Customers with 5G compatible devices can now enjoy the 5G experience using their existing 4G SIM Cards. PHOTO/ EDGAR R. BATTE
The promise of the roll-out of 5G connectivity, which had peaked at the end of 2023, was largely muted and slow in 2024, with investments so far denoting a long way to go before Uganda achieves substantial progress in that regard.
Remember the hype around 5G technology? Yes, the promise of super fast internet speeds, seamless connectivity, and a digital revolution that would transform the economy. By now, many Ugandans know about the apparent transformation in internet connectivity, but have yet to the test the fruits of a hype that peaked at the end of 2023.
To put this into perspective, the 5G technology is wireless communication that offers faster internet speeds (100 times faster than 4G) for smoother downloads, streaming, and browsing experiences.
It also offers reduced latency for real-time applications such as augmented reality and gaming and enhanced capacity to support more connected devices.
It's been over four years since the extensive trials and initial testing of the technology by MTN and approximately a year since MTN and Airtel launched commercial 5G technology.
In 2023, according to the GSMA report - 5G in Africa 2023 market status, trends and outlook, Uganda joined at least 17 countries that had launched commercial 5G technology, some of which, such as South Africa, Madagascar, Seychelles, and Togo, had launched as early as 2020.
In Uganda, MTN, according to the report, was the first to hit the ground running by collaborating with Huawei and Hima Cement to launch the country’s first 5G industrial use case at a Hima Cement plant.
In the same year in July, Sylvia Mulinge, the MTN chief executive officer, had said the telecom planned to roll out full 5G coverage in Kampala by the end of 2024 and convert all its base sites in major cities to 5G in the next two years.
However, fast forward to 2024, the landscape has had dismal changes, with the two leading telecoms making baby steps towards deploying 5G technology.
As of today, Rhona Arinaitwe, the MTN senior manager of communications, public relations, and stakeholder management, says the telecom has so far deployed an “impressive” 538 5G sites across Uganda, which has seen MTN’s 5G subscriptions more than double from 116,158 to 240,712.
However, the converged sites are just a small portion of the telecom’s base stations spread across the country.
As of October 2023, MTN reported “accelerated investment in our core connectivity business and rolled out an additional 475 base stations,” which brought the total number of sites to 3,075.
Thus, the 538 5G sites represent a conversion rate of just 17.49 percent, which is relatively small to achieve a fully converged Kampala by the end of 2024 and major cities across the country in the next two years.
Away from MTN, Airtel says it has rolled out over 100 5G sites, which David Birungi, the Airtel public relations manager, says has been a rapid expansion that has seen a significant increase in 5G subscriptions.
"There has been tremendous growth in the number of subscribers supported by Airtel's 5G offering," he says, but does not offer real figures to illustrate the “tremendous growth”.
It is difficult to estimate the number of base stations under Airtel, however, as of June 2024, the telecom reported it had rolled out an additional 140 4G sites to support its commitment to enhance digital inclusion over the long-term.
However, no details have been reported on the progress of its 5G rollout, save for the rollout of 21 5G sites around Kampala in August 2023.
Beyond the slow rollout, those who have had an opportunity to use 5G report a faster browsing experience, which definitely would be a relief to the perennially slow, yet expensive internet across Uganda.
"I have used 5G previously for some of my work. It definitely provides a smoother and faster browsing experience. It would be exciting to see how far this technology can be embraced and accommodated in Uganda." Felix Mutebi, an IT specialist, says.
But even where access has been enabled the challenge remains in accessing the right devices, which are currently in low supply.
According to Arinaitwe, the primary challenge of 5G usage lies in device accessibility, which she notes that “5G-compatible devices remain relatively expensive, limiting the adoption of the technology".
The 2024 National Housing and Population Census indicates that 43 percent of Ugandans aged 10 years and above own a mobile phone, which is approximately 13.6 million people – an increase of 2.6 million people in comparison to the 2014 census.
However, many of these own more than one Simcards, which, as of June 2024, had driven the number of mobile phone subscriptions to 38.5m .
A report by Uganda Communications Commission for the period ended June 2024 indicates that majority of mobile phone subscribers, which is a key factor in enhancing internet connectivity, own feature phones, even as there has been a substantial growth in the number of smart phone owners.
For instance, the report indicates that as of June 2024, at least 2.3m subscribers owned basic phones, while 25.8m and 16.7m owned feature and smart phones, respectively.
However, the report does not indicate how many smartphones are 5G-enabled.
Majority of smartphone users have devices that are either compatible with 3G or 4G and still many are unable to upgrade due to cost-related challenges.
Cost of interent
Uganda is also still struggling to grow internet connectivity due to cost related challenges.
Currently, there are about 16.4m internet subscribers, according to UCC, but majority of these have been inhibited from using the internet due to the cost of bundles.
Thus, even with the rollout of 5G, uptake will likely remain low if the cost remains prohibitively high.
According to UCC, Ugandans currently spend more on the internet than any other telecom service.
For instance, in the period ended June, mobile phone internet subscribers spent an average of Shs8,232, which was an equivalent of four megabytes (MBs) in three months.
This was moderately higher compared to the Shs4,534 and Shs449 spent on on-net and off-net voice calls, respectively and Shs148 spent on short text messages.
Thus, beyond the challenges of access and investment, cost will remain a challenge to 5G connectively and will delay the anticipated gains.
A UCC report noted a reduction in internet usage, which declined to 79.6 million gigabytes in the three months to June 2024, from 138.5 million gigabytes in the same period ended March 2024.
However, MTN and Airtel, despite all the challenges, have advanced investment in key facilities such as home-based internet to address connectivity and affordability issues as well as introduce customised bundles, especially for 5G subscribers.
In addition to this, Arinaitwe and Birungi say their respective telecoms have committed to address existing challenges by exploring innovative solutions that make 5G more accessible and affordable and invested ahead of need.
