A special report on telecoms in emerging markets: : Finishing the job | The Economist –

HOW long will it be before everyone on Earth has a mobile phone? “It looks highly likely that global mobile cellular teledensity will surpass 100% within the next decade, and probably earlier,” says Hamadoun Touré, secretary-general of the International Telecommunication Union, a body set up in 1865 to regulate international telecoms. Mobile teledensity (the number of phones per 100 people) went above 100% in western Europe in 2007, and many developing countries have since followed suit. South Africa passed the 100% mark in January, and Ghana reached 98% in the same month. Kenya and Tanzania are expected to get to 100% by 2013.

A special report on telecoms in emerging markets: : Beyond voice | The Economist –

The Farmer’s Friend service accepts text-message queries such as “rice aphids”, “tomato blight” or “how to plant bananas” and dispenses relevant advice from a database compiled by local partners. More complicated questions (“my chicken’s eyes are bulging”) are relayed to human experts, who either call back within 15 minutes or, with particularly difficult problems, promise to provide an answer within four days. These answers are then used to improve the database.

A special report on telecoms in emerging markets: : Eureka moments | The Economist

In the past few years the anecdotal evidence has been backed up by studies that measure the economic impact of mobile phones directly. One example is the analysis of fish prices on the coast of Kerala, in southern India, carried out in 2007 by Robert Jensen, an economist at Harvard University. By examining historical price data as mobile-phone coverage was extended down the coast between 1997 and 2001, Mr Jensen was able to show that access to mobile phones made markets much more efficient. Fishermen could call several markets while still at sea before deciding where to sell instead of taking their catch back to their home market and throwing it away if there were no buyers for it. This eliminated waste, dramatically reduced the variation in prices along the coast, brought down consumer prices by 4% and increased fishermen’s profits by 8%. Mobile phones paid for themselves within two months. Mr Jensen concluded that “information makes markets work, and markets improve welfare.”