWA has a lot of potential, practical limitations
been around for more than two decades, the
and regulatory considerations are holding back
performance improvements enabled by 5G offer
large-scale deployment in Sub-Saharan Africa. These
a larger addressable opportunity for improving
include the high cost of CPE devices, low household
internet access and for commercialisation. This is
incomes and the lack of sufficient spectrum for
driving renewed operator interest in the technology,
network deployment. That said, some operators
reflected in the growing number of commercial
are implementing measures, such as subsidies
deployments of 5G FWA in the region.
and payment in instalments, to make CPE devices
As of September 2023, 12 operators in the region more affordable for users. These efforts, along with
provide 5G FWA services across 7 countries, the growing demand for connectivity, will sustain
including Botswana, Kenya, South Africa and growth in the FWA market and create new revenue
Tanzania. These include MTN Nigeria, which opportunities for operators.
launched commercial 5G services in September

Mobile industry trends 27 / 46

2.2
Tapping into the power of AI
There has been a wave of growing momentum behind Unsurprisingly, most AI developments are occurring
AI in the last few years, with increasing investments in advanced markets in East Asia, Europe and North
into new AI capabilities and applications as well as America. However, the technology can be utilised in
debates on the responsible use of the technology. any scenario where there is sufficient data to draw
Amid these developments, it is clear that AI will have insights. As a result, a number of industry players
a profound impact on the way society operates in the are already taking steps to apply AI across a variety
coming years, as the emergence of new AI tools and of use cases in Sub-Saharan Africa. Indeed, the
use cases will accelerate the implementation of AI potential benefit of AI in Sub-Saharan Africa and
across various verticals and business processes. other emerging regions is significant, given that it can
help offset the impact of limited resources and poor
infrastructure in the delivery of many life-enhancing
services, such as healthcare and education.

Google’s AI projects in Africa

In June 2023, Google revealed six AI projects it is • Improving maternal health outcomes with
working on at the Google Labs in Accra, Ghana to ultrasound: Google is building AI models
support communities across Africa: that can read ultrasound images and provide
important information to healthcare workers.
• Mapping buildings: Combining AI with satellite
imagery to pinpoint the location of buildings, • Helping people with non-standard speech
Google helps governments and nonprofit make their voices heard: Google has built an
organisations to understand the needs of AI tool that transcribes speech into text to help
residents and to offer assistance. people with non-standard speech communicate
more easily.
• Forecasting floods: Google uses AI models
to predict when and where riverine floods will • Teaching reading to children: Read Along,
occur in 80 countries worldwide, including 23 in Google’s AI-based reading tutor app and
Africa. website, is helping to increase child literacy.
Diya, the in-app reading buddy, listens to the
• Predicting locusts: Through collaborations
speaker reading aloud, offering support when
with AI company InstaDeep and the Food and
they struggle and rewarding them when they do
Agriculture Organization of the UN, Google uses
well.
AI tools to better detect locust outbreaks and
enable farmers to implement control measures.

Mobile industry trends 28 / 46

Below are recent examples of the application of AI in students. Mtabe’s platform analyses each student’s
various verticals in Sub-Saharan Africa: learning style and progress and then generates
personalised learning content that is tailored to
• Logistics in healthcare: Viebeg Technologies, a
each student’s individual needs.
venture capital–backed healthtech company, is
helping to expand access to affordable healthcare • Prediction analysis in agriculture: The web-based
in Central and East Africa by aiding healthcare Africa Agriculture Watch (AAgWa) platform, which
facilities in procuring supplies in real time. It uses combines remotely sensed data and machine-
AI to manage supply-chain processes (including learning techniques to improve information
shipping, warehousing, distribution and inventory for farmers and policymakers, is starting to
management) to ensure that healthcare facilities incorporate the use of AI. AAgWa was launched by
have the precise medical supplies in stock. Akademiya2063, a pan-African nonprofit research
organisation, and helps predict agricultural yields in
• Personalised content creation for education:
47 African countries.
Mtabe, a Tanzania-based educational-technology
startup, uses AI to provide personalised learning to

The AI promise for mobile operators

Mobile operators in the region have employed AI at • MTN will migrate to Microsoft’s Azure's cloud
different levels, from improving network operations computing platform to tap into machine-learning
and customer services to achieving efficiencies and AI to deliver operational efficiency across
and cost savings. 5 As a result, several network the operator’s footprint, starting with Nigeria and
infrastructure vendors are creating new AI-enabled South Africa.
products to make the technology more accessible
• In December 2022, MTN Benin and Ericsson
and to drive larger-scale deployments, such as the
entered into a partnership to deploy AI and
following examples:
machine-learning solutions to address throughput
degradation and, ultimately, provide improved
customer satisfaction.

