MobileActive.org

Mobile phones are revolutionising the lives of millions of people in East Africa and will continue to be the primary means for the great majority to access voice, data and Internet services. But mobile consumers in East Africa are taxed at some of the highest levels world-wide. In addition to VAT, an excise duty, or luxury tax, is levied on mobile services.

Recognizing that this tax hits the poor hardest, the GSM Association, the global trade association representing the interests of over 850 GSM mobile phone operators and over 180 manufacturers and suppliers worldwide, in collaboration with GSM Africa, commissioned Deloitte to analyze the effect that lowering excise duties would have on the industry and total government receipts.

The findings are very encouraging. By lowering the excise duty on mobile services, governments can expect higher level of tax and extend the essential mobile franchise to poorer sections of society. Today mobile phones are a basic need and not a luxury. All stakeholders will benefit if mobile services are taxed accordingly. As the governments in East Africa go into their budgeting rounds, we call for an urgent review of mobile taxation policies. Restructuring mobile taxes can be a win win-win solution for government, business and consumers.

The premise of this paper is that the explosive growth of mobile communications can be a powerful tool for addressing some of the most critical challenges of the 21st century, such as promoting vibrant democracies, fostering inclusive economic growth, and reducing the huge inequities in life expectancy between rich and poor nations.

The benefits of mobile communications are particularly profound for developing countries, many of which are “leapfrogging” the traditional fixed telecommunications infrastructure. As a result, billions of people in developing countries are gaining access to modern communications of any sort for the first time. There is no doubt that mobile communications are having a significant impact on the way Americans live, work and communicate with each other.

But the impact is no doubt more keenly felt by the African mother who can call ahead to determine whether a doctor is available to treat her sick child before traveling for hours. Obviously, mobile communications are not a panacea for the daunting challenges faced by the 2.7 billion people who live on less than $2 a day. Like any new technology, it has costs and risks as well as benefits, and some of the promised benefits will undoubtedly fail to materialize. It’s worth remembering that 19th century pundits thought the telegraph would inevitably lead to world peace, or that in 1922 Thomas Edison predicted the motion picture would “revolutionize our educational system … and supplant largely, if not entirely, the use of textbooks.”

But Columbia University’s Jeffrey Sachs may well be right when he concludes that “the cell phone is the single most transformative technology for development. With a few exceptions, the U.S. government is largely oblivious to the ways in which the rapid diffusion of mobile services (and other new technologies) could be used to improve the human condition. I believe that the next Administration should launch a major new initiative to harness the confluence of new technologies and innovative business models as a key component of its global development agenda. This initiative would be designed to serve as a catalyst for policy reforms in developing countries, promote an increased capacity for innovation by developing country entrepreneurs to meet local needs, and stimulate additional investments by philanthropists, foundations and companies. Such an initiative could reduce poverty, strengthen democratic institutions, and improve global health outcomes. It could also help restore some of the damage to America’s international reputation, boost America’s “soft power,” and position American businesses and workers to benefit from the growth of emerging markets in Africa, Asia, and Latin America.

This initiative would not be limited to mobile services, and might also include decentralized approaches to providing safe drinking water, new vaccines, therapies, point-of-care diagnostics, clean energy, and improved crops that are more productive, nutritious, and drought-resistant. Obviously, private sector investment in mobile communications for developing country markets will continue to grow. Even in the absence of enlightened U.S. government leadership, mobile services will become more ubiquitous, affordable, and versatile.  But the missed opportunity will be the failure to leverage this large and growing private sector investment for public purposes, such as ensuring fair elections, helping a community health worker save the life of a mother or young child, or giving a farmer or small business owner access to the credit they need to build a path out of poverty.

The number of mobile subscribers globally is estimated to have reached four billion in 2008 (ITU, 2008), with mobile penetration reaching 61%. Around 58% of subscribers are in developing countries, and subscriber growth in Africa – more than 50% per year – is the highest in the world. Studies have shown that this rapid increase in mobile penetration has contributed significantly to economic growth. Fuss, Meschi and Waverman (2005) looked at 92 countries, both developed and developing, to estimate the impact of mobile phones on economic growth for the period 1980 to 2003. They found that a 10% difference in mobile penetration levels over the entire sample period implies a 0.6% difference in growth rates between otherwise identical developing nations. The effect of mobiles was twice as large in developing countries as in developed ones (Waverman, 2005).

Mobile phones have brought three kinds of benefits (id21, 2007). First, incremental benefits, improving what people already do – offering them faster and cheaper communication, often substituting for costly and risky journeys. Fishermen in India, for example, can earn more money and waste less fish by phoning coastal markets to see which market has a shortage of supply. Second, transformational benefits that offer something new. Innovative applications, such as m-banking and m-commerce, are bringing banking services to millions for the first time, and enabling people to use mobile phones to pay for goods and services. Third, production benefits that result from the creation of new livelihoods, not only through professional telecommunications jobs but also through activities like re-selling air-time or phone cards. Since the liberalisation of Nigeria’s telecommunications sector in 2000, the industry has become a key source of new jobs in the economy, employing about 5,500 professionals, and responsible, indirectly, for another 450,000 jobs.

This paper will examine new applications of mobile and wireless technologies to the challenges of public health in the developing world, particularly the Least Developed Countries (LDCs). After a brief review of initiatives underway in Africa and India, the bulk of the paper will describe a national HIV/AIDS information system currently under development in Rwanda.

This system relies on a combination of internet technology and traditional telephony (both fixed and wireless) to connect even the most remote rural health clinics. Potential merits of this system will be examined in light of Heeks’ (2002) review of information systems projects in developing nations. This analysis will suggest that certain fundamental properties of wireless/mobile technologies are likely to increase the efficacy, scalability, and sustainability of public health information systems in low teledensity settings.

