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Smart data will dominate mobile SA

A recent Cisco report has revealed that the worldwide shift from feature phones to smartphones, a revival in laptops with tablet-like capabilities, as well as expanding machine-to-machine applications are key factors supporting the increasing smart traffic trend.

According to the latest annual update of the Cisco Visual Networking Index Global Mobile Data Traffic Forecast for 2014 to 2019, the ongoing adoption of more powerful mobile devices and machine-to-machine (M2M) connections combined with broader access to faster cellular networks are key contributors to significant mobile traffic growth. In 2014, 82% of South African mobile data traffic was “smart” traffic, with advanced computing/multi-media capabilities and a minimum of 3G connectivity, but that figure is expected to rise to 98% by 2019.

The worldwide shift from basic-feature phones to smartphones – combined with the continued growth in tablets, a resurgence in laptops with tablet-like capabilities, as well as expanding machine-to-machine (M2M) applications – are key factors supporting the increasing smart traffic trend.

“The remarkable uptake and adoption of mobile devices will be a key contributor to the country’s transformation, impacting industries like education, healthcare and government services therefore reaching all aspects of the society. The ongoing adoption of more powerful mobile devices and wider deployments of emerging M2M applications, combined with broader access to faster wireless networks is not limited to South Africa but across Africa as a whole. The findings of Cisco’s Mobile VNI 2015 comes as no surprise given the phenomenal growth of mobile traffic. This mobile-friendly environment will give service providers in South Africa a new landscape of challenges and opportunities to innovatively deliver a variety of mobile services and experiences to consumers and business users as the Internet of Everything (IoE) continues to take shape,” says Vernon Thaver, Chief Technology Officer, Cisco Systems South Africa

Key Highlights from South Africa

In South Africa, mobile data traffic is expected to grow 11-fold from 2014 to 2019, a compound annual growth rate (CAGR) of 63% – two times faster than expected fixed IP traffic growth. This will be driven by the projected 48.2 million mobile users (88% of the population) by 2019, up from 43.4 million in 2014.

·         Data explosion: South African mobile data traffic will grow 2 times faster than fixed IP traffic from 2014 to 2019, and will account for 32% of South African fixed and mobile data traffic by 2019, up from 13% in 2014.

·         Smarter connections: In South Africa, 62% of mobile connections will be ‘smart’ connections by 2019, up from 21% in 2014.

·         Smarter traffic: In South Africa, 98% of mobile data traffic will be ‘smart’ traffic by 2019, up from 82% in 2014.

·         More traffic: Mobile traffic per South African user will reach 7,217 megabytes per month by 2019, up from 710 megabytes per month in 2014, a CAGR of 57%.

 

 Key Mobile Data Traffic Drivers in South Africa

From 2014 to 2019, Cisco anticipates that South African mobile traffic will grow at 63% CAGR. Trends driving mobile data traffic growth include:

·         More mobile users: By 2019, there will be 48.2 Million mobile users (up from 43.4 Million in 2014), a CAGR of 2.1%. The number of mobile-connected devices will grow at a compound annual growth rate of 6% from 2014 to 2019. In 2014 there were 43.4 Million mobile users, nearly 82% of South Africa’s population, up 5% from 41.2 Million in 2013.

·         More mobile connections: By 2019, there will be approximately 112 million mobile-connected devices. In 2014, 6.9 million smartphones were added to the mobile network and there were 84 million mobile-connected devices in 2014.

·         Faster mobile speeds: The average mobile connection speed will grow 2.1-fold (16% CAGR) from 2014 to 2019, reaching 3,639 kbps by 2019.

·         More mobile video: By 2019, mobile video will represent 71% of South African mobile data traffic (compared to 51% at the end of 2014).

Impact of Mobile M2M Connections (and Wearable Devices) in South Africa

M2M refers to applications that enable wireless systems to communicate with similar devices to support global positioning satellite (GPS) navigation systems, asset tracking, utility meters, security and surveillance video. Wearable devices are included as a sub-segment of the M2M connections category to help project the growth trajectory of the Internet of Everything (IoE).

·         In South Africa the number of wearable devices will reach 2.4 million in number by 2019, up from 0.6 million in 2014, at 30% CAGR.

·         In South Africa, traffic from wearable devices is expected to fuel 20-fold growth in mobile traffic from wearable devices between 2014 and 2019.

·         In South Africa the average wearable device will generate 391 megabytes of mobile data traffic per month by 2019, up from 73 megabytes per month in 2014.

 

Growth of Mobile Cloud Traffic in South Africa

Cloud applications and services such as Netflix, YouTube, Pandora, and Spotify allow mobile users to overcome the memory capacity and processing power limitations of mobile devices.

·         In South Africa, mobile cloud traffic will grow 12.7-fold from 2014 to 2019 at 66% CAGR.

·         Cloud applications will account for 89% of total mobile data traffic by 2019, compared to 80% at the end of 2014.

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Mobile is the new branch

Standard Bank has launched an account for mobile devices that gives back 500MB of data a month

Standard Bank has introducd a R4.95p/m bank account called MyMo that customers can open on their mobile devices, loaded with data and airtime offerings and other benefits such as virtual and Gold physical card.

