Telkom inks deal to grow 4G devices uptake

Telkom has inked a deal with the Buy-Now Pay-Later Company to finance the ownership of 4G devices/smartphones.

The operator which now describes itself as a technology company is backing the financing deal to make 4G devices more accessible to consumers.

Telkom customers will have access to new devices with no deposit requirement and with flexible repayment plans of up to 12 months for devices whose value is capped at Ksh.500,000.

In driving the usage of 4G devices, Telkom is looking to anchor the ongoing roll-out of its 4G network across the country.

“There is no point in having a network that customers can’t access. This partnership complements the actual network roll-out that we are undertaking,” Telkom CEO Mugo Kibati said.

“We share a common vision and believe that access to devices is essential to life as we know it today,” added Lipa Later CEO Eric Muli.

Telkom has been rolling out its 4G network, starting at the Coast and lower Eastern region, with plans to have at least 2000 4G base stations in the next two years.

Telkom’s device financing plan aligns with industry trends with leading telco Safaricom having launched a comparable plan dubbed Lipa Mdogo Mdogo to prop the transition from feature phones to 4G devices.

According to the latest data from the Communication Authority of Kenya (CA) the penetration of 4G devices/smart phones stood at 54.6 per cent at the end of March this year while that of feature phones stood at a higher 69.2 per cent.

The total number of data and internet subscriptions meanwhile stood at 46.6 million in the period.