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Rwanda: ISPs cash in on work from home model

Friday July 16 2021
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All the Internet service providers are trying to cash in by coming up with a variety of products that serve customers of all income categories. PHOTO | CYRIL NDEGEYA

By MOSES K. GAHIGI

Internet service providers are benefiting from a windfall in data revenues, as many people work from home, meet virtually and consume data-enabled content while they stay home to minimize chances of contracting coronavirus.

Partial lockdown is forcing almost 50 percent of workers to operate remotely, and as a result data has become more essential, more like a utility for many.

Many homes have upgraded their data plans to installing fibre to the home, or other more home friendly Internet packages, which can be used by multiple people in a homestead, to enable all members of the family to work at home.

This has given reprieve to data providers especially mobile network operators who have been experiencing dwindling revenues from their voice revenue stream.

According to data from the Rwanda Utilities Regulatory Authority (RURA), revenues earned by all Internet providers in the first quarter of 2021 grew to Rwf65, 481,202,724billion, up from Rwf52, 112,851,233billion recorded in the first quarter of 2019-a year before the pandemic.

The highest number of fixed Internet subscriptions according to Rura was connected to the fibreto-the home/building in the first quarter, whereas the lowest fixed Internet subscriptions are on satellite and DSL technology.

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“We launched our fibre-to-the home Internet services just a week before the pandemic started, and we have seen a remarkable growth in our clientele base as people worked more at home during the pandemic.” “Due to this demand we have extended our network to more than 80 per cent of Kigali, the plan is to cover 100 per cent and also go beyond '', said Yves Gashema, the head of sales at Canal box Rwanda.

Canal box is the second company to provide fibre to the home in Rwanda, joining liquid telecom.

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