safaricom led by peter ndegwa seeks approval for kenyas first telcoowned submarine cable

Safaricom, Led By Peter Ndegwa, Seeks Approval For Kenya's First Telco-owned Submarine Cable

Key Points
  • Safaricom seeks approval for Kenyas first telco-owned submarine cable to boost network resilience and cut reliance on third parties.
  • Undersea cable outages push Safaricom to secure direct international bandwidth amid rising competition from Starlink.
  • Safaricom expands beyond telecom, launching mobile insurance and a money market fund to diversify revenue streams.

Safaricom, East Africas largest telecom operator led by Kenyan executive Peter Ndegwa, is seeking regulatory approval to land and operate the countrys first submarine Internet cable owned by a telecom company, signaling an aggressive push to strengthen its infrastructure and reduce reliance on third-party providers.

The Nairobi-based telco company has applied to the Communications Authority of Kenya CA for a Submarine Cable Landing Rights Licence. If approved, the initiative would enhance Safaricoms control over international bandwidth, reinforcing network resilience and supporting high-speed Internet expansion across East Africa.

Infrastructure play amid rising internet demand

Safaricoms move comes as Kenyas demand for reliable, high-speed Internet surges. Currently, the telecom giant sources international bandwidth from providers including SEACOM, the East African Submarine System EASSy, the East African Marine System TEAMS, and Telkom Kenya, which holds landing rights for five cables.

Recent undersea cable disruptions have exposed the vulnerabilities of Kenyas current Internet infrastructure. In May 2024, outages in the EASSy and SEACOM networks caused widespread service disruptions across East Africa, including Kenya and Tanzania. These incidents prompted Safaricom to secure additional bandwidth from alternative providers, highlighting the need for greater control over its international data flow.

Competitive pressure: Starlinks market disruption

Safaricom faces growing competition as satellite providers, especially Starlink, challenge its dominance in Kenya's Internet sector. Launched in July 2023, Elon Musk Starlinks high-speed service in remote areas threatens Safaricoms 37 percent share of the fixed Internet market.