The GSM Association (GSMA) unveiled a new global coalition to make mobile handsets more affordable for some of the world’s poorest populations, according to the mobile industry’s trade group.
This initiative brings together leading global mobile operators, device manufacturers, international organizations, and financial institutions, including the World Bank Group, the International Telecommunication Union (ITU), and the World Economic Forum’s Edison Alliance, GSMA says.
The founding of the global coalition comes just as Nigeria’s Asisat Oshoala, the six-time and reigning African Women’s Footballer of the Year used MWC Barcelona 2024 in February to urge telecoms stakeholders to help the GSMA break usage barriers and get more people online.
The coalition will explore various strategies to lower the cost of entry into the digital economy for low-income populations, particularly in LMICs and regions like Sub-Saharan Africa and South Asia, where handset affordability poses the highest barrier. Supported by the World Bank Group, the coalition will assess ‘de-risking’ financing mechanisms and other innovative solutions to enhance ongoing efforts to expand digital access and affordability.
GSMA.
GSMA says ‘usage gap’ affects three billion people worldwide
Meanwhile, the coalition aims to address the ‘Usage Gap,’ which affects approximately three billion people worldwide who live in areas with mobile internet coverage but do not use it due to various barriers, with handset affordability being the most significant. In 2023, mobile phones accounted for 84% of broadband connections in Low- and Middle-Income Countries (LMICs), GSMA says, underlining their critical role in internet access.
Mats Granryd, Director General of the GSMA, highlights the coalition’s mission noting that “mobile has helped billions of people worldwide to play an active role in our increasingly digital world, but the cost of entry can still be too high for many on low incomes. Together with global mobile operators and the support of the World Bank Group and other key coalition members, we’re determined to act on this issue.”
The coalition will explore various strategies to lower the cost of entry into the digital economy for low-income populations, particularly in LMICs and regions like Sub-Saharan Africa and South Asia, where handset affordability poses the highest barrier. Supported by the World Bank Group, the coalition will assess ‘de-risking’ financing mechanisms and other innovative solutions to enhance ongoing efforts to expand digital access and affordability.
Guangzhe Chen, Vice President for Infrastructure at the World Bank, emphasizes the coalition’s potential impact: “Making internet connected devices more affordable is critical to accelerating digitalisation in developing countries and ensuring no one is left behind. We’ve seen the power of digital technologies to unlock growth and job creation and to ease access to education and health services, but people must first be connected to make this a reality.”
Doreen Bogdan-Martin, Secretary General of the ITU, adds that “in an age of unimaginable digital opportunities, devices are still out of reach for too many. This new global coalition is an excellent complement to the work of the Commission’s Working Group on Smartphone Access. It has the power to accelerate affordability and bring us one step closer to universal meaningful connectivity.”
The GSMA underscores that this initiative is part of its Breaking Barriers campaign, which advocates for increased cooperation between governments and the mobile industry to address the obstacles that prevent individuals from accessing the internet. The coalition seeks to harness the expertise and resources of its members to make substantial progress in closing the Usage Gap and allowing millions more people to benefit from the digital economy.
Asisat Oshoala, Founder of the Asisat Oshoala Foundation
“Access to the internet, and the skills required to do so, should be universal and therefore needs to be prioritised by governments worldwide. We need more than individual efforts – we need policymakers to focus on uniting with the communications industry to overcome the barriers to digital inclusion and encourage digital literacy to help more people around the world access life-changing opportunities.”
Asisat Oshoala: I’m working with GSMA to close ‘usage gap’
On the other hand, governments must do more to ensure their citizens are armed with the crucial digital skills needed to access the online opportunities available to them, according to leading footballer, Asisat Oshoala and global telecoms trade body, the GSMA.
Oshoala, capped 61 times by Nigeria and founder of the Asisat Oshoala Foundation in Lagos, used MWC Barcelona 2024 to draw attention to the Usage Gap, an issue that affects 3 billion people worldwide and is especially prevalent in Sub-Saharan Africa, in her new role as the GSMA’s ambassador for the Breaking Barriers campaign.
The Usage Gap, GSMA says, is when people are not using mobile broadband networks despite living in areas with coverage available to them. As infrastructure has improved and mobile coverage has expanded to cover 95% of the world’s population, the greater challenge for the telecoms industry is now to help more people to make use of this connectivity.
While 38% of people globally do not use mobile internet despite living in areas covered by mobile, this Usage Gap rises to 59% across Sub-Saharan Africa. Among the main barriers causing the Usage Gap is a lack of digital literacy and skills.
The Asisat Oshoala Foundation works with marginalised young women in Nigeria and across Sub-Saharan Africa and aims to provide them with the skills they need to be successful in life. This includes the transformative impact digital literacy can have in opening vital avenues for social mobility, economic success, improved access to education, healthcare, e-commerce, and financial services.
“Growing up, I saw the effects of the Usage Gap with my own eyes. This is why I use my Foundation to help the younger generation learn how to use the internet, and why I am working with the GSMA to help close the Usage Gap,” Oshoala, Founder of the Asisat Oshoala Foundation, says.
“Access to the internet, and the skills required to do so, should be universal and therefore needs to be prioritised by governments worldwide. We need more than individual efforts – we need policymakers to focus on uniting with the communications industry to overcome the barriers to digital inclusion and encourage digital literacy to help more people around the world access life-changing opportunities.”
The GSMA’s State of Mobile Internet Connectivity Report outlines the five key barriers that continue to directly fuel the Usage Gap: affordability of handset devices and data services; digital literacy and skills; lack of relevant content or services; online safety; and access-related issues. Despite significant strides in expanding mobile broadband coverage, the Usage Gap persists, with the vast majority of people unconnected due to issues other than a lack of coverage.
MWC Barcelona, the telecoms industry’s flagship event, convenes not only key industry leaders but also global policy makers and regulators, offering a rare opportunity to debate crucial issues such as the Usage Gap, and to outline solutions – such as collaboration between public and private bodies in improving access to digital literacy programmes in the most affected regions like Sub-Saharan Africa.
Lara Dewar, Chief Marketing Officer of the GSMA, says that “the Usage Gap is a major barrier to achieving digital inclusion, and the longer the issue fails to be addressed, the less likely it is that the UN’s Social Development Goals for digital inclusion will be reached.
“Asisat Oshoala’s message could not be more timely or important. Collaborative action by all stakeholders – governments, regulators and the telecoms industry – is imperative if we’re to reduce and remove the barriers to connectivity, accelerate digital inclusion, and ensure we are not leaving anyone behind in an increasingly connected world.”
Home