(Ecofin Agency) - Expanding broadband access in Africa is critical for several reasons, especially given the existing digital divide that hinders economic and social development in underserved communities. 

Internet service provider Fibertime has signed a partnership with Nokia to bring affordable broadband access to underserved communities in South Africa. Through this collaboration, announced on November 11, Fibertime will deploy Nokia’s fiber solution to rapidly connect five major cities. The cities include Cape Town, Johannesburg, Gqeberha, Mangaung, and Stellenbosch, as well as 14 townships.

Alan Knott-Craig, Founder of Fibertime, emphasized the potential impact: “With Nokia’s support, we’re confident in our ability to reach 1.5 million homes within the next five years. We’re unlocking a massive, untapped market of 13 million homes in South Africa that are ready for affordable, quality internet.”

South Africa's digital landscape underscores significant socioeconomic disparities, contributing to a widening digital divide. Many rural and underserved areas lack online access, primarily due to high data costs and limited device availability. In 2023, the Independent Communications Authority of South Africa's State of the ICT Sector Report (March 2024) recorded 1.77 million fixed broadband subscriptions compared to 41 million mobile data users. This shows a strong reliance on mobile internet in underserved areas where broadband infrastructure is limited. Expanding affordable broadband access through fiber and other technology is essential to bridging this gap and ensuring reliable, high-speed connectivity for all South Africans.

Fibertime will leverage Nokia’s Lightspan FX Optical Line Terminals (OLTs) and Wi-Fi 6-enabled Optical Network Terminals (ONTs) to offer affordable, high-speed internet, with plans starting as low as R5 per day for uncapped, unthrottled access.

The deployment also marks the launch of a semi-mobile network model, allowing users in underserved communities to access broadband not only at home but throughout their local area. Over the next 36 months, Fibertime plans to install 500,000 Nokia ONTs, streamlining the process with Nokia’s ONT Easystart automation tool and exploring network expansion powered by Nokia’s Altiplano platform. Both companies are also pursuing research and development projects aimed at enhancing connectivity in Africa's most remote regions.

This ambitious project is significant for South Africa, where the digital economy is expected to contribute significantly to the economy. According to The Economic Opportunity of Digital Platforms in South Africa 2024 by technology investor and operator Naspers and independent think tank Mapungubwe Institute for Strategic Reflection (MISTRA), the digital economy is estimated to contribute as much as R91.4 billion to the economy by 2035, elevating its share from a modest 0.02% in 2022 to an impactful 1.38%. This, driven by improvements in internet connectivity and digital infrastructure. It underscores Nokia and Fibertime’s commitment to bridging South Africa’s digital divide and fostering socio-economic growth across underserved communities.

Hikmatu Bilali