Safaricom and Airtel have consistently engaged in competitive pricing battles within the talk-time market over the years.
Airtel Kenya skyrocketed its slice of the local voice market to a whopping 35.1 percent or 7.8 billion minutes, breaking records like a marathon runner on a chai-fueled sprint. They pulled a ninja move, chopping Safaricom's share to a fresh low in the process, all while engaging in a telco showdown that could rival a Nairobi street bazaar bargaining session.
Fresh data spills the beans: Airtel's share, in the three months leading to September, leaped from 32.3 percent (6.91 billion minutes) in the last act (June). Meanwhile, Safaricom took a tumble, sliding from 66 percent to 64 percent (14.2 billion minutes).
According to a report from the Communications Authority (CA), Airtel Networks dominated with the highest average on-net minutes, while Jamii Telecommunications scored big on the off-net side. Apparently, it's all about the sweet talk, thanks to fair tariffs - the real smooth operators!
Airtel's gain was like winning at 'karata' (a Kenyan card game) during a season of generosity. They played the lowest pay-as-you-go card, dealing out an average of Sh2.78 and Sh4.50 per minute for on-net and off-net calls, as per CA data. Meanwhile, Safaricom was charging callers an average of Sh4.87 per minute, and Telkom Kenya priced calls at Sh3.54 – like they were auctioning off 'sukuma wiki'.
Now, onto the underdogs - Telkom, bless their hearts, struggled to keep up with Safaricom and Airtel's turbocharged engines. Their market share took a nosedive below one percent or 159.18 million minutes, down from a meager 1.3 percent in the June quarter. Jamii Telecommunications clung to their under-one-percent share, offering the cheapest rates for calls to other networks, like they had secret coupon codes.
Safaricom and Airtel, the OGs of price wars, continued their epic duel for the local talk-time throne. Airtel, in true hustler fashion, slashed rates to woo callers and rake in those coins. But, oh boy, it's not all sunshine and rainbows - Airtel threw shade, claiming Safaricom's calling promotions were cheaper than a 'mitumba' (second-hand clothes) spree.
Fast forward to the future, and it seems like the telcos are gearing up for a discount party in 2024. The Communications Authority slashed Mobile Termination Rates (MTR) to Sh0.41 from the current Sh0.58. It's like getting a discount code for your airtime. Cue the celebratory 'ohangla' music!
Voice, once the undisputed king of telcos, is now facing midlife crisis vibes - it's still important, but no longer the cool kid on the block. With the market stuffed like a 'kibanda' (food stall) on a lunch rush, and alternative communication channels throwing shade, it's a reminder that even for telcos, change is the only constant in Kenya's digital safari.
