Safaricom Ethiopia Surpasses 15 Million Active Subscribers

Safaricom Ethiopia has surpassed 15 million 90-day active subscribers, marking a significant milestone five years after the company received its unified telecom operating licence and less than four years after launching commercial services.

Safaricom received its licence from the Ethiopian government on July 9, 2021, and began commercial operations in October 2022 after spending the intervening period establishing its business, network, and sales and distribution infrastructure.

The operator says reaching 15 million active subscribers within four years of commercial operations represents one of the fastest customer-growth journeys among new telecom companies that have built their networks from the ground up.

Since receiving its licence, Safaricom has built more than 3,500 network sites, with coverage now reaching around 60 percent of Ethiopia’s population. The company says all of its sites are 4G-enabled and 5G-ready.

The network has also expanded into smaller towns and communities, taking mobile connectivity beyond the country’s main urban centres.

 

 

From market entry to breakeven

The rapid expansion has required substantial investment. Safaricom Ethiopia says its growing customer base and revenues are now bringing the business closer to financial breakeven after five years of investment in network infrastructure, distribution, technology and operations.

The shift is significant for an operator that entered the Ethiopian market by building a nationwide network from scratch. With subscriber acquisition no longer the only measure of progress, the company’s ability to convert scale into sustainable revenue and earnings will become increasingly important.

The company has not disclosed a specific date for reaching breakeven.

Competition changes the telecom landscape

Safaricom’s expansion has coincided with one of the biggest changes in Ethiopia’s telecommunications industry in decades.

The liberalisation of the sector ended Ethio Telecom’s effective monopoly and introduced competition for customers, data usage and digital services.

Safaricom says the resulting competition has contributed to wider connectivity, faster digitisation, higher internet speeds, increased data consumption and the expansion of digital payments.

The effects are also visible in the broader digital economy. The company says its operations have contributed to the development of technology opportunities and the emergence of skilled IT talent in Ethiopia.

For the financial sector, the expansion of mobile connectivity is particularly significant. As more consumers gain access to smartphones, mobile internet and digital payment platforms, telecom operators are increasingly becoming part of the country’s wider digital-finance ecosystem alongside banks and fintech companies.

Investment extends beyond telecom

Safaricom Ethiopia says its impact has extended beyond its core telecommunications business.

The company has directly invested 139 million birr in community development initiatives over the past four years. Its shareholders and partners have contributed another 545 million birr, taking total community investment to 684 million birr.

The operator’s growing footprint comes as Ethiopia continues to push digitalisation across financial services, commerce and public services.

At 15 million active subscribers, Safaricom has established a substantial position in the market. The next phase will test whether its rapidly built network and customer base can translate into sustained profitability while competition continues to reshape Ethiopia’s telecom and digital-finance sectors.