MyMo account holders will also enjoy the convenience of a cheque account through a Visa and Mastercard gold card. Once the account is open, users can choose to either receive R50 in airtime or 500MB of data a month, if their card is swiped more than four times a month. A further megabyte of data is loaded on the account for every R20 spent.

“MyMo is an account for everyone, whether you just landed your first job or have been around the block. With no documentation required it only takes a few minutes to open the account,” says Funeka Montjane, Chief Executive for Personal and Business Banking, South Africa, at Standard Bank Group. “For just R4.95 a month customer will be able to enjoy free swipes and ATM withdrawals at only R6.50 for amounts under R 1 000.

“Mobile is the new branch. This account is about bringing the mobile branch into customers hands, it is about convenience and security while banking.”

She says mobile offers low cost transactional banking which integrates people and businesses into the new connected economy, making mobile the new branch ecosystem that will drive and connect Africa’s growth. Physical connections to the economy are rapidly changing to digital where banks have to move from being financial institutions to service organisations.

“In the past people congregated in communities and eventually cities to maximise the advantages of connectivity. Today a simple hand-held device has the potential to open infinite doors, transforming individuals’ access to opportunities, regardless of where they are, and like never before in history. 

“Historically, a bank account represented access to economic citizenship. Today, having a simple device enabling digital access to a modern banking platform is a passport to global connectivity and vast human development potential.”

The bank says it is using technology, and mobile phones in particular, to deliver low-cost transactional channels accessible to all our customers. The evolution in mobile can be seen in transaction options like cash back at the retail checkout till rather than the ATM, free digital banking rather than using a branch, and the ability to transact using digital wallets, even without a bank account.

“Developing comprehensive connected ecosystems requires a mind-set change from Africa’s banks,” says Montjane. “Banks will evolve away from traditional financial service organisations, into service ecosystems enabling broad universal access to almost everything like enhanced purchasing experiences of vehicles and homes, online procurement of goods and services and lifestyle elements like rewards and travel. 

“These connectivity drivers will also act to future-proof evolving connectivity ecosystem by allowing us to offer untold future services while deriving income from as yet unrealised revenue streams,.   

From a customer perspective, the kind of ecosystems of knowledge, access and, ultimately, connectivity that banks will come to provide will radically transform the share of life that almost all individuals will be able to access.”

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Two-thirds of SA staff hide social media from bosses

With 90% of people in employment going online several times a day, it can be hard for most workers to keep their private and work-life separate during the working day (and beyond). The recently published Global Privacy Report from Kaspersky Lab reveals that 64% of South African consumers choose to hide social media activity from their boss. This secretive stance at work also extends to their colleagues, with 60% of South Africans also preferring not to reveal online activities to their co-workers.

Globally, the average employee spends an astonishing 13 years and two months at work during their lifetime. Interestingly though, not all this time is directly related to solving work tasks or earning a promotion: almost two thirds (64%) of consumers admit visiting non-work-related websites every day from their desk.

Not surprisingly, 35% of South African employees are against their employer knowing which websites they visit. However, more interestingly, 60% of South African are even against their colleagues knowing about their online activities. This probably means that colleagues constitute an even greater threat to future perspectives of an office slouch or maybe the relationships with colleagues are more informal and therefore, more valuable.

On the contrary, social media activity appears to be a less private domain for many and therefore, more suitable for sharing with colleagues but not the boss. This is probably because workers fear harming the public image of a company or interest in decreased staff productivity motivates companies to monitor employees’ social networks and make career changing decisions based on that. Such policies have led to 64% of South Africans saying that they don’t want to reveal their social media activities to their boss and 53% even don’t want to disclose this information to their colleagues.

A further 29% are against showing the content of their messages and emails to their employer. In addition, 3% even said that their career was irrevocably damaged as a consequence of their personal information being leaked. Thus, people are worried about how to build a favourable internal reputation and how not to destroy existing workplace relationships.

“As going online is an integral part of our life nowadays, lines continue to blur between our digital existence at work and at home. And that’s neither good nor bad. That’s how we live in the digital age. Just keep remembering that as an employee you need to be increasingly cautious of what exactly you post on social media feeds or what websites you prefer using at work. One misconceived action on the internet could have an irrevocable long-term impact on even the most ambitious worker’s ability to climb the career ladder of their choice in the future,” comments Marina Titova, Head of Consumer Product Marketing at Kaspersky Lab.

To ensure workers don’t fall prey of the internet threats at a work, there are some core guidelines to adhere to in the digital age:

  • Don’t post anything that could be considered defamatory, obscene, proprietary or libellous. If in doubt, don’t post.
  • Be aware that system administrators may at least, in theory, be informed about your web browsing patterns.
  • Don’t harass, threaten, discriminate or disparage against any colleague, partner, competitor or customer. Neither on social networks or in messages, emails, nor by any other means.
  • Don’t post photographs of other employees, customers, vendors, suppliers or company products without prior written permission.
  • Start using Kaspersky Password Manager to ensure your social media and other personal accounts are not at risk of unauthorised access by someone else in an office. Install a reliable security solution such as Kaspersky Security Cloud to protect your personal devices.

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