• SIP
Broadband & Mobile Featured Article
June 25, 2007
Cell Phone Use in Africa on the Rise as Mobile Carriers Return
By Narayan Bhat TMCnet Contributing Editor
Global telecoms carriers who shunned Africa in the 1990s are today back on the continent and vying among themselves to get their cut in the fast growing wireless market.
But the arrival of a number of players has created more problems and prides alike.
“From banking to education and even organized crime, mobile phones are revolutionizing the lives of ordinary Africans,” reports Reuters.
Stronger economic growth and the success of pioneer firms, such as South Africa's MTN, seem to have contributed greatly to luring more number of foreign companies into Africa.
Two years ago, Africa had 100 million consumers using mobile phones, but today that figure has doubled.
In the mid 90’s, there were more phones in New York City than the whole of Africa. But if the growth curve in mobile devices in Africa continues, it is likely to surpass the US in the number of mobile consumers. Analysts predict the figures may nearly double again over the next five years as Middle Eastern operators, like Celtel, battle European players such as France's Orange for a share in the market.
A few years ago, it was believed that mobile services were a luxury for the poor, who make up most of the population in Africa. But now millions of people are being added to the lengthy list of cell phone consumers.
African farmers once faced long journeys, braving potholed roads and bandits, to check export prices for their goods. Now they just phone the port to ensure they get a fair price, says the Reuters report.
More than anything else, analysts say, the availability of mobile services and devices has really increased productivity in Africa.
For people working in the informal sector, mobile phones allow them to stay in touch with each other and thereby organize work smoothly.
Cell phones are also helpful to foreign travelers in a continent where conflicts are commonplace and roads are potholed. Currently, mobiles outnumber fixed line phones in Africa by more than 10 to one.
Just like India, a majority of population live in countryside in Africa. But in Africa, rural areas cannot be penetrated as easily.
Many observers hope mobiles can help achieve the United Nations' objectives to halve poverty and achieve universal education by 2015 under its Millennium Development Goals (MDGs).
But along with mobile phones have come opportunities for crime. Africa’s organized crime syndicates are today switching from drug trafficking to telecoms fraud. Newspapers across the continent are reporting on telephone scams. The stories talk about gangs that steal mobiles and then sell calls for cash, or hijack lorries carrying charge cards.
Fraud is naturally on the upswing because new technologies provide greater opportunities. Mafias may also penetrate the database of phone companies and remove users from billing lists so they make free calls, suspects Reuters.
So every silver cloud can have a dark lining ...
---------
Narayan Bhat is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
But the arrival of a number of players has created more problems and prides alike.
“From banking to education and even organized crime, mobile phones are revolutionizing the lives of ordinary Africans,” reports Reuters.
Stronger economic growth and the success of pioneer firms, such as South Africa's MTN, seem to have contributed greatly to luring more number of foreign companies into Africa.
Two years ago, Africa had 100 million consumers using mobile phones, but today that figure has doubled.
In the mid 90’s, there were more phones in New York City than the whole of Africa. But if the growth curve in mobile devices in Africa continues, it is likely to surpass the US in the number of mobile consumers. Analysts predict the figures may nearly double again over the next five years as Middle Eastern operators, like Celtel, battle European players such as France's Orange for a share in the market.
A few years ago, it was believed that mobile services were a luxury for the poor, who make up most of the population in Africa. But now millions of people are being added to the lengthy list of cell phone consumers.
African farmers once faced long journeys, braving potholed roads and bandits, to check export prices for their goods. Now they just phone the port to ensure they get a fair price, says the Reuters report.
More than anything else, analysts say, the availability of mobile services and devices has really increased productivity in Africa.
For people working in the informal sector, mobile phones allow them to stay in touch with each other and thereby organize work smoothly.
Cell phones are also helpful to foreign travelers in a continent where conflicts are commonplace and roads are potholed. Currently, mobiles outnumber fixed line phones in Africa by more than 10 to one.
Just like India, a majority of population live in countryside in Africa. But in Africa, rural areas cannot be penetrated as easily.
Many observers hope mobiles can help achieve the United Nations' objectives to halve poverty and achieve universal education by 2015 under its Millennium Development Goals (MDGs).
But along with mobile phones have come opportunities for crime. Africa’s organized crime syndicates are today switching from drug trafficking to telecoms fraud. Newspapers across the continent are reporting on telephone scams. The stories talk about gangs that steal mobiles and then sell calls for cash, or hijack lorries carrying charge cards.
Fraud is naturally on the upswing because new technologies provide greater opportunities. Mafias may also penetrate the database of phone companies and remove users from billing lists so they make free calls, suspects Reuters.
So every silver cloud can have a dark lining ...
---------
Narayan Bhat is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
