Kenya Data Networks Launches Pay As You Use Internet Subscription Model

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Kenya’s largest private data carrier, Kenya Data Networks (KDN) has said it will charge internet subscribers based on what they use as a measure to fight back market share in a competitive environment.

The company, just like the other players in the industry has been leasing internet capacity to customers but will now issue meters to their users.

This move is set it recover lost ground in the data market where other players such as AccessKenya have made inroads and framed out KDN as the top player.

The model, the foreign-majority-owned firm says, will help manage its communication budgets based on actual usage as opposed to the size of the bandwidth.

KDN’s CEO Shahab Meshaki said that some of the measure to take back its market and expand its product portfolio to include video and voice and upgrading its switches to improve the quality of its network.

“I am confident about our current shareholders’ vision and where they want to take this company. Since Liquid came on board they have spent approximately $10 million which has helped us sort the network challenges we had,” said Meshaki.

The CEO added that the firm was still working on the technical aspect of the new billing model, focusing on how they will calculate the usage and also that the new billing system will provide smaller Internet service providers (ISPs).

According to the latest data from the Communication Commission of Kenya (CCK), KDN’s market share dropped to 23.4 percent which holds 21,377 clients in the year to March from 30.2 per cent which holds 24,094 clients in the previous year. This put them in the second position after Wananchi.

 

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