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Posta Kenya’s MPost Price Hike: A Step Backward?

Tuvuti Editorial Team
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Posta Kenya’s MPost Price Hike: A Step Backward?

In what could be termed a surprise move, Posta Kenya Corporation has hiked the yearly subscription charges for its MPost virtual address service landslide. With effect from 5th July 2024, the corporate virtual addresses will jump from KES 400 to KES 9,450 per year, an incredible rise in price of 2,200%. For individual users, the rate will increase from KES 400 to KES 2,000 per year, a 400% increase.

In a statement, Post Master General John Tonui expressed the new price schedule, saying PKC remains committed to developing fresh communication, logistical, and financial solutions. MPost – a platform that turns mobile numbers into virtual post office addresses – has been key to individual and business users alike by sending notifications whenever mail arrives through the digitized postal boxes.

The latest price increment is the second in a row after an increase in the subscription fee from KES 300 to KES 400 in March 2023.

Criticism of the Latest MPost Price Increase

While this price increase, as Posta Kenya argues, is in its quest to make its service delivery better, there are huge questions as far as viability and need are concerned.

Posta’s Decline and the Futility of Price Increases

Over the past couple of years, Posta Kenya has been in visible decline, unable to compete with a host of modern, well-run courier services. This massive increase in charges does not make any sense whatsoever with a dwindling base of users. For those few remaining users, such an exorbitant increase may drive them further away rather than attract more. That begs the question of why one would opt to make a service in decline less accessible.

Superior Competitors

Personally, as an MPost user, I found the service redundant. There are better courier services, such as Wells Fargo, G4S, and SpeedAF, which in this respect give far better alternatives. This company offers delivery solutions that are faster, traceable, and modern, outshining MPost in every way. For the year I paid for MPost, I only used the service once, and the picking up of stuff from Posta was a whole mess I never want to partake of again. Any increased charges for a service already lagging behind its competitors in terms of efficiency and reliability really make it unattractive for persons and businesses.

MPost’s Relocation to Rwanda

Last year, the firm behind MPost moved its headquarters from Nairobi to Kigali due to the more amicable business environment in Rwanda. The move underlines that the service is operating in an adverse Kenyan environment with Posta. In a bad business environment, price hikes may only exacerbate the situation. Higher costs could drive even more customers to the alternatives, further squeezing MPost’s user base and revenue.

Potential Impact

With the high price increase, users may shun MPost services, especially given that Posta Kenya is not very competitive at the moment, with better options available. The move might further reduce Posta Kenya’s user base and revenue, begging questions for the sustainability of this pricing strategy.

d.light Announces $176 Million Securitization Facility to Expand Solar Energy Access

Tuvuti Editorial Team
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d.light Announces $176 Million Securitization Facility to Expand Solar Energy Access

d.light, a global provider of transformational household products and access to affordable finance for low-income households, is announcing the close of a new securitization facility sized at $176 million. This facility will purchase receivables in Kenya, Tanzania, and Uganda.

d.light will use this facility to build on its PayGo consumer finance offering, further empowering low-income households and communities without electricity to have solar-powered products. The multi-currency facility targets the provision of reliable, renewable energy to about six million people in three years in the above-mentioned countries.

This is a new facility provided by African Frontier Capital, a social impact-focused asset management firm. With this, d.light has secured a total purchasing value of USD 718 million across five securitized financing facilities since 2020.

According to d.light CEO Nedjip Tozun, the facility is important in furthering the company’s mission of providing people with affordable, clean, safe, and sustainable energy. He noted that millions of off-grid families in Kenya, Tanzania, and Uganda will benefit from this solar energy.

Tozun further commented that this facility is the first time d.light has receivables-based financing facilities in each of their PayGo markets, which include Kenya, Uganda, Tanzania, and Nigeria. Each of these facilities shall ensure that d.light remains cash flow positive and eliminates further external equity fundraising to support growth.

Eric De Moudt, founder and CEO of AFC, hailed this achievement as an evidence-driven approach to financial innovation toward the integration of the most vulnerable communities into the financial mainstream, enabling clean, modern, energy access with very key social and economic benefits. He thanked d.light for leadership in the off-grid solar sector and expressed pride in the said partnership.

Since 2020, d.light has been leading the way with securitized finance, which it uses to provide power for its solar-powered household products across sub-Saharan Africa, including Kenya, Nigeria, and Tanzania. It was therefore during the beginning of the year that d.light celebrated the early redemption of the entire senior debt by its $110 million securitization facility, Brighter Life Kenya 1 Limited (BLK1), from internally generated cash flows—an absolute first in the off-grid solar sector.

