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<p class="MsoNormal"><b><span style="font-size:11.0pt">Listers,<o:p></o:p></span></b></p>
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<p class="MsoNormal" style="background:#0070C0"><b><span style="font-size:
26.0pt;color:white"> P R E S S R E L E A S E E<o:p></o:p></span></b></p>
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</span><![endif]><span lang="EN-GB" style="font-family:"Arial","sans-serif";
text-transform:uppercase"><img width="97" height="126" id="_x0000_i1034" src="cid:image003.jpg@01CE3C49.88BCD940"></span><o:p></o:p></p>
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<p class="MsoNormal"><b><span style="font-size:11.0pt">18<sup>th</sup> April 2013<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:11.0pt"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal" style="text-align:justify"><b><span style="font-size:12.0pt">Growth rate of internet/data surpasses voice
<o:p></o:p></span></b></p>
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<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">The number of internet users in Kenya increased to 16.2 million in the period between October 1 and December 31 last year, representing a growth of 11.6 %.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">According to the CCK Sector Quarterly Statistical Report (2<sup>nd</sup> Quarter of 2012/13 FY) released today, the number of Internet subscribers in the country rose from 8.5million
in the 1<sup>st</sup> quarter of this financial year to 9.4 million by the end of December 2012, posting an increase of 11.5%. The number of Internet subscribers increased by 75.1% compared to same period in the previous year.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">Mobile data/internet continued to dominate the Internet market contributing 99% of the total internet/data subscriptions in the country. <o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">Internet penetration went up by 4.3% to reach 41.1% up from 36.8% recorded during the previous period. However, the number of broadband subscribers declined to 1,002,701 from 1,006,071
posted during the previous period mainly due to a reduction in the number of fixed terrestrial broadband subscribers.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-GB" style="font-size:12.0pt">The report attributes the growth in the Internet/data market segment to international internet connectivity (used) bandwidth that has continued to spiral upwards. During
the quarter under review the international internet used bandwidth rose to 328,641 Mbps from 278,329 Mbps posted during the previous period, representing an increase of 18.1 percent.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span lang="EN-GB" style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">Meanwhile, the total number of mobile subscribers in Kenya rose to 30.7 million, representing a marginal growth of 1.0 percent from the previous quarter. As observed during the previous
period, the rate of growth has slowed down as the market appears saturated and tending towards maturity. Pre-paid subscribers continued to dominate the mobile sub-sector contributing 99% of the total number of subscribers.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">Mobile penetration on the other hand increased to 78% during the same period up from 77.2% recorded during the first quarter. All mobile operators recorded positive growth in service
subscription beside Telkom (Orange) which lost a total of 609,321 customers, representing a decline of 19.7% during the quarter under review.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">The number of letters sent locally declined by 2.0 percent to reach 17.3 million down from 17.7 million letters sent during the previous period. Compared to the same period of the
previous year, a decline of 11.8 percent was recorded. <o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt">The number of international incoming letters grew by 20.9 percent during the period to reach 191,672 letters from 158,549 received during the previous period. Similarly international
outgoing letters reached 1.9 million from 1.6 million during the previous period, representing 18.1 percent increase.
<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align:justify"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">The full report is attached. <o:p>
</o:p></span></p>
<p class="MsoNormal"><b><span style="font-size:11.0pt;font-family:"Calibri","sans-serif""><o:p> </o:p></span></b></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Trebuchet MS","sans-serif"">Christopher Wambua<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Trebuchet MS","sans-serif"">Manager/Communications<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Trebuchet MS","sans-serif"">Consumer and Public Affairs Division
<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Trebuchet MS","sans-serif"">Communications Commission of Kenya<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Trebuchet MS","sans-serif"">P.O. Box 14448, NAIROBI 00800<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:"Trebuchet MS","sans-serif"">KENYA<o:p></o:p></span></b></p>
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