IoT can provide Africa with a connected future – Part One - IoT global network

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IoT can provide Africa with a connected future – Part One

February 8, 2016

Posted by: George Malim

Stephen Stewart, Eseye

The first wave of connectivity to serve the continent of Africa was mobile communications; in fact more than double the population in sub-Saharan Africa (SSA) has mobile phone access compared with access to paved roads, writes Stephen Stewart, the regional director for Africa at Eseye.

The penetration and development of mobile communications is providing opportunities that are changing the landscape of Africa, enabling its population to do business in a secure and efficient way. In 2014, mobile technology made up 5.4% of GDP in SSA; McKinsey estimates this could grow to even greater levels, with predictions of a 10% share by 2025.

The second wave of the digital revolution currently taking place in SSA, is seeing the rise of IoT. With the growing adoption of mobile technology and the infrastructure which goes with it, IoT applications are now being implemented across the continent. Connectivity is the key to this; reliable mobile connectivity provides the basis for other technologies to flourish, bringing with it more efficient use of resources and money. However, there is one fundamental difference to the importance of IoT in Africa compared to Europe.

The growing importance of IoT in Africa
The key difference between IoT projects in Africa and western countries is the projects being rolled out in Africa are truly changing people’s lives. From projects enabling solar lighting for those off the grid that would otherwise be in darkness come sun down, to projects providing real time weather updates to assist crop farmers are just a couple of examples of IoT projects making a life changing difference. More importantly, these types of projects are unique to Africa.

Another prime example of IoT assisting living in SSA, is the development in electronic and mobile banking. Only 5–10% of the population have direct access to a bank account, where as the rest work in cash, which brings about its own security risks. The development and implementation of IoT applications have allowed mobile banking and payments to become a real and affordable prospect, enabling its users to access critical financial services and information.

The deployment of the application itself however, is a big issue. In Europe you can simply call one of hundreds of shipping companies who will deliver the hardware the next day but this simply isn’t an option in Africa. The challenge of logistics is one which has to be addressed when carrying out a project. Deploying a piece of hardware is just one aspect of the project; it is also about creating a solution suitable to the problem and its environment. An example of this is M-Kopa; a project which provides lighting with mobile payment capabilities to people who simply don’t have access to it otherwise. One of the reasons it has been so successful is it has a functional logistics channel in place, a strong supply chain and customer service levels. Any company, anywhere in the world who use these building blocks as the foundation of its business will be successful.