South Africa Targets 60% Data Cost Reduction by 2029
South Africa’s Department of Communications and Digital Technologies has prioritized data affordability as part of a broader government strategy to achieve meaningful connectivity nationwide. Minister Solly Malatsi outlined the targets in a Parliamentary response to National Assembly member Wiseman Ngobese, detailing measures to lower communication expenses and expand internet access across the country.
The Medium-Term Development Plan (MTDP) for 2025–2029 establishes an end-term objective to cut data costs by 60%. While the Department’s 2026/27 Annual Performance Plan (APP) does not list a separate yearly percentage target, it introduces a market analysis study within the Digital Society and Economy program to evaluate pricing, competition, cost drivers, and affordability.
Evaluating Communication Costs and Market Drivers
Malatsi stated that data prices have already dropped by 35% to 40% since 2025, broadening consumer access to the internet. The Department utilizes a Cost to Communicate Programme of Action to identify policy and strategic interventions covering mobile data, fixed data, voice services, and smart devices.
The planned market analysis study will assess the communications sector to guide upcoming regulatory and ministerial interventions. The Department continues to track pricing trends against the benchmarks set in the MTDP 2025–2029 framework.
Expanding Household Connectivity and Public Infrastructure
Beyond pricing reforms, the Department focuses on increasing household internet penetration and public access. The MTDP 2025–2029 aims for 60% of households to be connected via fibre, alongside a target of over 50% having fixed connectivity.
The 2026/27 APP outlines implementation targets directed at underserved communities:
- Connecting 2,000 government and public facilities—including schools, clinics, hospitals, libraries, and traditional offices—through universal service obligations.
- Verifying 20% of connected public Wi-Fi sites, equivalent to 1,143 out of 5,714 active sites.
- Deploying SA Connect Wi-Fi to bring internet access to low-income and rural areas.
- Zero-rating national government e-services so users can access essential public platforms without data charges.
Frequently Asked Questions About South Africa’s Data Cost Strategy
What is the main target for data cost reductions in South Africa?
The Medium-Term Development Plan 2025–2029 sets an end-term target of a 60% reduction in data costs to make digital communications more accessible for all citizens.
How much have data prices already fallen?
According to Minister Solly Malatsi, data prices have declined by 35% to 40% since 2025, improving affordability for consumers across the country.
What public facilities are scheduled for internet connection?
The Department plans to connect 2,000 government and public facilities under universal service obligations, including schools, hospitals, clinics, libraries, and traditional offices.
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