Information and Communications Technology (ICT) in Africa

Keep an eye on Africa! Although most ICT levels are nowhere near the industrialized nations’ levels, African nations are quickly catching up with 21st century technology and emerging trends.  Foreign investors (mainly from neighboring Middle Eastern countries) are rallying to the continent to capitalize on business opportunities and the booming markets, especially in North Africa.  Although this report focuses more on West African states but based on extensive research, our assessment is that emerging technologies and trends are going to have a ripple effect throughout the continent.

Although growth levels have been huge and the number of internet users has far exceeded other regions, Africa’s Information and Communication Technology (ICT) penetration rankings in 2009 still fall short behind the rest of the world with very few African countries attaining ICT levels equivalent to global averages. Recent Internet statistics report that Africa has over 67 million users or about 3.9 percent of world users and a 6.8 percent (% population) penetration rate.  Nonetheless, fixed and mobile broadband penetration levels are insignificant.   

African nations face numerous challenges in improving ICT performance levels, including tight government control, monopolized markets, degraded infrastructure, and low international Internet bandwidth.  Additionally, exorbitant costs for ICT and broadband internet services in comparison to income levels make connectivity an unattainable luxury for many users in Africa. The dearth of fixed broadband subscribers and limited service in a number of countries should be carefully evaluated as a transition from satellite services is considered.

At present, West Africa is served mainly by a cable system known as South Atlantic 3 (SAT-3).  Access costs to this system can range as high as $5,000 a month for Internet access that is often not much faster than satellite connections.  However, telecommunications in West Africa should significantly improve with the arrival of new submarine fiber optic cables in 2010 and 2011.  These cables will enable faster and more reliable Internet access for ECOWAS members.

Several projects, including the West African Cable System will enhance this infrastructure in the next two years, significantly increasing available bandwidth to West African nations.  The accessibility of this bandwidth, however, remains a point of discussion as the additional undersea connections are dependent on each nation’s land based infrastructure to reach end users. This places the onus on governments and ISPs to leverage this increased connectivity through improving infrastructure with the result being a reduction in cost and an increase in bandwidth for end users.  With this in mind, as further site surveys and research is conduced, follow up questions should be posed to local government and military organizations as well as to the U.S. Country Teams for their perspectives on how smoothly this connection process will proceed.  If adequate plans are in place, ISP bandwidth may increase and get cheaper over the next couple years.

When considering transition strategies, one must consider the impact of mobile telephony and mobile data services. Looking at mobile telephones, according to the ITU, “the increase in the number of mobile cellular subscriptions over the last five years has defied all predictions and Africa remains the region with the highest mobile growth rate.  By the end of 2008, Africa had 246 million mobile subscriptions and mobile penetration has risen from just five percent in 2003 to well over 30 percent today.”  Africa is leading the global trend in the switch from landline to mobile telephony which explains the mobile cellular market boom and the soaring ratios of mobile cellular subscribers to landline telephones.

With such growth and support, perhaps there are opportunities to piggyback on organic, local initiatives that are developing the mobile sector. In some cases, mobile broadband services should be researched as alternatives to fixed broadband or satellite.