Saturday , November 9 2024
Bridging Mobile Internet Usage Gap Could Add US$3.5 Trillion to Global Economy by 2030 -GSMA

Bridging Mobile Internet Usage Gap Could Add US$3.5 Trillion to Global Economy by 2030

…as 3.44 Billion Remain Offline
…$418 Billion Investment Required to Close mobile Internet Gap

Despite significant progress in recent years, billions of people worldwide still lack access to the mobile internet.

A new report by the Global System for Mobile Communications Association (GSMA) highlights the urgent need to bridge the digital divide, emphasizing the substantial economic benefits that could be realized by connecting the unconnected.

The State of Mobile Internet Connectivity 2024 report indicated that 3.45 billion people still lacked mobile internet, with device affordability and digital skills gaps among the primary barriers.

The report reveals that 3.44 billion people, or 43% of the global population, remain offline. This digital divide is particularly pronounced in developing regions, where infrastructure limitations, affordability issues, and lack of digital literacy hinder internet access.

Although approximately 160 million people adopted mobile internet for the first time in 2023, the pace was slower than in previous years, when 200 million users were added annually. This uunderscores the challenge of connecting underserved populations.

Sub-Saharan Africa, in particular, faces significant challenges in closing the digital gap. Only 27% of the population in the region is using mobile internet services, leaving a substantial portion of the population disconnected.

The report also revealed that 4.6 billion people are using mobile internet on their own devices, while 350 million people (4% of the population) live in remote areas without mobile networks.

Also Read: Morocco, SA Tops Africa’s Fastest Mobile Internet Speeds

More concerning, however, is that 3.1 billion people (39%) live within the coverage area of mobile networks but do not use the services.

The least connected region globally is sub-Saharan Africa, where only 27% of the population are using mobile internet services, leaving a 13% coverage gap and a 60% usage gap.

The GSMA stated that closing the usage gap (3.1 billion people) would contribute US$3.5 trillion to the global economy between 2023 and 2030, with 90% of this benefiting low and middle-income countries (LMICs).

Affordability remains a significant hurdle, especially in LMICs where mobile devices can consume up to 18 per cent of the average monthly wage. Sub-Saharan Africa is particularly affected, with mobile phones costing nearly 99 per cent of the monthly income of the region’s poorest, according to GSMA.

Furthermore, the report revealed that a $418 billion investment was needed to bridge the divide and achieve universal mobile internet access.

It noted that an estimated 350 million people, or four per cent of the world’s population, live in areas without mobile network coverage.

The GSMA called for coordinated efforts among governments, mobile network operators, and international organisations to overcome those barriers and extend mobile connectivity to remote and underserved regions.

The Chief Regulatory Officer at the GSMA, John Giusti, said, “Despite continued progress in expanding the reach of network infrastructure and increasing mobile internet adoption, significant digital divides remain.

“Collaboration among governments, international organisations, and the mobile industry is essential to addressing barriers such as affordability, digital skills, and awareness of the mobile internet and its benefits. This effort must also focus on investing in local digital ecosystems and ensuring robust online safety frameworks.”

 

About Bukola Olanrewaju

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