Remember that first phone feeling? Why having a smartphone means so much more today

South Africans have long cherished their mobile phones. Today, a smartphone represents much more than a milestone—it's a gateway to work, education, and daily life. However, not everyone can afford this gateway. While most South Africans can recall their first cell phone, either a rugged Nokia 3310 or a sleek Motorola Razr, access to smartphones remains a challenge for many.

According to a 2018 Pew Research Centre survey, only about half of South Africans owned a smartphone, with four in ten still relying on basic or feature phones, and nearly one in ten having no phone at all. The GSMA Mobile Economy Africa Report 2026 reveals that an entry-level smartphone costs roughly 24% of a monthly income in low- and middle-income countries across sub-Saharan Africa.

Traditional contracts often fail to bridge this gap. Around 16.9 million consumer records had no credit activity, making it difficult for these individuals to secure a traditional network contract. To address this issue, the National Treasury removed the 9% luxury excise duty on smartphones priced under R2,500 in April 2024, leading to an estimated 1.1 million additional entry-level smartphones sold and a decrease in feature phone sales.

Alternatively, smartphone rental solutions, such as those offered by PayJoy—a global fintech and public benefit organisation serving over 20 million customers across nine countries including South Africa—have emerged as a viable option. PayJoy's country manager, Deon Verster, explains that many South Africans are denied traditional cellphone contracts due to the lack of a credit history.

PayJoy provides a fair and transparent way to acquire a smartphone while simultaneously building a credit profile. This approach not only helps people upgrade their devices but also enables them to participate in the smartphone economy. For many, a smartphone is now essential for job applications, school communications, financial transactions, and navigating unfamiliar cities.

The excitement of obtaining a new phone remains, but the significance of having one has evolved. A smartphone is no longer just a cherished possession; it's a tool that opens doors to economic opportunities. Therefore, ensuring that everyone has the chance to benefit from a smartphone is crucial.