Report

The Africa Entertainment And Telecommunication Market size is estimated at USD 93.77 billion in 2025, and is expected to reach USD 120.03 billion by 2030, at a CAGR of 5.06% during the forecast period (2025-2030).

The rapid increase in smartphone adoption across Africa is significantly driving the growth of the telecommunications market, leading to a surge in demand for both voice and data services. Smartphone adoption has democratized access to communication tools, making voice services more accessible and affordable for a broader segment of the population. As more Africans acquire smartphones, the demand for voice services has risen sharply. This is evident in the growing number of smartphone subscriptions. For instance, according to Ericsson, there were 534 million smartphone subscriptions worldwide in 2024, up from 463.09 million in 2023, and this number is projected to exceed 786.80 million by 2029.

Key Highlights
- The increasing adoption of smartphones is driving a significant rise in demand for data services. Smartphones enable users to access the internet, participate in social media, stream content, and utilize various applications, all of which require substantial data consumption. Consequently, data usage across Africa has grown exponentially. This surge in demand is compelling telecommunications companies to make substantial investments in expanding their network infrastructure to meet customer needs. The rollout of 4G and 5G networks is gaining momentum, with several African countries already implementing these advanced technologies to enhance data speeds and capacity.
- The growing adoption of 5G services is emerging as a key driver for the telecommunications market in Africa. Although the region currently lags behind others in terms of 5G infrastructure and adoption, it is experiencing a gradual yet promising increase in 5G uptake. This trend is anticipated to drive the growth of the telecommunications market in the coming years. The ability of 5G to provide high-speed internet and support advanced applications is attracting both consumers and businesses, creating new opportunities and revenue streams for telecom operators.
- The telecommunication market in Africa is witnessing a substantial upsurge, pushed by the rising number of mobile subscribers and the burgeoning demand for high-speed data connectivity. This trend is reshaping the landscape of the African telecom industry, presenting lucrative opportunities for market players and fostering digital transformation across the continent.
- The African telecommunication market is experiencing significant growth, driven by increasing mobile penetration, rising internet adoption, and digital transformation initiatives. However, the high costs associated with maintaining extensive telecommunication infrastructure present a substantial challenge to market expansion. The growing demand for connectivity has placed considerable financial pressure on telecom operators to expand and modernize their networks.
- Currency instability presents significant challenges for telecom operators in Africa. In March 2025, MTN Group, the largest telecom operator on the continent, reported a 69% decline in full-year earnings, primarily driven by the devaluation of the Nigerian Naira and operational difficulties in Sudan. MTN Nigeria recorded a pretax loss of 550.3 billion Naira (USD 355.76 million), illustrating the substantial impact of currency devaluation on profitability.
- Similarly, in November 2024, Safaricom PLC, Kenya's leading telecom operator, revised its full-year earnings forecast downward after reporting a 17.7% drop in net income. This decline was attributed to the depreciation of Ethiopia's Birr, which depreciated by 51.46% following the country's adoption of a market-determined foreign exchange rate, significantly affecting Safaricom's financial performance.


Africa Entertainment And Telecommunication Market Trends

Data Segment to be the Largest Telecommunication Services


- Data telecom services play a pivotal role in transmitting internet and digital data across telecommunications networks. These services are essential for a myriad of activities, including internet access, streaming, and online gaming. Fixed Data Services, encompassing wired broadband connections like DSL, fiber optics, and cable internet, are delivered to homes and businesses. These services provide high-speed internet and stable connections, making them ideal for video streaming, large data downloads, and enterprise-level communications.
- Conversely, Mobile Data Services operate wirelessly through cellular networks (e.g., 3G, 4G, 5G). These services empower users to access the internet on mobile devices, such as smartphones and tablets, catering perfectly to those seeking on-the-go connectivity.
- Several factors are contributing to the rise in 5G adoption in Africa. The positive economic outlook in the region is providing the necessary financial support for investments in 5G infrastructure. As more countries in Africa experience economic growth, there is an increased willingness and ability to invest in advanced telecommunications technologies. Additionally, the increasing demand for digital services and connectivity is driving the need for faster and more reliable networks, which 5G can provide. According to Ericsson, the number of 5G subscriptions in Sub-Saharan Africa was estimated to be 26.20 million in 2024, and it is expected to reach 323.88 million by 2029. This is also creating a conducive environment for 5G adoption.
- As of January 2024, Morocco topped Africa with an impressive internet penetration rate of around 91%. Following closely were Libya at 88% and Seychelles at approximately 87%. The introduction of 4G and 5G networks is not only enhancing connectivity but also amplifying the demand for high-speed data services. Furthermore, as smartphones become increasingly affordable and accessible, a growing number of individuals are coming online, further driving the demand for these services.
- Technological advancements and affordable data plans have significantly propelled market growth. With the rise of smartphones and the decreasing costs of data packages, consumers are increasingly leaning towards mobile data for both communication and online services.
- In August 2024, Rain introduced a new plan on rainMobile, offering customers 2GB of data, 60 minutes of talk time, and 100 SMS messages each month. Priced at R165 on a month-to-month basis, this plan operates on Rain's national 4G network. Notably, the offering stands out for its flexibility, requiring no long-term contracts, thus liberating users from fixed commitments. Through this move, Rain strengthens its market presence, presenting a competitive and budget-friendly solution tailored to the dynamic needs of South African mobile users.


