Kenya’s telecommunications industry is experiencing unprecedented growth, marked by increased mobile subscriptions, surging data traffic, expanded broadband capacity, and substantial infrastructure investments. This digital transformation is placing Kenya at the forefront of East Africa’s ICT landscape, bridging access gaps, and unlocking new opportunities for economic and social development.
Mobile Usage and Subscriptions Reach New Heights
Kenya’s information and communications technology (ICT) sector continues to show robust growth, according to the Q3 2025 Sector Statistics Report (Jan–Mar) released by the Communications Authority of Kenya (CA).
Data services are leading this shift. Mobile subscriptions reached a new peak of 76.16 million, pushing penetration to an impressive 145.3%, reflecting mobile’s deep integration into daily life. Meanwhile, machine-to-machine (M2M) connections rose by 3.5%, nearing 2 million, signaling increased adoption of Internet of Things (IoT) technologies in sectors like logistics, agriculture, and utilities.
International incoming mobile voice traffic surged by 14.4%, while outgoing calls abroad rose by 1.4%. However, international SMS traffic declined, mirroring global trends as more people opt for app-based messaging. In-bound roaming data volumes, a measure of data used by visitors in Kenya, increased by 10.6%, suggesting a rebound in travel and tourism.
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Digital Shift Accelerates with Smartphones and Mobile Wallets
Kenya’s digital ecosystem is rapidly maturing, powered by smartphone adoption and mobile financial services.
Mobile money services, a cornerstone of financial inclusion in Kenya, continued their upward trajectory. Subscriptions climbed to 45.36 million (+7.2%), and the number of registered agents exceeded 416,000, supporting broader digital financial access. Safaricom’s M-PESA dominates with over 92% market share, while emerging fintech platforms are broadening financial inclusion through innovative services like micro-loans, savings, and e-commerce integration.
Device usage trends also highlight Kenya’s digital shift. Smartphone ownership hit 42.35 million, while feature phones remained widespread at 32.5 million, illustrating a growing reliance on mobile services for e-learning, e-commerce, and digital banking.
Network Infrastructure Supports Demand
To keep pace with demand for data and voice services, telecom operators are ramping up network investments across the country.
Kenya now boasts 4G coverage across 97% of its geography, while 5G is steadily rolling out, with over 1,100 active 5G sites across 102 towns, already reaching 14% of the population, and all 47 counties.
This rapid expansion is being supported by infrastructure sharing models, where companies like Atlas Towers are working with major providers including Safaricom and Airtel to increase coverage more cost-effectively.
The Digital Superhighway Program plans to deploy 100,000 km of fiber optic cable countrywide. Kenya has expanded its national fiber optic network to 13,590 kilometers in 2025, up from 8,900 kilometers in 2022, with significant investments allocated for further rollout, particularly in marginalized counties.
“As opposed to digging trenches to lay fiber, we are going to leverage on the already existing Kenya power lines, so that, as we roll out electricity, we also roll out fiber using the same lines,” explained Cabinet Secretary for Information, Communication and the Digital Economy, Eliud Owalo.
Despite some delays, due to regulatory approvals and environmental assessments, the drive toward expanding network capacity is relentless, backed by both public and private sector initiatives.
Global Connectivity Boosted by Submarine Cable Expansion
Kenya’s position as a connectivity hub is being solidified through robust undersea cable infrastructure.
The country is now connected to at least five major submarine cable systems, including SEACOM, EASSy, TEAMS, LION2, and DARE-1, drastically improving international bandwidth and reducing internet costs.
The recent arrival of the PEACE cable, with 24 Tbps capacity, has enhanced global connections between Kenya, Asia, and Europe. As a result, Kenya’s internet bandwidth has increased by 20%.
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Expanding Access in Underserved Areas with Fixed and Satellite Solutions
Efforts are intensifying to extend reliable internet to rural and underserved regions. Fixed broadband subscriptions increased to 1.5 million by mid-2024, reflecting a 7.4% rise and indicating sustained interest in home and business internet solutions.
The entry of Starlink in June 2023 marked a major milestone, with over 8,500 users onboarded by the end of 2024. However, SpaceX’s Starlink is facing a drop in its Kenyan user base, with subscriptions dropping from over 19,000 in Q4 2024 to 17,066 as of March 2025. This decline follows a service pause that began in 2024.
Beyond this, satellite providers face regulatory friction. Proposed increases in licensing fees for satellite internet service providers (ISPs)—potentially up to 800%—may impact future adoption.
Policy Initiatives Driving Digital Inclusion
The Kenyan government, through the Communications Authority and the ICT Ministry, is spearheading inclusive policies to expand broadband and digital literacy.
Through the Universal Service Fund (USF), more than 800,000 rural residents have gained mobile access via newly constructed base stations in 24 remote counties.
“The [Communications] Authority has prioritized close collaboration with the Ministry of Interior through the National Government Administration Officers (NGAOs), who have been instrumental in reinforcing security and community ownership of the projects,’’ highlighted Eng. Boruett, Director, Multimedia Services, who also oversees the Universal Service Fund function.
Other partnerships, such as Safaricom and Huawei’s digital literacy program, the DigiTruck digital mobile classroom, are delivering training in counties like Marsabit to equip citizens with essential tech skills. All these efforts align with the National Digital Masterplan (2022–2032), which outlines a roadmap for infrastructure expansion, digital services, cybersecurity, and e-government platforms.
Challenges Persist Despite Momentum
While Kenya’s telecom sector is thriving, it still faces several key hurdles:
- Infrastructure bottlenecks, especially in rural areas, hamper full nationwide coverage.
- Bureaucratic delays and regulatory requirements can slow tower deployment and network upgrades.
- Affordability gaps remain in satellite and fiber services for low-income populations.
- Licensing and spectrum policies are still evolving, with stakeholders calling for clearer, more flexible frameworks to accommodate new technologies like satellite-to-device connectivity.
Sustained Growth and Innovation on the Horizon
Despite these challenges, Kenya’s telecom sector is well-positioned for continued success. The 5G rollout is expected to accelerate, alongside innovations in IoT, cloud computing, and enterprise solutions. Projects like the Konza Technopolis, Kenya’s flagship smart city, are setting the stage for a more advanced digital economy, with investments in data centers, innovation hubs, and public-private collaborations. Satellite-to-device communication services are also being explored, promising to eliminate the need for ground infrastructure and address completely unserved areas.
As Kenya further integrates into the global digital economy, the telecom sector will remain a central pillar, facilitating growth, education, innovation, and inclusivity for millions.
The explosive growth in Kenya’s telecom sector is a clear testament to the country’s commitment to digital transformation. With rising subscriptions, expanding infrastructure, improved international connectivity, and forward-looking policies, Kenya is redefining what it means to be connected in Africa.
