Transforming Africa’s Digital Economy: The Role of Networks, 5G, and AI
For over a century, Africa’s communication landscape has evolved in unpredictable bursts, characterized by uneven infrastructure development. Historically, networks were rolled out in urban ports long before they reached rural hinterlands. The advent of mobile technology leapfrogged traditional fixed networks, leading to rapid expansion of coverage, often at the expense of thorough capacity planning. Today, however, the conversation has transitioned—it’s no longer just about access but about the capabilities that these networks can support: productivity enhancement, industrial coordination, and reliable public services in critical times.
Ericsson in the New Communication Landscape
In this shifting landscape, Ericsson’s role is evolving. The company’s focus has moved beyond just engaging with mobile operators about coverage maps. It is now working with various stakeholders, including governments, utilities, mines, ports, and emergency agencies, to evaluate how these networks can sustain economic weight during times of demand. This approach is crucial, as the continent’s digital economy is already facing constraints, ranging from energy shortages and skills gaps to uneven institutional capacities.
Majda Lahlou Kassi, leading Ericsson’s operations in West and Southern Africa, directly addresses this challenge. Networks must deliver substantial economic impact without proportionally increasing their energy consumption. They need to support industries where latency issues or outages are unacceptable, all while remaining affordable in markets characterized by high variability in demand and thin profit margins.
5G Deployment: A Shift in Focus
While discussions about 5G in Africa often focus on rollout pace and spectrum ownership, the larger narrative is about transformative potential. In several African countries, operators have the chance to leapfrog into more advanced architectural decisions, compared to seasoned markets that are already facing the drawbacks of non-standalone deployments. Although non-standalone options can appear financially appealing upfront, they can lock networks into outdated systems, thereby constraining viable applications.
A growing argument suggests that Africa can leap directly to 5G standalone deployments in specific sectors like mining, ports, and logistics hubs, where the economic returns are clearer, and performance is measurable. This financial logic appeals to stakeholders as a standalone core can simplify infrastructure over time, enabling automation and lowering overall operating costs.
Ericsson’s nuanced pitch focuses on predictability rather than just raw speed. The emphasis is on delivering low latency consistently, ensuring scalable capacity without necessitating manual intervention, and optimizing networks for industry-specific performance instead of generic consumer demands.
The Integral Role of Artificial Intelligence
Discussions surrounding artificial intelligence (AI) in African tech often lean towards abstract promises and vague use cases. However, AI has found operational ground in network systems, where it discretely optimizes performance. Ericsson has been employing machine learning techniques to predict traffic flows, detect faults, and manage radio resources—not as a futuristic ambition but as a reality today.
The future of AI in networks involves deeper levels of decision-making. This means determining when to reduce power consumption, reroute traffic, or allocate network capacity to private users over public demand. The implications are significant given that energy costs are high and reliability can be unpredictable. Even marginal efficiency improvements in energy consumption can extend network uptime, thereby breaking what Kassi refers to as the energy curve.
Edge Intelligence as a Necessity
Africa’s digital landscape is marked by uneven data geography, with hyperscale data centers concentrated in only a few countries. While connectivity is improving, latency discrepancies remain a pressing issue that necessitates closer proximity for data processing. This is where edge computing comes into play, allowing tasks to be processed near essential industrial locations such as mines and factories. For industries requiring high safety standards and efficiency, localized processing becomes not just a convenience, but a necessity.
However, the pursuit of edge computing brings its own set of challenges. While it can significantly reduce latency and bandwidth costs, it also increases network complexity. Skills are required to manage these distributed systems, and robust local security measures must be established.
Addressing the Skills Gap and Governance
Infrastructure alone is insufficient to foster a robust digital economy. Africa confronts a persistent skills gap that hampers progress. Ericsson has initiated educational and graduate programs designed to localize expertise in critical fields like AI, cloud computing, and network engineering. Though these initiatives may not always capture headlines, they are vital in nurturing the talent necessary to manage complex systems in the long run.
Alongside skills, governance is also a key issue. The integration of AI within networks gives rise to questions about accountability and data management. Regulatory bodies across the continent are at varying stages of readiness to address these concerns, with some engaging proactively while others focus predominantly on coverage and pricing.
Practical Applications Across Industries
Mining offers some of the most compelling examples where 5G and AI converge to deliver immediate value. Autonomous vehicles, remote operations, and safety monitoring depend on reliable, low-latency connectivity to ensure efficiency and safety. The same logic applies to ports, where container tracking and automated logistics are facilitated by deterministic networks.
Public safety also demands high-performance networks that can withstand extreme conditions, with emergency communications requiring priority handling. The development of private and hybrid networks affords governments enhanced control, but this also creates an obligation for long-term operational commitment.
Across varying sectors, the recurring theme is not novelty, but reliability under constraining conditions. Africa’s digital economy will flourish where systems consistently deliver performance rather than merely flaunting aspirational advancements.
Confronting Energy Challenges
Energy remains a pivotal constraint that cannot be ignored. Africa is presented with a unique opportunity to develop networks alongside renewable energy solutions. The adoption of solar-powered base stations and hybrid energy systems is gaining traction. While AI can improve efficiency in these systems, it cannot substitute for missing foundational infrastructure.
Decisions on data processing, network power sources, and long-term financing will ultimately shape the trajectory of development more than any specific technological innovation. Ericsson’s commitment to achieving net-zero emissions also interacts intricately with the economics of network operations—enhancing efficiency can lead to financial savings, but investors require assurance of returns for capital investments.
A Pragmatic Path Forward
The trajectory of Africa’s digital economy may look uneven, yet functional advancement is within reach. Advanced networks will likely cluster around key economic nodes, while consumer network access will steadily expand, albeit not uniformly. AI will increasingly become embedded within operations, often unnoticed by end-users, and private networks will become standard in critical sectors like logistics and heavy industry.
Africa’s digital economy is unlikely to replicate the blueprints of Europe or Asia. Instead, it will mature under its own set of constraints and priorities. Companies like Ericsson are positioning themselves as enduring partners in this journey rather than mere providers of equipment.
In the end, the true measure of progress will hinge less on grand visions and more on whether these networks can sustain functionality when faced with power fluctuations, traffic surges, or a shortage of skilled personnel. In Africa, the durability of these systems will define the fabric of its digital future.
