The digital divide—a wide gap that has kept billions from the opportunities of the internet era—may finally begin to close.
This week, the GSM Association (GSMA) announced the creation of the Handset Affordability Coalition, an alliance of mobile operators, device manufacturers, international organisations, and financial institutions. The global initiative is focused on improving access to affordable smartphones for low- and middle-income populations, with particular emphasis on Africa and Asia.
Central to the coalition’s work is tackling the “usage gap”: roughly 3 billion people, or about 38% of the global population, live within reach of mobile broadband networks but remain offline. The primary obstacle is the high cost of internet-capable devices, which prevents many from connecting and taking part in digital life.
Addressing handset affordability is especially important in low- and middle-income countries (LMICs), where mobile broadband is often the main or only route to the internet. Entry-level mobile devices can represent a heavy financial burden: on average they consume about 16% of monthly income in these regions, and for the poorest 20% of households that figure can rise to 55%.
Mats Granryd, director general of the GSMA, emphasized the urgency: “Mobile has helped billions participate in our increasingly digital world, but the cost of entry remains too high for many on low incomes. Together with global mobile operators and the support of the World Bank Group and other coalition members, we’re determined to tackle this issue.”
What else will this initiative address?
The coalition will pursue multiple strategies to lower device costs, including innovative financing mechanisms backed by the World Bank Group. These measures aim to reduce investment risk for affordable handset programs, enabling new markets and sustainable business models that bring smartphones within reach for low-income communities.
Guangzhe Chen, Vice President for Infrastructure at the World Bank, highlighted the coalition’s transformative potential: “Making internet-connected devices more affordable is essential to accelerate digitalisation in developing countries and ensure no one is left behind. Digital technologies can drive growth, create jobs, and expand access to education and healthcare—but people must first be connected.”
The coalition aligns with global efforts to close the digital divide. Doreen Bogdan-Martin, Secretary-General of the International Telecommunication Union (ITU), noted the coalition’s contribution to universal connectivity goals: “Devices remain out of reach for too many. With the 2025 Broadband Commission affordability target approaching, this global coalition complements ongoing efforts to improve smartphone access.”
What distinguishes this coalition is its broad, collaborative approach. By uniting stakeholders across the mobile ecosystem—including device original equipment manufacturers (OEMs) and the wider device supply chain—the initiative intends to develop creative strategies beyond conventional cost-cutting, focusing on scalable, sustainable solutions.
The GSMA will act as facilitator and catalyst, encouraging collaboration among members, unlocking partnerships, and developing best practices for deploying new models that narrow the usage gap. While handset affordability has long been a concern and companies have consistently worked to reduce device prices, the coalition’s unified effort is designed to accelerate progress and deliver more impactful results.
As digital life becomes more central to education, healthcare, work, and economic participation, the Handset Affordability Coalition represents an important step toward including millions who remain excluded. By lowering the barrier to device ownership, the initiative aims to open pathways to services and opportunities for people currently outside the digital economy and empower them to participate fully in the global digital landscape.
(Image Credit: GSMA)
See also: GSMA: Smartphone ownership surpasses 50% yet digital divide persists
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