The number of smartphones in use surpassed feature phones in Kenya for the first time, according to the Communications Authority of Kenya data. There are now 32.6 million smartphones against 32 million feature phones as of September 2023. This marks a 0.3% drop in feature phones and a 6% rise in smartphones compared to the previous quarter. This milestone shows a positive trend in embracing digital services, aligning with the Kenyan government’s initiative to shift its services online.
Data from market research firm Statista shows that over half of the 40 to 50 million mobile phones shipped to Africa each quarter are feature phones. The rising usage of smartphones in Kenya is a marked departure from this trend.
There are multiple reasons for the jump in smartphone usage in Kenya. The government, telcos, and private companies have launched multiple programs to encourage smartphone uptake. Kenya’s leading operator, Safaricom, launched affordable Neon-branded devices that cost as low as KES 3,500 ($23). The 4G-equipped smartphones have been wildly popular amongst budget-hunting local customers. Safaricom sold 600,000 Neon devices in 2019, which grew to 900,000 in 2020. In 2022, Safaricom sold 500,000 Neons.
Operators, led by Safaricom, have also been at the forefront of pushing for credit-based phone purchases. In this case, Safaricom has a programme called Lipa Mdogo Mdogo that allows customers to pick a smartphone on credit. Daily payments over a set period then cover the balance.
The state has also been pushing for wider smartphone adoption as Kenya shifts to a digital-first approach. Supported by broad 4G coverage by Telkom Kenya, Airtel Kenya, Faiba, and Safaricom, Kenyans access government services through online portals from the comfort of their handhelds. In 2023, Kenya has onboarded over 10,000 government services online via the e-Citizen platform. The services, which include passport, ID, and visa applications, are primarily accessed via mobile devices.
Amidst high demand for smartphones, in October, Kenya launched a local smartphone assembly plant, a joint venture between Safaricom and Faiba, along with the assembly partner, East Africa Device Assemblyman to Kenya Limited (EADAK).
With an expected production volume of 21,000 phones monthly, the smartphones are a part of the government’s digital literacy program, which trained 300,000 people in 2023. Part of a broader digital transformation agenda will also see the government expand fibre connectivity across all 47 counties in the country.
HMD Global, which manufactures Nokia—and soon, HMD-branded devices—had also promised to start assembling its devices in Kenya and to address high smartphone prices. However, it has yet to give a date for the launch.
Kenya primarily imports smartphones from China and South Korea. However, the devices have become expensive over the last few months with varying factors such as rising inflation and a tanking Kenyan shilling against the US dollar. This has made most of the devices from brands such as Samsung, OPPO, TECNO, realme, and Infinix expensive, hence the need for affordable options.