Edson Baraukwa | Africa Guardian
Africa, often hailed as the “mobile continent,” is home to 500 million internet users, primarily accessing the web via mobile networks. With a connectivity rate of around 40%, the continent lags behind the global average of 70%. While expanding mobile coverage remains vital, fibre networks hold the key to bridging Africa’s digital divide and unlocking its economic potential.
The Case for Fibre Networks
Fibre infrastructure offers longevity, lower long-term maintenance costs, and unparalleled bandwidth compared to mobile. Since 2009, Africa’s fibre network has expanded from 278,000 km to over one million km by 2019. South Africa leads this transformation, with 2.16 million fibre connections by September 2023, a notable share of its 8.5 million broadband subscriptions.
Martin Creaner of the World Broadband Association highlights the shift in focus: “After 20 years of prioritizing mobile, we’ve reached its limitations. The next decade must focus on fibre.”
Opportunities and Challenges for Growth
African telcos are poised to benefit from the continent’s untapped fibre potential, with fibre-to-the-home (FTTH) penetration at just 5% compared to the global average of 30%. To close this gap, an estimated $100 billion investment is needed to lay an additional 500,000 km of fibre by 2030.
South Africa exemplifies progress, with Telkom leveraging cost-efficient rollout methods, including aerial and trenched infrastructure, to reduce fibre build costs by 30-40%. Its Openserve division boasts a 49.7% home connection rate, including 12% penetration in townships. Such innovations highlight the scalability of fibre across diverse markets.
Key Strategies for Expansion
- Cost Optimization and Innovation
Fibre rollout costs vary by property density, size, and connectivity rates. Telkom’s streamlined network design and reduced equipment costs offer a blueprint for efficient expansion. Combining fibre with fixed wireless access solutions can further reduce costs and reach underserved areas. - Avoiding Overbuild and Promoting Collaboration
Overbuild—the duplication of infrastructure in a single area—reduces efficiency and returns on investment. Lessons from countries like Sweden and Canada emphasize the importance of regulation, open-access networks, and operator collaboration to mitigate this challenge. - Local Manufacturing and Investment
Encouraging global fibre manufacturers to establish local plants, akin to Africa’s automotive industry incentives, can retain more investment within the continent. - Flexible Pricing Models
Prepaid or “pay-as-you-go” fibre bundles, inspired by Africa’s successful prepaid mobile and electricity services, make broadband more accessible and affordable for consumers. - Showcasing Fibre’s Benefits
Demonstrating fibre’s impact through initiatives like video-enabled digital education can drive adoption. Studies in South Africa show a 2.2% higher likelihood of employment for individuals living near fibre networks. Similarly, in Kenya, fibre access has been linked to a rise in skilled job opportunities.
Unlocking Investment Potential
Despite the high cost, financial institutions and development agencies are increasingly willing to fund fibre projects with strong business cases. Organizations such as the African Finance Corporation and Standard Bank are actively supporting infrastructure development.
A Path to Economic Transformation
Achieving universal broadband access in Africa by 2030 is a daunting challenge, but the economic and social rewards are immense. Fibre connectivity not only drives GDP growth but also improves job quality and digital inclusion. For Africa, closing the fibre gap represents both a transformative opportunity and a critical step toward a more connected future.
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