Mobile Phone subscription rate fastest in Africa but slower internet penetration

A new Information Economy Report has revealed that since 2003, mobile phone subscription has grown faster in Africa than in any other region of the world. The report, dubbed, "Trends and Outlook in Turbulent Times", released by the United Nations Conference on Trade and Development (UNCTAD) in Addis Ababa, Ethiopia, on Thursday October 22, 2009 indicated that there were now more than 10 times as many mobile subscriptions as fixed lines in Africa and more than 20 times as many in sub-Saharan Africa.
The report warned that "but most African nations are failing to keep up with global trends in the use of broadband internent, which is critical for meeting many economic and social development". The report noted that the past few years had witnessed a remarkable growth in mobile telecommunications in Africa.
"Between 2003 and 2005, the continent saw the number of mobile subscriptions surge from 54 million to almost 350 million, an increase of 550 per cent. In 2008, Gabon, Seychelles and South Africa boasted almost 100 subscriptions per 100 inhabitants.
"In North Africa the average penetration stood at almost two-thirds of the population, and for Africa as a whole, it was over one-third. Growth is expected to be robust," the reported added.
According to the report, for many small and medium-size enterprises in Africa, the mobile phone had taken the place of the computer as the most important information and communication technology tool with African countries pioneering mobile banking and electronic transaction services. The report, however, revealed that African countries were lagging behind other developing regions in internet use and even more so in broadband connectivity.
"This is partly due to the lack of fixed telecommunications infrastructure. Most other developing regions boast a broadband penetration 10 times higher than Africa's. Moreover, broadband use in Africa is highly concentrated, with five countries - Algeria, Egypt, Morocco, South Africa and Tunisia, accounting for 90 per cent of all broadband subscriptions. It said there was a huge gap in broadband speed and also a broadband price divide which called for urgent attention to address the situation to bring the continent more fully online.
It explained that of the 20 countries with the world's most expensive broadband access fees, 14 were in sub-Saharan Africa and even within Africa the price divide was huge.
The report recommended that measures targeting the rolling out of broadband to areas with low connectivity were required to help alleviate infrastructure bottlenecks.
The report concluded that "an important challenge is to explore new and innovative ways to finance new and more powerful fixed and mobile broadband networks. Making significant progress in Africa will require contributions from national governments, the donor community and the private sector".