The adoption of 5G technology in Africa is booming, with subscriber numbers predicted to grow 47-fold over the next five years. Excluding North Africa, the forecast paints a dynamic picture of the continent’s digital transformation. According to Ericsson’s Mobility Report 2023, 5G subscriber numbers are expected to soar from 3 million in December of last year to an estimated 140 million by 2028. While this impressive growth marks a quantum leap in Africa’s technology, it hides a relevant detail: the pace of 5G deployment in North Africa has been slow, posing unique challenges and opportunities for the region in its quest for cutting-edge connectivity.
Is North Africa ready for 5G?
Considering North Africa together with the Middle East, the number of 5G subscribers in the region is expected to reach 290 million, accounting for 32% of the total mobile subscribers in the region. Notably, the majority of these subscribers will come from countries with established middle-class markets such as Egypt, Morocco, Algeria and Tunisia.
Taking into account the figures for North Africa and projections for Sub-Saharan Africa, the total number of 5G subscribers across the continent is expected to exceed 120 million. The increase in 5G investments in Africa is attributed to factors such as a sizable young population and high demand for connectivity. Meanwhile, countries such as South Africa, Kenya and Nigeria have been early adopters of 5G, with more than 10 African countries now stepping up efforts to roll out high-speed networks.
To explore this subject, Telecom Review recently hosted a webinar titled “5G Rollout in North Africa”, bringing together industry experts to discuss key points such as adoption rates, coverage potential, spectrum-related opportunities, and some of the challenges in the region. Issam Eid, COO, Telecom Review Africa, moderated the panel, with speakers from GSMA Intelligence, Orange Egypt, Ericsson, and Nokia providing valuable insights. North Africa is 5G ready, but commercialization and spectrum allocation are lagging behind. The discussion focused on 5G testing and trials underway in Egypt, with regulatory approvals in place. The importance of proper spectrum allocation and the impact of 5G on GDP growth, as well as the potential of 5G fixed wireless access to bridge the digital divide were also discussed. Energy efficiency and spectrum allocation strategies for optimal 5G deployment were addressed, highlighting the need for careful planning and monetization. It was recommended that sufficient bandwidth be allocated and a phased approach be adopted to ensure a successful 5G experience.
The GSMA report provides comprehensive insights and data on the progress of 5G deployment in North Africa. Globally, as of June 2023, 238 operators across 94 markets have launched 5G operations. Additionally, 106 operators across 52 markets have also deployed fixed wireless access connections. Notably, 254 operators across 110 markets conducted 750 trials with 5G, with major players such as Nokia and Ericsson playing a key role. The GSMA highlighted the key role that mid-band spectrum ranges (1-7 GHz) will play in driving global 5G deployment. However, North Africa was seen to be lagging behind in 5G commercialization and spectrum allocation compared to other regions on the continent. Nevertheless, North Africa demonstrated its readiness for 5G with high smartphone and 4G adoption rates, along with significant investments in network modernization by operators. The GSMA report highlights the urgent need for spectrum allocations in North Africa and the outlook for commercial 5G services to be available by 2024, which could result in more than 130 million 5G connections in the region by 2030, representing 41% of the total mobile connections in North Africa. Furthermore, 5G deployment is expected to contribute $6.6 billion to the North African economy by 2030.
Switching to 5G
To effectively deploy 5G, countries need to consider the following steps:
- Develop a comprehensive national strategy.
- Fostering an appropriate regulatory environment.
- Assign the appropriate frequency band.
- Encourage private investment.
- Promote public-private partnerships.
- Streamline the approval process for infrastructure deployments.
- Address security concerns through rigorous standards and protocols.
- It will promote local research, development and skills development, and ensure inclusiveness and accessibility across urban and rural areas.
- It will foster an ecosystem of innovative 5G applications and educate the public on its benefits and safety.
- Monitor progress through defined KPIs.
- We collaborate internationally and continue to adapt to evolving technologies and opportunities.
Still, it is worth noting that significant challenges remain for 5G rollout in North Africa, including the relatively high cost of 5G-enabled devices, low digital literacy and uneven network coverage, especially in rural and remote areas, where migration to 4G networks continues to replace the prevalent 2G technology.
The GSMA highlights the key role that spectrum allocations will play in driving robust 5G growth in North Africa. Governments in the region are striving to meet industry targets for mid-band spectrum allocations for 5G. The report provides guidance on how governments and regulators can foster efficient use of spectrum for 5G development. Countries such as Algeria, Egypt, Morocco and Tunisia have started identifying suitable 5G spectrum bands to launch services soon.
Explore the key elements
The report contains key insights on optimizing investments and improving user experience in 5G deployments. Some experts suggest that careful planning is crucial for efficiency and success, with many operators initially favoring non-standalone (NSA) deployments for strategic advantages.
This approach highlights the popularity of NSA deployments due to their network simplicity and the potential to maximize 5G capabilities through experimentation, and points out that investments in NSA are fully compatible with future standalone 5G deployments, ensuring a seamless transition. Additionally, it highlights the growing awareness of 5G among consumers, which is predicted to drive interest and adoption.
Importantly, the report emphasizes that consumers will not experience significant price increases during the transition to 5G, making it a compelling proposition. The report notes the importance of monetization in the 5G environment, a pressing concern for many operators. These insights provide valuable guidance for vendors and operators looking to navigate the complexities of 5G deployments while effectively monetizing their investments and delivering a great user experience.
In anticipation of the growing adoption of 5G in North Africa, it is important to embed sustainable practices into the deployment process. This includes promoting the use of energy-efficient infrastructure, adopting renewable energy sources, and implementing robust e-waste management policies. Additionally, efforts should be made to reduce the carbon footprint associated with 5G operations through innovative technologies and optimized network architectures. Collaboration between stakeholders such as telecom operators, technology providers, and environmental organizations can further advance sustainable efforts. Public awareness campaigns and regulatory support are essential elements, ensuring that 5G deployment in North Africa not only improves connectivity but also has a positive impact on environmental goals and aligns with global efforts towards a greener future.
To roll out 5G in North Africa, it is essential to prioritize digital inclusion to close the technology divide. This includes targeted efforts to ensure that underserved communities, especially in rural and remote areas, have equitable access to 5G technology. Introducing affordable data plans, subsidizing 5G-enabled devices, and establishing community access points can significantly improve accessibility. Investing in digital literacy programs and skill-building workshops will equip individuals with the knowledge and capabilities to harness the full potential of 5G. By prioritizing digital inclusion, North Africa can harness the transformative power of 5G to uplift communities, stimulate economic growth, and foster more inclusive and connected societies.