This archive report was first published on 21 April 2020.
As the COVID-19 pandemic continues to spread, mobile phone operators in Kenya are experiencing an unexpected surge in data usage. Safaricom Limited, the country's largest mobile operator, has reported a 70% surge in data usage and 40% increase in network traffic.
According to Safaricom CEO Peter Ndegwa, the firm expects to ride the wave and get back on the saddle once the pandemic eases off. The surge in data usage is attributed to more customers working from home, watching movies, or socializing online.
With schools and colleges closed, students have resorted to studying online, further boosting data usage. Data usage on mobile and fixed home internet supports and other streaming sites such as YouTube and Netflix has increased significantly.
However, Safaricom's Mpesa revenue is expected to suffer due to the firm's waiver on charges for those sending amounts of less than KSh 1,000. The firm expects a reduction in Mpesa revenue by KSh 5.5 billion over the next three months.
Despite this, Safaricom remains cautious in its projections, preferring to see how customers react to the current crisis. The firm has doubled Internet speeds for its fibre customers, estimated at close to 300,000 homes, and is stepping on the gas pedal to install new fibre connections to meet rising demand.
