MobileActive.org

According to industry estimates, there are more than 500 million mobile phone subscribers in Africa now, up from 246 million in 2008. In 2000, the number of mobile phones first exceeded that of fixed telephones. Africans can accelerate development by skipping less efficient technologies and moving directly to more advanced ones.

The telecommunications sector continues to attract a flurry of public and private investment from foreign sources and local banks, but the investment should be in software and services, not just cabling infrastructure.

In NGO circles today there is a great deal of hope about economic growth in developing countries and the development of an information society as a result of the growing presence of technological possibilities in communication. At first sight, African cities (and the countryside now too) seem to be flooded with different ICT possibilities that are expected to bring ‘development’. Studies in ICT development have indeed shown some social change: economic development is visible in local markets, youth are increasingly being connected and there are possibilities for social relating that were never there before.

Societies in Africa that were very mobile of old are now integrating these changes in specific ways. This may result in these societies joining the world at large but it might also lead to Africans becoming part of the so-called Fourth World (Castells), a world disconnected from others and experiencing new inequalities but without a specific geographical location. The changes in communication technology are transforming societies both in the North and in the South and are blurring the divisions between the two.

Thinking on technology and society has gone far beyond the technological determinism that often informs discourses in development circles. The mobile phone has become a symbol of the new communication era and is challenging societies and creating new forms of relating between the North and the South. This paper uses the mobile phone and its introduction in Africa as an example of how the new wave of ICT is leading to cultural, social and economic dynamics that could take societies in unexpected directions that may not, as such, open up society but instead close part of it off.

Technology holds many promises as a driver of positive changes, as a tool to address the problems and as an enabler to fulfil the potential. Economic development requires modern technology and technology plays an important role in most strategies for alleviating hunger and poverty. Technology can reduce transaction costs, save lives, facilitate education, strengthen entrepreneurship, provide access to markets and help to deliver basic services, ranging from water and sanitation to public administration. However, the same technology can also be destructive and a cause of problems. Some technological developments can be facilitated or managed, others happen and require an adequate response.

It is this manifold interrelation of technology with its environment that makes exploring the future of technology so interesting and valuable. There is a need to explore how technology in Africa will or might evolve; to discuss the drivers and the obstacles, the issues technology might resolve and the problems it might cause; to identify how technology changes society and how African societies might change global technology. These are big and complex questions and the STT foresight project, which ends with this publication, is a contribution to this discussion that is still in its infancy with respect to Africa.

The world is witnessing a new dawn with regard to the potential of information and communication technologies (ICTs) to contribute in the fight against poverty. For the first time, there are now realistic opportunities for inhabitants of remote locations in low-income countries to get connected via ICTs. Farmers, fishermen as well as entrepreneurs in urban areas are rapidly adopting mobile phones as a key tool to advance their commercial activities, and some poor people are finding new livelihoods on the back of this trend. Against this background, the Information Economy Report 2010 focuses on the nexus of ICTs, enterprises and poverty alleviation. Whereas the knowledge base needs to grow considerably, the evidence presented in this Report suggests that more attention should be given by policymakers and other stakeholders to this new set of opportunities.

The Report is organized into five chapters. Chapter I introduces a conceptual framework for the analysis that follows. Chapter II reviews recent connectivity and affordability trends to gauge the degree of access and uptake of different ICTs among the poor. Chapter III turns to the role of the poor in the production of ICT goods and services (the ICT sector). In chapter IV, the focus shifts to the use of ICT by enterprises, with emphasis on those that matter most for poor people, namely small and micro-enterprises in urban and rural areas. Finally, chapter V presents the main policy implications from the analysis.

The supply/demand nature of market-based models (led by the private sector and consumer level uptake) is argued by some as being a better form of introducing new technologies that benefit the poor than direct interventions from development actors. This so called passive diffusion view is based on the way mobile telephony has spread so rapidly. The approach holds that if ICTs do have developmental value for the poor, a combination of private firms’ search for profit plus the poor’s search for value will make it happen. Development money is best spent elsewhere.

A long history of failures in national government rollout of telecentre networks across Africa to the village level along with a spike and lull in donor driven ICT projects is perhaps reason and evidence for the passive diffusion view becoming popular. Particularly evident is how a top-down supply push for perceived ICT ‘needs’ of the poor does not always match on the ground demands and realities.

