Network coverage is expanding, mobile data prices are falling — yet internet adoption in Madagascar remains low. A GSMA report presented in Antananarivo on 16 October 2026 makes the diagnosis clear: it is the price of smartphones that is blocking the island's digital takeoff.
A Paradox That Puzzles Operators and Policymakers
For several years, telecom operators have heavily invested in network infrastructure across Madagascar. Mobile coverage has expanded significantly across regions, including previously unreachable rural areas. Meanwhile, mobile data tariffs have fallen, making connectivity theoretically more affordable for a growing share of the population.
Yet effective mobile internet adoption stagnates. The number of active mobile web users remains structurally below deployed network capacity. This paradox — improving infrastructure without generating expected usage — challenges both public and private actors in Madagascar's digital sector.
Device Prices: The Primary Barrier, Per GSMA
The GSMA (GSM Association) report, presented on 16 October 2026 at an event in Antananarivo, delivers a clear answer: smartphone cost is the primary barrier to mobile internet adoption in Madagascar. This confirms an economic reality often underestimated in connectivity discussions: network access is not enough if the device to connect with remains financially out of reach.
In Madagascar, where average incomes remain among the continent's lowest, an entry-level smartphone can represent several weeks of revenue for a large share of the population. This device-affordability barrier creates a digital divide distinct from the network-access divide.
Avenues to Unlock the Market
In response, several avenues are being explored: device financing or leasing programmes through operators or microfinance institutions, reduced taxation on entry-level handsets, and partnerships with manufacturers offering devices adapted for low-income markets. The GSMA recommended targeted public policies to lower terminal costs, drawing notably on tax or customs exemptions.
Why It Matters
Madagascar's digitalisation is a prerequisite for modernising its economy, developing e-commerce, mobile payments and digital public services. If the bottleneck is now at the device level — not the network or tariff level — that is where public action and investors must focus. The affordable smartphone market for emerging economies is also a real commercial opportunity, to be seized now.
Sources: Financial Afrik, 21 October 2026; GSMA, report presented in Antananarivo, 16 October 2026.