Kenya’s biggest telecoms operator defies tariff cuts after rival slashed call charges by 50 per cent

CEO Bob Collymore said such a move could trigger a price war in the telecommunications industry

CEO Bob Collymore said such a move could trigger a price war in the telecommunications industry adding that the firm has to maintain a sustainable business.

“We are not going to move our prices. If we lose market share as a result of that then that is fine. We have to maintain a sustainable business," Collymore told reporters on Friday.

Airtel slashed the cost of making a call to Sh2 per minute across all networks in a bid to shore up its subscriber numbers in a market currently controlled by Safaricom.

Prasanta Das Sarma, the chief executive of Airtel Kenya, said the new tariff “gives double the value to the customers as now they can talk twice as much."

30 million subscribers

Safaricom customers call at Sh4 per minute both on-net and off-net.

The telco controls about 67 per cent of Kenya’s mobile market, with close to 30 million subscribers.

A recent report by the Communications Authority of Kenya revealed that Airtel Kenya’s market share by mobile voice traffic grew by 6.7 per cent to 28.7 per cent between January and March 2018, the highest growth in the industry.

The price cut comes on the backdrop of a recent study commissioned by the CA recommending that Safaricom should offer rivals access to its transmission sites and its network of mobile money outlets to increase competition.

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Referee behind chaos at AFCON was rushed to hospital after match

Referee behind chaos at AFCON was rushed to hospital after match

Eddie Butita speaks on his fallout with Miss Mandi, offers her a job

Eddie Butita speaks on his fallout with Miss Mandi, offers her a job

Rashid Abdalla's kids interrupt Citizen TV bulletin to wish him happy birthday [Video]

Rashid Abdalla's kids interrupt Citizen TV bulletin to wish him happy birthday [Video]

Africa's richest man, Aliko Dangote, adds extra $915 million to his vast wealth in Q1 2022

Africa's richest man, Aliko Dangote, adds extra $915 million to his vast wealth in Q1 2022

Zuchu forced to apologize to fans after viral video raised eyebrows

Zuchu forced to apologize to fans after viral video raised eyebrows

Willy Paul wins against Diana Marua in court

Willy Paul wins against Diana Marua in court