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SSA’s digital infra spend hit $7 bln in 2024, 60% for mobile

SSA’s digital infra spend hit $7 bln in 2024, 60% for mobile
Friday, 19 September 2025 07:31

• Sub-Saharan Africa spent nearly $7 billion on digital infrastructure in 2024, up from $6.3 billion in 2020.
• Around 60% of these funds went to mobile networks, mainly for 4G expansion and 5G rollout.
• Fiber and data centers lag behind, raising concerns over long-term digital sovereignty.

Investments in digital infrastructure in Sub-Saharan Africa continued to grow in 2024. According to estimates from Xalam Analytics, spending reached nearly $7 billion, up from about $6.3 billion in 2020. This growth highlights the strategic importance of connectivity in a region where digital technology is seen as a driver of development and economic inclusion.

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Mobile networks take the lead

In its report The State Of African Digital Infrastructure, published in March 2025, Xalam said that almost 60% of these investments were directed to mobile networks, confirming the central role of telephony in the continent’s digital transformation. Expansion of 4G capacity and the gradual rollout of 5G absorbed most of the financing. In many countries, rural coverage remains limited, pushing operators to intensify efforts to extend access and improve service quality.

This trend is driven by rising demand. With a young and connected population, Sub-Saharan Africa ranks among the world’s most dynamic mobile data markets. The surge in internet traffic, fueled by widespread smartphone adoption, forces operators to expand infrastructure capacity to avoid network congestion.

Fiber optics in second place

Fiber deployment is the second-largest investment category, accounting for nearly 20% of total spending. These funds aim to strengthen terrestrial networks and support the construction of submarine cables linking the continent to global digital hubs.

The wave of connectivity projects, including large cable initiatives led by international consortiums and African players, opens prospects for better integration of the continent into the global digital economy. However, profitability still depends largely on countries’ ability to develop local distribution networks that connect fiber directly to households and businesses.

Data centers remain underfunded

Despite progress in connectivity, data centers continue to lag behind. Less than 7% of total investment has gone into this segment over the past four years. Yet the needs are immense: content hosting, cloud services, artificial intelligence solutions—all require robust local infrastructure to reduce reliance on servers outside the continent.

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The lack of investment keeps a strategic gap open. Local data storage and processing would strengthen digital sovereignty, lower costs, and improve service performance. For now, operators and investors remain cautious, held back by high construction costs and energy supply challenges.

A strategic issue for the future

The spending trend shows that Sub-Saharan Africa is consolidating its digital infrastructure, even if imbalances persist. The priority given to mobile networks reflects the urgency of expanding internet access, but the broader ecosystem—from fiber to data centers—must be reinforced to meet the continent’s digital ambitions.

As governments roll out national digitalization plans and African companies innovate in digital services, the question of sustainable investment arises. To meet targets, more local and international capital will be needed, along with regulatory frameworks that allow the continent not only to consume but also to produce and host its own data.

Xalam estimates that regional digital players will need to spend between $7 billion and $8 billion annually from 2025 to 2030, with fiber, data centers, and cloud services accounting for nearly half of this amount. However, the Broadband Commission for Sustainable Development warns that this may still fall short of the growing demand for connectivity and the infrastructure needed for new uses.

Currently, the ICT sector relies heavily on private investment. “Mobile operators in Sub-Saharan Africa have invested more than US$28 billion in mobile capex over the past five years and are expected to invest US$62 billion in capex for the period 2023-2030,” the Commission noted, calling on governments to commit more resources to digital foundations that will also strengthen national digital sovereignty.

Muriel Edjo

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