Today services delivered via mobiles that have widespread availability and use at the base of the pyramid are predominantly left to market forces to deliver. There are of course a number of notable and innovative exceptions to this and it is certainly true that private sector mobile based services have often been less ambitious in terms of pro-poor outcomes than development sector pilots – as might be expected. Yet many of the innovative case studies involving development interventions have remained niche, difficult to replicate, and have often not been sustainable over time.

This paper seeks to give a brief overview of the history of development sector interventions of ICTs and where this positions ‘ICTs for development’ going forward. A key question to ask as we move into the second decade of the 21st century is how the impact of ICTs on the poorest can be improved – and the role of the development sector and government in achieving this in what is today a predominantly market-driven approach to mobiles and more broadly to ICTs.

Recently the World Bank reported that 43 per cent of sub-Saharan Africa’s population is between the ages of 0 and 14. That African countries will likely face an increase in job creation pressure is an understatement. Put more simply by the New Vision in Uganda, we are essentially looking at a ticking time bomb. But it would be short-sighted to lump Africa’s youth as part of a growing problem. If anything, this young African generation is part of a new process that breaks down historical barriers and harnesses a new potential to drive solutions.

With every passing minute thousands upon thousands of young people gain access to mobile phones and the Internet. Imagine starting in primary school where you had to share a five year old text book with three other students to ten years later getting instant access to the worlds combined intelligence? These individuals are eager to connect, establish new contacts, exchange information and quite simply learn at a faster rate then ever before possible. Africa now represents the second fastest growing region for the worlds largest social utility Facebook, Asia being the first. Africa’s youth are addicted to information and they guarantee a frightening leap into the information age.

Anno 2010 the mobile phone seems to be an everyday device in African societies. The phone culture is a given, especially in cities but increasingly as well in rural areas where almost everybody lives in a circle of 50 km from mobile reach. It is only 20 years ago that the first cities in Africa were connected and only since a few years that the rural areas are within mobile reach. It is because of this short implementation phase that the 'normality' of the mobile phone in Africa raises many questions. Why the mobile phone was so easily adopted? What changes did it bring to African societies? Was the revolution in technological change a societal change as well; and if so in what sense and for whom?

In this paper we investigate these questions for so called 'marginal' mobile populations in Africa. These are people from marginal areas who have been pushed out of these areas for creating a better livelihood, for political reasons, etc., leading to the formation of mobile societies/communities. These are people whose relationships expand over vast social spaces, and for whom communication is a pivotal importance for their social life. Especially in these populations we expect social change due to new ICT's, especially the mobile phone. Case studies from Cameroon and Mali (pastoral nomadic societies), and Chad and Angola (refugees, displaced people for political reasons) show that we should consider mobile phones in a sequence of communication strategies of the people living in these mobile societies, that indeed means social change and economic change, but at the same time is a continuation of existing social patterns. The phone culture is part of existing communication cultures in Africa

Mobile-based branchless banking has become one of the key mechanisms for extending financial services to disenfranchised populations in the world's developing regions. One shortcoming of today's branchless banking systems is that they rely largely on network-layer services for securing transactions and do not implement any application-layer security. Recent attacks on some of the most popular branchless banking systems show that these systems are not end-to-end secure.

In this paper, we make the case for designing mobile-based branchless banking systems which build security into the application layer of the protocol and guarantee end-to-end security to system users. Our main contribution is a threat model which effectively captures the goals of end-to-end authenticated transactions in branchless banking. This model, besides incorporating the obvious external threats to a protocol, also accounts for the possibility of insider attacks - those mountable by banking agents or other human intermediaries in the system. We then provide recommendations for solution design based on the security requirements of our model and the infrastructural constraints under which branchless banking systems operate.

Mobile Phone ownership in low and middle-income countries has skyrocketed in the past several years. But a woman is still 21% less likely to own a mobile phone than a man. This figure increases to 23% if she lives in Africa, and 37% if she lives in South Asia. Closing this gender gap would bring the benefit of mobile phones to an additional 300 million women. By extending the benefits of mobile phone ownership to women, a host of social and economic goals can be advanced.

