Microwave Connectivity and MVNO Growth Drive South Africa’s Telecom Evolution in 2025

In October 2025, the Africa Analysis Team published its first-ever Microwave Connectivity Market Report for South Africa, marking a significant milestone in the country’s telecommunications research landscape. The report reveals that microwave broadband continues to play a critical role in bridging the structural gaps that remain in South Africa’s national fibre coverage. Despite rapid fibre expansion, microwave technology remains indispensable for providing enterprise-grade connectivity, resilient mobile backhaul, and affordable broadband access—particularly in peri-urban and rural regions where fibre infrastructure is less feasible.

According to the report, South Africa had approximately 176,500 active microwave links in 2024, generating over ZAR 8 billion in annual revenue. The study also highlights a gradual shift toward hybrid fibre–microwave network architectures, reflecting a growing trend toward integration and flexibility in broadband deployment strategies. Additionally, there is increasing utilization of E-band and mmWave spectrum and growing participation from regional wireless internet service providers (WISPs) and wholesale network enablers. While overall market growth is projected to be modest—at a compound annual growth rate (CAGR) of around 2.9% over the next five years—microwave technology is expected to remain a cornerstone of South Africa’s digital infrastructure strategy. It will continue supporting high-speed, low-latency, and SLA-backed connectivity across business, government, and community networks.

Earlier in May 2025, Africa Analysis released another major publication—the 2025 South Africa MVNO Market Outlook Report, now in its third consecutive year. This report presents an in-depth view of the country’s evolving mobile virtual network operator (MVNO) ecosystem, which has become increasingly competitive and diverse. By 2025, South Africa had 38 launched MVNO brands and 21 active operators, with the subscriber base growing to 3.8 million in 2024, representing a 19% year-on-year increase.

A major highlight of the MVNO report is the rapid expansion of mobile virtual network enabler (MVNE) platforms, which grew from only two in 2020 to eleven by mid-2025. Furthermore, MTN and Vodacom have joined Cell C as MVNO hosts, signaling a more diversified and dynamic wholesale mobile environment. This evolution has created new opportunities for financial institutions, retail groups, and digital brands to extend customer engagement through mobile services. Brands such as Capitec Connect, FNB Connect, and Shoprite’s K’nect Mobile are leading this wave of growth and innovation.

Looking ahead, the 2025 MVNO Outlook forecasts sustained market acceleration, with South Africa’s MVNO subscriber base projected to reach between 12.3 million and 15.9 million by 2030. The momentum will be driven by the continued entry of new players, the proliferation of digital ecosystems, and the demand for more personalized, affordable connectivity options. Together, these two Africa Analysis reports offer a detailed snapshot of South Africa’s telecommunications landscape in 2025—highlighting how both microwave and MVNO technologies remain vital to the country’s digital transformation journey.