Africa is a hotbed of mobile innovation and entrepreneurship, blazing trails in applications as diverse as mobile money (M-Pesa), e-commerce (Jumia and Takealot), smartphone-powered retail (Yoco and others), business-to-business platforms (such as Twiga Foods, which connects small-scale farmers with urban vendors), and more.
This growing ecosystem of mobile-first applications serves 416 million mobile internet users and forms part of a wider mobile economy that contributed some $220 billion to the African economy in 2024. These numbers are testament to how affordable mobile devices and connectivity have driven financial and digital inclusion throughout Africa.
But we are in the early stages of the mobile revolution. Rapid deployment of 5G networks, the growing maturity of artificial intelligence (AI), and falling prices of smartphones are converging to create exciting new opportunities for African entrepreneurs to solve problems for communities and customers.
As mobile-first entrepreneurship accelerates throughout the continent, mobile network operators, device manufacturers, cloud providers, regulators and financiers all have important roles to play in scaling the next generation of African startups. One of the key parts of the puzzle is connectivity.
Mobile networks are making massive investments in their networks, with the GSMA finding that operators plan to plough $77 billion into capital expenditure between 2024 and 2030. The GSMA estimates that 75% of mobile connections on the continent will be 4G and 5G by 2030, up from 47% and 5G penetration of just 2% in 2024.
Affordable smartphones widen the path to digital inclusion
Given how many smart innovations African companies have created for a world of slower connectivity and more expensive data, the proliferation of affordable, high-speed networks should open the floodgates for a range of dynamic startups and compelling applications. But in addition to connectivity, Africa needs devices.
For African consumers and entrepreneurs, a smartphone is their primary gateway to the internet. It is not just a secondary device used to pick up emails or browse the web when not at the desk. It is their point of sale, their productivity hub, their marketing platform, and much more besides.
OEMs like TCL thus have a central role to play in supporting mobile entrepreneurs in Africa as well as creating a user base ready to enjoy modern mobile applications. Working in partnership with chipset makers and software developers, smartphone makers are bringing highly affordable, 5G-ready devices to Africa.
Technology innovations and high-end features flagship are rapidly cascading from flagship smartphones to mid-range devices. Advanced connectivity, efficient battery life, good-quality displays, reliable multitasking and high-fidelity photography are increasingly taken for granted.
Massive advances in on-device AI represent the next frontier. The latest flagships incorporate advanced GenAI capabilities directly on the smartphone. They combine powerful processing units with dedicated AI engines to enable tasks like image enhancement, real-time translation and generative content creation right on the phone.
AI-enabled innovation gains momentum across Africa
This will catalyze opportunities for a range of AI-focused startups, with many African mobile-first companies already exploring AI opportunities. Signverse in Kenya, for example, is using AI to translate speech and text into Kenyan sign language via 3D avatars to improve accessibility for deaf communities.
Aerobotics in South Africa uses AI to help fruit growers, packers and marketers forecast yields using accurate size, colour and quality measurements from smartphone imagery. And Nigeria’s RxAll in Nigeria applies AI and spectroscopic sensing to authenticate medicines and check quality to fight counterfeit drugs.
These are just a few examples of how mobile-first AI can help address challenges and create opportunities in Africa. Mobile networks and OEMs have a valuable role to play in driving this innovation ecosystem through initiatives such as incubators, accelerator programs, and device-access initiatives.
Developing Africa’s startup ecosystem will not only support inclusive economic growth but also help solve a range of social and developmental challenges across the continent. The return on investment for innovation, for society and for business is too compelling to ignore.
By Ernst Wittmann, TCL Regional Manager for Southern & East Africa and Global Operator Account Manager for Africa
