Business
The devices cost between $185 and $978, a price market analysts say is
steep considering that the majority of people make less than $2 per day.
PHOTO | TEA GRAPHIC
By SCOLA KAMAU
In Summary
- 4G offers more bandwidth and greater speeds for everyday mobile device operations such as messaging, video calling and mobile TV.
- It follows on from 2G and 3G, but is faster and more stable. This means surfing the web and video streaming on the go, downloading a movie or retrieving app updates are significantly faster when using a 4G network. For example, when video calling, image quality is better on a 4G connection while delays in getting responses are lessened.
- Surfing the web is at least four times faster than on a 3G connection. Apps will be more efficient, whether Facebook, Twitter, Netflix or YouTube. A 4G connection gives you quicker status updates, picture uploading and page loading.
- In short, 4G will benefit anyone who uses their phone for anything more than phone calls, texts and taking pictures.
The pricing of the fourth generation (4G)-enabled phones
will keep East Africa’s mass market yearning for fast Internet downloads
— at speeds of up to 100 megabits per second (mbps) — that the
corporate segments in urban areas will be enjoying with the new
technology.
The 4G-enabled phones are retailing for between $185 and $978, a
price that market analysts say is steep considering that the majority
of East Africans make less than $2 per day.
“We expect sales to pick up from 2018 as prices come down, and
infrastructure reaches closer to the rural areas,” said Barrack Ambiyo, a
research analyst at IPDS & Handsets-IDC East Africa.
Take the example of Jane Ngare, a vegetable vendor at Nairobi’s
City Market who uses Nokia smartphone that cost her Ksh2,000 ($21.36) in
2009. She says she is comfortable with her “cheap phone” as it serves
her basic needs of sending and receiving text messages, making and
receiving calls, and transacting on the mobile money platform.
“I can hardly make any savings at the end of the month after
meeting my basic needs, not unless I win a supply tender,” said the
mother of three. Sam Gibuchi, a meat vendor at the same market expressed
similar sentiments.
But manufacturers see a ready market in the region, saying that
“4G is the next level of technological advancement that East African
countries are rallying to achieve.”
“The corporate segment is buying the 4G-enabled phones because
they want to spend the least time possible on Internet downloads,
thereby cutting down on costs,” said Simon Njogu, business leader
Internet and mobile, Samsung East Africa.
Samsung recently launched the 4G-enabled S6 and S6 Edge phones
in the East African market, which cost $815 and $978 respectively, to
compete with Apple’s iPhone6 and iPhone 6 Plus, which cost $1,080 and
$1,206 respectively.
Microsoft said it is adding the Lumia 640 and Lumia 640 XL to
its stable of 4G-enabled devices at the end of the month. According to
Lilian Nganda, communications manager at Nokia East Africa, a subsidiary
of Microsoft Mobile Oy, technology becomes more and more affordable
over time due to demand.
“The industry is already talking about 5G by 2018,” said Ms
Nganda. “That shows how fast 4G will be rolled out globally and locally
to consumers.”
While manufacturers are lining up 4G-compatible phones across the region, operators are launching 4G services.
Kenya is in the pilot stage of laying out the 4G network, led by
Safaricom Ltd and Airtel Kenya. Safaricom said it had registered
success in Nairobi and Mombasa since the launch of the trial phase in
December, with most areas of both cities covered by the network.
“To enjoy the services, users must have 4G- enabled phones and a
4G SIM card,” said Nzioka Waita, Safaricom’s outgoing corporate affairs
manager.
Rwanda rolled out 4G in October last year through a
public-private partnership between the government and Korea Telecom, and
plans to cover 95 per cent of Rwandans by 2017. MTN is offering voice
and data services in Kampala and Entebbe, with plans to expand the 4G
network to other cities.
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