Intelligent CIO Africa Issue 07 | Page 62

INTELLIGENT BRANDS // Mobile Technology the Internet through mobile devices, while the number of registered mobile money accounts has reached 280 million. Mobile operators and others are also leveraging the ubiquity of mobile networks across the region to deliver services that are working towards achieving the UN Sustainable Development Goals (SDGs) in areas such as energy, water and sanitation, healthcare and education. Driving the regional economy and building a digital Africa Mobile technologies and services generated $110 billion of economic value in sub-Saharan Africa in 2016, equivalent to 7.7% of regional GDP3 – a figure expected to grow to $142 billion (8.6% of GDP) by 2020. The mobile ecosystem also directly and indirectly supported approximately 3.5 million jobs in the region last year and made a $13 billion contribution to the public sector in the form of taxation. Local mobile operators have invested $37 billion in their networks over the past five years, mainly to deploy new 3G/4G mobile broadband networks. About a third of mobile connections in the region were running on mobile broadband networks at the end of last year, forecast to rise to 60% by MOBILE ECONOMY SUB-SAHARAN AFRICA 2016 420 million 535 million 6.2% CAGR 2016–20 2020 43% PENETRATION RATE 50% 2016 731 million 6.6% CAGR 2016–20 2020 2020. These new networks – alongside rising smartphone adoption – are driving demand for digital content and services. “As sub-Saharan Africa transitions to higher levels of mobile engagement, underpinned by growing access to mobile data services and smart devices, we are seeing a flourishing mobile ecosystem emerge, supported by growing investments by operators and others in mobile-focused start-ups and tech hubs,” added Granryd. “Building this digital society requires collaboration between governments and the mobile industry to develop the policies and programmes that create the right incentives for innovation and an enabling environment for extending connectivity to all.” n Mobile contributing to economic and social development across Sub-Saharan Africa SIM connections Unique mobile subscribers “Subscriber growth is expected to be concentrated in large, underpenetrated markets such as the Democratic Republic of Congo (DRC), Ethiopia, Nigeria and Tanzania.” Mobile industry contribution to GDP 85% ACCELERATING MOVES TO MOBILE BROADBAND NETWORKS AND SMARTPHONE ADOPTION Mobile data traffic to grow by a CAGR of 60% 498m 66% by 2020 Data growth driving revenues and operator investments smartphones, growth of 300 million from the end of 2016 over the period 2016–2020 Public funding $40 billion $43 billion 1.8% CAGR 2016–20 2020 Operator CAPEX of up to $31 billion for the period 2017–20 2016 2020 38% FINANCIAL INCLUSION Delivering financial inclusion to the unbanked populations. As of December 2016 there were 140 live mobile money services in 39 countries INNOVATION Delivering innovative new services and apps. Number of M2M connections to reach $110bn 2020 $142bn 2016 7.7% GDP 8.6% GDP Employment Mobile ecosystem contribution to public funding (before regulatory and spectrum fees) Operator total revenues 2016 MOBILE INTERNET PENETRATION 26% PENETRATION RATE* 942 million By 2020, there will be Delivering digital inclusion to the still unconnected populations. 26 million by 2020 74% *Excluding M2M Mobile broadband connections to increase from 33% of total in 2016 to DIGITAL INCLUSION 2016 2020 $13.0bn $15.4bn Jobs directly supported by the mobile ecosystem 2016 2020 1.1 million 1.3 million Plus an additional 2.8 million indirect jobs supported in 2020 Infographic courtesy of GSMA 62 INTELLIGENTCIO www.intelligentcio.com