ISP Billing Systems: PPPoE vs Hotspot Billing Explained

Two Ways to Bill Internet Subscribers

Most ISP billing systems in Kenya support two core billing models: PPPoE (Point-to-Point Protocol over Ethernet) and Hotspot. Understanding the difference is essential for setting up your billing correctly.

PPPoE Billing

PPPoE billing assigns each subscriber a unique username and password. When their router connects to your network, it authenticates against your RADIUS server using these credentials. The billing system controls whether authentication succeeds based on payment status.

PPPoE is best for fixed home and office internet subscriptions — customers who pay a monthly fee for dedicated connectivity.

Hotspot Billing

Hotspot billing works through a captive portal. When a user connects to your WiFi, their browser is redirected to a login/payment page. They select a package, pay via M-Pesa, and get internet access for the duration of their package.

Hotspot billing is best for public WiFi — cafes, estates, bus parks, apartments — where customers pay per session or per day.

Key Differences

• PPPoE — monthly subscriptions, dedicated credentials per customer, suitable for home/office broadband
• Hotspot — session-based access, no pre-registration needed, suitable for shared public WiFi

Can You Run Both?

Yes. Many Kenyan ISPs run PPPoE for home subscribers and Hotspot for apartment common areas or public locations. A good ISP billing system handles both from the same dashboard.

Jasiyo Supports Both Models

Jasiyo's ISP billing system manages PPPoE and Hotspot billing from one platform, with M-Pesa integration for both. PPPoE plans start at KSh 40/client/month; Hotspot is billed at 6% of revenue.