Canalys said the continent is led by Egyptian growth and a turnaround in Nigeria but Algeria and Morocco saw reversals
Africa’s smartphone market recorded another quarter of solid expansion in Q2 2025, according to the latest figures from Canalys, reinforcing the continent’s position as one of the world’s fastest-growing mobile regions. Shipments rose 7% year-on-year to 19.2 million units, marking the ninth consecutive quarter of growth at a time when the global smartphone market has slowed.
Canalys attributed the momentum to easing inflation across key economies including Egypt, Nigeria and South Africa, as well as greater currency stability, which improved consumer purchasing power. They expect Africa to deliver a compound annual growth rate of 2.1% between 2025 and 2029, outpacing worldwide averages.
Despite the seemingly healthy growth, smartphones have only just surpassed half of total connections across Africa, with feature phones still deeply entrenched in low-income communities, highlighting an interesting dilemma for handed manufacturers. Rural markets are emerging as the next major battleground, where limited or no access to traditional banking is driving demand for mobile money, fintech and digital services.
Go Egypt
Egypt posted the most striking increase, with shipments up 21% thanks to expanding local manufacturing capacity and heightened demand during the Eid promotion season. Nigeria returned to positive territory with a 10% rise, helped by a stronger naira and declining inflation. South Africa grew by 2% overall, but 5G smartphones jumped 63%, attributed to affordable financing plans and wider operator partnerships. Kenya slipped by 2%, Algeria fell by 27%, and Morocco contracted by 7%, while Senegal managed a 3% increase.
“Demand for ultra-low-cost smartphones is reshaping Africa’s market, with sub-$100 models soaring 38% in Q2 and keeping average selling prices on a downward trend since 2023,” said Canalys principal analyst Manish Pravinkumar.
On the vendor front, Transsion remained the market leader with a commanding 51% market share, growing shipments 6%, though the firm faces pressure to climb the value chain despite Tecno’s advances in mid-range devices. Samsung expanded shipments by 3% to capture 18% market share, widening its footprint beyond South Africa into Egypt and Nigeria through stronger distribution and launches such as the Galaxy A06.
Xiaomi grew 32% to secure third place with a 14% share, benefiting from rapid channel expansion and local investment, particularly in Nigeria and Egypt. Honor delivered the most dramatic growth, with 161% year-on-year to claim 4% market share through operator tie-ups and popular devices like the X7c and 400 Lite, with South Africa now contributing 64% of its regional business. Meanwhile, Oppo’s shipments declined 11% to 4% market share as it restructured, though it continues to invest in Egypt with new retail outlets, including its first combined Experience and Service Store at Cairo’s Citystars Mall.
The smartphone gains reflect a broader transformation as the continent shifts from being just a consumption hub to becoming an assembly base, with Egypt and Ethiopia leading local manufacturing efforts, while Uganda and Algeria build smaller production ecosystems. “Made in Africa is fast becoming a necessity,” Pravinkumar said, unlocking cost advantages and utilising regional trade agreements that cut tariffs and spur local manufacturing.
The developments echo wider trends in Africa’s mobile sector, where operators are pursuing collaborative strategies to extend coverage. Earlier this month, Airtel and Vodacom announced a network infrastructure-sharing agreement in Mozambique, Tanzania and the Democratic Republic of Congo, a move aimed at accelerating rollouts in underserved areas while easing capital burdens.
