Infrastructure will shape African internet trends

Outlook

Internet usage across Africa expanded by 20% last year, the fastest rate of any world region. New undersea cables delivering high-speed data have also seen bandwidth more than double since 2015, improving connection speeds and driving down costs.

However, despite rapid growth, overall internet penetration levels (34%) remain the world’s lowest, centred largely on more developed economies, urban centres and open societies. Onshore infrastructure constraints keep usage costs high and rural penetration low.

Underdeveloped infrastructure also means a dependence on mobile internet access far above global averages, and below average data usage. While mobile technologies may therefore have huge utility, African markets may resist global trends towards high-data graphics-rich content.

Impacts

• The huge success of mobile money systems may increase receptivity to internet-based platforms suited to local contexts.
• Countries like Kenya, Nigeria and South Africa that have invested in skills and infrastructure will dominate tech venture capital growth.
• Africa’s relatively underdeveloped internet sphere will be highly exposed to cyber-security risks.
• Governments may seek new ways to exert control over social media as political dissent moves to the virtual realm.