Fiber optics, however, have not yet brought down costs significantly, industry and government insiders note.

"We witnessed the landing of both TEAMS and SEACOM cables, and though both are operational stakeholders, the public is yet to experience any remarkable changes in the pricing of bandwidth as had been expected," said Samuel Poghisio, Kenya's information and communication minister, in a statement. Poghisio said that the government expects EASSY, when operational, to create a competitive environment where bandwidth prices will fall, so that service providers pass the benefit onto users.

Chris Wood, the chief executive of WIOCC, the EASSY investment vehicle, said his company was delighted to be partnering with Telkom Kenya in delivering an improved online experience to consumers in Kenya.

Wood said that several organizations are interested in securing direct connectivity to key Internet exchanges in Europe and the U.S.

"We can confidently assure the stakeholders that we will be able to meet such demands in Kenya and other African countries, including landlocked countries," Wood said. "We are happy with the progress being made on the vital construction phase of EASSY."