5. ChatGPT and other advanced AI for operators: smarter and more personalised customer experience, GSMA Intelligence, 2023

Mobile industry trends 29 / 46

2.3
Towards a circular life for mobile phones
Sub-Saharan Africa will have a combined 1 billion device ecosystem players in Sub-Saharan Africa are
active feature phone and smartphone connections leveraging the circular economy concept in device
by the end of 2023. This number is set to increase, manufacturing. Phones with longer lifetimes are
with the addition of more than 200 million new being produced, in addition to the use of recyclable
devices expected by the end of 2027.6 The growing and recycled materials and renewable energy in
number of devices is a significant concern in terms the process. As a result, fewer devices are going to
of growing e-waste and the higher consumption of waste, allowing the industry to make progress in
natural resources within the region. To address this, sustainable transformation.

Figure 17
Number of mobile connections in Sub-Saharan Africa
Million

1,400

1,200

1,000

800

600

400

200

0
2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

Basic/feature phone connections Smartphone connections

Note: Forecast for 2022 to 2030

Source: GSMA Intelligence

The technical lifespan of a mobile device is currently Governments and industry players have a role to play
between four and seven years,7 but the average use here. For example, there is an opportunity to build
period of a mobile device is around three years. 8 This new channels and suppliers to collect, refurbish and
suggests that the biggest barrier to reducing waste resell devices, as well as educate consumers and
is tied to consumer behaviour. As such, incentivising implement awareness campaigns on sustainability.
consumers will be crucial, though this could be Operators and other ecosystem players across
complicated by a variety of factors affecting their Sub-Saharan Africa are already taking a lead in this
choices, such as affordability, information availability, regard, with initiatives to drive circularity in mobile
social norms and personal preferences. phones and other digital devices.

6. GSMA Intelligence
7. Miliute-Plepiene, J. and Youhanan, L. (2019), E-waste and raw materials: from environmental issues to business models, IVL Swedish Environmental Research Institute.
8. Statista

Mobile industry trends 30 / 46

Potential for device reuse
Because of its accelerating rate of subscriber reused by those who cannot afford new handsets
penetration compared to other regions, Sub- in the region. The affordability of phones, including
Saharan Africa is in a unique position and has greater smartphones, can simultaneously be addressed,
potential when it comes to refurbishing used devices. improving the usage gap.
Millions of unused devices can be refurbished and

Figure 18
The concept of the circular economy

Recycle

Refurbish

Reuse

Extraction and Product Product Customer Disposal Landfill and

raw material manufacturing distribution usage greenhouse gas
emissions

Source: GSMA

Mobile industry trends 31 / 46

Initiatives to drive circularity

GSMA: tackling the problem of dormant phones in partnership

with mobile operators
In June 2023, the GSMA teamed up with 12 mobile operators across the globe, including Safaricom,
to take back and recycle or repair more than 5 billion unused mobile phones in an effort to tackle
e-waste. The initiative builds on efforts by the mobile industry to move away from the traditional
‘take-make-dispose’ approach to the materials used in mobile phones and highlights the importance of
working collectively to accelerate the transition to greater circularity.

In November 2022, the European Chemical Society identified 30 elements usually used in
smartphones. Out of these, 11 were identified as elements with limited availability, which may cause
risks to future supply, while the unsustainable usage of seven elements used in smartphones would
pose a serious risk in the next 100 years. The GSMA estimates that a refurbished phone can have an
87% lower climate impact than a newly manufactured phone, and if properly recycled, 5 billion mobile
phones could recover $8 billion worth of gold, palladium, silver, copper, rare earth elements and other
critical minerals, and enough cobalt for 10 million electric car batteries.

Safaricom: over 10 years of experience in e-waste management

The e-waste management programme of Safaricom provides an end-of-life management solution
for out-of-use devices, especially mobile phones. The allocated centre disassembles the gadgets by
separating parts and recycles the locally recyclable materials. It sends the non-recyclable materials
to partners outside of the country for safe end-of-life management. The programme was designed
in partnership with the National Environment Management Authority and with endorsement of the
Communication Authority of Kenya. The programme also aims to educate the public on the need
for e-waste management and encourages wider participation from stakeholders in the e-waste
management process.

Vodafone: a global partnership with the WWF supporting the goal

to reach net zero
Vodafone recently announced a three-year programme to trade in, recycle, refurbish or repair
smartphones across Europe and Africa while raising funds for the World Wide Fund for Nature
(WWF). A £1 donation (or local equivalent) will be made to the WWF for each phone collected
through the programme. Vodafone stated that the One Million Phones for the Planet programme will
support the operator's goal to reduce its carbon emissions to net zero by 2040. Buying a refurbished
smartphone could save roughly 50 kg of carbon dioxide equivalent (CO2e), lowering the contribution
to climate change by 87% over a newly manufactured device while also removing the need to extract
76.9 kg of raw materials. The scheme will help eliminate e-waste and create opportunities for the
circular economy of mobile phones.

