Mobile subscriptions in Sub-Saharan Africa to exceed 1-billion by 2029
A new report by technology and telecom company Ericsson forecasts that total mobile subscriptions in Sub-Saharan Africa will soon cross the 1-billion mark, driven by increased network coverage across the region and cheaper devices.
Ericsson — whose business includes technology research, network systems and running operations for telecom service providers — says mobile subscriptions in Sub-Saharan Africa will grow at 3% annually from 940-million in 2023 to 1.1-billion in 2029.
SA’s Vodacom and MTN already have about 400-million customers, an indication of their already immense market power.
According to Hossam Kandeel of Ericsson Middle East and Africa, the report found that SubSaharan Africa “is poised to remain the region with the highest growth in total mobile data traffic in the forecast period”.
This growth will be driven by the expansion of 4G network coverage across the continent and the increasing affordability of data and smartphones, he said.
The company’s Mobility Report for 2023 says 5G will be the fastest-growing subscription type between 2023 and 2029 at 60% annually, from 11-million in 2023 to 180-million by the end of 2029, and accounting for 16% of total connections at that time.
Ericsson says the telecom sector in Sub-Saharan Africa remains resilient as connectivity has become a necessity for voice and data communication, as well as for enabling services such as banking. Driving forces behind the growth in the region include a positive economic outlook and forward-thinking regulatory measures for building out network coverage.
But some of this growth may be hampered by issues such as device affordability. Ericsson does, however, expect these prices to fall in time.
A report by international telecom body GSMA recently said a greater rate of internet use and adoption is still held back by smart devices being largely out of reach for most people across Africa, including in SA.
GSMA told Business Day that a range of interventions and reforms need to be put in place to bring prices down and encourage usage.
In a new report detailing the connectivity gap in Africa, GSMA said the continent’s telecom operators have done much to expand their networks, which now cover more people, but much of that infrastructure has yet to be fully used because
Technology Correspondent
GREATER INTERNET USE IS HELD BACK BY SMART DEVICES BEING OUT OF REACH FOR MOST PEOPLE
many cannot afford devices with which to connect to the internet.
“By 2029, 4G subscriptions will account for 49% of the total, as access to lower-priced smartphones and data services increases across the region,” Ericsson says.
2G subscriptions will maintain a significant share of total subscriptions at 27%, mainly due to the region’s largely rural population. Service providers in Sub-Saharan Africa are exploring additional offerings on mobile platforms, such as health, education and e-commerce.