Kenya’s Communications Authority has begun raising concerns over the existence of unauthorized Internet Service Providers operating in the country. According to the commission, these providers have sprouted following increased demand for internet services that has been occasioned by increased use of online classes, e-commerce and workers working remotely.
Unlicensed ISPs Operating on Licence-Free Bands
The CA disclosed that most illegal ISPs operate licence-free frequency bands, whose use was previously reserved for ISM applications. Most of these networks cover localized areas, usually highly populated urban estates, but cannot boast the kind of extensive coverage that is characteristic of licensed NFP-T3 operators.
“The Authority has observed a growing increase in unauthorized ISPs across the country,” the CA observed.
The Current Internet Market Landscape
The largest player in Kenya’s fixed internet market is Safaricom with 36.4% of the market with over 545,000 connections. Safaricom is followed by Jamii Telecommunications at 24%, while Zuku, owned by Wananchi, ranks third at 17.5%. In the last couple of years, some emerging local ISPs like Vilcom, Poa Internet, and Vijiji Connect have jumped into the market.
Meanwhile, Elon Musk’s Starlink began to gain momentum, capturing 0.5% market share in the first year. Its satellite internet services have grown satellite subscriptions to over 8,300 as of mid-2024.
Quality and Pricing Challenges
Competition increased with the growing number of ISPs and brought prices down. In turn, though, more ISPs translated into a patchwork of service quality, especially to low-income areas and satellite towns.
Regulatory Questions
The entry of global players, including Starlink, has seen debates on regulation. Local providers such as Safaricom have been pushing, albeit unsuccessfully, for regulations compelling Starlink to partner with Kenyan companies.
Growing Internet Subscriptions
Internet subscriptions in Kenya are increasing, driven by digital dependence in the workplace, education, health care, and entertainment. CA, in its 2024 review, indicated that competitive tariffs and special offers played a role in raising adoption rates.