Assessing market opportunities for internet services in Africa

Internet penetration across Africa is among the lowest in the world, much lower than in Latin America and Central Asia. A number of key factors are affecting the spread of services, such as low population density and high pricing. The lack of existing network structures and open markets impedes competition in some markets, while the capability to deliver bandwidth is also hindered by low availability of international internet bandwidth. With less bandwidth than Ireland – despite having 165 times the population – the region poses one of the greatest untapped markets for services globally. Capgemini’s whitepaper ‘Anticipating Internet Growth in Africa’ outlines the considerations for operators looking to invest in the future growth of the region as well as providing a model for assessing the countries with greatest potential. This model compares the readiness of different markets based upon factors such as bandwidth, government regulation and existing PC penetration.