The Untouched Terrains: A Deep Dive into a Pristine Map Data Market in Sub-Saharan Africa
Geolocation has been integral to human life for centuries as it has always been essential for navigation, trade, exploration, and communication. Early civilizations relied on the stars, landmarks, and rudimentary maps to determine their location and plan routes. As societies grew more interconnected, accurate geolocation became crucial for everything from establishing trade routes to mapping new territories. Over time, this evolved into more sophisticated systems like the compass and eventually the GPS commonly used today.
Pirates mastered the seas by understanding the importance of geolocation, a lesson mirrored by top United States package delivery companies in the Courier, Express and Package (CEP) industry today. According to Statista, the U.S.Parcel shipping industry generated over 900 billion U.S. dollars between 2017 and 2022, and giants like Amazon Logistics delivered over 16 billion packages within the same period. In 2023 alone, the U.S. courier and messenger industry recorded over 100 billion U.S. dollars in revenue.
However, reliance on GPS technology exposes the industry to issues such as errors and GPS spoofing, particularly in regions with poor infrastructure. These vulnerabilities become more pronounced in regions where reliable geolocation data is crucial but harder to maintain, the highlighted region in this deep dive is Sub-Saharan Africa (SSA).
The Root Cause: A Qualitative and Quantitative Analysis
Africa is usually not considered futile for investments in the aforementioned industry. International shipping fees are ridiculously expensive and you better be ready to still go to a postal office to receive the package.
Local courier services have it rough despite their various market strategies. A year after its much-heralded debut on the New York Stock Exchange, popular e-commerce start-up Jumia shut down in three African states because it struggled to turn a profit.
Qualitatively, some of the problems include:
- Infrastructure Deficiencies: SSA often suffers from poor infrastructure, including limited access to reliable internet, cellular networks, and power grids. This lack of infrastructure can exacerbate the weaknesses of GPS, making the system more prone to errors and less reliable in these regions, check this article by Tech News Africa on the crucial role of infrastructure in digitization.
- Limited Redundancy: Many developed regions have multiple layers of geolocation technologies, such as cell tower triangulation, Wi-Fi positioning, and alternative satellite systems, which can provide redundancy if GPS fails. In SSA, these alternative systems are often less prevalent, leaving GPS as the sole technology for location services, which increases the risk when GPS is compromised.
- Security Risks: GPS spoofing and jamming are security threats that can be more severe in SSA due to the lack of robust countermeasures. Without strong infrastructure to detect and mitigate these threats, attackers can more easily disrupt GPS services, leading to inaccurate data that can affect transportation, logistics, and security operations.
- Incorrect or Missing Data: Outdated maps do not reflect new roads, infrastructure changes, or urban developments. This leads to inefficiencies in navigation, as drivers might be directed to non-existent roads or longer routes, increasing travel time and fuel consumption. This translates to higher operational costs and delayed deliveries.
- Difficulty in Locating Addresses: In many areas, especially in rural or rapidly expanding urban regions, addresses are usually poorly documented or entirely missing from maps. This makes it difficult for delivery services to find specific locations. A 1997 World Bank publication, The Future of African Cities: Challenges and Priorities for Urban Development, mapped out the key issues raised by Africa’s increasing urbanization and identified house addressing as one of the key tools for urban management.
Likewise, here are some of the quantitative problems:
1. High Delivery Costs
- Increased Fuel Consumption: Poor road conditions and inefficient routes lead to higher fuel consumption. This increases operational costs, which are passed on to customers, making delivery services expensive. For example, delivery costs in rural areas might be 20–30% higher than in urban areas due to longer travel times and higher fuel usage.
- Vehicle Wear and Tear: Frequent travel on bad roads accelerates vehicle wear and tear, leading to higher maintenance costs. Companies may spend up to 40% more on vehicle repairs and maintenance compared to regions with better infrastructure.
2. Longer Delivery Times
- Delays in Transit: Due to poor infrastructure, packages can take 2–3 times longer to reach their destination compared to regions with better infrastructure. For instance, a package that would take 2 days to deliver in an urban area might take 5–7 days in a rural area. This ultimately increases customer dissatisfaction.
- High Rate of Failed Deliveries: The lack of formal addresses and unreliable delivery routes leads to a high rate of failed deliveries. In some regions, up to 25% of deliveries may fail on the first attempt, requiring multiple delivery attempts, which increases costs and delays.
The GPS architecture uses an API that converts whatever textual input is received into its corresponding geo coordinates, cool right? Well, yes! But what if a user mistakenly inputs the wrong texts from their already outdated address? the API returns the coordinates of an entirely new location. Scenes where the user finds out that their location is 15km from one in a different city where the package was delivered to, oops!
“No, Silantro with an S, not a C!!”. We have all been there at some point, it is quite frustrating to both the customer and the driver.
What about cases where the user includes delivery instructions in the address? the API technology becomes not so cool anymore!
A Web3 Intervention!
What if there was a decentralized way to mitigate most of the listed problems above?
What if the addressing system could be more secure and unique? Good news: Proto (proto) is already solving these and more with Localcode in other regions!
Localcode is a Decentralized Physical Infrastructure (dePIN) that is private and allows users to create human-readable links from their address data securely across the world to facilitate deliveries and services. A Localcode has a 4-part structure that makes understanding and sharing them extremely convenient!
With Localcode, more than one user can still own an address, this is why a network of spatial relationships was adopted in the technology. Read in detail about the implementation here.
Conclusion
The challenges facing geolocation and GPS technology, especially in Sub-Saharan Africa, are significant and multifaceted. From outdated maps and poor infrastructure to high delivery costs and longer transit times, the current system struggles to meet the demands of modern logistics and transportation.
However, with innovative solutions like Proto’s Localcode, there is a promising path forward. By decentralizing the addressing system and creating secure, human-readable links, Proto offers a more reliable and efficient way to manage location data. This approach not only addresses the current shortcomings of GPS but also paves the way for new markets and opportunities in the ever-evolving landscape of global logistics. As we continue to advance technologically, embracing these innovative solutions will be crucial in overcoming the limitations of traditional systems and unlocking the full potential of geolocation for everyone, everywhere.
Here’s a cool one-liner generated by chatGPT: “From maps that mislead to routes that delay, Proto’s Localcode clears the way.”
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