Mobile phone ownership provides distinct benefits to women, including improved access to educational, health, business and employment opportunities. Women surveyed across low and middle-incoome countries on three continents believe that a mobile phone helps them lead a more secure, connected and productive life.

The rise of the mobile phone has challenged the predictions that many information and communication technology for development (ICT4D) specialists offered about information in the developing world. Instead of embracing community solutions that offered shared access to information, many poor people have been willing to pay large sums and others have documented, sometimes more than 50% of their disposable income) for personal access to communication tools.

Presented with a model that extends connectivity into many poor communities without government subsidy, often turning a profit (and thus being sustainable), the development community is rightly looking for ways to build tools that leverage these platforms to promote economic and community development.

During the past ten years, we have witnessed how mobile phones and the simple functions of voice and text messaging (SMS) can empower citizens and affect the way citizens interact with each other and with the society as whole. Mobile phones are also thought to open up for a deepened democracy through citizen participation and insight into state affairs, through influencing the political decision making process, and helping in holding governments accountable. Is this the case?

So far, few East African government institutions have adopted the idea of using mobile phones as a tool for service delivery and a way to communicate with the citizens. This paper describes a few interesting cases and pilots, focusing on East Africa (mainly Kenya, Rwanda, Tanzania and Uganda), where mobile phones and mobile applications have been used for improving governance, either independently or as a compliment to other methods and strategies. The paper will critically examine some of the challenges as well as the main opportunities for improving good governance through mobile phones and present ideas on how these projects could effectively be scaled-up.

There is something profound taking place in emerging markets with mobile money movement... it is now a “Mobile Money Movement” with the potential to substantially alter the economic paths of the poor and emerging economies at large. For this reason private and public sectors alike are now taking notice of this industry. Mobile finance is becoming an increasingly important topic for The World Economic Forum and for the G20 summit. Nearly 2/3 of the world’s population lives in poverty: four billion people live on less than $8.00 USD per day. Most do not have bank accounts, but do have mobile phones (1.7 billion people by 2012.)

Mobile money provides an opportunity for financial inclusion to the unbanked base of the economic pyramid - the majority of the global population who has lived in the informal financial sector and who has relied on cash to conduct all financial transactions. As such, they lack access to credit, insurance, and savings. This wave of mobile money momentum, if not slowed down by other challenges inherent in these markets, will undoubtedly positively impact the course of economic growth in emerging markets for a number of reasons that are inherent within mobile money itself.

Mobile money will spur economic growth in emerging markets because of the forces inherent to mobile money itself. Specifically, these forces include:
1. the ubiquity of data transmission that mobile provides;
2. mobile money as a new industry;
3. mobile money as an infrastructure supporting new businesses and other industries;
4. the infusion of new capital from the informal sector; and
5. the efficiency gains that digitization of money enables.

Populations in the rural developing world have just as many, if not more, information needs as people living in more affluent areas. But their constraints — intermittent power, intermittent connectivity, limited education, literacy and capital — make first-world approaches to accessing information systems inapplicable. Mobile phones are on the cusp of spurring an information revolution in such regions. Long battery life, wireless connectivity, solid-state memory, low price and immediate utility make this device better suited to rural conditions than a PC. However, current software on mobile phones makes them hard to use and to program.

In this dissertation, I present the design, implementation and evaluation of CAM — a mobile application framework designed to address the information needs of the rural developing world. Beginning with a two-month participatory design study, including users with varying levels of education, I propose some general guidelines for user interface and system design in this context. Motivated by these guidelines, I present CAM. CAM applications are accessed by capturing barcodes on paper forms using the mobile phone camera, or entering numeric strings with the keypad. Supporting one-step navigation, direct linkage to paper practices and offline multi-media interaction, CAM is uniquely adapted to rural device, user and infrastructure constraints. To demonstrate the usability of this framework, I implement and evaluate several distinct CAM-based applications (one of which has already been commercially deployed). I also provide preliminary motivation for fourteen other applications that could be implemented with the same, or similar, approach.

The paper describes a collection of initiatives delivering support via mobile phones to small enterprises, small farms, and the self-employed. Using a review of 26 examples of such services currently operational in Africa, the analysis identifies five functions of mobile livelihood services: Mediated Agricultural Extension, Market Information, Virtual Marketplaces, Financial Services, and Direct Livelihood Support. It discusses the current reliance of such systems on the SMS channel, and considers their role in supporting vs. transforming existing market structures.

