# Phones getting cheaper

> Smartphones are becoming affordable for low-income families through pay-as-you-go financing.

Source page: https://calankii.com/en/forces/phones-getting-cheaper/
Last checked: 2026-11-12
Publisher: Calankii (https://calankii.com)

## The force

Most Somalis with a phone have a basic one. In late 2025 there were 11.5 million mobile connections, and 75.7% of them were on 3G, 4G or 5G networks ([DataReportal](https://datareportal.com/reports/digital-2026-somalia)). But only 27.6% of people used the internet. A big reason is the cost of the handset.

Across low- and middle-income Africa south of the Sahara, an entry-level internet phone costs about 24% of a month's income on average, and up to 80% for the poorest ([GSMA Mobile Economy Africa 2026](https://www.gsma.com/solutions-and-impact/connectivity-for-good/mobile-economy/wp-content/uploads/2026/06/The-Mobile-Economy-Africa-2026.pdf)). Paying a little each day, instead of all at once, is changing that.

## Inside the country

Hormuud plans to finance 100,000 smartphones for low-income users by the end of 2026. Buyers pay a $19 deposit and need no credit history. In the pilot, fewer than 4% failed to keep up payments ([TechCabal](https://techcabal.com/2026/06/19/techcabal-daily-somalias-accidental-bank/)). Hormuud's 4G network covers more than 70% of the population ([TechCabal](https://techcabal.com/2026/06/19/techcabal-daily-somalias-accidental-bank/)), and mobile data costs about $0.40 per gigabyte ([Broadband.co.uk](https://www.broadband.co.uk/mobile-data-price-league)).

## Outside the country

- **M-KOPA**, which sells phones on daily payments in Africa, is reported to have reached 10 million customers ([Launch Base Africa](https://launchbaseafrica.com/2026/07/22/1m-users-in-8-years-9m-in-6-the-smartphone-pivot-driving-m-kopas-hypergrowth/)). That report says it took eight years to reach its first million and six more to reach ten, after it moved into smartphones. Its network has about 35,000 agents ([Launch Base Africa](https://launchbaseafrica.com/2025/09/22/the-flywheel-effect-how-m-kopas-35000-agents-are-powering-its-push-to-3m-users/)).
- **Ethiopia.** Ethio Telecom sells devices from about $17 and finances up to 2 million a year ([GSMA](https://www.gsma.com/solutions-and-impact/connectivity-for-good/mobile-economy/wp-content/uploads/2026/06/The-Mobile-Economy-Africa-2026.pdf)).
- **Kenya.** Smartphones rose from 44% to 50% of Safaricom's connections by May 2025 ([GSMA](https://www.gsma.com/solutions-and-impact/connectivity-for-good/mobile-economy/wp-content/uploads/2026/06/The-Mobile-Economy-Africa-2026.pdf)).
- **Smart feature phones**, which cost less than smartphones but can run apps and payments, are being supplied to small traders through a Smart Africa and KaiOS partnership ([Smart Africa](https://smartafrica.org/smart-africa-and-kaios-technologies-partner-to-provide-affordable-smart-feature-phone-devices-to-drive-digital-payment-acceptance-across-africas-informal-economy/)). Shipment numbers were not published.

## The wider gap

Across Africa, 63% of people live where mobile internet is available but do not use it ([GSMA](https://www.gsma.com/solutions-and-impact/connectivity-for-good/mobile-economy/wp-content/uploads/2026/06/The-Mobile-Economy-Africa-2026.pdf)). The network is there; the phone and the data cost are the barrier.

## What it means for young Somalis

Today's basic-phone user is tomorrow's smartphone user. Anything built for Somalis has to work on a basic phone now, and be ready for the smartphone that young people will soon hold.

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