Mobile industry trends 32 / 46

2.4
Addressing smartphone affordability
In Sub-Saharan Africa, around 60% of the population devices, announced plans to assemble some of its
does not use mobile internet despite living in an area phones in Kenya and plans to offer financing options
with coverage. Smartphone affordability is a key for customers who want to buy the devices on
barrier to using mobile internet in the region. This is credit with M-Kopa. In March 2023, HMD Global also
an area of growing concern, as reducing the internet launched the Nokia G60 5G, a mid-range 5G phone
usage gap is critical to closing the digital divide. For sold in partnership with Safaricom for KES53,000
example, in Senegal, 61% of women and 46% of men ($397).
who do not own a mobile phone reported that the
The challenge for manufacturers in Sub-Saharan
lack of an affordable handset was the top reason.9
Africa is to produce devices at a low enough price
To help address the issue, operators and point to gain market share, particularly in the 5G
manufacturers have devised solutions targeting and 4G markets, where devices remain prohibitively
the cost of devices. The average selling price of expensive for most regional consumers. Along with
smartphones has reduced significantly in recent the manufacturing costs, other costs such as fees
years, with an influx of devices priced at under $100, and taxation directly impact the final selling price. As
mainly from Chinese brands, such as Tecno, Itel and per GSMA Intelligence research, taxation and duty
Infinix. Alongside the availability of cheaper options, fees add 10–30% to smartphone costs, depending on
operators are increasingly partnering with device the country. To improve affordability, governments
manufacturers to manage costs and offer financing should reconsider these fees by offering tax
plans to customers. exemptions on low-cost handsets, as is available in
Rwanda. In addition to reducing the absolute cost of
For example, European smartphone manufacturers,
smartphones and supporting an individual's capacity
such as HMD Global, are attempting to grow their
to pay, providers also need to ensure that devices
presence in Sub-Saharan Africa, as highlighted by
meet user's life needs and support users’ willingness
recent moves to open assembly plants in the region.
to pay.
HMD Global, which uses the Nokia brand for its

The challenge for

manufacturers in Sub-
Saharan Africa is to produce
devices at a low enough
price point to gain market
share, particularly in the
5G and 4G markets, where
devices remain prohibitively
expensive for most regional
consumers

9. The Mobile Gender Gap Report 2023, GSMA 2023

Mobile industry trends 33 / 46

Supply-and-demand factors
On the supply side, factors that impact costs include pay-as-you-go service provides customers with a
manufacturing, inbound and outbound supply chains, simpler and more accessible way to pay for their
and business and manufacturer decisions about smartphones. It also provides financial education,
pricing. On the demand side, drivers include people's helping users build credit worthiness. MTN Rwanda
ability to pay and their value perception of the device will provide SIM cards and starter data pack schemes
to justify the expenditure, along with awareness along with smartphone access. The alliance leverages
levels, community norms and understanding of the the operator's network and user base, while partners
total cost. Based on this, GSMA research identified such as Bboxx support innovation and affordable
three models for affordable smartphone ownership, smartphones to improve digital inclusion.
as shown in Figure 19. Operators have been offering
Mobile operators can continue to build such
a range of initiatives across these three models,
innovative partnerships to support industry efforts
including launching device financing plans (subsidies,
and design solutions to reduce one-off costs
instalment payments), partnerships to improve
and provide instalment payment plans with third
access to smartphones (device and data plan
parties, especially for the population for whom
schemes) and introducing entry-level smartphones.
smartphones are most unaffordable. At the same
For example, in July 2023, Bboxx, a data-driven time, policymakers and regulators should continue to
super platform, and MTN Rwanda formed a strategic review and remove sector-specific taxes impacting
partnership to expand smartphone access and costs and to consider subsidy programmes to help
economic empowerment in Rwanda. Bboxx’s make handsets and data services more affordable.

Figure 19
Types of business models for affordable smartphone ownership

Smartphones are made more affordable by spreading the total

cost over time rather than one lump sum. Offered via finance from
financial institutions, mobile operators or alternative credit providers.
Asset financing Examples: Equitel Bank and Airtel in Kenya, Fenix and MTN in
models Uganda, and M-Kopa and operators in Tanzania, Uganda and Kenya.

Total smartphone costs are lowered through highly efficient

supply chains and/or device subsidies.
Examples: Phonetrader by Airtel in Kenya, Steppa by MTN
Direct payment in South Africa, Kilimall by Infinix and Safaricom in Kenya and
models Uganda, and Neon by Safaricom in Kenya.

The smartphone cost is subsidised or offset by a third party,

such as governments, nonprofits or private companies.

Third-party payment Examples: Tigo and CELIAF's partnership to increase smartphone

models access for women.

