The cost of mobile handsets is the biggest barrier to broadening internet access in Africa, according to a new report seen by Semafor.
A basic internet-enabled device typically costs 87% of the average monthly income for the poorest fifth of people in sub-Saharan Africa, the GSMA global industry body for the mobile sector found. Lowering the taxes imposed on handsets would “make a big difference” in cutting costs, Claire Sibthorpe, head of digital inclusion at GSMA, told Semafor. She pointed to South Africa’s recent decision to remove a luxury excise duty on the cheapest handsets as a move that supported digital adoption among poorer people.
The State of Mobile Internet Connectivity report also found that 60% of mobile internet subscribers in Africa use 3G smartphones or feature phones for internet access — the highest percentage worldwide. That compares with 16% globally. Sibthorpe said the slow sunsetting of old technology was “very significant” due to the “huge cost” for telecom companies to maintain 3G, reducing the amount that could be invested in higher speed 4G and 5G networks.
