Hormuud Telecom has launched a smartphone financing initiative in partnership with Get-Phone, targeting low income users who have historically been locked out of smartphone ownership due to high upfront costs. The programme, introduced in Mogadishu, represents a significant step in expanding digital access in one of Africa’s fastest growing but still underserved telecom markets.
The initiative is built around a pay as you go or instalment based model, allowing users to acquire smartphones without paying the full cost upfront. Instead, customers can spread payments over time, making devices more affordable relative to income levels. In many African markets, including Somalia, the cost of a basic smartphone can represent several months of earnings for low income households, creating a major barrier to digital inclusion.
This financing approach is not entirely new globally, but its application in Somalia is particularly notable given the country’s unique economic structure and rapid mobile sector development. Somalia has one of the most advanced mobile money ecosystems in Africa, largely driven by Hormuud’s widely used EVC Plus platform, which allows users to make payments, transfer money, and conduct business transactions digitally. By linking smartphone ownership with existing mobile payment systems, the programme is expected to integrate seamlessly into daily economic activity.
According to data from the GSMA, Sub Saharan Africa remains one of the regions with the largest usage gaps between mobile network coverage and actual smartphone adoption. While network infrastructure has expanded significantly, millions of people still rely on basic feature phones due to affordability constraints. The GSMA has consistently highlighted device cost as one of the biggest barriers to internet access on the continent.
In Somalia, the gap is even more pronounced. Although mobile penetration is relatively high, smartphone usage remains limited compared to more developed markets. This restricts access to digital services such as e learning, telemedicine, e commerce, and digital banking, all of which increasingly require smartphone functionality.
The Hormuud Get-Phone initiative aims to address this structural issue by lowering the entry barrier. By enabling users to acquire smartphones through manageable instalments, the programme is expected to accelerate the transition from feature phones to internet enabled devices. This shift has broader implications for economic development, as increased connectivity can drive productivity, innovation, and access to opportunities.
Beyond affordability, the initiative also reflects a growing trend of telecom operators expanding beyond traditional services. Companies like Hormuud Telecom are increasingly positioning themselves as digital ecosystem providers, offering not just connectivity but also financial services, devices, and platforms that enable participation in the digital economy.
The financing model is likely to include safeguards such as device locking mechanisms tied to payment completion, a system commonly used in similar programmes globally. This ensures that users remain committed to repayment while still benefiting from immediate access to the device. Such models have seen success in other African markets, including Kenya and Nigeria, where pay as you go smartphone schemes have significantly increased adoption rates.
However, the success of the programme will depend on several factors. Affordability remains relative, and even instalment payments must align with the income realities of target users. Additionally, access to reliable internet data packages is critical. A smartphone without affordable data remains underutilised, meaning that device financing must be complemented by competitive data pricing.
There are also broader infrastructural and policy considerations. While Somalia’s telecom sector is largely private sector driven and has shown remarkable resilience, challenges remain around regulation, digital literacy, and rural connectivity. Expanding smartphone access without addressing these factors could limit the full impact of the initiative.
At the same time, the potential upside is significant. Increased smartphone penetration can unlock new markets for digital services, attract investment, and support the growth of local tech ecosystems. Entrepreneurs and small businesses, in particular, stand to benefit from improved access to online platforms, digital payments, and communication tools.
For low income users, the impact is more immediate and personal. Access to a smartphone can transform how individuals communicate, learn, and earn. From accessing online education resources to participating in digital marketplaces, the opportunities created by connectivity are substantial.
The launch of this programme signals a shift toward more inclusive digital strategies in Africa. Rather than waiting for incomes to rise, companies are innovating around affordability to bring services within reach of underserved populations. This approach aligns with global development goals focused on bridging the digital divide and ensuring that technological progress benefits all segments of society.
As Hormuud Telecom and Get-Phone roll out the initiative, attention will be on adoption rates and long term sustainability. If successful, the model could be replicated in other markets facing similar challenges, reinforcing the role of innovative financing in expanding digital access across Africa.