South Africa to Hold Significant Market Share


- South Africa's entertainment and telecom sectors are on the rise, especially in digital entertainment and mobile services. This growth is largely fueled by expanding internet connectivity and the burgeoning popularity of OTT platforms. With the rollout of 5G technology, internet access is becoming more robust, making streaming services both more accessible and reliable. For example, as consumers lean towards flexible viewing and localized content, the demand for OTT services has surged. In response, Pay TV providers are channeling investments into South African productions to cultivate viewer loyalty, while OTT platforms are honing in on localized content to resonate with local audiences.
- Additionally, South Africa's digital music market is booming, spurred by the proliferation of smartphones, the uptick in streaming services, and the rising fame of local artists. The World Bank projects that revenues from Africa's streaming music will approach USD 500 million by 2025. Notably, many of the most streamed artists and tracks in the country belong to the emerging Amapiano genre. The global spotlight is on South Africa's vibrant digital music scene, with international stars like Burna Boy and Chris Brown diving into amapiano. With the evolution of South Africa's music infrastructure, the industry is set for sustained growth, benefiting both local talents and international collaborations.
- Video gaming is also gaining momentum in South Africa. Newzoo reports that the country's gaming industry revenue surged by over 50%, nearing ZAR 7 billion in 2024. This growth is attributed to a smartphone penetration rate of 79% in 2024 and a youthful demographic, with 47% of gamers aged between 14 and 28. Popular titles include Call of Duty, Fortnite, FIFA, Roblox, and Grand Theft Auto. Out of 26.5 million gamers in the country, 85% prefer mobile gaming, while 15% are dedicated to console and PC gaming.
- In the realm of esports, South Africa holds the 62nd spot globally, as per Esports Earnings. The nation's esports earnings jumped by 64%, climbing from USD 14.3 million (ZAR 258 million) in 2020 to USD 23.4 million (ZAR 422 million) in 2023, with projections set at USD 33.6 million (ZAR 605 million) by 2028. An estimated 12 million South Africans are engaged in esports, encompassing activities like betting, merchandise, ticketing, and streaming. Such significant factors determine the potential of the gaming industry in the country.
- Brands are increasingly leveraging social media influencers with substantial followings to promote their products and services, as this form of advertising is perceived as more authentic and relatable by consumers. For instance, Facebook, now operating under the Meta brand, remains a dominant platform for internet advertising in Africa. Radical Cloud Solutions emphasizes Facebook's leading position in the region's social media landscape. User projections indicate a 14.2% growth from 2024 to 2025, with the platform's user base expected to reach 390.94 million by 2028.
- Furthermore, the increasing internet penetration, driven by the adoption of 5G technologies, is further expected to drive the market. South Africa is actively enhancing its 5G landscape, leveraging spectrum auctions and significant investments from leading telecom operators. With an emphasis on network performance and user experience, the nation seeks to harness 5G's potential for economic growth and better connectivity. Telecom giants, including Vodacom, MTN, and Rain, are steadily expanding their 5G services across multiple South African cities.


Africa Entertainment And Telecommunication Industry Overview

The Africa Entertainment and Telecommunication market is semi-consolidated with the presence of major players like Telkom SA SOC Ltd, Orange Africa & Middle-East, MTN Group, Vodacom, and Maroc Telecom SA.

Players in the market are adopting strategies such as partnerships and acquisitions to enhance their Services and gain sustainable competitive advantage.

Furthermore, the African telecommunication market is undergoing significant expansion, driven by increasing mobile penetration, rising internet adoption, and strong government initiatives aimed at enhancing digital infrastructure. The continent represents one of the fastest-growing telecom markets globally, fueled by the growing demand for mobile services, broadband connectivity, and digital financial solutions.

Governments across Africa are making substantial investments in national broadband plans (NBP) to strengthen 4G and 5G connectivity. These efforts are complemented by public-private partnerships (PPPs), which are facilitating investments in underdeveloped regions, thereby addressing the digital divide and fostering inclusive growth.

Additional Benefits:

- The market estimate (ME) sheet in Excel format
- 3 months of analyst support