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Business Daily - Cyber café business booms amid stiff competition

Business Daily - Cyber café business booms amid stiff competition




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Cyber café business booms amid stiff competition
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Analysts had anticipated a decline in customers in cyber cafes with the advent of cheaper Internet modem and computers. Growing number of students has enabled the business to remain profitable./Reuters
By Abyssinia Lati (email the author)
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Posted Tuesday, July 14 2009 at 00:00

Despite the cheaper computers and wireless Internet modems flooding the market, people are still trooping to the cyber cafés to check emails and surf the Internet.

While analysts had predicted that the influx of low-cost modems and computers could spell the death knell for cyber cafés, this seems not to be happening.

It costs around Sh12,000 to buy a locally-assembled PC while a laptop could cost you as low as Sh19,000.

Modems are going for as little as Sh3,000 from the major telecommunication firms, but still only a small number of Kenyans own Internet-enabled computers.

Even for cyber cafes like Easy Surf—an upmarket facility with outlets in Sarit Centre and Yaya Centre where the target market can afford these gadgets, business is still booming.

Osmond Changano, the general manager of the cyber café, says offering more services than conventional email checking have managed to enable him stay afloat.

“Not all people want to have a scanner or printer at home. Also, many people still need guidance when online hence the qualified cafés staff comes in handy,” he says.

The growing number of students in colleges in urban areas has also sustained the cyber café businesses.

In the city centre, colleges and satellite public and private universities are opening doors nearly every month.

According to the Economy Survey 2009, the students admitted by both the public and private university increased by 3.9 per cent thus putting a strain on facilities like computer labs.

This has necessitated the need for students to use cyber cafés to do assignments and research projects.

One of the owners of the downtown-based café says since the students cannot afford to work from the comfort of the hostels or homes, they sit in her café for hours do

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