Bridging the Digital Divide: Advancing Inclusion in Africa with Affordable Devices (Carnegie Endowment for International Peace)

6 Dec 2023 14:00h - 15:00h UTC

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Full session report

Angela Wamola

The age of digital transformation necessitates the presence of crucial building blocks such as connectivity and computing power. However, Africa faces challenges in this regard. Low levels of smartphone adoption in the continent are impeding inclusive growth and sustainable development. Currently, smartphone adoption rates in Africa are significantly lower compared to other parts of the world, with only 25% of the African population having access to mobile internet. This limitation restricts the ability of Africans to take advantage of emerging technologies like AI and blockchains, which rely on devices with computing power.

In addition, a significant mobile internet usage gap exists in Africa, with only 17% of mobile internet users in the continent having access to smartphones. It is estimated that closing this gap could take anywhere from 35 to 70 years. This time frame highlights the significant effort required to bridge the digital divide in Africa.

Furthermore, Africa lags behind the rest of the world in terms of technology adoption. While the global trend is shifting towards shutting down 3G networks in favor of 4G, around 70% of Africans still use 3G devices. This stark contrast underscores the technology divide present in the continent.

The telecom sector has played a vital role in building connectivity and stimulating demand for services in Africa. However, this has also posed challenges, with delays in return on investment hindering progress. This highlights the need for robust investment in the sector to ensure the development and expansion of infrastructure.

The youth population in Africa, which constitutes the majority, are digital natives with specific device preferences. They demand devices with larger storage capacity (64 GB and above) to accommodate multiple applications. Catering to the needs of this demographic is crucial for driving digital innovation and development.

When it comes to manufacturing, a delicate balance needs to be struck between affordability and demand satisfaction. Survey results indicate that the youth in Africa require devices that are fit-for-purpose, rather than simply cheap alternatives. Despite efforts to launch low-cost smart feature phones, these initiatives have proved unsuccessful, with such devices remaining unused on shelves.

To prevent Africa from being left behind in the next decade, urgent action is needed. Efforts to close the technological gap and increase the availability of devices for the population must be accelerated. Adopting innovative and collaborative approaches will be essential in driving progress and achieving developmental goals.

The African Union’s future development plan and the concept of co-creation by Africans for Africa’s development are positively reinforced. These initiatives highlight the importance of self-reliance and Africans taking ownership of their own development.

In conclusion, Africa faces several challenges in the digital age. Low levels of smartphone adoption, the existence of a significant technology divide, and the need to balance affordability and demand satisfaction pose obstacles to inclusive growth and sustainable development. However, by prioritising connectivity, investing in infrastructure, and adopting innovative approaches, Africa can bridge these gaps and ensure its development in the digital era.

AFCFTA member

The African Union and the African Continental Free Trade Area (AFCFTA) are collaborating to enhance digital trade in Africa, supporting the continent’s economy. Digital trade is considered essential for the future of Africa’s economy, and this collaboration aims to leverage digital technologies to drive job creation, overcome geographical barriers, and stimulate business opportunities. The initiative includes increasing access to affordable digital devices, essential for individuals to participate fully in the digital economy. The AFCFTA’s digital trade protocol incorporates aspects of digital inclusion, focusing on providing affordable devices for transacting business, accessing educational resources, and contributing to economic growth. The initiative also emphasizes developing indigenous value chains and intra-African cooperation in manufacturing, leveraging the unique strengths of African countries to create wholly African products. It aims to empower women and youth entrepreneurs by enabling them to utilize affordable digital devices to establish a digital presence and conduct cross-border transactions. Collaboration and constant communication between countries, governments, and small businesses are essential for successful digital trade implementation. The African Union and AFCFTA are working on the digital trade protocol and establishing regulatory frameworks at the continental and regional levels, collaborating with regional economic communities and national governments. Digital trade is essential for Africa’s future economy, and the collaborative efforts of the African Union and AFCFTA are crucial for its successful implementation. Accessible and affordable digital devices are integral to ensuring full participation in the digital economy, particularly for women and youth entrepreneurs. By embracing digital technologies and fostering intra-African cooperation, Africa can establish sustainable indigenous value chains and drive economic growth.

John Tanui

Kenya is placing a strong emphasis on enhancing connectivity as part of its transformation agenda. The country is prioritising the development of its digital superhighway and creative economy, recognising their potential for driving economic growth and innovation. Kenya has already achieved significant progress in expanding connectivity and diversity.

In terms of connectivity, Kenya boasts an extensive network of terrestrial and submarine cables. It has six submarine cables, with the latest having greater capacity than all the existing ones combined. Additionally, the country has over 55,000 kilometres of terrestrial fibre optic cables, provided by both the private and public sectors. Furthermore, broadband coverage, including 4G, spans across 98% of the country’s land area. This extensive coverage ensures that a large portion of the population has access to high-speed internet.

