Seth Onyango, bird story agency

Kenya's dominant telco, Safaricom, has announced dramatically cheaper daily data bundle options and price points for residential clients in a move that clearly takes aim at existing fibre-based home internet services.

In plans unveiled in early April, the telco cut the prices of its 4G Wi-Fi routers by as much as 40 per cent, putting it on course to capture more home internet users in the country's growing remote work market.

The firm, which has a 65 per cent share of the mobile phone market in Kenya, slashed the prices of its Huawei and Adrian routers from Ksh10,999 (US$99) and KshS9,999 ($90) to Ksh6,999 (US$63) and Ksh5,999 (US$54) respectively.

Safaricom also introduced new daily data. allocation packages.

The new prices start from Ksh 2,999 (US$27) for the bronze package, which offers 3.5GB of data per day, to Ksh12,499 ($113) for the diamond package, which offers 18GB of data per day. All are for a 5Mbps, 4G service.

"4G Wi-Fi represents a great choice for data users, giving them access to seamless, flexible, and reliable connectivity while at home. It leverages our extensive 4G coverage to supplement our nationwide fibre network as we continue to enable Kenyans to enjoy a digital lifestyle by making the service more affordable," said Peter Ndegwa, CEO of Safaricom PLC.

Launched in 2019, Safaricom's 4G Wi-Fi offers Kenyans who don't have a fibre option for home internet with smooth connectivity. It augments the telco's fibre network, which already spans over 450,000 homes and businesses and can provide far faster speeds.

With the teleworking trend showing no signs of abating, Safaricom's aggressive play for the home internet market could ultimately reshape the Kenyan telecommunications landscape.

It is likely to immediately intensify competition in the home internet market, where it faces rivals such as Zuku, Jamii Telecom and Telkom Kenya, all offering fibre optic services.

The move comes as revenue for voice calls continues to drop, with more people choosing to make internet-based calls, which are significantly cheaper.

The regional giant expanded its fixed internet market share to 46.1% during the quarter ending December 2022, accounting for almost 50% of all new connections in the nation.

In March 2021, the company launched Kenya's first 5G network, offering speeds of up to 700 Mbps and covering parts of Nairobi, Kisumu, Kisii and Kakamega, with planned expansion to 200 sites across the country by March 2023.

bird story agency