Mobile phone penetration is growing faster in Africa than anywhere else in the world, with a 5,000% increase between 1998 and 2003, according to a new study by Vodafone and the Centre for Economic Policy Research.
The report revealed that 97% of people surveyed in Tanzania said they could access a mobile phone, while just 28% could access a land line phone. More than 85% of small businesses surveyed in South Africa claimed that they relied solely on mobile phones for telecommunications.
Over 60% of businesses in South Africa and 59% in Egypt said that mobile use was linked to an increase in profits, despite the higher call costs. Overall the research showed that Africa had an average of 10 more mobile phones per 100 people between 1996 and 2003.
Earlier this year, data published by the Mobile Data Association (MDA) showed that mobile phone ownership in the UK had exceeded 100%, meaning that there are now more handsets in circulation than people (see UK Mobile Phone Penetration Higher Than Population).
Europe as a whole was also reported to be enjoying strong growth in mobile phone ownership, with Sweden, Portugal, Iceland and Italy all surpassing 100% market penetration, while Luxembourg reached 133%.
According to market intelligence firm, IDATE, the mobile terminal market grew by 21% between 2003 and 2004, with revenues increasing from about $73.3 billion in 2003 to a predicted $91.5 billion in 2005 (see Mobile Market Forecast To Enjoy Strong 2005).
IDATE forecast the growth to be especially notable in Western Europe, with the UK and Italy expected to lead the way with 3G subscriptions. The number of 3G subscriptions in the Asia-Pacific region is also predicted to increase, with analysts IDC forecasting the number of 3G subscriptions for the region to rise from 10.5 million in 2004 to 15.5 million in 2005.
A report last year from In-Stat/MDR estimated that global mobile phone penetration will grow to 2.5 billion by 2009 (see Growth Returns To Mobile Phone Market).
Internationally, the MDA point out a number of factors impacting on high mobile subscription, with certain countries lacking the availability of an alternative means of communication.
In regions such as China the general transition towards using mobile technology has outpaced landline growth and it is estimated that mobile phone subscriptions will increase by 58 million in 2005, compared with 45 million for regular telephones.
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