Safaricom switches focus to fixed data business

30 Jan 2017

Kenyan telecoms company Safaricom is reallocating its investment budget to grow its fixed broadband business, Reuters quotes the firm’s CEO Bob Collymore as saying. The shift in focus from mobile data to fixed services is a response to rising consumer demand for online streaming services, such as Netflix and ShowMax, the executive added. Safaricom’s capital expenditure for its financial year ended 31 March is KES32 billion (USD304.5 million), but Collymore said the investments in the firm’s fixed data network are a reallocation of its budget and would not add to its planned capital expenditure. ‘We have been a bit lazy in growing our data business … We are certainly putting more in fibre than we thought we would do … It is a change in priorities,’ he was quoted as saying. Safaricom’s fibre-to-the-home (FTTH) network passed over 16,000 households at the end of September 2016 and connects to around 6,000 homes.

Kenya, Safaricom