Vodacom SA launches $14 cloud-based phone

Vodacom South Africa has introduced a cloud-based mobile phone aimed at reducing the cost of smartphone access in the country and accelerating customer migration from legacy networks to modern 4G networks.

"The new cloud-based phone leverages the power of cloud computing to deliver a range of features typically associated with [entry-level] smartphones at a more affordable cost," Vodacom said in a statement.

The cloud-based phone comes standard with popular applications such as YouTube, TikTok and Facebook, all accessed via the cloud, giving users a "smartphone lite" experience.

"As smartphone penetration continues to rise, with many South Africans now owning a smartphone, the digital divide remains a challenge, among those who still rely on 2G and 3G networks," said Davide Tacchino, managing executive for terminals at Vodacom South Africa.

"At Vodacom, we remain committed to bridging the digital divide by providing affordable devices – which explains why we have introduced this cloud-based model to offer lite smartphone benefits to those who traditionally cannot afford them," he added.

Vodacom said the device will retail for 249 South African rand (US$14) and has 48MB RAM plus 128MB ROM with a 2.8-inch screen and a 1000mAh battery.

"The cloud phone will also help customers still anchored to 2G phones and not familiar with the touch screen experience, allowing them to appreciate a smooth transition to the data and application world," Tacchino added.

Accelerating device affordability

A report by the Broadband Commission for Sustainable Development in 2022 – which was supported by Vodacom's parent company, Vodafone Group – argued that lowering the cost of devices is key to increasing access to smartphones.

The Alliance for Affordable Internet estimates that a smartphone priced at R1,094.24 ($62) could cost almost 63% of the average monthly income across Africa.

The Broadband Commission's report recommended that so-called "thin-client phones" – like Vodacom's cloud-based phone – should be explored.

The Commission said these types of devices contain only a bare-bones operating system capable of operating a browser and rely exclusively on cloud-based applications accessed through that browser.

"This design eliminates the need for local storage, simplifies the necessary operating system, and minimizes the hardware required to support the device," the report said.

Vodacom's new cloud-based device will retail for R249 ($14) and has 48MB RAM plus 128MB ROM with a 2.8-inch screen and a 1000mAh battery.(Source: Vodacom)

Tacchino said that as technology continues to evolve, operators must ensure customers are not left behind.

"Through greater collaboration between governments, mobile operators and everyone across the value chain, we believe we can make strides to work together to lower 4G-enabled smartphones prices," he added.

African mobile operators have been working to reduce the cost of devices for some time, including offering lower-cost smart-feature phones and partnering with tech companies on smartphone financing deals.

In July 2024, a coalition including mobile operators, vendors, the International Telecommunication Union (ITU), Smart Africa, the GSMA and the World Bank announced plans to improve handset affordability for lower-income populations, including in sub-Saharan Africa.

Coalition members include African telecoms operators Vodacom, MTN, Orange, Axian Telecom and Ethio Telecom.

— The Staff, Connecting Africa