The mobile market in Sub-Saharan Africa is undergoing a remarkable transformation in the era of technological advancements. According to a recent report titled "The Mobile Economy 2023" by the Global System Operators and Manufacturers Association (GSMA), the region is set to witness a surge in smartphone adoption and the emergence of 5G technology. These developments are expected to drive economic growth and contribute to the region's digital revolution.
By 2030, smartphone adoption in Sub-Saharan Africa is projected to reach an impressive 87%, compared to 51% in 2022. This rapid growth can be attributed to the decreasing prices of smartphones and the increasing number of young individuals who are embracing digital technologies. With a majority of new users being digital natives, smartphones are being utilized for a wide range of activities beyond traditional voice calls and SMS.
The GSMA's findings suggest that Sub-Saharan Africa, along with Asia-Pacific and Latin America, will experience a significant increase in smartphone adoption this year. This growth is fueled by the availability of affordable devices, enabling more people to benefit from the digital age.
Moreover, the report highlights the region's progress in mobile data consumption. By 2028, Sub-Saharan Africa is expected to witness a fourfold increase in average monthly mobile data traffic, reaching 18 gigabytes (GB) per user. This surge will be driven by improved mobile broadband coverage, the affordability of smartphones, and the development of mobile gaming and video streaming markets. However, the region's data consumption still lags behind the global average, which is projected to reach 45 GB per user by 2028.
The GSMA projects that 5G technology will play a significant role in the mobile landscape of Sub-Saharan Africa. By 2030, 5G subscriptions are estimated to reach 213 million, accounting for 16% of all mobile subscriptions. This marks a substantial increase from a mere 1% in 2022. While 4G will remain the primary driver of growth in the Sub-Saharan African mobile market throughout the decade, the share of 5G subscriptions is expected to steadily rise.
Conversely, the report indicates a sharp decline in 2G and 3G subscriptions. By 2030, 4G is projected to account for approximately 47% of mobile subscriptions in the region, compared to 22% in 2022. In contrast, 3G subscriptions are anticipated to decrease from 55% in 2022 to 35% in 2030. Similarly, 2G subscriptions are expected to rapidly decline as operators migrate their customers to 4G and 5G networks, limiting its share to a mere 2% of total subscriptions by the end of the decade.
On a global scale, the report forecasts that the number of unique mobile subscribers worldwide will increase from 5.4 billion in 2022 to 6.3 billion by 2030. Notably, Sub-Saharan Africa and India are projected to account for nearly half of these new subscribers as more mature markets approach saturation. The rise in subscriptions will be primarily driven by young people and rural populations seeking to harness the benefits of mobile technology.
In a broader context, the GSMA anticipates that the mobile sector will contribute approximately 5% of global GDP by 2030, equivalent to $6 trillion in economic value added. This underscores the significant role that mobile technology and associated services will play in driving economic growth and fostering innovation across various industries.
As Sub-Saharan Africa embraces the smartphone revolution and realizes the potential of 5G technology, the region is well-positioned to capitalize on the opportunities presented by the digital era. With smartphone adoption on the rise and mobile data consumption growing steadily, the region can benefit from increased connectivity, improved access to services, and enhanced economic development in the years to come.