Source: GSMA10

10. Webinar: Accelerating affordable smartphone ownership in emerging markets, GSMA, 2019

Mobile industry trends 34 / 46

2.5
Mobile connectivity propels the
fintech industry
Sub-Saharan Africa's fintech industry has been Digital payments remain the most widely available
bolstered by a surge in innovative solutions and and adopted fintech service, driven by the demand
growing funding and investments. Over 400 investors for faster and lower-cost payment solutions from
backed African fintech companies in the first consumers and businesses. A range of digital
three quarters of 2022.11 With an influx of funding, payment solutions, including mobile wallets, app
increasing smartphone ownership, affordable payment channels and QR codes, are becoming more
connectivity and increasing supportive regulatory prominent in the region. BNPL is another segment
frameworks, the fintech market in Africa is set to grow gaining traction. BNPL is a type of short-term
exponentially. financing that allows consumers to make purchases
and pay for them in instalments, often interest-free,
The growth of fintech varies significantly across the
over a period. For example, Safaricom's Faraja in
region, with matured markets such as Kenya and
Kenya, launched in 2023, is a zero-interest credit
South Africa leading the way, while countries such as
service that allows its subscribers to pay later for in-
Ghana and Nigeria have high potential.12 With a rising
store purchases for goods.
shift towards digital lifestyles, regulatory initiatives
continue to emerge in the region to support fintech BNPL payments are also growing among startups
solutions for financial inclusion. For example, Nigeria, and merchants. Faraja, for instance, enables business
Ghana and Uganda have introduced programmes owners to grow their sales and businesses by allowing
to stimulate financial inclusion and increase digital their customers to purchase at the point of need
cash transactions. The programme will encourage and then make payments later. Likewise, Spredda,
fintech stakeholders to innovate with new product a Nigerian online marketplace, offers its customers
offerings. Likewise, there are a number of regional an option to pay in instalments after a 20% down
initiatives, such as the Pan-African Payment and payment. The BNPL model gives customers flexibility
Settlement System, which supports instant cross- and more control over shopping and payments for
border payments in local currencies and expanded online purchases. This translates to increased sales,
its operations in 2022. Such regional and national lower cart abandonment rates and new customers for
initiatives aid collaboration opportunities, encouraging businesses.
the growth of digital payment networks. As a result,
Africa's financial services market could grow by about
10% per annum until 2025, with payment and wallets
among the fastest-growing products.

Opportunities for mobile operators

Beyond basic connectivity, mobile operators in The growing role of mobile financial services in Sub-
the region have ventured into the fintech space by Saharan Africa has been supported by an improved
enhancing mobile money services, along with an regulatory outlook, which is allowing further
increase in collaborations with fintech companies and innovations. These regulatory developments have
financial institutions. For example, in early 2023, MTN opened new avenues of growth for the fintech sector
and Mastercard announced a partnership to enable and present opportunities for mobile operators to
Mastercard’s virtual cards to be linked with MTN's expand services and generate additional revenue
MoMo wallets. The partnership allows the expansion streams. By leveraging their existing infrastructure
of their services by leveraging the networks of both and customer data, operators can continue to create
companies. Similarly, in August 2023, Airtel Africa and new value-added services for customers.
Mastercard announced the launch of a new cross-
border remittance service. The service will enable
Airtel subscribers across 14 African markets to send
and receive money safely and securely, with speed
and certainty.

11. “Over 400 investors backed African FinTech companies in the first nine month of 2022”, Fintech Global, December 2022
12. Fintech in Africa: The end of the beginning, McKinsey & Company, 2022

Mobile industry trends 35 / 46

03
Mobile industry
impact

Mobile industry impact 36 / 46

3.1
Operators explore new models to connect
the unconnected
As of 2022, around 15% of the population in Sub- Operators and infrastructure companies have also
Saharan Africa is not covered by mobile broadband announced renewed commitments to improving
networks. Despite much progress, the coverage gap connectivity in Sub-Saharan Africa. For example,
remains significant, especially in rural and remote Vodacom plans to invest $3.3 billion to upgrade
areas. The lack of mobile broadband coverage in network resilience, maintain connectivity and boost
rural areas is primarily an economic challenge: costs rural coverage in South Africa over the next five years
can be prohibitive, revenues are lower and logistics (an increase of 20% on what it committed to in its
are more complex. This has led operators to explore last five-year plan in 2018). Meanwhile, Africa Mobile
new infrastructure models through collaborations, Networks revealed it has secured a $20 million loan
such as MTN Uganda's turnkey solution with iSAT package to build new base stations in rural areas.
Africa under the GSMA Innovation Fund for Rural
Mobile operators have been innovating business
Connectivity. As part of the partnership, iSAT
models and improving coverage; however, the
deployed five mobile network sites in rural areas of
usage gap remains sizeable. More than half of the
Uganda using concrete-less towers, solar power and
population in Sub-Saharan Africa do not utilise
an open radio access network (RAN) to provide 2G
mobile internet despite living in an area with mobile
and 3G connectivity.13 Such initiatives offer operators
internet coverage. The mobile industry has been
an opportunity to expand into uncovered areas while
taking steps to tackle the key issues restricting usage
sharing the cost of infrastructure development, and
– specifically, lack of device affordability, digital skills
the related responsibilities, and to utilise available
and relevance, and safety concerns. This highlights
resources.
the need for robust initiatives to improve coverage
and for mobile adoption to close the digital divide.

