Mobile services add 140 billion to Nigeria and other SSA economies The Guardian Nigeria News | Techy Kings


• 515 million of people in Africa now subscribe to telephone services
• 3G is starting to fade away as 5G activity gathers momentum

in 2021 mobile technologies and services accounted for about eight percent of gross domestic product (GDP) in Nigeria and other sub-Saharan African countries, and by 2021 the economic added value amounted to almost 140 billion.

The mobile ecosystem has also helped create more than 3.2 million jobs (directly and indirectly) and greatly contributed to the financing of the public sector, while 16 billion USD was collected from sector fees.

in 2022 A report on the mobile economy in sub-Saharan Africa, which revealed this and was released at the weekend by the Global Mobile Telecommunications Association (GSMA), said that by 2025, contribution of mobile communication services will increase by 65 billion USD (up to almost USD 155). billion), as countries in the region increasingly benefit from productivity and efficiency gains brought about by increased use of mobile services.

GSMA announced that in 2021 at the end of SSA, 515 million people ordered mobile communication services. people, making up 46 percent of the population – in 2020 increased by almost 20 million She noted that by 2025 total number of subscribers up to 613 million (50 percent of the region’s population).

In the two most populous countries, Nigeria and Ethiopia, by 2025, according to the Telecommunications Bar Association, almost a third of new subscribers will appear.

She noted that SSA’s demographics, where a large proportion of the population is under 18 years of age, means that subscriber growth will remain brisk for the foreseeable future as young users come of age to subscribe to mobile services.

According to the GSMA, young subscribers are more tech-savvy and willing to use mobile internet services, especially more advanced 4G and, if possible, 5G services. This is one trend to watch given the impact of the development and deployment of high-speed connectivity and digital services in the region.

The GSMA said that 5G-related activities are starting to gain traction across the region. These include 5G spectrum auctions, 5G pilot and commercial trials, and efforts to develop domestic 5G use cases. For example, South Africa’s ICASA 2022 May. completed the 700, 800, 2600 and 3500 MHz frequency spectrum auction; MTN Nigeria has launched a commercial pilot project for its 5G network in 2022. August.; and Vodacom to launch commercial 5G network in 2022 in September.

The GSMA has noted that due to the huge demand for connectivity following the COVID-19 pandemic, interest in the role of 5G in the communications landscape is increasing. She emphasized that while there remains a general consensus that widespread 5G deployment is a more long-term prospect for SSA, there is a strong case for using the technology in some scenarios to meet certain connectivity requirements for individuals and businesses.

The telecommunications authority said that while 3G will remain the dominant communication technology in SSA and by 2025 will account for more than half of all connections, this year marks a turning point as 3G usage begins to decline for the first time. This shows a growing shift to 4G as operators move to migrate customers from legacy networks (2G and 3G). Until 2025 4G will account for a third of mobile connections in the region, up from less than a fifth of connections in 2021.

The GSMA said policymakers could help drive inclusive development across the board. She noted that mobile connectivity can accelerate SSA’s digital transformation and drive socio-economic progress in areas such as healthcare, education, digital commerce, industrial automation and smart city infrastructure.

According to the organization, to realize this potential, policies are needed to support investment in the network and improve the affordability of digital services for consumers.

It says governments and regulators in the region should adopt forward-looking spectrum management and fiscal policies that include: establishing a spectrum plan to ensure there is enough spectrum to meet the growing demand for mobile services in both the short and long term ; ensure access to mid-band spectrum, especially 3.5 GHz, given its importance for the future of 5G; accelerate access to sub-1GHz spectrum to provide broadband mobile broadband services in rural areas and apply best practice charging principles as recommended by international organizations such as the World Bank and the IMF.

The GSMA said the availability of affordable 5G devices will be critical to the rollout of 5G in SSA, stressing that this is particularly relevant as the slow adoption of 4G across the region is largely due to the high cost of devices. compared to the average income level.

Additionally, the report states that smartphone shipment data in the region indicates that demand for 5G-enabled devices is increasing. For example, in 2022 in the second quarter, shipments of 5G-enabled devices grew by 26.9 percent, significantly outpacing overall growth in smartphone shipments to the region.

She noted that growth is driven by a number of factors, including a young and tech-savvy population that loves the latest technology, and increasing competition among phone makers to bring cutting-edge yet affordable models to market.


Source link