More than 200 mobile spectrum licences across Africa, worth over $10 billion, will come up for renewal by 2035, and how regulators price those renewals will determine whether 170 million more Africans get access to 5G networks or whether the regional digital divide widens further.
The GSMA, the global telecoms industry body, has urged African governments to cut the cost of radio frequency spectrum, arguing that the expense is holding back investment in faster mobile networks. The push comes as Africa’s mobile data traffic is projected to grow by around 160 per cent between 2025 and 2030, increasing the need for additional spectrum, network upgrades and investment in supporting infrastructure.
African operators hold roughly a quarter less spectrum than their international counterparts, yet pay a 24 per cent premium for those airwaves relative to operator revenue. Because spectrum acquisition costs dictate overall network expenses, they directly influence consumer data pricing.
The GSMA estimates that implementing recommended regulatory reforms, including extended licence terms, predictable allocation roadmaps and realistic pricing structures, could add 170 million people to 5G coverage and 50 million to 4G networks. These adjustments could contribute more than $120 billion to continental gross domestic product between 2026 and 2035.
The spectrum renewal cycle comes at a critical time for mobile streaming, which is one of the fastest-growing entertainment and media categories in Africa. By 2030, connectivity is forecast to account for approximately 60 per cent of total entertainment and media revenue in South Africa, 75 per cent in Kenya and 66 per cent in Nigeria.
However, affordability will continue to shape streaming growth, with average OTT revenue per subscription in 2030 forecast at $76 in South Africa, $54 in Kenya and $42 in Nigeria, compared with a global average above $100. If spectrum costs remain high, operators may pass those costs on to consumers, potentially slowing the growth of mobile streaming and other data-intensive services.
Only nine African countries routinely issue spectrum licences lasting 20 years or more, according to the GSMA report. The body is calling for licences of at least 20 years, automatic renewals and greater flexibility for operators to use any technology in any band.
For African regulators, the $10 billion renewal cycle presents a clear institutional choice: treat spectrum as a revenue source or as a connectivity tool. The decision will shape the future of mobile streaming, digital inclusion and economic growth across the continent.
Africa Presents is a Pan-African digital magazine and monthly publication covering politics, business, economy, culture, tech, and the stories shaping Africa and its diaspora. Visit africapresents.com and follow @AfricaPresents for daily coverage and monthly themed magazine editions.
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