Uganda internet use lifts telecom revenue as voice calls decline

Rising internet use pushed Uganda’s telecommunications revenue to a new quarterly high between April and June 2026, even as traditional voice calling continued to slip, according to the latest market performance report from the Uganda Communications Commission (UCC).

Gross telecom revenue reached 1.73 trillion shillings (about US$465m) over the quarter, up from 1.60 trillion in the previous three months, and the highest in the period tracked by the regulator, ahead of 1.66 trillion in December 2025 and 1.62 trillion in September 2025. The Commission attributes the growth mainly to data, alongside a larger active subscriber base and the continued expansion of mobile money.

The shift in how Ugandans use their phones is clear in the spending figures. UCC puts the average monthly service spend at 15,349 shillings in June, up from 10,932 shillings a quarter earlier, with data the main driver. The average monthly data bill climbed to 10,841 shillings from 6,118, as average monthly consumption rose to 3.7 gigabytes per user from 3.0. Over the same period, spending on on-net voice calls edged down to 4,013 shillings from 4,296.

Voice traffic itself fell. On-net minutes — calls within the same network — dropped to 20.4 billion from 20.9 billion, while off-net calling and international voice traffic also declined, a pattern consistent with users moving conversations to internet-based messaging and calling apps. Data volumes moved the other way, with 267.4 million gigabytes downloaded over the quarter, up from 256.8 million.

The subscriber base behind the data growth expanded. Mobile internet subscriptions active within 30 days rose to 19.7 million from 17.9 million, and active mobile subscriptions overall reached 49 million, from 47.5 million three months earlier, out of 64.6 million registered. Smartphones on networks edged up to 20.5 million, though basic and feature phones still account for most devices in use — a ceiling on how quickly data adoption can spread.

Mobile money, whose figures the report attributes to the Bank of Uganda, added further to sector earnings. Active mobile money subscriptions reached 37.8 million, and transaction volumes rose to 2.55 billion for the quarter, from 2.37 billion, with the average value per person-to-person transaction climbing to 102,580 shillings.

Supporting the growth in data, network infrastructure expanded, with telecom towers increasing to 5,663 from 5,578 and fibre-optic coverage growing to 80,257 kilometres from 71,740. During the quarter, Airtel Uganda remitted 42.9 billion shillings and MTN Uganda 54.27 billion shillings to the Uganda Communications Universal Service and Access Fund (UCUSAF), which UCC says represents each operator’s statutory contribution of 2% of gross annual revenue toward extending connectivity to underserved areas.

The period also saw UCC sign a memorandum of understanding and operational licence agreement with the satellite operator Starlink, clearing it to begin operations in Uganda. The regulator says the entry is intended to improve connectivity in hard-to-reach communities, and that Starlink has committed to complying with the country’s legal and regulatory requirements — a move that could accelerate data access in areas fibre and towers have yet to reach.

Elsewhere in the communications market, postal and courier revenue rose to 16.2 billion shillings from 12.7 billion, with couriers delivering just over one million items country-wide, while pay-TV recorded around one million active subscribers as of June. Among online platforms, UCC reported 11.4 million TikTok users, ahead of WhatsApp at 11 million and YouTube at 6.9 million, with Netflix trailing the listed services at 0.1 million.

UCC frames the quarter’s figures as evidence of progress toward its “Connected Uganda 2030” agenda. The Commission cautions in the report that the data is drawn from licensees’ submissions and other sources available to it, and that it makes no warranties as to interpretation.