D.light has operated jointly with its distribution partners since 2010 in Kenya, Uganda, and Tanzania, establishing its own operations in these countries in the next subsequent years—a demonstration of long-term commitment to energy access improvement within this region.

Schneider Electric and IXAfrica Launch East Africa’s Largest Hypercloud Data Centre

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Schneider Electric and IXAfrica Launch East Africa’s Largest Hypercloud Data Centre

Schneider Electric has partnered with Nairobi-based IXAfrica Data Centres to launch of East Africa’s first and largest hypercloud data centre, NBOX1. It is going to be the most advanced AI-ready, carrier-neutral facility that will act as the most advanced digital hub in the region, providing services comparable to those offered in North America and Western Europe.

Schneider Electric’s EcoStruxure Ensures Resilience and Efficiency

Schneider Electric’s EcoStruxure for Data Centers architecture is used in NBOX1, ensuring the highest level of resilience, uptime, and cost efficiency. This platform provides enhanced security and aligns with sustainability goals that IXAfrica has laid down for the data centre to meet current and future demands.

Positioned for Innovation in the ‘Digital Savannah’

With a $50 million investment by Helios, IXAfrica’s data centre is squarely situated in Africa’s ‘Digital Savannah’. Powered by a skilled workforce and diversified internet connectivity, this region has a population of over 300 million people and is fast becoming an innovation hub. According to the CEO of IXAfrica, Snehar Shah, Kenya is ready for hypercloud solutions against the backdrop of a semi-advanced cloud adoption, a stable regulatory environment, and robust growth in the economy.

Ensuring 99.999% Uptime with Schneider Electric Solutions

IXAfrica partnered with Schneider Electric to ensure that Ixiafricacom reliable IT operations are sustained through an end-to-end power train solution, setting apart the power protection and distribution equipment, transformers, switchgear, and basic building management. These solutions have been engineered to meet IEC standards and designed in accordance with Kenya’s peculiar grid and environmental conditions, ensuring that NBOX1 meets its 99.999% uptime guarantee.

Sustainability at the Core

Designed as a ‘Data Centre of the Future’, NBOX1 integrates Schneider Electric’s EcoStruxure platform to optimize performance and resource efficiency while minimizing CO2 emissions. With respect to this, Mouna Essa Egh, Vice President of Secure Power for the Middle East & Africa, has taken a strong viewpoint toward the need for implementing sustainable practices in the data centre industry.

According to Snehar Shah, the NBOX1 site—built on former Schneider Electric land—is indicative of this relationship. In keeping with their strategic relationship, the project keeps it ‘Keep it Africa’ with locally manufactured switchgear and panelware.

HMD Unveils the Skyline: A Powerful and Repairable Smartphone

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HMD Unveils the Skyline: A Powerful and Repairable Smartphone

After weeks of leaks and rumors, HMD finally released the Skyline, its most powerful smartphone to date. Without a doubt, one of the hot topics circling around the Skyline has to do with its design, somewhat reminiscent of the now-defunct Nokia Lumia line, albeit with sharp rectangular edges and a uniqueness all its own.

HMD introduces the Skyline with a Gen 2 repairability design that will let users easily open it up for repair, including screen replacement and battery replacement. That is remarkable, as most brands have moved toward sealing devices to prevent water and dust ingress.

The HMD Skyline packs a 6.5-inch OLED display with a refresh rate of 144Hz, powered by the Snapdragon 7s Gen 2 chipset. It will come in two RAM options: 8GB and 12GB, whereas storage options are 128GB and 256GB.

On the back, it has installed a camera setup that includes a 108MP main camera, OIS, a 13MP ultra-wide camera, and a 50 MP telephoto lens. HMD has fitted the camera with AI capabilities, including AI Capture Fashion for maximum details in photos.

It comes with a 4,600mAh battery with support for up to 33W wired charging and 15W Qi2 wireless charging. It will run stock Android 14 with the promise of 2 years OS updates and 3 years security patches. One of the more interesting features is Detox Mode, which restricts some app notifications and limits access to social media for a more focused experience.

Across the board, the pricing for the Skyline starts at $399 for the 8GB/128GB model and $499 for the 12GB/256GB model. Just weeks ago, HMD sealed confirmation that Skyline is coming to Kenya in August at KES 58,000. Color options include Neon Pink and Twisted Black.

The Skyline embodies a most exciting repairable design in this class, which has come with advanced features to make it a niche in the smartphone market; it will be awaited how users use it.