Kenya has also made notable advancements in mobile connectivity. The country became one of the first in Africa to launch 5G, showcasing its commitment to staying at the forefront of technological advancements. Currently, there are almost 66 million mobile subscriptions in Kenya, highlighting the widespread use of mobile devices for communication and accessing digital services.

To further enhance digital access, Kenya has plans to add an additional 100,000 kilometres of fibre optic cables. This expansion will help bridge the connectivity gap in underserved areas and improve internet access for more people. Additionally, the country is strategically focusing on manufacturing affordable smart devices locally. Mobile network operators and partners have established an assembly plant in Kenya to support the production of world-class smartphones. This initiative not only aims to increase the availability of affordable devices but also contributes to job creation and facilitates technology transfer within the continent.

The government of Kenya is actively digitising services to enhance accessibility to digital platforms. By the end of 2022, approximately 350 government services were already available online. The aim is to allow citizens to engage with the government through their mobile phones, streamlining processes and increasing convenience. This digital transformation of government services will not only improve efficiency but also empower citizens by providing easier access to important resources and information.

Recognising the importance of affordable internet connectivity and devices, Kenya is working towards providing them in public spaces. Affordable connectivity options are being made available in markets and public spaces, and public Wi-Fi is being installed in marketplaces and broadcast stages. The goal is to have digital hubs – approximately 1,450 – in every ward, ensuring that people have access to digital resources and opportunities.

The initiative to provide affordable smart devices, with a particular emphasis on the youth, is another notable aspect of Kenya’s efforts. Through partnerships with mobile network operators, Kenya has facilitated the availability of affordable smartphones. A package including a $40 smartphone along with an additional $20 for connectivity has been launched, making these devices more accessible to a wider population. This focus on the youth is significant as the average age in Africa is between 19-20, indicating the potential for this youthful population to leverage the digital space for economic and personal growth.

In conclusion, Kenya’s transformation agenda places a high importance on enhancing connectivity and leveraging the digital landscape for economic development. Through the expansion of fibre optic infrastructure, manufacturing affordable smart devices, and digitising government services, Kenya aims to increase digital access and empower its citizens. The initiatives also have the potential to create employment opportunities, facilitate knowledge transfer, and drive economic growth. By ensuring affordable internet connectivity and devices, particularly in public spaces, Kenya is taking steps to bridge the digital divide and enable its population to fully benefit from the advantages of digitisation.

Latiff Cherono

The analysis highlights the importance of local manufacturing and good policies in making affordable devices in Kenya and Africa. It references the success story of India, which has managed to dramatically reduce the cost of smartphones while increasing accessibility through a focus on local manufacturing and appropriate policies. This success serves as a model for Kenya, which has taken positive steps towards incorporating local manufacturers and implementing favourable policies. The speaker expresses optimism about the acceleration of great policies in Kenya, aimed at bringing local manufacturers into the value chain sector and ensuring cost-effective manufacturing.

The analysis also mentions the growth in capacity for building devices in Africa, specifically outside of South Africa and Egypt. Just five years ago, only a small number of countries on the continent were involved in device manufacturing, but in the past two years, there has been a rapid expansion in capacity. This bodes well for the future and demonstrates the potential the continent holds in the field of technology development.

One of the speakers, Latiff Cherono, believes that Africa has the potential to manufacture its own devices. However, he suggests that the focus should be on creating affordable, value-added devices that are tailored to the African context. He emphasizes the need for devices that may not be identical to those used in the USA or Japan, but rather offer relevant features at the right price. Building capacity over time is seen as a crucial part of this journey.

The analysis concludes on an optimistic note, highlighting the panel’s discussions and their shared belief in the future of technological development and capacity growth in Africa. It points out that the key to accelerating this growth lies in implementing the right policies. It suggests that with the right approach, Africa has the potential to become a major player in the global technology market. However, a “spark” in the form of innovation and support is required to ignite this potential.

Overall, the analysis emphasises the significance of local manufacturing, favourable policies, and context-specific solutions in making affordable devices in Kenya and Africa. It also underscores the rapid growth in capacity for device manufacturing in Africa and the need for the right policies to further accelerate this progress. The analysis concludes optimistically, foreseeing a promising future for technological development and capacity growth in Africa, provided the necessary support and policies are in place.

Jane Munga

According to the International Telecommunication Union (ITU), only 37% of Africans have access to the internet, highlighting a significant digital divide across the continent. This finding raises concerns as lack of affordability is identified as a primary barrier to internet access in Africa. The high cost of internet services and devices presents challenges for many individuals and communities in Africa, hindering their ability to connect to the digital world.

