Report Coverage
This report on the telecommunications industry in Kenya includes information on network operators, mobile and fixed voice and data, broadband, mobile money services, bandwidth capacity, base stations and towers, and licences. Information is provided on revenue growth, subscriptions, tariffs, licensing, universal service and quality standards. There are profiles of 25 companies including the major players Safaricom, Airtel Kenya and Telkom Kenya, tower companies such as Atlas Towers Kenya, American Tower Corporation and Sealtowers, companies involved in cables such as East African Marine Systems and Seacom, and other notable companies including Jamii Telecommunications, Telkom Kenya and Finserve.
Introduction
• Kenya’s telecommunications industry has transformed the country’s connectivity, with over 78.3 million mobile connections.
• Safaricom, Airtel Networks Kenya, Telkom Kenya, and Jamii Telecommunications dominate the mobile sector.
• The sector has become a cornerstone of economic growth, driving financial inclusion through mobile money services such as M-Pesa and expanding internet access.
• With the rollout of 5G and increasing demand for high-speed internet, the industry is set for growth and innovation, positioning Kenya as a key telecommunications hub in Africa.
• Challenges include regulatory hurdles, high infrastructure costs and cybersecurity threats that could impact growth prospects.
Trends
• Continuous expansion of undersea cable infrastructure, bringing cheaper, faster, and more reliable internet to consumers and increasing broadband capacity.
• Fixed wireless access adoption is rising, providing fast broadband connectivity in underserved areas at a lower cost than fibre.
• Increased smartphone adoption is accelerating the usage of financial services.
• Infrastructure sharing is gaining traction, with mobile operators leasing towers from independent owners.
• M-Pesa continues to dominate mobile money services with 47.7 million active subscriptions. The segment is mature and has shifted its focus to service quality, product evolution and customer experience.
• Mobile operators are rolling out 5G to enable faster internet speeds and improved network coverage, and driving growth in rooftop deployment.
• Rise in usage of ecommerce platforms.
• Satellite connectivity is expanding, especially in remote areas.
• Shift to sustainable forms of energy to power base stations and towers.
Opportunities
• 5G network expansion and infrastructure development including fibre network expansion.
• Cybersecurity solutions.
• Digital services like mobile money, ecommerce and fintech solutions.
• E-waste management.
• Increasing demand for high-speed data, driven by increasing smartphone and mobile penetration.
• Innovation hubs offer opportunities for startups and entrepreneurs.
• Renewable solutions as mobile operators shift to renewable energy to power their sites.
Challenges
• Climate change risks, rising temperatures, flooding and extreme events threaten infrastructure, disrupting service and increasing maintenance.
• Fraud and cybersecurity threats pose significant risks, particularly mobile money transactions.
• High infrastructure development costs as most telecoms’ equipment is imported.
• High operating costs that include the expansion of fibre networks and vandalism of equipment.
• Infrastructural gaps, particularly in rural areas affecting internet services.
• Rising costs of living, high rates of poverty and unemployment continue to erode household incomes, affecting consumer demand for handsets and data services.
• Several rural areas still experience unreliable mobile network coverage, affecting accessibility to mobile money.
• There is a significant mismatch between graduate skills and industry needs.
• Underinvestment has led to inferior network quality affecting customer satisfaction.
Outlook
• Growth is expected to continue, driven by expanding network infrastructure, increasing mobile penetration, rising smartphone adoption and demand for high-speed internet access.
• Revenue is expected to be driven by mobile data revenue.
• M-Pesa will continue to dominate mobile money.
• Retail is expected to grow steadily, with operators expanding financing options and investing in digital sales channels. Budget phones will remain dominant.
• Economic uncertainty, inflation, high import costs and tax on mobile devices could make consumers more price-sensitive and reduce demand for higher-end services and devices.
• Risks include SIM card tax hikes and excise duty on data bundles, prolonged delays in licensing and spectrum fee disputes.
