Closing mobile gap could unlock $3.5tn – Report - Punch Newspapers

Closing the global gap between people who have access to mobile broadband and those who actually use mobile internet could generate an additional $3.5tn in economic output by 2030, according to the Global System for Mobile Communications Association. The association disclosed this in its State of Mobile Internet Connectivity Report 2026, which found that 4.8 billion people were using mobile internet on their own devices by the end of 2025, while 3.1 billion others lived within mobile broadband coverage but remained offline. The report said more than 90 per cent of the economic benefits from closing the usage gap would accrue to low- and middle-income countries, where affordability remains a major constraint on mobile internet adoption. The usage gap refers to people who live within areas covered by mobile broadband networks but do not use mobile internet, distinguishing them from those who remain outside the reach of such networks. “Closing the global mobile internet usage gap could generate $3.5 trillion in additional GDP between 2023 and 2030, with more than 90 per cent of the potential benefits accruing to low- and middle-income countries,” it stated. The Global System for Mobile Communications Association identified handset affordability as the biggest barrier to mobile internet adoption across surveyed low- and middle-income countries, followed by a lack of digital skills. The affordability challenge is particularly acute in Sub-Saharan Africa, where an entry-level internet-enabled handset cost the poorest 20 per cent of people the equivalent of 76 per cent of their average monthly income at the end of 2025. The report said rising memory costs were adding to pressure on entry-level smartphone prices and threatening efforts to make internet-enabled devices more affordable in developing markets. Kaduna senator builds ICT centre to bridge digital divide LBS, Mondelēz urge investment to unlock Africa’s 1.3bn market World Bank: Africa to drive global workforce growth by 2050 According to data from Counterpoint Research cited in the report, memory prices more than doubled between the third quarter of 2025 and the first quarter of 2026 before rising by another 80–90 per cent in the second quarter. The cost pressures have already begun to affect the entry-level smartphone market, with global smartphone shipments forecast to record their largest annual decline as the sub-$100 segment contracts, according to the report. Until recently, reducing the price of entry-level smartphones to $30 was estimated to make devices affordable to almost 1.6 billion people living within mobile broadband coverage, while a $20 price point could have extended affordability to about 2.2 billion people. However, the association said those price targets were becoming increasingly difficult to achieve as memory costs continued to rise. The slowdown comes as mobile internet adoption continues to expand, although at a weaker pace. About 160 million people started using mobile internet in 2025, down from 190 million the previous year. The association said the affordability challenge could also widen disparities in access to emerging digital technologies, including artificial intelligence, as people without internet-enabled devices are unable to participate fully in increasingly digital economies. The report said closing the usage gap would require action beyond network deployment, including measures to improve device affordability, digital skills and consumers’ ability to derive value from mobile internet services. Justice Okamgba Justice has over three years experience spanning digital and print media. At The PUNCH, he currently covers the automobile sector with special interest in features and industry analysis.

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