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Youth set to drive growth of mobile handsets in Africa

Sub-Saharan Africa’s mobile economy was valued at more than $150 billion in 2018.

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Sub-Saharan Africa will remain the world’s fastest-growing mobile region over the coming years as millions of young African consumers become mobile users for the first time, according to a new GSMA study. It reveals that more than 160 million new unique mobile subscribers[i] will be added across the region by 2025, bringing the total to 623 million, representing around half of the region’s population, up from 456 million (44 per cent) in 2018. Subscriber additions will be concentrated in high-growth markets such as Nigeria and Ethiopia, the report says.

“A new generation of youthful ‘digital natives’ across Sub-Saharan Africa are set to fuel customer growth and drive adoption of new mobile services that are empowering lives and transforming businesses,” said Akinwale Goodluck, Head of Sub-Saharan Africa, GSMA. “With mobile technology at the heart of Sub-Saharan Africa’s digital journey, it is essential for policymakers in the region to implement policies and best practices that ensure sustainable growth in the mobile industry, and enable the transition to next-generation mobile networks.”

The study calculates that the mobile ecosystem across Sub-Saharan Africa generated almost $150 billion in economic value last year – equivalent to 8.6 per cent of the region’s GDP. It is forecast to generate almost $185 billion (9.1 per cent of GDP) by 2023.

The 2019 Sub-Saharan Africa edition of the GSMA’s Mobile Economy report series is being published at the ‘Mobile 360 – Africa’ event being held this week in Kigali, Rwanda. The new report also reveals that:

  • Around 239 million people, equivalent to 23 per cent of the region’s population, use the mobile internet on a regular basis.
  • Smartphones accounted for 39 per cent of mobile connections[ii] in Sub-Saharan Africa in 2018, forecast to increase to two-thirds of connections by 2025.
  • 3G will overtake 2G to become the leading mobile technology in Sub-Saharan Africa this year.
  • 4G will account for almost one in four connections by 2025. However, 4G uptake is being dampened in some markets by the high cost of 4G devices and delays in assigning 4G spectrum.
  • The region’s mobile operators are increasing investment in their networks and are expected to spend $60 billion (capex) on network infrastructure and services between 2018 and 2025 – almost a fifth of this total being invested in new 5G networks.
  • Sub-Saharan Africa’s mobile ecosystem supports around 3.5 million jobs, directly and indirectly, and last year contributed almost $15.6 billion to the funding of the public sector through consumer and operator taxes.

The new report ‘The Mobile Economy, Sub-Saharan Africa 2019’ is authored by GSMA Intelligence, the research arm of the GSMA. To access the full report and related infographics, please visit: https://www.gsma.com/r/mobileeconomy/sub-saharan-africa/

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Project prepares Africa’s youth for the future

A partnership between the African Union and VMware is hoped to give new impetus to preparing Africa’s youth for the future, writes ARTHUR GOLDSTUCK

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VMware’s Everline Wangu Kamau-Migwi and African Union Commissioner Sara Anyang Agbo at VMworld in Barcelona. Pic by Arthur Goldstuck

The woman in the regal red dress and gold turban cuts a dramatic figure as she sweeps through the halls of the Fira Gan Via expo centre in Barcelona, Spain. She stands out in sharp contrast to thousands of hipsters in hoodies and businessmen in dark suits thronging the halls. But she is on a mission that will bring true relevance to the work of many of these conference delegates

She is Sara Anyang Agbor, Commissioner for HR, Science & Technology at the African Union Commission. Agbor is at the VMworld cloud conference to sign a memorandum of understanding with the event hosts, VMware. They are formalising a shared commitment to developing the next generation of digital leaders in Africa in a project called Virtualise Africa.

When Agbor began her career as as a lecturer in the Department of English at the University of Yaounde in Cameroon in the early 2000s, the last thing she worried about was technological infrastructure. But fast forward a decade and a half, and she talks of little else.

Agbor is passionate about preparing Africa’s youth for the future. Her focus is still on education, but she discusses it in terms far removed from her PhD in English literature.

“Nelson Mandela said it very well, that education is the greatest weapon that can transform the world, but what kind of education are we talking about?” she poses the question after signing the memorandum. 

“We’re talking about the education that can lead to the future of work. It is no longer about us having degrees in history and degrees in English, etcetera. It is no longer important for kids to go to school, just for the sake of going to school and having certificates. It is very important for them to go to school that will give them jobs so that they can become job creators, rather than job seekers.”

