Kazakhstan’s telecommunications market is projected to experience a slowdown in the coming years, with average annual growth expected to hover around 6% for 2025-2027, nearly half the rate seen over the past two years. According to a joint study by Russian firm Nexign and the TelecomDaily agency, the sector grew by 11% in 2024, reaching $2.4 billion, the highest figure in three years.
However, analysts attribute this recent surge not to organic market expansion, but to a sharp rise in communication tariffs, which increased by an average of 20%. The price hikes were largely driven by infrastructure modernization costs, the rollout of 5G networks, and increased mobile data usage.
Looking ahead, sector growth is expected to be fueled by expanding the customer base, rising service consumption, and the development of digital offerings. Mobile communications accounted for 17% of telecom revenues in 2024, while internet access comprised a dominant 53%.
In the past two years, mobile data consumption in Kazakhstan has doubled, placing the country among the global top ten for mobile internet usage per capita. As of March 2025, Kazakhstan had 26 million active SIM cards, more than the total population of approximately 20 million, indicating widespread use of multiple connections. Over 18 million people now have access to mobile internet, and another 3.2 million are connected to fixed broadband. The only segment in decline is fixed-line telephony, which saw a 10% drop in subscribers over the past year, falling to 2.3 million.
The study notes that telecom operators will concentrate on expanding 5G coverage, enhancing service quality, and deploying fixed wireless access (FWA) technologies, seen as a more affordable alternative to fiber-optic infrastructure in rural areas.
Kazakhstan is also advancing in satellite communications. In 2024, 750 rural schools were connected to the internet via Starlink, while OneWeb launched a ground control center in the country. The Times of Central Asia previously reported that Starlink’s commercial rollout in Kazakhstan is scheduled for the third quarter of 2025.
The sector could also benefit from the integration of artificial intelligence in public services and various industries, offering potential new avenues for growth.
Nonetheless, key challenges remain for the 2025-2027 period. These include the high costs of extending network coverage to remote areas, escalating prices for imported telecom equipment amid ongoing geopolitical tensions, and intensifying competition among major players.
The primary operators in Kazakhstan’s telecom market include Kazakhtelecom JSC (and its subsidiary Kcell JSC), Beeline Kazakhstan (Kar-Tel LLP), Tele2/Altel (Mobile Telecom Service LLP), Transtelecom JSC, Alma TV (AlmaTel Kazakhstan JSC), and Jusan Mobile JSC (KazTransCom).
