MTN South Africa is taking a bold step toward bridging the digital divide by offering over 1.2 million prepaid customers access to 4G-enabled smartphones for as low as 99 rand (approximately $5.42), as the country gears up to retire legacy 2G and 3G networks.
Announced on Monday, the initiative is aimed primarily at low-income households and will unfold in three phases from May 2025 through the end of 2026. The rollout comes in response to South Africa’s upcoming shutdown of all 2G and 3G services by December 31, 2027, as part of government efforts to reallocate radio spectrum for more advanced 4G and 5G technologies.
Phased Rollout to Reach Over a Million Users
The first phase of the programme will involve 5,000 Gauteng-based customers—selected based on usage patterns, spending behaviour, and loyalty—receiving a 4G smartphone. In the second phase, MTN will expand the offer to 130,000 customers across South Africa before targeting over 1.1 million users in the final phase.
With 39.8 million subscribers in the country—29.9 million of whom are on prepaid plans—MTN aims to gradually transition its base to modern, internet-enabled devices that can fully leverage its evolving network infrastructure.
Device Subsidies and Operational Commitment
The initial devices offered include the Itel 5.5-inch smartphone, currently priced at 740 rand in retail stores. MTN has committed to covering between 150 and 190 rand per device in operational costs, including logistics, marketing, and customer support. Future device models in the programme will range from 800 to 1,100 rand in value.
“The goal is to empower more South Africans with access to digital tools and services, regardless of their income level,” the company noted in a statement.
Concerns Over Digital Exclusion
While the programme is being hailed as a step toward broader digital inclusion, some critics have raised concerns that the rapid transition away from 2G and 3G could leave the most vulnerable populations—particularly in remote areas—without access to mobile services if they are unable to upgrade in time.
MTN’s initiative, however, signals a proactive approach to easing that transition. By offering deeply subsidised devices and targeting loyal prepaid customers, the telco is positioning itself as a key player in South Africa’s mobile evolution.
As telecom operators across the continent begin preparing for the 2G/3G sunset, MTN South Africa’s strategy could serve as a model for inclusive digital transformation in emerging markets.
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