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Rewiring the Market: How Competition Is Driving Down Connectivity Costs in Kenya

Children using laptops

Geneva, Switzerland//- Since joining Giga in 2019, Kenya has slashed the costs of school internet connectivity to just US$ 45 per month – thanks to a bold, government-led shift in procurement that opened the market to new providers and intensified the competition.

But with more than 40,000 public schools across the country, the real challenge wasn’t vision—it was scale, affordability, and execution. By opening up procurement, establishing the principle of competitive pricing, and contracting multiple providers under long-term agreements, UNICEF and the government created a more competitive, dynamic broadband landscape.

“Connectivity at around 50 dollars per month is a game-changer,” says Charles Otine, UNICEF’s Innovation Manager in Kenya. “It means governments can realistically sustain these services long-term—and extend them to more schools, faster.”

Even as the costs drop, more than 609 schools have been connected, many in rural and underserved areas.

This shift was made possible through technical and procurement support from Giga, a UNICEF-ITU initiative helping governments rethink how connectivity is financed, sourced, and scaled.

Reaching this point meant overcoming entrenched market barriers. Kenya’s mobile sector remains highly concentrated, with Safaricom holding a 66% market share, making entry costly for new providers. But the fixed broadband market tells a different story: over 380 internet service providers operate nationally, offering a more competitive landscape, especially in rural areas.

Giga and UNICEF’s Kenya office helped unlock this market potential. In partnership with Kenya’s Ministry of Education and the Ministry of Information, Communications and the Digital Economy, they structured open procurement tenders that attracted diverse providers, including Poa!, Safaricom, Telkom, Mawingu, Liquid Intelligent Technologies, and Airtel. Seven companies were contracted until the end of 2025 under long-term agreements (LTAs) that set performance expectations and faster procurement frameworks. LTAs with nineteen new companies are expected to come into force in the second quarter of 2025.

With over US$ 5.2 billion in goods and services procured across 162 countries in 2023, UNICEF is one of the world’s largest purchasers for children. Through Giga, it brings this procurement strength to the connectivity space, supporting governments to aggregate demand, streamline tendering processes, and broaden participation among internet providers.

“Opening up the process to multiple operators helped establish a healthy, competitive market,” says Otine. “And competition naturally pushed prices down—exactly what we hoped to see.”

The number of connected schools is expected to rise rapidly, supported by partners like the European Union. In rural areas, a hub-and-client model is being deployed: high-capacity “hub” schools share bandwidth with nearby schools and even homes, further lowering operational costs.

Still, connectivity is just one part of the puzzle. Device costs represent around 50% of the total cost of digital transformation in schools, far more than connectivity itself. Meanwhile, digital literacy gaps remain substantial. Only 29% of Kenyans use the internet regularly, and many teachers lack the training and confidence to integrate digital tools into learning environments.

“UNICEF’s ability to deliver both the cables and the content is what makes this model powerful,” says Otine. “We don’t just connect schools—we train teachers, deliver digital content, and align with national curricula so that the internet improves learning outcomes”.

Infrastructure-related challenges persist, particularly in rural and remote areas. Insecurity and theft of equipment are frequent issues, especially in border regions like those near Somalia. Access to electricity, while higher than in many countries (68% in rural areas), remains a constraint for the most remote schools.

To address this, some providers like Mawingu deploy solar-powered towers, allowing for more resilient infrastructure even in off-grid locations. Additionally, Kenya’s public National Optic Fibre Backbone (NOFBI) provides free or low-cost access for schools near government fibre routes. UNICEF helped connect 89 schools using this model.

Kenya’s approach is becoming a continental blueprint: government-led, market-enabled, and built to last. With Giga’s support in procurement, mapping, and technical design, it’s a model with the potential to scale across Africa.

“Kenya is showing what’s possible when governments take the lead and the market is shaped to serve them,” says Otine. “It’s not just about connectivity. It’s about creating a system that can last.”

African Eye Report

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