<p dir="ltr"><a href="http://www.standardmedia.co.ke/mobile/article/2000198696/solution-to-lower-internet-costs-more-local-traffic?pageNo=1">http://www.standardmedia.co.ke/mobile/article/2000198696/solution-to-lower-internet-costs-more-local-traffic?pageNo=1</a></p>
<p dir="ltr">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?</p>
<p dir="ltr">According to operators, the cost of backhaul capacity between cable stations and cities, towns or locations closer to customers remains high.</p>
<p dir="ltr">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.</p>
<p dir="ltr">The total of these associated risks on this single investment is ultimately passed on to the end consumer.</p>