Broadband service provider Zuku loses 12% market share to rivals Safaricom, Jamii Telecom

david nganga

April 24, 2018 6:50 PM

Safaricom has gained the most in market share, recording a 500% growth in subscribers

Broadband service provider Wananchi Telecom, owner of Zuku fibre, has lost significant market share to its rivals.

Data from the Communications Authority of Kenya (CA) indicates that Zuku has lagged behind its competitors led by Safaricom and Jamii Telecom as competition stiffens in the fibre broadband market.

The firm's market share has dropped 12 points in the past four years to 36 per cent even though it still commands the market lead with 105,713 subscribers as at December 2017.

Safaricom more than doubled its market share from 6.9 per cent to 16.7 per cent having witnessed a 500 per cent growth in subscribers from just 8,000 in 2014 to 48,000 as at December 2017.

4G licenses

The total number of internet service providers has increased over the past few years following the issuance of 4G licences by the CA to other firms including Telkom Kenya, Airtel Kenya, and Jamii Telecommunications.

Ten companies have applied for 4G spectrum licences this year, which if granted will pave the way for them to begin offering high-speed Internet and mobile phone services.

david nganga