This archive report was first published on 15 May 2020.
Published on May 15, 2020, a discussion on Mobile Broadband Inclusion highlighted the issue of smartphone pricing as a major obstacle to internet adoption in Africa.
According to GSMA Head of Sub-Saharan Africa, Akinwale Goodluck, consumers across the continent desire access to quality smartphones with speedy internet connectivity, but affordability remains a significant challenge.
Goodluck emphasized the need for governments to play a crucial role in addressing the issue, particularly through tax policies.
"There are a lot of initiatives going on as different stakeholders are trying to sell a $50 smartphone and some places more aggressive, a $20 smartphone. Governments have a big role to play, especially with tax policies," he said.
Reducing taxation on smartphones is a straightforward approach to making them more affordable, but other strategies can also help reduce the cost of smartphones for low-income citizens.
One such strategy involves governments getting involved in parts of the value chain, including marketing, distribution, and retail, which can reduce costs directly incurred by smartphone makers.
As the COVID-19 pandemic continues, Goodluck stressed the importance of digital connectivity, stating that it is essential to "get a smartphone into everybody's hands."
In Kenya, mobile network Safaricom, in collaboration with Google and Teleone, is rolling out a finance program to enable low-income earners to purchase 4G phones at a lower cost.
The program allows Kenyans to pay as little as Kshs 20 a day to afford 4G smartphones, which is expected to result in 1 million Kenyans accessing the internet.
