MTN has announced that it will offer up to 1.2 million of its prepaid subscribers an option to buy a 4G smartphone for just ZAR99 ($5.42).
The move comes as South Africa prepares to shutter 2G and 3G services by the end of 2027 in a bid to free up spectrum for 4G and 5G services. This has been met with criticism from some corners, with Reuters reporting that critics claim it could worsen the digital divide among low-income demographics.
In a bid to ensure that users in such areas can afford smartphones that can be used with 4G and 5G networks, operators including MTN are encouraging the uptake of such devices. MTN South Africa CEO Charles Molapisi stated: “As the country transitions to technologies like 4G and 5G, it is vital that we take proactive steps to connect as many South Africans as possible”.
Three stages are planned for the initiative, which will commence this month and run until the end of 2026. The first stage will primarily target users in the Gauteng province, with around 5000 “carefully selected” customers being offered 4G devices based on an evaluation of several criteria, including spending, usage, and how long they have been with MTN.
The second stage will expand the initiative nationwide to over 130,000 customers, with the third stage increasing this to 1.1 million customers. The devices available must be used with an MTN SIM card as part of the agreement, and will feature pre-loaded applications focused on digital services.
MTN has partnered with Smartphone For All to facilitate distribution. The group’s founder and CEO Babatunde Osho said: “By making smartphones more accessible and affordable, we are unlocking opportunities for millions who have been left behind in the digital economy.”