Enhancing rural connectivity through collaboration

Solar-powered rural rollout in Benin Network-as-a-service (NaaS) model in Liberia

MTN Benin and Ericsson have teamed up to Orange and US-based RAN solutions provider
provide affordable and reliable mobile broadband Vanu will deploy 200 new sites in Liberia to
services to remote rural areas in Benin that have improve rural coverage using an NaaS model.
limited or no connectivity. Ericsson will support Vanu builds and maintain networks, and will build
the operator’s planned rural coverage across at least 200 2G, 3G and 4G towers for Orange
29 sites with its energy-efficient three-sector Liberia. It will also deliver technology upgrades on
dual-band Radio 6626 and compact microwave behalf of operators as part of a revenue-sharing
radio MINI-LINK products. All the sites will run agreement.
sustainably on 100% solar and battery power,
Vanu has previously partnered with MTN in Sub-
reducing MTN’s carbon footprint.
Saharan Africa. The partnership with Orange
The partnership focuses on improving coverage aligns with the operator’s IDEAL programme,
while lowering carbon emissions and contributing which aims to extend coverage to 20 million rural
to the digital economic development that will inhabitants in Africa through the construction of
empower the local population in Benin. 5,000 sites by 2026.

13. Accelerating Rural Connectivity: Insights from the GSMA Innovation Fund for Rural Connectivity, GSMA, 2022

Mobile industry impact 37 / 46

3.2
Mobile's impact on the SDGs
In 2022, the mobile industry accelerated its impact SDG 11: Sustainable Cities and Communities and
on the Sustainable Development Goals (SDGs) SDG 7: Affordable and Clean Energy. SDG 7 is also
in Sub-Saharan Africa, with improved mobile among the three most improved SDGs, alongside
broadband and internet coverage and higher mobile SDG 6: Clean Water and Sanitation and SDG 4:
penetration. The highest-scoring SDGs in the region Quality Education.
were SDG 9: Industry, Innovation and Infrastructure,

Figure 20

Mobile's impact on the SDGs in Sub-Saharan Africa

Highest SDG scores

Source: GSMA Intelligence

Mobile industry impact 38 / 46

Digital advisory solutions accelerate transformation of the
agriculture sector
Mobile technology contributes significantly to provides instant access to reliable information
innovation and industrial development by serving on biomass availability and quality, surface water
as a critical infrastructure provider and increasing availability, herd concentration, and market prices
access to information. From the onset of the Covid-19 for livestock and staple grains. Adoption of the
pandemic, digital agriculture tools have enabled digital-only service has continued to rise beyond
smallholder farmers in Sub-Saharan Africa to the pandemic. Thus, the initiative is scaling up
continue receiving advisory services, acquire much- to build a viable bundled digital service in Mali
needed financing, receive farm inputs and identify based on the success of the last few years. This will
new markets for their products. Since then, digital involve geographic expansion and the launch of an
advisory solutions have provided smallholder farmers online virtual market, which will increase access to
with the necessary information and are becoming a agriculture and livestock inputs and include a digital
commonly accepted tool. inclusive finance solution.14

For example, Orange, in partnership with SNV The transition to digital advisory solutions is likely
(Netherlands Development Organisation), launched to intensify as adoption grows in the agriculture
Garbal, a digital advisory service for pastoralists sector and as new technologies are leveraged (such
and smallholder farmers in Mali and Burkina Faso. as sensors, mobile soil testing kits, drones and AI) to
Delivered through USSD and a call centre, the service provide localised and tailored information.

Operators fuel smart city solutions

Mobile operators are enabling smart city solutions by smart utility IoT connections will increase almost
providing connectivity and building new use cases sixfold between 2021 and 2030, as highlighted
through partnerships. The role of operators has by GSMA research.15 By 2030, utility solutions
evolved from being a connectivity and infrastructure will account for nearly 30% of IoT connections in
provider to a smart city co-creator by utilising the region. Operators have been collaborating in
emerging technologies such as IoT, AI and cloud trials using IoT solutions, with many leveraging the
computing. available low-power wide-area network (LPWA)
networks.
For example, Ethio Telecom, in partnership with the
Addis Ababa city administration in Ethiopia, will In Kenya, for instance, Safaricom's NB-IoT network
install a wide area network (SD-WAN network) to has been used for smart meter pilots in Kisumu,
interconnect different bureaus and service-rendering Embu and Eldoret, among other cities, and has led to
institutions of the city with the main data centre. The an IoT product line for water. In addition, Safaricom
project will address the growing technology demands has partnered with Kenya Water Institute to deploy
of digital transformation and data security concerns a smart water system that uses IoT to manage
of the city administration, interconnecting the production, distribution and consumption at the
sub-cities and woredas (administrative divisions of institute's campuses. The smart water system will be
Ethiopia) with higher-speed and greater-bandwidth used to facilitate practical training and to co-create
optical services. This will strengthen administrative and run a smart water management curriculum for
capacity to address the growing needs of its citizens. students at the institution.