This paper examines the proposed framework for evaluating the impact of the intervention of mobile-based services on socio-economic development of Indian rural areas. Framework suitability has been studied using case study method with pilot test data. Existing literature shows multiple ways of studying mobile impact through different frameworks. The need for uniform framework is the felt need as various user-centric mobile services launched across rural markets. India becomes a field testing ground for most of the multinational firms who want to test their innovative business models. This framework provides a testing method for socioeconomic development impact on rural areas. This study adopted socio economic criteria (SEC) used by Indian marketers as basis for sample selection. The pilot study clearly shown that field is ready to test the proposed framework.

The Millennium Villages Project (MVP) is a community-based comprehensive multi-sectoral approach to achieving the Millennium Development Goals (MDGs) in Africa over a five-year period. MVP and Ericsson’s Consumer Lab collaborated to investigate the baseline conditions for enhanced connectivity and integrating mobile telephony in MVP sites. It is hypothesized that this will accelerate the achievement of the MDGs through improved communication and availability of information. Using quantitative and qualitative methods, the research team aimed to assess the effects of network strengthening and strategic integration in the context of a rural village in a low-income African country.

Four Millennium Village sites were examined for this study on connectivity: Bonsaaso, Ghana; Dertu, Kenya; Ikaram, Nigeria; and Mbola, Tanzania. The survey results from the sites showed common attributes for mobile phone owners but usage trends differed across study sites. Given the results, in three of the four sites, there is a significant market to be explored for voice services to be strengthened and made more easily available in terms of infrastructure and costs. Lessons drawn from these sites can provide us with useful insights into the potential for development and use of mobile phones in the rest of the continent, in addition to providing useful policy implications.

This paper describes an ongoing research project exploring the business practices of mobile entrepreneurs, specifically mobile food vendors, and the potential use of location aware and mobile phone-based application to support their information needs. Mobile food vendors are a ubiquitous phenomenon in the developing world and can be seen hawking their wares in carts, bicycles, or motorcycles.

In this paper we report findings from 28 interviews around business practices, challenges, personal histories, and economic wellbeing among mobile food vendors and 10 of their customers from five major Indonesian cities. Based on these findings, we point to characteristics and features of a mobile phone-based application that will enable these vendors to advertise their current location, accept orders from customers, enable customers’ recommendation of vendors, and inform fellow vendors of various special events.

We examine the growth of mobile phone technology over the past decade and consider its potential impacts upon quality of life in low-income countries, with a particular focus on sub-Saharan Africa. We first provide an overview of the patterns and determinants of mobile phone coverage in sub-Saharan Africa before describing the characteristics of primary and secondary mobile phone adopters on the continent.

We then discuss the channels through which mobile phone technology can impact development outcomes, both as a positive externality of the communication sector and as part of mobile phone-based development projects, and analyze existing evidence.

While current research suggests that mobile phone coverage and adoption have had positive impacts on agricultural and labor market efficiency and welfare in certain countries, empirical evidence is still somewhat limited. In addition, mobile phone technology cannot serve as the “silver bullet” for development in sub-Saharan Africa. Careful impact evaluations of mobile phone development projects are required to better understand their impacts upon economic and social outcomes, and mobile phone technology must work in partnership with other public good provision and investment.

Research has shown that traditional Internet has not been successful in alleviating social exclusion in developing country. Since a significant number of the population in developing countries use mobile phones, others have suggested that mobile internet may be the solution to the problem. However, to date there has not been empirical studies in developing countries to explore that possibility. This study aims therefore to explore whether the mobile Internet may be a viable option for addressing social exclusion in a developing country context. Data for the study was gathered using semi-structured interviews with socially excluded individuals and the data was analysed using thematic analysis. The findings of the study show that usage of mobile internet amongst the socially excluded is low mainly because internet-capable cell phones are still beyond the reach of the socially excluded and because of limited awareness of what mobile internet is and what it can achieve. The study also shows that while mobile internet has significant impact in addressing exclusion from social participation, its impact on economic as well political dimensions of exclusions is still limited.