[kictanet] Uproar Over Internet Costs in Kenya

Sat Oct 31 19:25:16 EAT 2009

--- On Sat, 10/31/09, S.Murigi Muraya <murigi.muraya at gmail.com> wrote:
>The USD 2.00 per month is certainly not viable YET even in developed
nations.
__________
Murigi,

Agreed. Actually I never said developed economies are paying 2USD per month. Indeed they are not (they do around 100USD per month). But what I said earlier and implied more recently is that if developed economies are paying 100USD per month for unlimited broadband internet (for over 1MB, and in most cases 10MB pipes not data volumes/bundles-refer to Kai's recent breakdown for the difference) then it is wrong for us in Kenya to claim that we shall be enjoying affordable internet services once we also start paying 100USD per month for broadband.

Instead we should CONTEXTUALIZE affordability by introducing the factor called GDP per capita of the different economies on the prices offered (actually not my theory, but ITU's).  Using another example, our MPs are currently being paid the approx the same as US Congressmen - why should we be complaining when they are simply meeting international standards? But we complain because our economies are different.  

And so if Americans are paying 100USD per month for broadband internet, we should be paying 2USD  per month for the same - once you CONTEXTUALISE the economies (GDP per capita). But again am not asking for this tomorrow since I know there is a lot of work to do on local content, usage of IXPs, competition/regulatory frameworks, etc.

walu. 

--- On Sat, 10/31/09, S.Murigi Muraya <murigi.muraya at gmail.com> wrote:

From: S.Murigi Muraya <murigi.muraya at gmail.com>
Subject: Re: [kictanet] Uproar Over Internet Costs in Kenya
To: "Walubengo J" <jwalu at yahoo.com>
Cc: Kictanet at lists.kictanet.or.ke
Date: Saturday, October 31, 2009, 11:08 AM

Walu,

The USD 2.00 per monrh is certainly not viable YET even in developed
nations. For whatever reasons (folly, stress, peer pressure) many of us
in Africa spend our meager means on non essentials (to peace and
productivity) such as such as 'kumi kumi', 'dogo dogo's, mdudu's here
and there.... 

One way to go is micro-offer's of 1GB for about KShs 150. This
translates to 10GB of data for KShs 1,500.00 (USD 20.00). With network
(efficiency) technology improvements it is only a matter of time before
this happens. Do netbooks today not have more power than mainframes of
yester year?

Who over the next 5 years is dumb enough to deny 200 Million African
households 1GB of data  for USD 2.00? The current Safaricom offer is
even surpassing that today in rural areas where there is low density -
more bandwidth available to fewer people.

Someone recently wrote in a Daily Nation we need to start looking at
Africans as hands to work not as mouths to feed....We just need to stop
doing dumb things so that more of us in Africa can have USD 2.00 for
1GB of data.

 Walubengo J wrote:

        Eric,

trust me its true...KDN is pushing bandwidth at very competitive rates
to the so called 'end-users'.  But at 200USD that is about  15,000Ksh
per 1MB which is TWICE the average salaries of Kenyan
citizens(mwananchi).  Meaning the 'end-users' defined here are NOT
mwananchi but corporates/SMEs, etc. Put differently KDN really plays at
the wholesale layer (Kai may object but...) and their price drops are
being enjoyed mostly by retailers (ISP/ASP).

We shall only celebrate meaningful and effective price-drops when for
example AccessKenya/UUNET/Safcom etc say they are giving you unlimited
1MB links at around 2USD (Ksh 150) per month - if we are to take
developed economies GDP per capita and their pricing for monthly
broadband internet  and recalculating for  our context.

But I always have the rejoinder that I will understand if this does not
happen tomorrow - since we are really are yet to mature the parameters
that guarantee such wishful pricing. However, we should have specific
plans that define the steps and timelines we are undertaking to mature
such parameters - local content, affordable last-mile access, IXPs,
Usage,  just to mention a few.

walu.

