The telecom industry is increasingly facing the environmental consequences of its growth. As mobile devices, network equipment, and related technology proliferate, so does the electronic waste across the globe.
In Africa alone, the continent generates approximately 2.5 million tons of e-waste annually, with millions of smartphones, routers, and base station equipment reaching end-of-life each year. Yet, this challenge is also creating a unique opportunity: the rise of telecom refurbishment and its role in driving a circular economy.
Exclusive on the Circular Economy: An Opportunity or an Obstacle to Africa’s Digital Transformation?
From Linear to Circular Models
Traditionally, the telecom sector operated on a linear “take-make-dispose” model. Manufacturers produce devices, consumers use them, and eventually, they are discarded. This approach not only contributes to environmental degradation but also leads to the loss of valuable materials, such as rare earth metals and precious metals, embedded in electronic components.
Telecom refurbishment, however, offers an alternative. By extending the life of devices and equipment through repair, upgrade, and resale, the industry can minimize waste, recover resources, and reduce the carbon footprint associated with manufacturing new products.
Good for the Environment, Good for the Citizen
In Africa, telecom refurbishment is becoming particularly significant, especially since the continent’s digital ecosystem is being driven by smartphone usage (set to reach 87% by 2030), mobile money platforms (which account for 51% of the global mobile money market), and broadband connectivity initiatives, which connected 160 million Africans in 2024.
Going beyond sustainability to encompass the citizen perspective, affordability remains a key barrier for many consumers. Refurbished devices provide a practical solution, enabling wider access to technology while simultaneously reducing e-waste.
Several African operators have started initiatives to capitalize on this opportunity. Launched in 2022, Vodacom’s ‘Good as New’ program reconditions devices (smartphones, tablets, modems, notebooks, routers) from returns and third parties. In 2023, over 60,000 refurbished ‘Good as New’ items were sold across Vodacom’s markets, as per the GSMA. It also runs a buy-back initiative, allowing customers to trade in older devices (prepaid/postpaid) in exchange for discounts on new devices.
In 2024, Orange Middle East and Africa increased its circular economy efforts by collecting 284,000 used mobile phones, which were equal to 28.5% of its annual phone sales in the region, as per its 2024 Corporate Social Responsibility (CSR) Report.
Network Equipment and the Circular Economy
Refurbishment is not limited to consumer devices. Telecom operators are also applying circular principles to network equipment, such as routers, switches, and base station hardware. Upgrading and redeploying equipment instead of discarding it reduces operational costs and environmental impact.
Ericsson, for instance, has implemented refurbishment programs for network equipment, allowing hardware to be reused across different markets or sold to emerging network operators. Their Refurbished Network Equipment offering was introduced around 2021 to help promote circularity.
In Africa, refurbished network equipment enables smaller operators to expand coverage without the prohibitive cost of brand-new infrastructure, bridging the digital divide while promoting sustainability.
Environmental Benefits
Environmentally, refurbishment reduces the need for raw material extraction, decreases greenhouse gas (GHG) emissions from manufacturing, and reduces the volume of e-waste entering landfills. According to the Global E-waste Monitor 2022, 22.3% of electronic waste is formally recycled, highlighting the potential for refurbishment initiatives to make a significant environmental impact.
New research by the GSMA has shown there are over 5 billion inactive used mobile phones globally. This highlights the importance of the GSMA’s ‘Strategy Paper for Circular Economy: Mobile Devices,’ which envisions “devices with as long a lifetime as possible, made with 100% recyclable and recycled content, 100% renewable energy, and where no device ends up as waste.”
Dual Circularity Intersection
As Africa continues to embrace digital transformation, telecom refurbishment will play an increasingly vital role in sustainable growth. Operators that integrate circular economy principles into their strategies stand to benefit not only environmentally, but also socially.
In conclusion, telecom refurbishment exemplifies how innovation and sustainability can intersect, turning a growing e-waste challenge into an opportunity. As more operators, entrepreneurs, and governments embrace this approach, Africa can lead the way in the circular economy in the digital age.