While co-creating smart city solutions, mobile Such partnerships encourage the use of technology
operators have been playing a pivotal role within the and education to drive sustainable water practices
IoT ecosystem, contributing significantly to various and conservation and drives SDG 6, aiming for the
applications in the utility sectors, including digital provision of clean water and sanitation for all.
meters and monitoring and managing resources such
as water and treatment plants. In Sub-Saharan Africa,

14. https://www.snv.org/project/stamp-building-success
15. IoT and Essential Utility Services: Opportunities in low- and middle income countries, GSMA, 2023

Mobile industry impact 39 / 46

04
Policies for safe and inclusive
digital development

Policies for safe and inclusive digital development 40 / 46

The growing use of emerging technologies and such as healthcare, climate action and smart city
accelerating digital transformation highlight the infrastructure. To encourage these initiatives to drive
importance of digital technologies in everyday life. socioeconomic growth, appropriate policy measures
At the same time, the continued rollout of 4G and are required to support network investments for
building momentum for 5G have enabled innovative connectivity, consumer safety and the affordability of
solutions in the region, especially in essential areas digital services.

4.1
Improving online safety
African economies have the potential for rapid Over the coming years, there will likely be an
growth and development due to increased increased prevalence of legislative policies
consumption and adoption of digital services and the to promote cybersecurity related to critical
emergence of new technologies. However, Africa's infrastructure and supply chains. Similar activities
rapid technological evolution makes the region are continuing at a pan-African level, with the African
an attractive target for fraud and cyberattacks. Union still aiming to deliver on a set of aspirations
Understanding, mapping and mitigating these through its Agenda 2063.17 In 2022, it published a
existing and upcoming security threats in an data policy framework18 examining international,
objective, speedy and effective manner have become regional and legislative trends and making
essential. recommendations on cybersecurity. The Convention
on Cyber Security and Personal Data Protection19 (the
As cybersecurity threats continue to grow in scale
Malabo Convention) is the pan-African instrument for
and scope, governments face increasing pressure to
data protection and cybersecurity, adopted by the
protect their citizens and critical infrastructure and
African Union in 2014. It sets out a comprehensive
to establish a framework for the mobile industry to
legal framework for data protection, cybercrime and
mitigate the threat. Some countries already have
cybersecurity. 15 African Union member states have
comprehensive cybersecurity laws in place, including:
ratified the Malabo Convention, which came into
• Eswatini (Computer Crime and Cybercrime Act force in June 2023.
2022)
The ratification of the Malabo Convention and the
• Ghana (Cybersecurity Act 2020) transposition of its framework to national laws
• South Africa (Cybercrimes Act 19 of 2020) provide a structured and harmonised approach to
• Kenya (Computer Misuse and Cybercrimes Act addressing cybersecurity threats. It is necessary to
2018). reduce online trade barriers and accelerate digital
trade implementation under the Africa Continental
• Nigeria (Cybercrime Act 2015)
Free Trade Agreement. The Convention criminalises
• Tanzania (Cybercrimes Act 2015) a wide range of cyber activities, including hacking,
• DRC (Digital Code (which includes laws on data cyberfraud and identity theft. It also establishes
protection and cybersecurity)) procedures for investigating and prosecuting
A study by the ITU, conducted in 202016 through a cybercrime and emphasises the need for international
survey of 54 African nations, found that: cooperation between African countries.

• 35% (19 nations) have in place a reliable

cybersecurity (incident and emergency) response
team
• 54% (29 nations) have passed cybercrime legal
frameworks.

16. “Are African countries doing enough to ensure cybersecurity and Internet safety?”, ITU, September 2021
17. https://au.int/agenda2063
18. AU Data Policy Framework, African Union, 2022
19. African Union Convention on Cyber Security and Personal Data Protection

