Next month marks a significant milestone for Safaricom as it celebrates its 25th anniversary, a journey from a small part of Telkom Kenya to a key player in the economy. CEO Peter Ndegwa, with a background in global marketing at Guinness, now focuses on expanding digital services across Kenya. Under his leadership, Safaricom has achieved annual revenues surpassing $3 billion, with 36 million monthly M-Pesa users and 95% mobile network coverage.
Safaricom is addressing gaps in 4G and 5G device usage by producing affordable ‘Neon’ phones locally. Currently, 23 million of their 50 million subscribers use 4G, with usage growing annually by 20-30%. The company is also expanding broadband services, aiming to make all sites 5G-ready by 2029, with 1.1 million 5G users already in place as of March 2025.
In Ethiopia, Safaricom’s subsidiary, licensed in 2021, serves 10 million customers but faces challenges with a KES 61.1 billion negative EBIT due to high capital expenditures and currency reforms. Despite this, Ndegwa remains optimistic about breaking even by 2027, aiming to reach 15 million subscribers by 2025 and 50 million in the next decade.
Back in Kenya, Safaricom continues to show strength, with a 13% increase in EBIT to KES 158 billion. Investments in Ethiopia are being repaid, and Ndegwa dismisses any calls to dismantle the company, emphasizing its unified impact.
Ndegwa highlights Safaricom’s journey from purpose-driven beginnings to a focus on customer and innovation, making it more than just a telecom company but a force for progress. As it stands at the crossroads of legacy and innovation, Safaricom is poised for its next leap forward.
