Koko Networks submitted its application for regulatory approval to operate as a tier-three network facilities provider (NFP), signaling its intention to expand its scope of operations.
The energy firm seeks a license that would allow it to establish infrastructure supporting the transmission of communication signals.
According to Business Daily, tier-three licenses authorize providers to build and manage regional communication networks. These networks can include terrestrial fixed and mobile systems and may utilize utility infrastructure such as electricity cables to transmit signals.
In addition, the scope also extends to enabling systems for radio, television broadcasting, and other forms of electronic communication.
Dereki Enterprises Limited, Kwetu Computers Limited, Quick Fiber Limited, Millenia Limited, and Xtranet Communications Limited are some of the known network firms that currently provide communication infrastructure across Kenya.
Koko Networks, which operates in East Africa and India, is best known for promoting ethanol as a cleaner and more affordable cooking fuel for Kenya’s urban households.
The energy firm’s move into telecommunications underscores the growing importance of localized communication systems in fostering connectivity.
Tier-three network licenses allow companies to deploy tailored infrastructure using a wide range of technologies, offering a cost-effective and scalable solution for enhancing regional connectivity. These networks are particularly advantageous in areas where large-scale national infrastructure might be impractical, providing flexibility to address localized needs.
By entering this space, Koko Networks has the opportunity to leverage its infrastructure expertise to address connectivity challenges, support digital transformation, and drive economic growth. This aligns with broader efforts to bridge the digital divide and ensure underserved areas have access to reliable communication services, a crucial factor in today’s increasingly connected world.