[kictanet] Will the new alliance against Celtel last?

[alice at apc.org]

Will the new alliance against Celtel last? 

When Celtel unveiled its single EA network there was a lot of 
trepidation in the communications sector on the implications of such 
a move. Talking heads and officious spectators immediately began 
wondering how the other two communications service providers in the 
Ugandan market, MTN and Uganda Telecom, would react. 

The decision to embrace East Africa, a first from Celtel, startled 
its competitors. The genius who came up with the idea deserves every 
bit of his pay cheque and more. No strategy will possibly have as far 
reaching results as this first from Celtel - who in Uganda were the 
pioneer mobile-phone service provider, although they squandered all 
the advantages of first entry with a premium pricing strategy - but 
that is a story for another day. 

The responses have been rapid and varied. MTN immediately commenced 
negotiations with Vodafone and Safaricom and presto, we have the 
three musketeers. The challenge posed by Celtel was sorted, or was 
it? Uganda Telecom, on the other hand, quickly signed a multimillion 
deal to sell Uganda's international gateway (256) to Gemtel, a 
Sudanese-based firm whose ownership is still being investigated by 
parliament.  

Before entering into an analysis of the merits and demerits of such a 
course of action, let us utilise the timeless lessons taught to us by 
our forefathers in Acholi folklore. There once was an able and robust 
hunter who chanced upon a baby leopard deserted by its mother. Nyaga, 
fascinated by the beautiful fur, carried the leopard home and 
commenced looking after it. 

Elders admonished Nyaga, women cautioned him on the folly of keeping 
something no human being had ever dared to keep, noting that the 
creature had long, sharp nails. To all this well-intentioned advice, 
Nyaga blocked his ears. In consequence, as the leopard grew bigger 
and bolder, one day in jest it wounded Nyaga. 

Niccolo Machevelli had nothing but disdain for mercenaries or 
auxiliaries in the defence of a principality. Similarly, auxiliaries 
leave the one who calls them in a lurch if they are defeated and in 
the power of the mercenaries if they win.  

It is through this prism that I choose to look at the response of the 
three musketeers to the challenge posed by Celtel. Yet even after 
painting such a grim scenario, we are yet to address the question of 
who the tiger in the alliance is or how long it will be sustained.  

Watmon Mike Kinyera 
via e-mail 

http://www.nationmedia.com/eastafrican/current/Opinion/opinion2602073.
htm