Research released by Vodafone in London this week shows that Africa has witnessed faster growth in mobile subscriptions than any other region in the world over the past five years.
The report, "Africa: The Impact of Mobile Phones", was put together by Vodafone, the Centre for Economic Policy Research and the Department for International Development.
The move followed promptings by Vodacom CEO Alan Knott-Craig, who highlighted the importance of the region`s growth to his company`s international shareholders.
Among the findings of the report, which focused on two areas where Vodacom has played a large role, namely SA and Tanzania, are that income, gender, age, education and even the absence of electricity do not create barriers to mobile access in rural communities.
Some 97% of people surveyed in Tanzania were able to access a mobile phone, compared to 28% who were able to access a landline.
Mobiles are viewed as cost-saving devices in many rural areas, as they reduce the expenses and time involved in travel, despite the cost of the call itself.
A total of 79% of South Africans and 85% of Tanzanians surveyed indicated they had greater contact and improved relations with family and friends as a result of cellular technology.
According to Charlotte Grezo, Vodafone`s director of corporate responsibility, the study was necessary because one cannot apply Western thinking and business models to the developing world.
"We heard lots of anecdotes about how mobiles had improved the situation, but had no hard evidence, so we needed to find out exactly what the people on the ground need and want and what works for them," she says.
Mobile access critical
"A key issue we discovered was that many more people had access to a mobile than actually owned one, and having access is critical, as a mobile effectively gives people an address."
She points out that in SA, it is not unusual to see hand-painted adverts offering the services of painters or repairmen, accompanied only by a cell number.
"This means that there is a point of contact where they can be reached, and effectively turns an unemployed labourer into a self-employed small businessman," she says.
The report shows that more than 85% of small businesses run by black individuals in SA rely solely on a mobile phone as a point of contact, while 62% believe their profits have increased as a result of mobiles, despite increased call costs.
It suggests that mobiles are playing the same role in the developing world as the spread of fixed-line telephony did in the US and Europe in the 70s and 80s.
More importantly, mobile communication networks are also positively linked with inward foreign direct investment.
Speaking at the launch, Vodafone deputy CEO, Sir Julian Horn-Smith, said: "This report shows that business models for mobile communications that are based on accessibility play an important role in developing economies.
"As an operator, the more you learn, the better you get at what you do, therefore we are very excited to see the results of this study and believe this information should become part of the debate on Africa`s future."
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