Furthermore, a United Nations report predicts that Africa’s population will reach approximately 2.5 billion people by 2050, accounting for around 25% of the world’s population. This projection underscores the increasing importance of addressing the digital divide and ensuring equitable internet access in Africa. It also suggests that the impact of the digital divide in Africa will have global implications.

Amidst these challenges, there is a positive sentiment towards fostering global cooperation and digital transformation through policy dialogues. It is suggested that engaging in policy dialogues between African stakeholders and their counterparts worldwide could pave the way for advancing ideas and partnerships that drive prosperity.

These dialogues hold significant potential for addressing key issues such as affordability, infrastructure development, and improving digital literacy in Africa. By bringing together diverse perspectives and sharing best practices, policymakers can formulate strategies that prioritize accessible and affordable internet connectivity for all Africans. This approach would help bridge the digital divide and promote socio-economic development.

In conclusion, the digital divide in Africa remains a pressing concern, with lack of affordability playing a crucial role in limiting internet access across the continent. However, there is optimism regarding the potential of policy dialogues to foster global partnerships and cooperation towards digital transformation in Africa. By collaborating and finding innovative solutions, stakeholders can work towards overcoming the challenges hindering internet access and ensuring that all Africans can benefit from the opportunities brought about by the digital age.

Cosmas Zavazava

Affordability is identified as a significant obstacle to achieving universal meaningful connectivity. The cost of services and devices proves to be a major challenge, hindering access to the internet for many people. For instance, it is reported that 2.6 billion people still remain offline. Moreover, an entry-level data-only mobile broadband basket costs around 4.5% of the monthly income per capita. Additionally, the average cost of a smartphone in sub-Saharan Africa amounts to approximately 39% of the average monthly income in 2022.

The link between capable devices and internet access is highlighted as crucial for achieving affordable connectivity. Not all mobile phones are capable of accessing the internet, which limits the figures for internet access. Furthermore, some networks in Africa and parts of Asia and the Pacific only have access to 2G technology, further hindering internet access.

The International Telecommunication Union (ITU) is taking steps to address these challenges. ITU organises the Global Symposium for Regulators, which discusses important problems like the cost of digital devices. They also promote innovation and entrepreneurship as key elements to drive affordability, recognising their significance in making devices more accessible to individuals by ensuring effective participation in the digital age. In addition, ITU has initiated discussions on collaborative regulation, emphasising that it is not solely the responsibility of ICT sector regulators to ensure affordability. The entire ecosystem should be involved in promoting affordability. These discussions even touch upon the idea of allowing people to have their devices without being taxed.

To further reinforce affordability, ITU stresses the importance of domestic empowerment and capacity development. They are actively working with universities and have launched a project on acceleration centres for innovation and entrepreneurship. The aim is to avoid import dependency and make devices more affordable. Successful cases like India and China are considered as models to follow.

Encouraging young people to become entrepreneurs is a key strategy emphasised by ITU. They recognise that young people aged 15 to 24 are the most active online users. By fostering entrepreneurship, ITU aims to empower and engage the youth not only as users but as creators and contributors in the digital space.

To bridge the urban-rural digital divide, ITU employs measures such as the Universal Service Fund, which is collected from licensed operators and used to subsidise operators who extend services to rural areas. Additionally, projects like Smart Village and Smart Islands provide communal digital access, proving that not every individual needs to own a device to have digital access.

Space technology, particularly low earth orbit satellites, plays a significant role in providing internet access. The increased prevalence of low earth orbit satellites and competition within the industry have led to reduced costs, making internet access more accessible and affordable.

Nevertheless, cybersecurity issues pose a hindrance to online participation. During the COVID-19 pandemic, many young women and girls fell victim to online harassment, which also resulted in offline harassment. Such incidents deter people from going online and highlight the need for improved cybersecurity measures.

Overall, while ITU’s efforts and various strategies have aimed to address the challenge of affordability and promote universal meaningful connectivity, it is acknowledged that more work needs to be done. Affordability remains a significant challenge for digital access. Government policies are also seen as crucial in stimulating digital demand and providing public services online.

AM

AFCFTA member

Speech speed

171 words per minute

Speech length

927 words

Speech time

325 secs

AW

Angela Wamola

Speech speed

187 words per minute

Speech length

1928 words

Speech time

620 secs

CZ

Cosmas Zavazava

Speech speed

157 words per minute

Speech length

1704 words

Speech time

653 secs

JM

Jane Munga

Speech speed

188 words per minute

Speech length

2305 words

Speech time

737 secs

JT

John Tanui

Speech speed

152 words per minute

Speech length

2580 words

Speech time

1016 secs

LC

Latiff Cherono

Speech speed

186 words per minute

Speech length

832 words

Speech time

268 secs