Michuki Mwangi discusses solutions to lower Internet costs
http://www.standardmedia.co.ke/mobile/article/2000198696/solution-to-lower-i... Six years before the submarine fibre cable arrived in Kenya, 1Mbps of international Internet capacity cost about $3,000 (Sh303,750) compared to today’s cost, which is well below $100 (Sh10,125). So why have the cost benefits not been fully passed on to end users? According to operators, the cost of backhaul capacity between cable stations and cities, towns or locations closer to customers remains high. The costs associated with building and maintaining backhaul fibre — whether through rights of way, licensing fees, associated risks or a general lack of laws that penalise the destruction of infrastructure — means an operator ends up spending a lot of money keeping the fibre operational, not on its expansion. The total of these associated risks on this single investment is ultimately passed on to the end consumer.
participants (1)
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Mwendwa Kivuva