Facebook takes on telcos with low-cost Internet in Nairobi

MONDAY, MARCH 6, 2017 19:27http://www.businessdailyafrica.com/image/view/-/3839648/medRes/1583360/-/maxw/900/-/k6q5xtz/-/mark.jpgSURF CHIEF EXECUTIVE OFFICER MARK SUMMER. THE US TECH GIANT HAS PARTNERED WITH THE LOCAL INTERNET PROVIDER TO PROVIDE LOW-COST DATA BUNDLES. PHOTO | SALATON NJAU

US tech giant Facebook has switched on its low-cost Internet in Nairobi, stepping up competition for telecommunication firms which earn significant revenue from users of the social networking site.
‘Express Wifi’ by Facebook, which is a joint project with Surf, a local Internet service provider, went live in Nairobi and its environs about three weeks ago after previous launches in Uganda, Nigeria and India.
The service is currently available in Thika, Ong’ata Rongai, Mlolongo, Limuru, Kitengela and Kiambu.
Facebook’s Express Wifi is similar to the Google balloon powered Internet (Project Loon) intended to take the Internet rural, remote areas. The Express Wifi has a 10-day offer where users access 100MBs free daily package after which they are required to top up through recharge agents recruited in areas where it is available. Daily Internet bundles cost Sh10 for 40 megabyte (mb) and Sh20 for 100mb while weekly Express Wifi bundles cost Sh50 for 300mbs and Sh100 for 500mb. Monthly bundles cost Sh200 for 1.25 gigabyte (gb) and Sh500 for 3gb. Surf Kenya CEO Mark Summer said in an interview the prices could change after official launch of the service. Safaricom offers daily Internet bundles at Sh50 for 65mbs while Airtel and Orange offers 50mbs and 400mbs for the same amount, respectively.

“With Express Wifi, we’re working with carriers, Internet service providers, and local entrepreneurs to help expand connectivity to underserved locations around the world,” said Facebook’s Internet.org in a statement. “Express Wifi empowers local entrepreneurs to help provide quality Internet access to their neighbours and make a steady income. Working with local Internet service providers or mobile operators, they’re able to use software provided by Facebook to connect their communities.”

The tech giant says that they are using Internet access to drive economic opportunities and enable the free exchange of data and information, by ensuring that it is available, affordable, and allows usage that promotes positive social and economic outcomes. Kenya ranks poorly in the affordability measure of The Inclusive Internet: Mapping Progress. On Average, the study carried out in 75 countries says that while 94 per cent of people live within range of a mobile signal, only 43 per cent have access to a 4G signal. People are therefore using the Internet less than they would if it was cheaper and faster.

“When people are able to purchase fast, affordable and reliable Internet, they’re able to explore the range of information it has to offer including news, education, health, job postings, entertainment, and communication tools like Facebook.”

The entry of Facebook’s Express Wifi in Kenya is likely to be met with a lot of opposition especially after the criticism the firm suffered in India last year prompting the country to block the service. While the Express Wifi service, unlike Free Basics comes at a cost, its pricing model undercuts other key players in the market and this may ignite fresh price wars with key players locally. India on the basis of Internet neutrality issue-- which implies that Internet service providers should not create different pricing policies to favour those who can afford or discriminate against those who cannot-- blocked free access to Facebook early last year.

http://www.businessdailyafrica.com/corporate/Facebook-takes-on-telcos-with-low-cost-Internet-in-Nairobi/539550-3839636-ask1wt/index.html

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wacha tungoje restrategy ya thugcom

…translation?

fununu zinasema thugcom nao wanataka kukuja na something called Flex

how does it work?wifi on a larger scale or?

how is it any different from bundles mwitu people sell on telegram?

i think it would be better if they offered home internet service instead of mobile data bundles…but, still a step in the right direction

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Hii home Internet isps wanaring yet it’s a goldmine. Nairobi pekee is not even fully covered. Safaricom walikaa Nyayo Estate for like 4 years eti trial, Access Kenya waliringia watu. Zuku naye seized the opportunity ndipo hawa wengine wakagundua ni kubaya. I hope this year they will improve.

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Orange offers 400 Mbs for Ksh. 50. Hawawezi shinda hio.

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Heard that you have to be within 100m radius from the WiFi hotspot

A step in the right direction.

Zuku saizi hawana competitor kwa level yao,kulikua na news some time back ati kplc wataingia kwa field lakini sijui what happened.

On a serious note,internet is now a basic need kwa country kama Kenya…key players need to put in more effort ndio by the time tushaingia kwa age ya IOT kila mtu atakuwa connected.

But lets wait and see

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gani hiyo?
niko hapa na sioni http://www.orange.co.ke/en/internet-plans/

I think service providers wana angalia mobile phone penetration vis a vis pc penetration

lakini in urban areas pc penetration is also high alafu ongeza android tv boxes. na ujue ukiprovide home internet the whole house uses 1subspriction unlike phone where each person subscribes their own bundle. i think thats the reasoning zuku uses

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ukiangalia uptake ya customers wa broadband internet, utapata it’s is still at an all time high.

You just have to visit zuku Facebook page to realise those guys are sitting on a potential goldmine…lakini pia mobile customers wanaleta revenue but ISPs wanafaa kuangalia pc penetration as the next frontier kwa business yao

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true but how many subscribers does zuku have compared to safcoms 3mill. smartphone users

Stupid article that does not cover one main question…HOW DO WE ACCESS THAT INTERNET???

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Personally I know of a bundles mwitu guy, Showed me his account for the past like 9 months, Those guys transact like ksh 700k - 1M monthly yet their share is a tiny and I mean a really tiny fraction of mobile users. this just show the length Kenyans go through to in search of cheap internet. currently I think we have like 5 sea cables so we can support the need, hata nashuku iko underutilised.

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i do not know the number of zukus subsribers but its definately not close to 3m

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They are called the Xcell data plans. Dail 1245# if you are on Orange.

from your phone, lets say ukiwa Rongai ufungue wifi yako utaona hii Surf,

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the rest should now be self-explanatory

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