According to the regulator Icasa’s annual report, mobile data services grew 10% year on year and fixed internet income rose 15% – social media was key driver
The latest annual report from the Independent Communications Authority of South Africa (Icasa) found the country’s telecom sector generated R272 billion (€12.839 billion) in revenue in 2024. This is an increase of almost 12% from 2023’s total of R232 billion.
Social media engagement is one of the main drivers of broadband connectivity last year, via mobile and fibre connections in which mobile services grew 10% and revenues from fibre broadbrand grew 15%.
Regulator Icasa’s The State of the ICT Sector of South Africa report notes that as data consumption increases, revenues from mobile operators’ phone calls continued to fall, dropping by nearly 8% in 2024.
The report found that revenue from text and multimedia services rose 20% year on year, however. It commented, “The substantial growth in mobile data services reflected a higher demand for mobile internet, while the decline in voice services and roaming revenue indicated a shift in consumer preference towards data-based services.”
Annual snapshot in tenth year
Each year Icasa requires telecoms, broadcasting and postal services sectors to submit information a bout key data points in the last 12 months, up to the cut off date of 30 September. This is Icasa’s tenth annual report on ICT in South Africa.
Icasa’s annual research reveals that between 2020 to 2024, the telecoms sector grew by a compound annual growth rate (CAGR) of 4%, although mobile outstripped this average, growing by a CAGR of 9% during that time.
Icasa said this is due to the “rapid adoption of mobile technologies, increased internet penetration, and the roll-out of 4G and 5G networks to support digital services”.
The regulator also highlighted e-commerce and remote working as drivers of broadband connectivity.
Two regulator factors
Icasa also said that two major regulatory changes it had made have had an impact on the 2024 figures. The first was the publication of new call termination rates, explained here by TechCentral which were intended to lower the cost of communications. Icasa acknowledged more effort is needed to drive prices down further, making communications affordable to more people.
Network coverage must also expand, Icasa says, making services more widely available available, and pointed to its second regulatory change – starting wok on a new licensing framework for satellite services, which is still work in progress.
