Smartphones are the main means of accessing mobile internet. However, their cost remains a major obstacle, limiting adoption and restricting access to essential digital services.
Mobile phone company Yas Tanzania, a subsidiary of Axian Telecom, is implementing a smartphone financing program in partnership with Chinese manufacturer ZTE, according to local press reports. Through this initiative, which allows customers to purchase devices with installment payments, the telecom operator is giving itself the means to consolidate its position in the national market, particularly in mobile internet.
“At Yas, our mission goes beyond providing connectivity. We want to empower Tanzanians with affordable smartphones and reliable internet, opening up opportunities in education, business and daily life,” Yas Chief Commercial Officer Jorge Soto said last week at the launch of the Chinese company’s new phone models, according to Daily News.
The Global Mobile Phone Association (GSMA) highlights the cost of compatible devices, particularly smartphones, as one of the main barriers to mobile internet adoption. In 2023, approximately 40 million Tanzanians did not use mobile internet at all, placing the country fourth in Africa for usage gap, tied with the DRC. Tanzania had a population of 66.6 million that year, according to the World Bank.
However, the country had 92.7 million mobile subscriptions at the end of June 2025, according to the Tanzania Communications Regulatory Authority (TCRA). The actual number of subscribers is lower, however, as a single person can hold multiple SIM cards, each counted separately. The regulator further specifies that these subscriptions are mostly for basic phones (84.97%), compared to only 36.75% for smartphones.
The introduction of affordable smartphones could therefore allow Yas to attract new internet subscribers, previously held back by the high price of the devices. At the end of June 2025, the operator held a 28.8% market share in mobile internet, or 15.5 million subscribers, just behind Vodacom (32.8%). The rest of the market is shared between Airtel (20.3%), Halotel (15.1%), and TTCL (3%).
The partners link the increase in smartphone penetration to the rise in internet usage to meet needs such as digital entertainment, e-learning, mobile payments, and business connectivity. This dynamic could automatically translate into increased revenue for the operator. In the first half of 2025, the company contributed 33% of Axian Telecom Group’s revenue, which amounted to $775 million, or $255.75 million.