Full Report
R 20 000.00(ZAR) estimated $1216.41 (USD)*
Industry Landscape
R 14 000.00(ZAR) estimated $ 851.49 (USD)*
Historical Reports
Telecommunications in Kenya 2022-03-16
R 1 900.00(ZAR) estimated $115.56 (USD)*
View Report Add to CartTelecommunications in Kenya 2019-10-11
R 1 900.00(ZAR) estimated $115.56 (USD)*
View Report Add to CartTelecommunications in Kenya 2016-11-30
R 1 900.00(ZAR) estimated $115.56 (USD)*
View Report Add to CartTelecommunications in Kenya 2014-07-28
R 1 900.00(ZAR) estimated $115.56 (USD)*
View Report Add to CartTable of Contents
[ Close ]| PAGE | ||
|---|---|---|
| 1. | INTRODUCTION | 1 |
| 2. | COUNTRY INFORMATION | 1 |
| 3. | DESCRIPTION OF THE INDUSTRY | 3 |
| 3.1. | Industry Value Chain | 5 |
| 3.2. | Geographic Position | 6 |
| 3.3. | Size of the Industry | 7 |
| 4. | LOCAL | 10 |
| 4.1. | State of the Industry | 10 |
| 4.2. | Key Trends | 20 |
| 4.3. | Key Issues | 20 |
| 4.4. | Notable Players | 21 |
| 4.5. | Trade | 25 |
| 4.6. | Corporate Actions | 26 |
| 4.7. | Regulations | 26 |
| 4.8. | Enterprise Development and Social Development | 27 |
| 5. | AFRICA | 28 |
| 6. | INTERNATIONAL | 34 |
| 7. | INFLUENCING FACTORS | 37 |
| 7.1. | Unforeseen Events | 37 |
| 7.2. | Economic Environment | 37 |
| 7.3. | Labour | 39 |
| 7.4. | Environmental Issues | 40 |
| 7.5. | Technology, R&D, Innovation | 42 |
| 7.6. | Government Support | 42 |
| 7.7. | Cybersecurity and Fraud | 43 |
| 7.8. | Input Costs | 44 |
| 7.9. | Vandalism and Theft | 45 |
| 8. | COMPETITIVE ENVIRONMENT | 46 |
| 8.1. | Competition | 46 |
| 8.2. | Barriers to Entry | 46 |
| 9. | INDUSTRY SUMMARY | 47 |
| 10. | OUTLOOK | 49 |
| 11. | INDUSTRY ASSOCIATIONS | 49 |
| 12. | REFERENCES | 49 |
| 12.1. | Publications | 49 |
| 12.2. | Websites | 50 |
| ANNEXURE 1 | 51 | |
| Industry Legislation | 51 | |
| APPENDIX 1 | 52 | |
| Summary of Notable Indigenous and Foreign Players | 52 | |
| COMPANY PROFILES | 56 | |
| AIRTEL NETWORKS KENYA LTD | 56 | |
| ATC KENYA OPERATIONS LTD | 59 | |
| ATLAS TOWER KENYA LTD | 60 | |
| CLOUD ONE LTD | 61 | |
| DT ONE FIXED AND MOBILE PTE LTD | 62 | |
| EAST AFRICAN MARINES SYSTEMS LTD (THE) | 64 | |
| ECHOTEL INTERNATIONAL KENYA LTD | 66 | |
| ERICSSON KENYA LTD | 68 | |
| FIBRELINK LTD | 69 | |
| FINSERVE AFRICA LTD | 70 | |
| GEONET COMMUNICATIONS LTD | 72 | |
| HUAWEI INVESTMENT & HOLDING CO LTD | 74 | |
| IRISTEL KENYA LTD | 78 | |
| JAMII TELECOMMUNICATION LTD | 79 | |
| LIQUID INTELLIGENT TECHNOLOGIES KENYA LTD | 81 | |
| MAWINGU NETWORKS LTD | 83 | |
| MTN BUSINESS KENYA LTD | 85 | |
| POA INTERNET KENYA LTD | 87 | |
| SAFARICOM PLC | 89 | |
| SEACOM KENYA LTD | 92 | |
| SEALTOWERS LTD | 93 | |
| TELKOM KENYA LTD | 94 | |
| VODACOM GROUP LTD | 98 | |
| WANANCHI GROUP KENYA LTD | 103 | |
| ZTE (KENYA) LTD | 105 |

