East Africa's mobile industry to reach $4.6bn by 2029

The mobile industry in East Africa is on the brink of significant growth in 2025 and is projected to reach a staggering $4.6 billion by 2029. This growth is being primarily driven by technological advancements, increased smartphone penetration, and the expansion of digital ecosystems. Anthony Hutia, the Head of the Mobile Division at Samsung East Africa, shared his insights on the transformative potential of mobile technology in shaping industries, empowering communities, and driving economic development. In a recent interview with CNBC Africa, Hutia discussed some of the key drivers and contributors to the growth of the mobile industry in East Africa in 2025. One of the significant factors identified by Hutia is the role of AI in revolutionizing daily life experiences for individuals. He highlighted that AI adoption had surged in 2024 and is expected to reach new heights in 2025, with people integrating AI into their day-to-day activities. Additionally, enhancing 5G networks was another pivotal driver mentioned by Hutia. He emphasized that operators were focused on expanding 5G capabilities to meet the growing demands of consumers and businesses in the region. The push for 5G was deemed essential in supporting the increasing reliance on fast data and content creation by the tech-savvy Gen Z population. Hutia also shed light on the crucial role of mobile payments in driving financial inclusion in East Africa. Samsung has been a key player in this space, collaborating with local fintech providers to offer affordable installment payment options for consumers. This strategy has significantly boosted Samsung's sales, with a substantial contribution of around 50 to 60% coming from such partnerships. Wearable devices, powered by AI, were identified as another area of growth in the mobile industry. Hutia highlighted the rising trend of health-conscious consumers seeking wearables to track their fitness routines and health metrics effectively. Samsung's integration of AI in wearables was expected to drive further growth in this segment. Amidst the technological advancements and changing consumer preferences, Hutia emphasized the importance of addressing the diverse needs of different consumer segments. For instance, the focus on extending battery life and enhancing durability aimed to cater to older generations and millennials seeking quality and longevity in their mobile devices. Looking ahead to 2025, Samsung anticipates a growth rate of 15 to 20% in the East African mobile market. However, Hutia also highlighted challenges posed by increasing government taxes on mobile devices in various countries. He called for a more constructive approach to taxation that supports industry growth rather than stifling it. By implementing reasonable and predictable tax policies, governments could foster a conducive environment for the mobile industry to thrive and contribute significantly to the region's economic development. Overall, Hutia's insights underscored the immense opportunities and challenges within the East African mobile industry, signaling a promising yet dynamic landscape in 2025.