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Low tariffs boost subscriber numbers

3 February 2011
 
Low tariffs boost subscriber numbers
The first quarter of the 2010/2011 financial year has witnessed an upswing in mobile penetration with the Communications Commission of Kenya reporting a 9.5 percent increase in mobile subscribers.

In the period between July and September the number of subscribers rose from 20.1 million to 22 million.

This is the highest growth that has been recorded over the last three quarters,Ӕ the CCK said in its report.

The growth in subscribers could be attributed to a steady decline in mobile tariffs during the period. The regulator has been implementing the interconnection determination that saw mobile termination rates reduced to Sh2.21 from Sh4.42.

That has seen mobile operators engage in stiff competition to grow their market share.

Since bringing on board new investors Airtel Kenya (formerly Zain), has been at the forefront of lowering tariffs as they look to gain market supremacy.

During the quarter, Airtel Kenya gained 4.4 percent market share and now controls 13.5 percent of the market having attrac...

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