MTN South Africa to offer 4G smartphones to 1.2m customers

• Published On: 06 May 2025 at 05:23

MTN South Africa has announced a significant program to deliver 4G handsets to 1.2 million of its prepaid customers at heavily subsidised rates, as the government prepares to phase out 2G and 3G networks by the end of 2027.

The telecoms company announced on Monday that it will sell handsets for as cheap as 99 rand (about \$5.42) to help low-income households move to speedier mobile technologies. The plan, which aims to promote digital inclusion, will be implemented in three parts between now and the end of 2026.

In the first phase, 5,000 carefully selected customers—based on usage patterns, purchasing habits, and length of time with MTN—will receive reduced phones, with initial distribution focused on Gauteng province. The second phase will benefit over 130,000 people across the country, with the final phase reaching over 1.1 million users overall.

"With the switch-off of 2G and 3G networks planned for December 31, 2027, we are taking bold steps to ensure that no one is left behind in the digital era," stated MTN South Africa CEO Charles Molapisi. "As we move towards 4G and 5G, connecting more South Africans is essential."

MTN, which has 39.8 million members in South Africa—29.9 million of them are prepaid—has announced that it will initially distribute the Itel 5.5-inch smartphone, which ordinarily costs 740 rand. Other versions priced between 800 and 1,100 rands will be added as the program grows.

The company intends to incur operational costs ranging from 150 to 190 rand per device, which will cover expenses like as logistics, call centre support, marketing, and customer incentives.

The effort answers concerns voiced by critics who claim that closing down legacy networks will exacerbate the digital divide, particularly in rural areas where low-income consumers may be unable to acquire 4G-compatible devices.