Liquid Telecom will extend fibre optic to seven new countries
The Sh618mn deal will see Liquid Telecom Kenya, the internet service provider, extending its fibre optic cables to seven neighbouring countries.
Liquid Telecom has signed a 10-year contract with state-owned power firm Kenya Electricity Transmission Company (KETRACO) to expand its Optical Ground Wire (OPGW) network.
The contract will allow the South African firm to sell internet in Ethiopia, South Sudan, Uganda, Tanzania, Rwanda, Eastern Congo, and Burundi.
Over the next five years, KETRACO will lay 7,000km of high-voltage lines with fibre optic infrastructure for regional interconnection.
60% of the revenue will go to Liquid Telecom, with the remaining 40% going to KETRACO.
“With Ketraco and Liquid Telecom coming together, we are now taking fibre to where it has never been before while diversifying our company’s revenue base,” stated Fernandes Barasa, KETRACO’s Managing Director.
Liquid Telecom will upgrade, operate, manage and commericalise KETRACO’s 1,800km fibre optic cables on existing power lines.
KETRACO has partnered with third parties to manage its system, allowing it to focus on laying power cables.
It is the advanced communication between generators and control centres that fibre optic provides that is powering this deal.
“We will invest in high-capacity equipment to ensure we achieve the largest data capacity possible and serve the region with fast and stable internet,” commented George Kuria, Liquid Telecom’s Infrastructure General Manager in East Africa.
- COVID-19: Vodafone helps UK small businesses stay connectedCorporate Finance
- Universal internet access – is it a pipe dream?Leadership & Strategy
- Mastercard Foundation to give Kenya sh30bn to boost job prospects for youthLeadership & Strategy
- Construction to begin on Nairobi’s Sh50bn road in SeptemberLeadership & Strategy