[July 26, 2016] |
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Number of Unique Mobile Subscribers in Africa Surpasses Half a Billion, Finds New GSMA Study
More than half a billion people across Africa are now subscribed to
mobile services as the continent continues to migrate rapidly to mobile
broadband networks, reveals a new GSMA (News - Alert) study. 'The Mobile Economy:
Africa 2016' was published today at the GSMA Mobile 360 - Africa
event being held in Dar es Salaam, Tanzania, 26 - 28 July. The report
also highlights the increasing contribution of Africa's mobile industry
to the regional economy, including employment and public funding, and
mobile's role as a platform for digital and financial inclusion.
"More than half a billion people across Africa are now subscribed to a
mobile network, providing them not just with connectivity but a gateway
to a range of other essential services in areas such as digital
identity, healthcare and financial services," said Mats Granryd,
Director General, GSMA. "The rapid move to mobile broadband networks is
also unlocking new opportunities for consumers, businesses and
governments, growing an ecosystem that last year added more than $150
billion in value to Africa's economy."
Network Investments and Smartphones Driving Mobile Broadband Adoption
The report finds that there were 557 million unique mobile subscribers1
across Africa at the end of 2015, equivalent to 46 per cent of the
continent's population, making Africa the second-largest - but least
penetrated - mobile market in the world. Africa's three largest markets
- Egypt, Nigeria and South Africa - together accounted for around a
third of the total subscriber base. The number of unique mobile
subscribers is forecast to reach 725 million by 2020, accounting for 54
per cent of the expected population by this point.
African mobile subscribers are rapidly migrating to mobile broadband
networks and services, a result of ongoing network rollouts and the
increasing availability of affordable mobile broadband devices and
tariffs. Mobile broadband (3G/4G) accounted for just over a quarter of
total connections2 at the end of 2015, but is expected to
account for almost two-thirds by 2020. By mid-2016, there were 72 live
4G networks in 32 countries across Africa, half of which have launched
in the last two years. Meanwhile, the number of smartphone connections3
in Africa is forecast to more than triple over the next five years,
rising from 226 million in 2015 to 720 million by 2020.
Mobile's Contribution to African GDP, Jobs and Public Funding to
Increase
The use of mobile technologies and services across Africa generated $153
billion in economic value last year, equivalent to 6.7 per cent of the
region's GDP4. This contribution is expected to increase to
214 billion by 2020 (7.6 per cent of expected GDP) as countries in
Africa continue to benefit from the improvements in productivity and
efficiency brought about by increased take-up of mobile services.
Africa's mobile ecosystem also supported 3.8 million jobs in 2015 and
made a $17 billion contribution to the public sector via general
taxation. The number of jobs supported is forecast to rise to 4.5
million by 2020, while the tax contribution is expected to increase to
$20.5 billion.
The report also explains how mobile is powering innovation and
entrepreneurship across Africa. It notes that there are now
approximately 310 active tech hubs across the region, including 180
accelerators or incubators. Mobile operators are supporting this
ecosystem by opening up APIs to third-party developers in areas such as
messaging, billing, location and mobile money, which has allowed
start-ups to scale quickly.
Mobile technology is also playing a central role in addressing many of
the social challenges in Africa, including the ability to provide
citizens with official identities, tackling the 'digital divide' by
enabling access to the mobile internet, and delivering financial
inclusion via mobile money services. The number of mobile subscribers in
Africa that access the mobile internet has tripled in the last five
years, reaching 300 million by 2015, equivalent to a quarter of the
African population. An additional 250 million subscribers are expected
to become mobile internet users by 2020, bringing the total to 550
million (41 per cent of expected population).
"The positive transformational impact of mobile is being felt more
profoundly in Africa than anywhere else in the world; Africa's mobile
industry is at the forefront of helping to deliver the United Nations'
Sustainable Development Goals5," added Granryd. "We are
focused on creating a better future for citizens and businesses across
Africa, providing access to essential information and services, improved
employment and economic opportunities, and greater productivity and
competitiveness."
The new report 'The Mobile Economy: Africa 2016' is authored by GSMA
Intelligence, the research arm of the GSMA. To access the full report
and related infographics, please visit: http://www.gsma.com/mobileeconomy/africa/.
-ENDS-
About the GSMA
The GSMA represents the interests of mobile operators worldwide, uniting
nearly 800 operators with almost 300 companies in the broader mobile
ecosystem, including handset and device makers, software companies,
equipment providers and internet companies, as well as organisations in
adjacent industry sectors. The GSMA also produces industry-leading
events such as Mobile World Congress (News - Alert), Mobile World Congress Shanghai and
the Mobile 360 Series conferences.
For more information, please visit the GSMA corporate website at www.gsma.com.
Follow the GSMA on Twitter (News - Alert): @GSMA.
1 A unique mobile subscriber represents an individual that
can account for multiple mobile connections (SIM cards)
2 A mobile connection refers to an active SIM card registered
with a mobile network, including M2M connections. The total number of
mobile connections in Africa reached 965 million in 2015 and is forecast
to rise to 1.3 billion by 2020
3 A smartphone connection is defined as a SIM card registered
and used in a smartphone device at the end of the period. It does not
represent the number of smartphone devices sold or shipped.
4 GDP total includes contribution from mobile operators
(1.7%); related industries such as devices and infrastructure players
(0.4%); indirect impact (0.6%); and productivity impact (4.1%)
5 In September 2015, the UN introduced a set of 17
Sustainable Development Goals (SDGs) as part of the 2030 Agenda for
Sustainable Development. The 17-point plan aims to end poverty, combat
climate change and fight injustice and inequality. The GSMA is
supporting the SDGs as part of its #betterfuture campaign. http://www.gsma.com/betterfuture/
View source version on businesswire.com: http://www.businesswire.com/news/home/20160725005396/en/
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