Kenya’s largest telecom operator, Safaricom, has suspended its advertising spending on Nation Media Group (NMG) platforms following critical coverage of the company, according to two NMG executives familiar with the decision.
NMG-owned publications like the Daily Nation, Business Daily, and The East African have run stories critical of Safaricom in the past month.
One story by The Daily Nation was about a $800 million public healthcare system contract awarded to a consortium that included telco and companies linked to Indian billionaire Gautam Adani. Another report highlighted the close ties between Safaricom’s chairman, Adil Khawaja, President William Ruto, and Adani.
However, the key trigger for the advertising suspension appears to be a Daily Nation investigative report published on October 29, 2024. The report claimed Safaricom shared user data—including calls, texts, and location—without proper consent, a claim the company has firmly denied.
One week after the privacy story was published, Safaricom ran ads in The Standard and The Star, reaffirming its commitment to customer privacy. Those ads coincided with the company’s 24th anniversary.
Safaricom also chose not to publish its H1 2024 financial reports in any NMG-owned publications, a first since its 2008 IPO. It opted to publish in The Standard and The Star to meet legal requirements.
The suspension highlights the growing pressure on independent media outlets to soften their coverage or risk losing ad revenues. Kenyan news outlets have seen a decline in ad revenues as banks, telcos, and the government cut advertising spending.
Safaricom is one of Kenya’s biggest advertisers, with a monthly ad budget of $4.8 million (KES619.2 million).
This is not the first time Safaricom has withheld advertising following critical coverage. In previous instances, the company would still publish its financial statements in NMG publications, but this is the first time it has refrained from doing so.
In October 2024, Safaricom officials visited major Kenyan newsrooms to persuade them to tone down coverage, said one senior PR executive who asked not to be named so they could speak freely. The officials met senior editors and reporters during the visits.
The company has significant influence in the market and, from time to time, withholds ads in response to critical coverage, the public relations executive said. It has never publicly admitted to suspending ads.
Safaricom did not immediately respond to a request for comments.
The media group’s troubles extend beyond Kenya. In October, the Tanzania Communications Regulatory Authority (TCRA) suspended Mwananchi Communication’s websites–a subsidiary of NMG–after one of its publications ran an animated advert depicting President Samia Suluhu and referencing recent abductions and killings of opposition groups.
These pressures could compound NMG’s financial challenges, as it faces its first loss in decades and a shifting media landscape that is increasingly digital.