Safaricom seeks approval from CA to build undersea cable

Highlights
  • Safaricom is seeking regulatory approval to build its own under-sea cable
  • According to reports, Safaricom has assembled a consortium to build the multi-billion shilling submarine internet cable. 
  • This move is also seen as a response to growing competition from other internet providers such as Starlink

Kenya’s leading telco Safaricom is seeking regulatory approval from the Communications Authority of Kenya (CA) to build its own undersea cable, according to a local publication the Business Daily. 

The CA, Kenya’s independent regulatory agency for the ICT sector, has confirmed that Safaricom has applied for submarine cable landing rights. These rights would enable the telco to operate and maintain multiple undersea cables that land in Kenya. 

If approved, this strategic move could significantly bolster Safaricom’s capacity to deliver high-speed internet, enhance connectivity, and reduce its reliance on third-party cable operators.  The telco will also be the first telco in the country to invest in its own sub-sea cable.

Safaricom currently depends on providers such as SEACOM, East African Submarine System (Eassy), TEAMS and Telkom Kenya for its international bandwidth needs. For instance, Telkom Kenya holds most of the country’s submarine cable landing rights, maintaining five of the six submarine cables currently connected to Kenya, including the SEACOM cable.

In Kenya, sub-marine cable landing rights are primarily managed by the CA. Companies wishing to land a submarine cable in Kenya must apply for a “Submarine Cable Landing Rights License” from the regulator.

According to reports, Safaricom has assembled a consortium to build the multi-billion shilling submarine internet cable. 

Last year, Safaricom was forced to acquire additional internet capacity from other undersea cable providers following massive undersea cable cuts that affected some of its services. The deep-sea fibre cut occurred on the Mtunzini teleport station, affecting several submarine cables serving Kenya, including SEACOM and the Eassy.

This move is also seen as a response to growing competition from other internet providers, including potential satellite internet services like Starlink. This is despite the telco already leading the park with more than 550k fixed broadband subscriptions. 

Starlink launched its operations in Kenya in July 2023 and has continued to disrupt the dominance of established providers like Safaricom. Its entry into Kenya has also seen the number of satellite internet subscriptions surge.

If successful, Safaricom’s venture into owning and operating its own undersea cable could mark a significant milestone for the company and further strengthen Kenya’s position as a regional hub for internet connectivity.

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Source
Business Daily
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