South Africa’s telecommunications industry is on the brink of a significant transformation as mobile network operators gear up to shift from outdated 2G and 3G technologies to more advanced 4G and 5G technologies. This shift represents a major leap forward for South African consumers, aligning them with leading global markets. However, this transition requires careful handling to reap its benefits while mitigating risks.
The Communications and Technology Association (ACT) is advocating for an industry-driven transition with state support, a strategy that has shown success in other parts of the world. While the Ministry of Communications and Digital Technologies has extended the deadline for 2G and 3G technologies to December 31, 2027, ACT believes that a more market-driven approach would be more effective in managing the transition.
By incentivizing users to adopt new technologies and allowing the market to dictate the pace, the transition can occur smoothly without disrupting services for millions of users who still rely on outdated technologies. This approach also considers the risk of digital exclusion for disadvantaged populations, especially in rural areas.
International experiences, as monitored by the Global Association of Mobile Operators (GSMA), highlight the effectiveness of market-driven transitions without strict government-imposed deadlines. The government can play a supportive role in accelerating the transition by implementing community programs for digital skills, promoting access to online services, and increasing public awareness of the benefits of next-generation technologies.
To facilitate the transition, the government can prohibit the import of 2G and 3G devices, encourage the adoption of smartphones necessary for 4G and 5G networks, and potentially reduce customs duties on these devices to make them more accessible to all consumers. With over 73 million smartphone subscribers in South Africa, addressing the digital divide in smartphone access is crucial for the successful transition to new technologies.
While the shift away from 2G and 3G is essential, considerations must be made for machine-to-machine interfaces and services that rely on these technologies, especially in areas with high usage. Balancing the transition with the needs of all users, including those in rural and underserved areas, is vital for a smooth and inclusive shift to 4G and 5G technologies.
Ultimately, a collaborative effort between industry, government, and users is necessary to navigate the transition effectively and ensure that South Africa’s telecommunications sector evolves sustainably into the future.