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In a notable shift within Kenya’s telecommunications landscape, Safaricom Network Plc faced challenges as it expanded its business reach to Ethiopia. This move led to a decline in its market presence and investor confidence in Kenya, creating an opportunity for Airtel to seize the spotlight.
Airtel, a subsidiary of Bharti Airtel Limited, made significant strides in the Kenyan market, experiencing remarkable growth on the Nairobi Securities Exchange (NSE). This success coincided with Safaricom’s difficulties, as it grappled with losses in both market share and investor support.
Despite being a long-standing telecommunications company in Kenya, Safaricom’s recent endeavors to expand internationally seemed to have impacted its standing at home. The company, established in 1997 and later partially owned by Vodafone Group Plc, faced challenges as Airtel gained ground in Nairobi and beyond.
Airtel’s rise in Kenya is attributed to its competitive pricing strategy. According to the Communication Authority (CA), Airtel witnessed a consistent increase in subscribers over the past two years, while Safaricom reported no significant growth in its customer base. Analysts from Taarifa Leo suggest that consumers are opting for more affordable network services, with Airtel offering comparatively lower tariffs than Safaricom and other competitors like Telkom Kenya. This trend reflects the influence of economic considerations on consumers’ choices in the midst of challenging financial times.
Airtel Surges Ahead as Safaricom Faces Setbacks in Kenyan Telecom Battle. Telecom Dynamics Shift as Airtel’s Competitive Pricing Resonates, While Safaricom Expands Globally, Prompting Changes in Kenya’s Market Landscape.