Policies for safe and inclusive digital development 41 / 46

The Budapest Convention on Cybercrime was the Overall, cybercrime has become one of the
first international treaty on crimes committed via greatest challenges of the digital age. The
the internet and other computer networks, dealing ubiquity of technology has intensified the risk
with various crimes, including network security of cyberattacks, and the rise of innovative and
violations. However, various challenges in securing disruptive technologies in the digital economy has
the mobile ecosystem still exist today. These include heightened the need for trust and stability. All over
the wide range of security requirements, the risk of the world, policymakers, regulators and industry
a fragmented ecosystem and isolated initiatives that players are grappling with how to curb this growing
introduce complexity and don’t improve security. risk. Addressing this requires a holistic approach
Consequently, Africa needs to pursue a common covering people, processes and technology. Below
cybersecurity policy to protect society against are recommendations that should be put in place to
cybercrime by adopting appropriate legislation and maintain much-needed trust and confidence in the
fostering international cooperation. South Africa was digital space:
an original signatory to the Convention of Cybercrime
• Develop and review cybersecurity laws:
in 2001, with subsequent ratifications from Cabo
Governments should develop or continuously
Verde, Ghana, Mauritius, Nigeria and Senegal.
review existing laws that govern cybersecurity.
Financial services and mobile money are at high At a national level, the adoption of appropriate
risk of cyberthreats in the region. For example, legislation on the misuse of technology for
Kenya (which is ranked 51 out of 182 countries on criminal or other purposes, and activities intended
the UN ITU's Cybersecurity Commitment Index)20 to damage the integrity of critical national
experienced a distributed denial-of-service infrastructure, are vital. Legislation should also
cyberattack in July 2023. 21 Cyberattacks can target support the coordinated action of government
individuals as well as the technology infrastructure. authorities, the private sector and citizens to
These types of attacks, commonly known as ‘social prevent, prepare for, respond to and recover from
engineering’, take advantage of a consumer’s cybercrime incidents.
trust and their lack of awareness of cyberthreats. • Create an independent cybersecurity authority:
The GSMA's Mobile Telecommunications Security An independent authority must be established to
Landscape 2023 report22 details the different types implement a structured framework for monitoring,
of security threats. detecting and responding to cybersecurity threats.
A separate GSMA cybersecurity report23 explains • Build user awareness: As more people access
why a holistic approach involving people, processes online services, it is essential to create awareness
and technology is needed to address threats. There on safe behaviours online to build their confidence
are also risk-based cybersecurity approaches in the digital space.
that countries such as Kenya and Nigeria have • Train cybersecurity experts: Regular training for
implemented, showing that self-regulation through cybersecurity experts should be conducted to
industry initiatives such as the Mobile Money develop their skills and address the current skills
Certification24 are also an option to safeguard gap, driven by the evolving nature of cybersecurity
consumer trust. threats.

20. Global Cybersecurity Index 2020, ITU, 2023

21. “Kenya cyber-attack: Why is eCitizen down?”, BBC, July 2023
22. Mobile Telecommunications Security Landscape 2023, GSMA, 2023
23. Cybersecurity: A governance framework for mobile money providers, GSMA, 2019
24. https://www.gsma.com/mobilefordevelopment/mobile-money/certification/

Policies for safe and inclusive digital development 42 / 46

4.2
Spectrum policy for inclusive digital
development
Spectrum availability and effective licensing Such policies include:
continue to be important to improve connectivity.
• creating a spectrum roadmap
Governments and regulators in the region should
therefore adopt forward-looking spectrum • ensuring access to mid-band spectrum, in
management policies. particular 3.5 GHz, given its importance to the
future of 5G

• accelerating access to sub-1 GHz spectrum to

provide widespread rural mobile broadband
services.

Spectrum management
Effective spectrum licensing, 25 from roadmap to At its core, a spectrum licensing framework should:
assignment, is critical to encourage the investment
• ensure access to sufficient spectrum for operators
required to expand mobile access, meet the increase
in demand for data services and enhance the quality • provide predictability to support the new network
and range of services offered. Spectrum policy investment needed
also has an important role in the net-zero race. 26
• provide clear procedures for spectrum renewals,
Successful policies can help reduce carbon emissions
well in advance of the end of the licence tenure
from the mobile ecosystem and advance mobile
connectivity, increasing the enabling effect on • avoid costly restrictions on the use of spectrum
emission-saving use cases for other sectors. beyond those needed to manage interference.

Spectrum roadmaps
A spectrum roadmap27 is essential to ensure there is Key themes for a spectrum roadmap should include:
enough spectrum to meet surging demand for mobile
• identifying emerging opportunities and challenges
services in both the short and long terms. Roadmaps
to a radio spectrum framework at least three to five
help governments forecast future trends and
years in advance
manage their work. For mobile operators, roadmaps
mean increased certainty to invest based on the • determining future technological trends and
government’s future allocation, renewal plans and drivers, and assessing their impact on spectrum
radio spectrum management. policy and planning

• planning spectrum management programmes to

address challenges and maximise opportunities

• creating a plan to regularly review and update the

roadmap, with an annual review recommended.

25. Best Practice in Mobile Spectrum Licensing, GSMA, 2022

26. Spectrum: the Climate Connection, GSMA, 2023
27. Roadmaps for 5G Spectrum: Sub-Saharan Africa, GSMA, 2021

Policies for safe and inclusive digital development 43 / 46

Technology neutrality
Technology-neutral spectrum licensing is a key Implementing technology-neutral spectrum licensing
enabler of legacy network shutdowns and is widely maximises spectral efficiency and allows users to
recognised as best practice when assigning spectrum benefit from faster rollouts of 4G and 5G. It can lead
to mobile operators. It enables mobile operators to to the delivery of better mobile broadband coverage
refarm spectrum used for 2G or 3G to 4G and 5G at and higher data speeds by allowing operators to
a pace that is driven by market demand. Experience upgrade technologies promptly.
shows it is possible to ‘gracefully refarm’ bands
without leaving any users behind.

