Why is Mobile Data still so expensive in Africa?

+3 votes
Hello Guys,

 

i still fail to understand as to why mobile data is still so expensive in Africa, i think if we get get the prices for mobile data so low there will be no need to have Wifi access points at every corner :)
asked Jan 30, 2015 in Billing by Lifepart2 (760 points)

1 Answer

+3 votes
Mobile Data is definitely growing quickly in South Africa. Studies show that the average data consumption has doubled from last year while the base price per GB has decreased signifcantly and this trend is set to continue.

We are doing what we can to push prices lower, but it's also worth noting that telecomms operators spend in excess of R10 billion per year in new infrastructure, and this cost must be recovered somewhere - so it makes sense for them to proceed with caution.

We can definitely expect prices to fall, but usually that is not a gradual process, there are flash points in the market when companies, like Afrihost, are able to drive the market price lower and benefit consumers by putting pressure on the competition.
answered Jan 30, 2015 by AfriMan (14,640 points)
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