mis 605 class presentations mobile internet and telecommunications in africa group1 members 1.simon...

MIS 605 Class presentations

Mobile Internet and Telecommunications in Africa

Group1 Members 1. Simon Wasike

2. John Njau Muriithi

3. Francis Timonah

4. Eliud Murithi

5. Franciscah Waihenya

1Thursday, April 20, 2023 Mobile Internet and Telecommunications in Africa

Content


Telecommunication in Africa

Telecommunication development and coverage in Africa

Telecommunication development and coverage in Africa has grown tremendously since 1999

when only 10 percent of the African population had mobile phone coverage.

In the ITU ICT facts and figures for 2013, Mobile-cellular penetration rates stand at 96% globally;

128% in developed countries; and 89% in developing countries


Telecommunications is the exchange of information over significant distances by electronic means. The medium of signal transmission can be electrical wire or cable , optical fiber or electromagnetic.

Table: Mobile-cellular penetration, 2013

According to Wireless Intelligence, total number for individual mobile subscribers in Africa stood at 356 million in Q4 2012, representing 33% of the continent’s population.

Upgrading communications infrastructure to new generation mobile technology e.g 3G

services were first introduced in South Africa in 2004, and took off in 2007 when

Safaricom introduced the service in Kenya.

In the late 2000s, undersea fiber optic cables were installed on the east and west

coasts of Africa, including EASSy, SEACOM, TEAMs, WACS, and LION. That means

broadband capacity has dramatically increased over time, along with several

infrastructure projects that will be completed in the near term.

The increased broadband capacity combined with privatized markets, falling prices,

and accessible hardware sets the stage for the continued increase of mobile

broadband.


Telecommunication Investments in Africa

In Africa, 16% of people are using the Internet – only half the penetration rate of Asia

and the Pacific.

Access to the internet through a mobile device is known as mobile internet. This allows

consumers to interact, create, and share content on the internet regardless of their

physical location.


Mobile Internet Penetration in Africa

Table2: Mobile-cellular penetration, 2013

However, there is still a long way to go, and the price of internet connectivity remains high; most internet service providers have kept the same prices even though bandwidth capacity has doubled. See on market challenges

Mobile Internet

Mobile operators are becoming serious internet service providers and are rapidly making

internet accessible to the masses.

Mobile data and broadband technologies used as a substitute for poor or nonexistent

fixed-line infrastructure .

Mobile money

This one of the biggest growing trends and it has being a key to Revenue Generation

and economic driver is Africa.

Mobile Web

With internet-enabled phones supporting services such Opera Mini and social media

platforms.


Telecommunication trends in Africa

The Digital Divide

In 2011, out of the world’s population of 7+ billion, only 32% (2.3 billion) are Internet users. In

Africa, out of the 1 billion Africans, only 13% (1.4 million) use the Internet (ITU, 2011). This is

what’s called the digital divide, where poorer regions are less likely to have access to ICTs….

In most Sub-Saharan African countries, most mobile phone users do not yet have access to

GPRS; in Uganda, 10% of the users have access (MTN 2011).

Pricing Pressures

ARPU in Africa has fallen as a consequence of an expanding number of industry players and

growing subscriber recruitment. Price wars have broken out in some markets where a large

number of operators have been licensed.

High Investment Costs

The likelihood of persistent pricing pressure makes investing in African telecommunications is

a high-risk undertaking.

The cost premium of operating in remote geographies with constrained infrastructure. Such

costs include e.g the need to airlift towers.7Thursday, April 20, 2023 Mobile Internet and Telecommunications in Africa

Telecommunication Market Challenges in Africa

Uncertain and Uneven Regulatory Environment

Risks in the weak application of regulations and sound practices, including consistency

and impartiality. In many cases there is an absence of coordination across government

agencies that would benefit network roll-out, coverage, and cost waste reduction. Site

acquisition and permitting typically suffer from such lack of basic coordination between

the telecom regulator, planning agencies, and environmental agencies.

Regulations regarding pricing and service launch frequently prove cumbersome, and

involve unnecessary and lengthy processes that hinder operators’ flexibility in bringing

competitive and innovative propositions to the market

Infrastructure-sharing approaches vary considerably, at best creating additional barriers

that operators must hurdle if they are to gain cost benefits that can be passed to

consumers.


Telecommunication Market Challenges in Africa….

Establish support for telecommunications and ICT at the highest levels of government. This

would ensure visible commitment and support for the sector as a national priority. e.g

Leveraging ICT in economic growth for vision 2030.

Establish an open, independent regulator. Ideally the regulator would have relationships with

and guidance from the ITU and other regional, institutional bodies.

Build investor confidence. Governments can accomplish this by enforcing transparency in

telecommunications and ICT regulation.

Take credible steps to reform national communications entities. This would eliminate

inequitable support for underperforming operators. Governments also could embark on

privatization to encourage investment and trigger sector development.


Actions to drive Africa into the internet age

Africa’s rapid embrace of mobile telecommunications has been one of the more remarkable

growth stories in the sector’s history. Although the cooperation between governments and

operators has largely fuelled that surge, there is no guarantee that such cooperation will

persist. Stakeholders, however, can act quickly and decisively to ensure the climate for

investment is maintained, and that growth continues.

Forward-looking government policy, transparent, open regulatory practice, cross-operator

efficiency, and an increasingly vocal customer base can prove to be the key elements to

smooth the transition to 3G and mobile Internet, bringing the continent successfully into the

next generation.


Conclusion

Thank You

11Thursday, April 20, 2023 DIS 605 : Social-Technical Theory

mis 605 class presentations mobile internet and telecommunications in africa group1 members 1.simon...

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