[kictanet] Revisiting The Broadband Debate in Kenya

[Sam Gatere]

Dear Listeners,

4G technology looks and even sounds just great!  but I think we ask the
question to early about preparedness locally to receive this technology. I
agree with Harry D.'s point that pressing for high quality broadband that is
favorably priced would be a better way to look at it. Currenly 3G services
are not accessible to many countrywide. So technologically speaking we are
not yet exploiting 3G let alone prepare for 4G! Once we get one thing right,
that is, easy and reliable access to broadband and good pricing then 4G will
be a reality.

Looking at pricing and licensing the challenges therein may need state
intervention. Some players paid full fees for 3G licensing yet others feel
the price is too high for them bear yet they want to offer the same service.
If the later are let off the hook that would mean creating an uneven play
field with different rules!

On pricing I think the providers are caught in a "catch 22" Their
operational costs still remain high (Especially Utilities e.g. power and
human resource) and they are forced to lower their prices. I'm sure the
price cuts we have seen in recent months have involved serious balancing
acts. To ensure people keep their jobs, and the companies still offer
services.
Maybe what we shall see in the very near future is value added services such
the Tripple or Quad play services. Instead of offering you just broadband
services, they may just include cable TV, Land-line phone and a family plan
Cell phone deal all for one price?


SammyG



On Thu, Mar 25, 2010 at 7:49 PM, Harry Delano <harry at comtelsys.co.ke> wrote:

>
> Mr. Pius, et al,
>
> I suppose we still have quite some "unfinished" business, on the current
> Mobile broadband technologies
> we have to date, the fastest being 3G.
>
> Sometime back on this forum, an embroiling debate ensued on the licensing
> structure for 3G, I do
> not know if this has now been resolved. Some things in our setting seem to
> have a knack of fading
> off into oblivion as soon as they arise and remain open ended..
>
> Before we talk of 4G, I think it would only be fair for pricing on Mobile
> broadband data on the
> current platform to be addressed ASAP, so that all and sundry can enjoy
> this
> resource to the maximum.
>
> Policy makers keep insisting that competition will drive down pricing.
> Clearly, we've been at it over
> time now and seems little is happening on ground - Why..? Because there is
> literally no competition in
> Mobile Broadband, where we have 2 - 3 main active players. Infact the
> players track each other closely
> and prices seem to be closely pegged.
>
> When all the international Optic Fibre cables were being anxiously awaited
> for, everyone hailed the
> advent of "rock bottom" pricing for broadband, across board only for this
> to
> become a mirage once
> they landed. What changed..?
>
> Now one additional cable is landing..? What does this herald. Downward
> pricing..? Remains to be seen.
>
> I'm not sure whether the it's time for the wielders of the "Big" stick now,
> to deal with this once and
> for all, including the main broadband sector.
>
> I suppose, let's sustain the momentum to press for high quality broadband
> experience at competitive
> pricing by our standards - national..
>
> Harry
>
>
>
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