--- On Sat, 10/31/09, Eric M.K Osiakwan <emko at internetresearch.com.gh>
wrote:

From: Eric M.K Osiakwan <emko at internetresearch.com.gh>

Subject: Re: [kictanet] Uproar Over Internet Costs in Kenya

To: jwalu at yahoo.com

Cc: "KICTAnet ICT Policy Discussions"
<kictanet at lists.kictanet.or.ke>

Date: Saturday, October 31, 2009, 8:59 AM

          Evidence is the name of the game,
though we are not in court....:-)

TGIF.

Eric here

On 30 Oct 2009, at 00:08, alice munyua wrote:

> KDN, For example "is currently selling submarine capacity,
delivered to the user at between 220 and 600 USD per 4 Mbps! This is an
effective price of between 55 to 150 USD per Mbps depending on volume".

> 

> Best

> Alice

> 

> ------Original Message------

> From: alice munyua

> Sender: kictanet-bounces+alice=apc.org at lists.kictanet.or.ke

> To: alice at apc.org

> Cc: KICTAnet ICT Policy Discussions

> ReplyTo: alice at apc.org

> Subject: Re: [kictanet] Uproar Over Internet Costs in Kenya

> Sent: 30 Oct 2009 07:03

> 

> Hi Eric

> Thank you for this posting. A question though, who wrote this
piece and where did they get their information apart from quoting P.S.
Ndemo?

> 

> Best

> Alice

> -----Original Message-----

> From: Eric M.K Osiakwan <emko at internetresearch.com.gh>

> Date: Thu, 29 Oct 2009 23:14:14

> To: <alice at apc.org>

> Cc: KICTAnet ICT Policy Discussions<kictanet at lists.kictanet.or.ke>

> Subject: [kictanet] Uproar Over Internet Costs in Kenya

> 

> _______________________________________________

> kictanet mailing list

> kictanet at lists.kictanet.or.ke

> http://lists.kictanet.or.ke/mailman/listinfo/kictanet

> 

> This message was sent to: alice at apc.org

> Unsubscribe or change your options at http://lists.kictanet.or.ke/mailman/options/kictanet/alice%40apc.org

> 

> 

> 

> _______________________________________________

> kictanet mailing list

> kictanet at lists.kictanet.or.ke

> http://lists.kictanet.or.ke/mailman/listinfo/kictanet

> 

> This message was sent to: alice at apc.org

> Unsubscribe or change your options at http://lists.kictanet.or.ke/mailman/options/kictanet/alice%40apc.org

> 

> _______________________________________________

> kictanet mailing list

> kictanet at lists.kictanet.or.ke

> http://lists.kictanet.or.ke/mailman/listinfo/kictanet

> 

> This message was sent to: emko at internetresearch.com.gh

> Unsubscribe or change your options at http://lists.kictanet.or.ke/mailman/options/kictanet/emko%40internetresearch.com.gh

> 

Eric M.K Osiakwan

Director

Internet Research

www.internetresearch.com.gh

          emko at internetresearch.com.gh

42 Ring Road Central, Accra-North

Tel: +233.21.258800 ext 7031

Fax: +233.21.258811

Cell: +233.24.4386792

_______________________________________________

kictanet mailing list

          kictanet at lists.kictanet.or.ke

          http://lists.kictanet.or.ke/mailman/listinfo/kictanet

This message was sent to: jwalu at yahoo.com

Unsubscribe or change your options at http://lists.kictanet.or.ke/mailman/options/kictanet/jwalu%40yahoo.com

_______________________________________________
kictanet mailing list
kictanet at lists.kictanet.or.ke
http://lists.kictanet.or.ke/mailman/listinfo/kictanet

This message was sent to: murigi.muraya at gmail.com
Unsubscribe or change your options at http://lists.kictanet.or.ke/mailman/options/kictanet/murigi.muraya%40gmail.com

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <https://lists.kictanet.or.ke/pipermail/kictanet/attachments/20091031/6ba6ecad/attachment.htm>