Safaricom Sets Record High Data Traffic During Continental Tournament Finals

Tuvuti Editorial Team
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Safaricom Sets Record High Data Traffic During Continental Tournament Finals

On Sunday, Safaricom recorded the highest data traffic ever as two major continental tournaments in Europe and America went into the final rounds. Hundreds of Kenyans opted to livestream these matches on their mobile phones and tablets, a factor that led to a surge in data usage to an all-time high.

This is according to disclosures by Safaricom, that indicated data traffic had peaked at 3.96 terabytes as Spain faced England in Berlin. It was the highest data traffic the company has ever recorded since its establishment 25 years ago. Safaricom divulged that massive investment in cable networks—particularly as pertain to reducing latency, or the delay before data transfer is begun—has paid off.

Safaricom’s Chief Technology and Information Officer, George Njuguna, expressed his excitement. This is very exciting for us, having no issues and no complaints as Kenyans streamed good quality football from overseas using the undersea cable network in which we have invested quite heavily,” said Njuguna.

For example, to give a magnitude of the data traffic, Safaricom marked that it would take about 100,000 phones at a capacity of 128 gigabytes each to store all data streamed through its network on that Sunday night.

Beginning this year, Safaricom’s international data throughput was at about 500 gigabytes, now at a capacity of 700 gigabytes. By this current position, Safaricom has six undersea cables—again, the largest network as compared to regional peers. Such a formidable network gives robust streaming capabilities, even for content residing in data centers off the continent.

“Anytime we’re streaming games, this information is coming from data centres that are outside the continent most of the time. So that means we have to have undersea cable network with enough capacity to carry because there are times and there are some networks that can’t stream on that, ” Njuguna explained.

Safaricom has been busy updating its network sites so that they do not get congested at times of high data use. The cables at the site are increasingly being connected to the content data networks built in Kenya by companies such as Google, Meta, and X. This enables stable network under heavy traffic and seamless streaming for users over the air.

MP Shah Hospital’s Yvonne Kirigo and Ololo Farm’s Kevin Getobai Named 2024 Country SDG Pioneers

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MP Shah Hospital’s Yvonne Kirigo and Ololo Farm’s Kevin Getobai Named 2024 Country SDG Pioneers

As a recognition of their truly remarkable contribution towards sustainable development, the Global Compact Network Kenya named Yvonne Kirigo, MP Shah Hospital Strategy and Innovation Manager, and Kevin Getobai, Ololo Farm Project Manager, as 2024 Country SDG Pioneers.

From over 27 nominations, Kirigo and Getobai have done a lot in the realization of the Sustainable Development Goals. With his leadership, the MP Shah Hospital green initiatives championed by Kirigo on e-waste collection, energy efficiency, renewable energy uptake, and water efficiency projects have greatly cut down the hospital’s environmental footprint.

Getobai’s work at Ololo Farm has equally borne fruit. He connects regenerative and sustainable agriculture by shortening the composting process from six months down to only 14 days using the Black Soldier Fly. This innovation not only saves CO2 but also produces protein from waste. Currently, Ololo Farm saves approximately 47.5 tonnes of CO2 equivalence, diverts 25 tonnes of food waste from landfills, and produces 2.5 tonnes of protein from waste annually.

Global Compact Network Kenya Executive Director Judy Njino commended their commitment, saying, “Their commitment to the Ten Principles of the UN Global Compact epitomizes the innovative and resilient spirit required in the realization of the 2030 Agenda for Sustainable Development. Their work will surely inspire others to build a sustainable future.”.

As national winners, Kirigo and Getobai will progress to the Global round to compete for the 2024 UN Global Compact SDG Pioneer. The global winners are set to be announced in September during the UN Global Compact Leaders’ Summit in New York.

The SDG Pioneers program is a flagship event, honoring professionals whose ingenuity is applying innovative solutions of new technologies, initiatives, and business models to achieve the Sustainable Development Goals by 2030. Sanda Ojiambo, CEO & Executive Director of UN Global Compact, prays that their work may inspire others to advance the Global Goals by operationalizing the Ten Principles on human rights, labor, environment, and anti-corruption.

Sama Partners with University of Nairobi to Boost AI Skills and Employment

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Sama Partners with University of Nairobi to Boost AI Skills and Employment

Data annotation and model evaluation company Sama has partnered with the University of Nairobi to create jobs and increase talent in GenAI. This strategic partnership will help give UoN students and faculty practical experience in working on Sama’s AI projects, gaining appropriate skills in the evolving AI world.

Sama will provide training, equipment, and materials for which students and faculty will be allowed to use part-time on several AI projects. According to the UoN’s Vice-Chancellor, Prof Stephen Kiama, this partnership will present students with the possibility of engaging in the practical application of their acquired knowledge in the real world and hence enriching their learning towards being much more prepared to engage in the industry related to AI.

