South Africa’s digital future hinges on how effectively its industries embrace the internet of things (IoT). From agriculture and mining to healthcare and logistics, connected devices are driving smarter decisions, greater efficiency and sustainable growth.
Yet many sectors still rely on global system for mobile communications-based connectivity (2G/3G/4G) to power their IoT deployments – a choice that increasingly exposes them to operational, financial and strategic risks.
With the planned sunset of legacy GSM networks by 2027 and the rise of low-power, scalable alternatives like Sigfox, the time to pivot is now.
Sector-by-sector analysis
Agriculture
| Risks with GSM | IoT network advantage |
| Poor rural coverage leads to gaps in data monitoring | Sigfox offers deep rural coverage and long range connectivity |
| High power consumption shortens battery life of in the field sensors | Sigfox devices transmit small packets efficiently, which tranlastes to long battery life, ideal for in the field sensors, where electricity is not available |
| GSM sunset by 2027 threatens long-term viability of deployed devices | Future-proof connectivity ensures continuity beyond GSM phase-out |
Potential outcomes and benefits: (based on qualitative impact and quantitative benchmarks from industry reports)
- Up to 30% increase in crop yields through precision farming
- 20-40% reduction in water usage, supporting climate resilience
- Empowerment of smallholder farmers with affordable, low-maintenance tools
Mining and industrial automation
| Risks with GSM | IoT network advantage |
| Underground operations suffer from weak GSM signal penetration | IoT networks support massive device deployments in bespoke scenarios |
| High device density causes network congestion and latency. | Sigfox allows for multiple devices to communicate simultaneously |
| Frequent maintenance due to power-hungry GSM modules | Low power sensors operate autonomously for years |
Potential outcomes and benefits: (based on international benchmarks applied to local contexts)
- 50% reduction in unplanned downtime, boosting productivity.
- Improved worker safety and compliance with environmental standards.
- Real-time visibility into remote operations and asset health.
Smart cities
| Risks with GSM | IoT network advantage |
| GSM networks struggle to achieve return on investment on low data usage solutions | Sigfox supports tens of thousands of devices per base station with low data throughput |
| High data costs and power usage limit scalability | Smart lighting, waste bins, and parking sensors run are designed for extremely long battery life using a low power wide area network |
| Legacy GSM modules may become obsolete post-2027 | LPWAN is a mature technology but still in its infancy in terms of device compatibility and longevity |
Potential outcomes and benefits: (based on qualitative impact and quantitative benchmarks from industry reports)
- 25-40% savings in energy costs through smart infrastructure
- Faster emergency response and improved public safety
- Data-driven urban planning and enhanced citizen experience
Healthcare and telemedicine
| Risks with GSM | IoT network advantage |
| GSM wearables drain battery quickly, limiting remote monitoring | Sigfox enable secure, low-power patient monitoring |
| Coverage gaps in rural clinics affect data continuity | Reliable connectivity in underserved areas supports chronic care |
| Security vulnerabilities expose patient data | End-to-end encryption ensures compliance with Protection of Personal Information Act and global standards |
Potential outcomes and benefits: (based on qualitative impact and quantitative benchmarks from industry reports)
- 30% improvement in chronic disease management via remote monitoring
- Reduced hospital readmissions through early alerts
- Expanded access to care in rural and underserved communities
Energy and utilities
| Risks with GSM | IoT network advantage |
| GSM meters require frequent maintenance and are vulnerable to load shedding | Smart meters using Sigfox operate independently of grid power |
| Data loss during outages affects billing and fault detection | Real-time fault alerts and consumption tracking improve service delivery |
| GSM sunset risks stranded infrastructure | Long battery life and low data needs reduce operational costs |
Potential outcomes and benefits: (based on qualitative impact and quantitative benchmarks from industry reports)
- 15-25% reduction in energy theft and loss via smart metering
- Faster outage resolution and predictive fault detection
- Support for renewable energy integration and demand forecasting
Logistics and asset tracking
| Risks with GSM | IoT network advantage |
| GSM trackers are expensive and require frequent charging | Sigfox devices can be disposable and have very long battery life. |
| Coverage gaps affect cross-border and rural asset visibility | Ideal for pallets, containers and non-powered assets |
| GSM congestion impacts real-time tracking accuracy | Scalable, cost-effective tracking across supply chains |
Potential outcomes and benefits: (based on qualitative impact and quantitative benchmarks from industry reports)
- Up to 90% reduction in cargo loss or theft with real-time tracking
- Optimised routing and fuel savings through connected fleet management
- Enhanced supply chain transparency and customer satisfaction
Final takeaway
GSM-based IoT connectivity is increasingly risky in South Africa’s evolving infrastructure landscape. From coverage and cost to scalability and security, GSM falls short of the demands of modern, data-driven industries. Purpose-built IoT networks offer a resilient, future-proof alternative – designed to thrive in South Africa’s rural, industrial and urban environments.
