Opera Suspends Free Data Offers In Kenya

Multi-platform web browser company Opera has ceased its free data campaigns in Kenya in response to a regulatory directive by local authorities aimed at curbing advertisements featured on speed dials, commonly referred to as bookmarks, within web browsers.

The recently concluded initiative, introduced four years ago, provided Kenyan users with up to 50MBs (megabytes) of free data daily.

“We had to pause investment and free Internet access in Kenya due to the decision of the local authorities to stop advertising on speed dials (bookmarks) within browsers. We are hoping for a solution so that we can once again provide free data to you, our valued customers in Kenya,” said Opera in an update.

Last August, the Betting Control and Licensing Board (BCLB) directed licensed betting firms to refrain from displaying advertisements on the speed dial internet feature of the Opera browser without regulatory approval.

A speed dial functions as a visual compilation of frequently visited web pages on a particular browser. These entries are displayed as thumbnails and, when selected, redirect users to the respective pages.

Opera, which currently has 13.5 million Kenyan users, reported providing over four million gigabytes of free data in 2023 alone through the initiative, amounting to approximately $11.81 million. Across the last four years, the company has enabled users to save 15M GB of data – the equivalent of $19M overall – helping Kenyan users save roughly 15M GB of data. When one combines the free data campaigns with the effect of Opera Mini’s data saving technology, Opera has enabled Kenyan users to save nearly $60M worth of data over the last four years.

“Feature phone users have been even more adversely affected by the ruling, with unconfirmed sources suggesting that over 2 million Kenyans using Feature Phones have very limited internet access since Opera stopped its Free Data program. For many, Opera Mini Free Data campaigns are the only way to get online on Feature Phones, meaning that many Kenyans have lost their main lifeline to the internet, including access to their online jobs, the opportunity to connect with family, or look for educational content.

College student Chris Ngamba said that “Opera’s free data has helped me save a lot of cash which I can use for other needs such as food and transport to and from college.” Similarly, a business owner Maurice Ohito said: “I have been using Opera Mini even when I didn’t have money to purchase data to connect with customers and to advertise goods. Now I have to go back to spend more to buy data bundles which are quite expensive and sometimes inaccessible especially when I am out and about visiting customers and making deliveries.”

In 2017, Opera announced plans to invest up to $100 million in the African market to enhance the data-saving capabilities of its browser. Of this amount, $14.7 million was designated for the Kenyan market, the second-largest market for the multinational in Africa, following Nigeria. Previous studies have highlighted steep internet costs and sluggish speeds as significant barriers to mobile internet usage and e-commerce expansion in Kenya.

The company says its free data plan was rolled out “to decrease the digital divide, especially in sub-Saharan Africa, where the costs of data are such a major issue.” The price of data in sub-Saharan Africa has recently been the highest in the world, averaging a steep $6.44 per GB – making it even more expensive than the island nations of Oceania. In Kenya itself data ran up to $2.25 per GB, comparing highly unfavourably with the majority of western markets, which feature data costs as low as $0.07 per GB.

Prior to the regulatory adjustments, Opera had outlined extensive investment plans for the upcoming year, aiming to match or surpass the previous year’s expenditure on Free Data initiatives in Kenya. However, the BCLB’s directive has indefinitely halted these plans, casting doubt on the future trajectory of these initiatives.