Kenyan telco giant Safaricom, has slashed prices for its data packages by 42% per megabyte bought, in the wake of increased competition in the telecomms space.
Numerous reports also state that the firm lost some of its market share to competitors, among them Telkom and Airtel Kenya.
Safaricom’s SA-based shareholder Vodacom revealed that the Kenyan unit made the most significant cuts.
The telco is among a group of Vodacom associates and subsidiaries that reduced their data charges.
Vodacom’s SA operation cut 23.3%, the Tanzanian outfit cut 13.8%, Lesotho – 28.9%, and DRC – 29.2%.
Safaricom’s parent company has hinted at more price cuts in the future, citing increased regulation and competition in the various regions it operates in.
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Vodacom’s report read, “In the context of our commitment to drive digital inclusion, and given the tough consumer environment, we recognise the imperative to further lower data prices in some of our markets, while ensuring that this does not compromise our ability to make the investments in network and IT infrastructure needed to broaden service delivery and maintain high quality offerings.”
In Kenya, Safaricom has faced ever increasing heat from Airtel Kenya and Telkom Kenya who offer their packages at a fraction of the cost of the same from Safaricom. The two are also planning to merge their operations to further step up the competition.
