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Digitisation develops, not disrupts in Africa

Regina Pazvakavambwa
By Regina Pazvakavambwa, ITWeb portals journalist.
Johannesburg, 08 Dec 2016
Africa's rapid urbanisation represents an immense opportunity for the extension of ICT and improvement of digital maturity, says Siemens' Sabine Dall'Omo.
Africa's rapid urbanisation represents an immense opportunity for the extension of ICT and improvement of digital maturity, says Siemens' Sabine Dall'Omo.

In an African context, disruptive technology drives development rather than disruption and true innovation comes from necessity.

This is according to a study released yesterday in Johannesburg by Siemens in partnership with Deloitte Digital: African Digitalisation Maturity Report. The study aims to better determine a digitalisation benchmark in Africa by looking at four countries, namely SA, Nigeria, Kenya and Ethiopia, as well as key vertical industries - transport, manufacturing and energy.

According to the report, Africa's emerging state of digitisation provides the necessary environment for its development, but with significant challenges. In a developed economy scenario, exponential technologies are explored to disrupt existing business models and incumbent operators. However, in an African context, disruptive technology can be seen as an opportunity to leapfrog into the best and most advanced technologies, says the report.

"The telecommunications sector is a prime example of where African countries skipped fixed-line infrastructure to adopt wireless technologies. Their developmental agenda was enabled through mass access, and lower upfront infrastructure investments when compared to fixed-line infrastructure."

Organisations in Africa are digitising, although the level of digital maturity is not the same in all countries. Of the four surveyed countries, SA emerges as the nation with the highest potential to realise digital maturity, followed by Kenya, Nigeria and Ethiopia, the study says. "South Africa, with its relatively large and diverse economy and extensive and high quality mobile broadband infrastructure, remains the leader of the four countries in most areas."

Digital in Africa is poised to happen in small isolated areas unless governments drive overarching policies to ensure consistency of standards, the report explains. If the continent is to compete in the digital age, it need to shift its traditional thinking - competing against each other is counter-productive, it adds.

The greatest challenge in digitising Africa lies in integrating all stakeholders to collaborate more effectively, says the report. The collaboration between government, business (local and international), labour and academia has the ability to change mindsets, implement policy and create an environment for knowledge sharing and execution, says the report.

"Africa's rapid urbanisation represents an immense opportunity for the extension of ICT and improvement of digital maturity to help urban hubs such as Johannesburg, Lagos, Nairobi and Addis Ababa cope with the influx of inhabitants, says Sabine Dall'Omo, CEO of Siemens. There is an opportunity for government as well as the private sector to roll out services for digital access and use, exactly as they do with traditional basic services infrastructure."

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