5G Rollout Struggles to Boost Revenue for Mobile Operators in Africa

0 74

The rollout of 5G across Africa is making headlines, but mobile operators are finding that faster speeds and more affordable devices don’t automatically translate into profits. A recent GSMA Intelligence report highlights that even after 53 operators launched 5G in 29 countries in 2025, revenue growth remains stubbornly below five percent. Simply building the infrastructure, the report warns, is not enough to generate meaningful returns.

Operators are being encouraged to shift their focus toward enterprise solutions and AI-ready networks. The GSMA study, titled “Unlocking 5G’s next wave: priorities for growth,” notes that companies worldwide are planning significant investments in digital transformation over the next five years. Markets like South Korea, Saudi Arabia, and the United States are already seeing 5G contribute more than 9 percent of revenue through enterprise services, offering a roadmap for other countries.

Consumer adoption of 5G is improving, particularly in affordability. In nearly half of the markets studied, the cheapest 5G devices now cost less than five percent of monthly income. Competitive markets are seeing consumers pay extra for higher-quality services, including guaranteed speeds in countries like Finland, the US, and the UAE. Fixed wireless access (FWA) also presents an opportunity to compete with traditional broadband using 5G networks.

However, the report points out a widening divide between advanced and developing markets. While countries in the Gulf, Nordic region, China, and developed Asia-Pacific already offer strong 5G-Advanced services, many others provide only basic coverage. The rise of AI applications, which demand higher and more consistent uplink speeds, underscores the need for operators to invest in 5G-Advanced to meet enterprise requirements like industrial automation, real-time analytics, and robotics.

The GSMA report concludes that financial success will depend on more than just expanding coverage. Coordinated action from technology suppliers, regulators, and industry partners is essential. Smart tariffs, enterprise-focused services, timely upgrades to 5G-Advanced, and continued affordability gains are key to turning widespread 5G connections into sustainable revenue streams. As the report states, “Technology alone does not guarantee financial sustainability.”

source: Business day

Leave A Reply

Your email address will not be published.