To that end, VMware will work with the African Union to bring to the continent the VMware IT Academy, a network of educational institutions that provides students with access to learning certification opportunities and hands-on lab experiences with VMware technologies.

Delegates to VMworld in Barcelona pick up new skills. Pic by Arthur Goldstuck

VMware is the world’s leading developer of software for managing data centres and businesses’ adoption of cloud computing, generally referred to as virtualisation. It is a strategic partner of cloud giants like Amazon Web Services, Microsoft and Oracle, which are all setting up data centres in South Africa, and creating thousands of jobs across the continent. As such, VMware technology skills and certification represent a direct path into careers that are tailor-made for the digital revolution sweeping the world.

Everline Wangu Kamau-Migwi, channel lead for VMware in East Africa, responsible for setting up the VMware IT Academy in the region, says that the agreement is an outcome of the company’s quest to use “technology as a force for good”.

“We asked how we as VMware can play a role in bridging the digital skills in in the African continent,” she says. “Hence Virtualise Africa was born, with a key mandate around education. We’ve partnered with learning institutions, starting with universities, a little over 30 in Africa, where we are now giving them material, learning resources, and labs, and they’re able to access this using a methodology called ‘train the trainer’. 

“It focuses on the faculty, on the staff, for sustainability of the program within the learning institutions. Appreciating the fact that VMware virtualisation is the core of cloud computing, this is a technology that is well-appreciated across Africa. But we find that we are not moving at the pace we need to, especially in the adoption of emerging technologies, because we don’t have those skills.

“VMware also has a huge ecosystem with both a partner and customer ecosystem. So we looked at how we can leverage this ecosystem and ensure that those students who are graduating are able to innovate, are employable, and can be enterprising while doing that.”

Globally, around 550 institutions are part of the programme, with the University of South Africa the first in this country coming on board. VMware also supplies licenses to several thousand institutions around the world to teach the curriculum with its products and solutions. 

Enter the African Union. It has 55 member states, and the bulk of their populations are youths.

“We call it a demographic asset,” says Agbor. “But this demographic asset can also be a demographic liability or a demographic time bomb, if we did not put in place the right resources to capture the mind of the African youth. Over 200 million African youth are unemployed. Many have certificates, but they do not have a job.

“As a result, there is no dream, there is no hope. So now they migrate, looking for the European dream, the Canadian dream or the American dream. But there is an African dream.” 

Read more about the AU’s agenda for 2063.

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Beware biometrics, and other digital dangers

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Traditional passwords nowadays are a weak point as data leaks happen quite often. More and more companies decide to change the approach and adopt biometrics. However, no one is immune to identity theft and there already have been several actual cases of losing biometric data.

To raise awareness on the topic and show that such data requires strong security regulations, cybersecurity company Kaspersky has distinguished several dangers of unsecured biometric data:

  1. Stranger-danger. In order to set face or touch recognition, the system usually requires one sample of a finger or a face. Hence, it is possible for a user to fail authorisation due to lighting conditions or such changes in their appearance as glasses, beards, make-up or aging. On the contrary, it allows cybercriminals to steal this sample and use it according to their malicious aims.
  2. A password for a lifetime. It is not a problem to change a password consisting of numbers and letters, but once you lose your biometric data you lose it forever. The problem with touch recognition can partially be solved by leaving only 2-4 fingerprints, leaving others for emergency cases, but it is still not safe enough.
  3. A digital locker. Existing «digital lockers» rely on cloud-based help – biometric matching usually happens on the server side. If successful, the server provides the decryption key to the client. That increases a risk of a massive data leak – a server hack might lead to the compromising of biometric data.
  4. Biometrics in real life. There are two cases when an ordinary person can encounter biometric authentication. Firstly, banks try to adopt palm scans on ATMs as well as voice authentication on phone-based service desks. Secondly, individual electronic devices use touch and face recognition. However, biometric security is not yet fully developed and there are such constraints as CPU power, sensor price and physical dimensions, so some users have to sacrifice system robustness – some devices can be fooled by a wet paper with fingerprints generated using an ordinary printer or gelatin cast.

To secure biometric data, Kaspersky has recommended:

  • employing stringent security measures against breaches of traditional logins;
  • for businesses it is needed to improve ATM design so as to prevent the installation of skimmers or establishing control over the security of ATM hardware and software. 

As for biometric identification technology in general, Kaspersky has recommended that, for now, it should be  using it as a secondary protection method that complements other security measures, but does not replace them completely.

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