South Africa’s government is intensifying efforts to shut down 2G and 3G networks.
However, a TechCentral investigation reveals that some of the best-selling phones in 2024 still rely on these outdated technologies.
The primary factor behind the continued popularity of 2G and 3G phones is their affordability, making them the most accessible option for many South Africans.
While 4G/LTE devices generally start at around $56.50, the least expensive phones available in South Africa, primarily targeting the budget-conscious market, are limited to 2G or, at most, 3G capabilities.
The Mobicel S2 and Itel 2163 are among the least expensive options, priced at approximately $8 through Vodacom stores.
These basic feature phones offer minimal functionality, with just 32 MB of memory and 64 MB of storage. They enable users to make calls, send SMS messages, and listen to FM radio.
Another economical choice is the Mobicel C1, a dual-SIM feature phone available for $9 via MTN channels.
Mobicel, a South African brand established in 2007, maintains a strong presence in this segment, along with other brands like Stylo, Dixon, and Nokia.
Nokia’s 105, priced at $14, is noted for its durability and extended battery life.
Despite the Department of Communications and Digital Technologies’ looming deadline of just three years for the complete phase-out of 2G and 3G networks, sales of these legacy devices remain robust.
A 2022 report by the Independent Communications Authority of South Africa (Icasa) revealed that less than half of the 103 million devices registered on South African networks were 4G-capable.
Recent data from market research firm GfK indicates that seven in ten mobile phones sold in the country are distributed through Pepkor, the owner of Pep and Pep Cell stores.
John Edwards, head of cellular at Pepkor, highlighted the continued strong demand for 2G devices.
“We sell approximately five million 2G devices annually, underscoring their ongoing appeal,” Edwards told TechCentral.
He attributed this to the low cost and practical advantages of 2G phones, noting that the least expensive feature phones through Pep and Pep Cell stores cost $8, whereas entry-level 4G devices are often two to three times more expensive.
The lower cost of 2G devices is partly due to simpler chipsets and memory requirements compared to their 4G counterparts, which must support more complex applications.
Additionally, feature phones incur lower operating costs because users do not need to pay for data updates, which is an ordinary expense for smartphone users.
Feature phones are also valued for their durability, with users appreciating their resistance to damage, ease of repair, and longer battery life, making them a practical choice for many.
Vodacom South Africa acknowledged a slight decline in feature phone sales but confirmed that 2G and 3G devices still represent a significant portion of their market.
Economic conditions and high taxes on 4G and 5G smartphones contribute to sustained demand for legacy devices.
MTN South Africa reported that 29% of the devices sold in the 2023/2024 period were 2G feature phones, which higher-income customers also used as secondary phones.
Security concerns also drive the use of feature phones, with many South Africans opting to leave their smartphones at home to avoid theft and mitigate the risks associated with banking apps.
Starting September 30, 2024, Icasa will cease approving 2G and 3G devices for import and sale, restricting operators to selling only existing stock and shifting entirely to 4G devices. This transition will significantly impact the majority of South Africans who rely on these affordable devices for their communication needs.
Edwards from Pepkor emphasized the need for a balanced transition, stating, “As we approach the provisional dates for the phasing out of 2G and 3G devices, we support an outcome that ensures mobile devices remain accessible to all South Africans.”
This could involve measures such as subsidizing the cost of 4 G devices for low-income users or providing incentives for recycling old devices.