The partnership is in line with UoN’s plans to form an Artificial Intelligence School, which will equip a pool of competent human resources to work in tandem with machines in the future.

Sama, formerly known as Samasource, has been at the forefront in the AI area, offering employment and training to thousands. In 2019, Sama partnered with Facebook to set up a content review centre in Nairobi, hence creating work opportunities for varied numbers of individuals. Since its inception, one of the major goals of the company has always been geared toward harnessing technology and private sector practices in increasing access to work and job training with the aim of ending global poverty.

In the recent past, Sama has grown its operations across the world—with AI Development Centers in Canada, delivery centers in Uganda, to mention a few—and supplies high-quality training data for AI models to more than 25% of Fortune 50 companies.

Sama, however, has been under some fire, such as the lawsuit from her previous employee Daniel Motaung. Motaung claimed he suffered PTSD as a result of the graphic content he moderated while working for Sama. This is just one case, among many more that indicates the demand for ensuring better mental health support on content moderators.

Despite all the past tribulations, Sama has continued to believe in the potential of Business Process Outsourcing (BPO) in Kenya. It has expanded its data annotation services to now include computer vision data labeling for AI and machine learning models. The quality talent has according to Annepeace Alwala, Sama’s Vice President of Global Delivery, placed the firm top in data annotation market in Kenya.

Sama’s expansion is in line with the projections made by BPO Association of Kenya, which was to create more than one million jobs and huge revenue. According to Wendy Gonzalez, Sama’s CEO, Kenya has huge potential in the global BPO market due to its skilled manpower and multilingual capabilities.

Sama has also gained recognition for social impact by becoming the first AI training data company to achieve B Corp Certification. That confirms Sama’s commitment to creating positive impacts for employees, communities, customers, and the planet.

This, therefore, becomes a major step in partnership toward bridging the digital divide and developing AI talents within Kenya. Excited to say, Annepeace Alwala noted Sama’s partnership with UoN, reiterating its commitment to driving innovation and creation of opportunities for the young in AI.

The support is tied to the Bottom-Up Economic Transformation Agenda aimed at uplifting communities, nurturing talents, and placing Kenya along the global AI value chain.

AI in Agriculture and Beyond: Transforming Kenya’s Future

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AI in Agriculture and Beyond: Transforming Kenya’s Future

Across Kenya, Artificial Intelligence is changing the agricultural sector rapidly. A new report by the Global System for Mobile Communications Association points to this shift, indicating that 49% of all AI deployments are on agriculture and food security, zeroing in on data-driven advice to local farmers.

A look at the research from the ‘AI for Africa’ report indicates that predictive AI applications dominate the scene. This could be attributed to the availability of historical datasets, ease of application, and lower computational requirements relative to generative AI models. AI innovation in the agritech sector is at the forefront, and agriculture is an enormous part of the Kenyan economy. For instance, companies like Apollo Agriculture are utilizing AI for agricultural advisory and alternative credit assessment methods.

The Microsoft AI for Good Lab has developed a spatiotemporal machine learning model for detecting malnutrition hotspots, which enables interventions on time with focused assistance and hence reduces the potential damages of malnutrition in vulnerable populations.

AI Applications in Climate Action

The role of AI in agriculture accounts for only 26 per cent share, while that in climate action is at very top. These range from monitoring biodiversity to protection of wildlife, led by large technology companies like AI for Good Lab and non-profits like Rainforest Connection. A critical storage and computing capacity is put at the local level by investments in data centers from tech firms and MNOs that fuel AI momentum.

Infrastructure and Accessibility Challenges

Despite these developments, infrastructural gaps and frequent power outages are some of the major problems. Indeed, all these issues deepen the digital divide, disproportionately affecting low-income groups, the less educated, and rural populations. AI runs the risk of exacerbating existing socio-economic inequalities.

The high cost of hardware, such as Graphic Processing Units and cloud computing, is also a constraint to AI deployment and adoption. For local entrepreneurs and researchers with modest financial resources, the cost of a GPU in Kenya is way beyond reach as it represents 75 percent of GDP per capita and is 31 times more than that in high-income countries.

Skill Development and Education

A huge gap in the skills available undercuts the development of the AI ecosystem. Courses in AI in universities, where they exist, are very far from matching industry needs, and students do not have appropriate practical learning opportunities. There is also a disproportionate emphasis on core AI skills like machine learning and data science and less on multidisciplinary skills needed to really solve pressing socioeconomic challenges.

Innovative Solutions

Deep tech local startup Fastagger is solving some of these with its software infrastructure, developed to run machine learning and AI models directly on edge devices.

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