Spectrum pricing
High spectrum prices continue to hinder the rollout of goal of governments around the world should be to
mobile services. However, for countries willing to take get the most out of mobile spectrum resources. The
a different approach, sufficient spectrum bandwidth GSMA has developed 10 positions on the importance
assigned at reasonable prices is strongly linked of fair spectrum pricing to support the effective
to greater population coverage, better download management of spectrum resources. 28
speeds and increased service adoption. The main

Low-band spectrum
Low-band spectrum is a driver of digital equality, Low-band 5G applications will mostly benefit the
helping to reduce the gap between urban and rural mining and retail industries, reflecting the level
areas and delivering affordable connectivity. Without of economic activity driven by these sectors. The
sufficient low-band spectrum, countries in Sub- wide area coverage enabled by low bands will
Saharan Africa will struggle to address the digital be particularly important in driving the digital
divide and those living in rural areas may be excluded transformation of the agricultural sector, with IoT
from the latest digital technologies. There are plenty applications for smart farming and agriculture.
of rewards for countries that prioritise access to more
low-band spectrum for mobile. For example, adding
600 MHz to existing low bands raises download
speeds by 30–50% in rural areas. 29

There are also economic benefits. Through early

adopters in the region, low-band 5G is expected
to bring benefits of almost $3 billion to the economy
of Sub-Saharan Africa, or around 0.08% of GDP
in 2030. 30 While 5G penetration in the region is
Through early
expected to continue to increase well into the 2030s, adopters in the
its relative impact will already be similar to the impact
in Europe and North America by 2030, paving the
region, low-band 5G
way for Sub-Saharan Africa to realise even greater is expected to bring
benefits from low-band 5G going into the next benefits of almost
decade.
$3 billion to the
economy of
Sub-Saharan Africa

28. Spectrum Pricing: GSMA Public Policy Position, GSMA 2021

29. Vision 2030: Low-Band Spectrum for 5G, GSMA 2022
30. The Socio-Economic Benefits of Low-Band 5G Spectrum, GSMA, 2023

Policies for safe and inclusive digital development 44 / 46

Mid-band spectrum
Mid-band spectrum, particularly 3.5 GHz, is important As policymakers look to the future, the 6 GHz band
for the future of 5G because it offers city-wide offers significant potential:33
coverage and capacity. In the short term, operators
• 6 GHz will be crucial in supporting the 2 GHz of
should have access to 100 MHz of contiguous
mid-band spectrum required, on average, by 2030.
spectrum in this band.
• 6 GHz capacity will be required to meet increasing
Meeting long-term mid-band spectrum demand
customer demand at the required speeds of ITU
requires forward planning from policymakers. GSMA
IMT-2020.
analysis shows that a total of 2 GHz of mid-band
spectrum, on average, will be required to support the • Mobile networks are already highly densified, but
growth of 5G during the 2025–2030 time frame. 31 5G 6 GHz can enable the growth of sustainable 5G
growth in Sub-Saharan Africa is expected to develop capacity on existing sites.
rapidly in the second half of the decade and continue
• Timely availability of 6 GHz, at reasonable
into the 2030s. The economic impact of mid-band
conditions and price, will drive cost-efficient
5G in the region will be around 0.4% of GDP in 2030,
network deployment, help lower the broadband
while the overall GDP impact of mid-band 5G in Sub-
usage gap and support digital inclusion.
Saharan Africa in 2030 will be $13 billion. 32
The 6 GHz band is already supported by the African
Telecommunications Union (ATU) in the run-up to
WRC-23. Discussions regarding the band’s future
need to focus on maximising speeds and increased
service adoption.

WRC-23: mobile spectrum for Africa’s future

WRC-23, held under the auspices of the ITU, is Access to more low-band spectrum (470–694
an opportunity to increase digital equality, widen MHz) is on the WRC-23 agenda for countries in
harmonisation and provide a clear roadmap to Europe, the Middle East and Africa, which can widen
address future spectrum capacity needs. The futures harmonisation of the existing equipment ecosystem.
of low-band and mid-band spectrum are both on the Because of Africa’s high percentage of rural
agenda at WRC-23. populations and vast geography, low bands form
a critical part of the region’s digital future and can
For mid-bands, there is an opportunity to expand
ensure that 5G delivers benefits for all consumers.
the harmonisation of 3.3–3.8 GHz, 4.80–4.99 GHz
and 6 GHz at WRC-23.

31. Vision 2030: Insights for Mid-band Spectrum Needs, GSMA, 2021
32. 5G gets boost in Kenya with successful spectrum assignment, GSMA, 2022
33. 6 GHz in the 5G Era, GSMA, 2022

Policies for safe and inclusive digital development 45 / 46

GSMA Head Office
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