The paper applies both to the “mobile technologies for disadvantaged persons” as well as to the “doctors communicating with doctors” tracks. However, given the severity of the HIV/AIDS pandemic, and given its particular impact on the LDCs, it is important to consider these applications as critical tools in what can only be described as one of the biggest and most protracted “health care emergencies” the world has ever confronted.

The opportunities in South Africa for using mobile technologies to support initiatives in the HIV/AIDS sector are enormous. A huge number of people have cellphone access, and there are a range of innovative ways in which cellphones can be used to support treatment, disseminate information, provide anonymous counselling, gather data and link patients to services.

Cell-Life is an NGO based in Cape Town, South Africa, that seeks to improve the lives of people infected and affected by HIV through the appropriate use of technology.

This paper describes three pilot interventions that use cellphones for behaviour change communication; i.e. that are experimenting with different cellphone technologies to disseminate information, undertaken as part of Cell-Life’s Cellphones4HIV project: ARV adherence SMSs, USSD content delivery and content delivery via MXit. Challenges around measuring impact in behaviour change communications are briefly discussed, and some of Cell-Life’s upcoming initiatives are outlined.

As Kaplan points out in his 2006 literature review of the subject, “There is almost no literature on using mobile telephones as a healthcare intervention for HIV, TB, malaria, and chronic conditions in developing countries”. Although the initiatives discussed in this paper are very much in their infancy, we hope that by sharing our ideas and approaches with others in the field we will generate discussion around some of the practicalities of mHealth.

Mobile phones have grown at an extraordinary rate throughout the developing world in recent years. They are potentially an invaluable economic asset to the poor and an important tool for strengthening social ties. Mobile phones may also help women overcome physical boundaries, especially in places where they are separated from their support networks and bound within their husband’s social sphere.

This paper examines the impact of mobile phones on the status of women in India. Using nation-wide cross-sectional data at the individual level, the author builds on Jensen and Oster’s model for measuring women’s status. The author uses domestic violence, decision-making autonomy, child preferences and economic independence as proxies for bargaining power and status of women in their household and society.

Mobile phones significantly decrease both men and women’s tolerance for domestic violence, increase women’s autonomy in mobility and economic independence, but do not have significant effects on child preferences and other measures of autonomy. Where the effects are significant, they are also large and in some cases equivalent to more than five years of education. These results suggest that the Government of India and those of other countries should consider mobile phones as a policy instrument for empowering women.

This paper is part of a series that contributes to evidence-based Information Communication Technology (ICT) policy formulation and regulation on the continent by providing decision makers with the information and analysis necessary to assess the regulatory impact and policy outcomes of telecommunications reform against actual sector performance.

It reports on the findings of the second household and individual user survey of access and usage conducted by RIA between 2007 and 2008 across 17 African countries. It builds on the first household survey conducted by RIA in 2004/5 and a number of subsequent supply-side studies that have demonstrated that across the continent, even where there has been overall sector growth, sector performance has been sub-optimal.

For the most part, the primary national policy objectives of delivering affordable access to telecommunications have not been met. What the studies confirm is that mobile telephony is addressing the gap between those who have voice services and those who do not.

However, the divide between those able to access the Internet and the range of enhanced services that have become necessary for effective citizenry and consumer participation, and those not able, has widened. This is not only as a result of limited access but also due to the high cost of communications that not only inhibits access but also constrains individual communication and inflates the input cost to business. This demand-side survey provides insight into the continued marginalisation of large numbers of Africans, even from basic communications services, and confirms the sub-optimal use of communications services due to the high cost of access to services. 

The value attached to accessing and utilising communications is evident in the considerable portion of household income spent on communications and the multiple strategies used by individuals to maintain communication access according to their cash flow and the prices of alternatives. The willingness-to-pay model arising from the survey suggests that relatively small reductions in the cost of equipment and services would result in increased uptake and usage, with a significant growth in revenue for operators.

There is also evidence of considerable pent-up demand in countries such as Côte d’Ivoire, for example, where the amount that those without mobile services would be willing to pay for a handset is roughly the same price as the real cost of a handset.

What these findings indicate is that sector reforms have generally been sub-optimal. The introduction of limited competition particularly in mobile services has indisputably improved access particularly to voice services but insufficient competition or effective price regulation has constrained take-up and usage amongst those who have access to communication services and resulted in high prices.

In the context of the rapid growth of mobile phone penetration in developing countries, mobile telephony is currently considered to be particularly important for development. Yet, until recently, very little systematic evidence was available that shed light on the developmental impacts of mobile telecommunication.

The Information and Communication Technology for Development (ICT4D) program of the International Development Research Centre (IDRC), Canada, has played a critical role in filling some of the research gaps through its partnerships with several key actors in this area.

The objective of this paper is to evaluate the case of mobile phones as a tool in solving development problems drawing from the evidence of IDRC supported projects. IDRC has supported around 20 projects that cut across several themes such as livelihoods, poverty reduction, health, education, the environment and disasters. The projects will be analyzed by theme in order to provide a thematic overview as well as a comparative analysis of the development role of mobile phones. In exploring the evidence from completed projects as well as the foci of new projects, the paper summarizes and critically assesses the key findings and suggests possible avenues for future research.

SMS is everywhere, in an amazing diversity of applications. From enabling 'instant protest' in the Philippines, Spain and Albania, to election monitoring in Ghana, Lebanon, and Sierra Leone to HIV/AIDS education and support in Mexico and South Africa, we've seen that 160 characters can make a difference. This article covers the basics of setting up an SMS campaign system, looking at different approaches to suit your goals, budget and technical expertise.