ICT AFRICAN CONTEXT
- The Africa continent is primed to continue its momentum in the ICT sector posing the following opportunities:
- Increasing industrialization of the ICT industry,
- Greater fragmentation and differentiation within software,
- Continued growth of the business process off-shoring sector,
- Leveraging open source software adoption, which has lowered barriers to entry for firms
In Africa, Mobile has emerged as the platform of choice for creating, distributing and consuming innovative digital solutions and services in Africa. Many local and global innovators and tech entrepreneurs are now using the expansion of advanced mobile infrastructure in the region and the growing adoption of smart devices to deliver mobile-based solutions that directly appeal to local interests and cultures.
The number of smartphone connections has almost doubled over the last two years to reach 226 million, accounting for a quarter of total connections in the region. This reflects strong uptake in the established mobile markets, such as Egypt, Kenya, Nigeria and South Africa, as well as some relatively new 3G markets.
In 2015, mobile technologies and services generated 6.7% of GDP in Africa, a contribution that amounted to around $150 billion of economic value. In the period to 2020 we expect this to increase to more than $210 billion (7.6% of GDP) as countries benefit from the improvements in productivity and efficiency brought about by increased take-up of mobile services
– The growing connectivity stimulates digitalization and smart solutions are needed to support the development in the East Africa region. According to GSMA Intelligence 2016, Mobile Broadband Connections will increase from 33% in 2016 to 60% by 2020.
– Mobile connectivity is high and growing in East Africa and although internet penetration is low today it is growing at a high pace. There are currently about 420 million unique mobile subscribers in Sub-Sahara Africa with the number expected to grow to about 535million by year 2020 (GSMA Intelligence 2017).
– Solutions presented to the market need to be innovative, developed in or adapted to the local context and they have the potential of making a vast impact on a large number of people.
– Mobile payment is an area where East Africa is in the lead, and a number of other focus areas are presenting innovative solutions and attractive opportunities for global ICT players.