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.