[kictanet] ISPs slap Ndemo-meanwhile TKL-Orange Slashes Internet Prices by 50%..

Mon Sep 27 00:51:36 EAT 2010

The problem of local content is very simple to solve but the concerned
parties are sitting on their hands and are playing too close to the book. We
have a myriad local series on our tv stations and woe unto you if you miss
an episode. You will never see it again anywhere. Why Nation media, Citizen
group and standard group don't have reruns of all their local programmes
online is something I cant comprehend. put them up on your sites, create
hype, and receive feedback from the viewers.

 Assuming all your viewers are poor villagers incapable of browsing a
website is the reason why internet use grows so sluggishly. as Chrystal
Kigoni once said when asked what villagers will use the internet for, "how
is not having it helping?"

On Fri, Sep 24, 2010 at 10:59 AM, Walubengo J <jwalu at yahoo.com> wrote:

> Liko,
>
> you should be TKLs customer - in todays Nation Advert, they say they have
> slashed their MOBILE internet retail rates by more than half.  Picture
> this:- 400MB download ceiling @ 450Ksh(5$)  compared to Safaricom for 400MB
> at 1000Ksh (12$).
>
> It appears TKL has no sympathisers on this list since I thought this should
> have been "breaking news".  Or maybe users are just  wiser and suspect the
> contention ratios (Quality) upstream may just be extremely unacceptable..
>
> At a National level, it would be interesting to confirm if the slashed
> prices did significantly increase No of Internet users in the country...my
> bet is that it wont. Instead what might happen is that the same 4million .KE
> internet users will just be shuffling between the Operators(looking for a
> bargain).
>
> My hypothesis is that Local Content is perhaps the biggest driver/variable
> that can increase the no of Internet Users in the country and eventually
> provide sustainable lower internet rates. Lower rates without significant
> Local Content is like telling me the cost of going to "Kacheliba" (no
> offense to our beloved Minister) has just been cut down by half - and so
> those who had not been going there(not been online) should suddenly start
> getting there (and do what?)...
>
> walu.
> btw: meanwhile, anybody subscribe to this new TKL rate to share their
> experiences before we all cross over to TKL?
>
>
>
>
> --- On *Fri, 9/24/10, Agosta Liko <agostal at gmail.com>* wrote:
>
>
> From: Agosta Liko <agostal at gmail.com>
> Subject: Re: [kictanet] ISPs slap Ndemo
> To: jwalu at yahoo.com
> Cc: "KICTAnet ICT Policy Discussions" <kictanet at lists.kictanet.or.ke>
> Date: Friday, September 24, 2010, 10:50 AM
>
> Robert
>
> Si you start an ISP ? ... with 1:1 @ USD50 per MB ... I will be a customer
>
> Just thinking
>
> On Fri, Sep 24, 2010 at 9:44 AM, robert yawe <robertyawe at yahoo.co.uk<http://mc/[email protected]>>
> wrote:
> > Hi,
> > When we talk about 1 MB for $500/- I believe we are referring to a
> dedicated
> > connection with a contention ratio of 1:1 not shared provided by the ISPs
> of
> > 1:∞.  So the ISP buys the 1 MB at $500/- dollars and sells it to 20
> > subscribers at $50/- a culture they developed during the good old days of
> > satellite.
> > In addition the 1 MB is not from your equipment to the ISP but should be
> the
> > entire route into the Internet.  Exploited we still are and as has been
> said
> > by many the prices have still not come down sufficiently.
> >
> > Robert Yawe
> > KAY System Technologies Ltd
> > Phoenix House, 6th Floor
> > P O Box 55806 Nairobi, 00200
> > Kenya
> >
> > Tel: +254722511225, +254202010696
> >
> > ________________________________
> > From: Brian Munyao Longwe <blongwe at gmail.com<http://mc/[email protected]>
> >
> > To: robertyawe at yahoo.co.uk <http://mc/[email protected]>
> > Cc: KICTAnet ICT Policy Discussions <kictanet at lists.kictanet.or.ke<http://mc/[email protected]>
> >
> > Sent: Thu, 23 September, 2010 17:21:40
> > Subject: Re: [kictanet] ISPs slap Ndemo
> >
> > I'm sorry to sound like a broken record but I don't know any ISP in Kenya
> > selling 1Mb for >$500 - and anybody who is being extorted like this
> should
> > go to a reputable ISP and get their service for tens of dollars, not
> > hundreds....
> >
> > Brian
> >
> > On Thu, Sep 23, 2010 at 3:48 PM, Edwin Onchari <eonchari at lynxbits.com<http://mc/[email protected]>
> >
> > wrote:
> >>
> >> “naomba serikali” or not…government policies ultimately affect demand
> and
> >> supply laws in any market. While the call here is not to go the Finish
> way
> >> of making it a right for all citizens to have access to 1Mb of broadband
> by
> >> 2015, or UK’s 2Mb, GOK can move to create an environment that will
> encourage
> >> our good ISPs  lower the current rates, currently  >$500- remember, the
> >> potential bulk users in Kenya earn <$1/day!
> >>
> >>
> >>
> >> Edwin
> >>
> >>
> >>
> >> Sales without Customer Service........is like stuffing money into a
> pocket
> >> full of holes.
> >> DAVID TOOMA
> >>
> >>
> >>
> >> From: Brian Munyao Longwe [mailto:blongwe at gmail.com<http://mc/[email protected]>
> ]
> >> Sent: Thursday, September 23, 2010 4:20 PM
> >> To: Edwin Onchari
> >>
> >> Cc: KICTAnet ICT Policy Discussions
> >> Subject: Re: [kictanet] ISPs slap Ndemo
> >>
> >>
> >>
> >> Hi all,
> >>
> >> Is this another case of "naomba serikali inisaidie" - which is to
> typical
> >> of us Kenyans....
> >>
> >> It is my firm belief that we have a free and open market for internet
> >> services in Kenya - with little or no barriers to entry for any player.
> >> Could it just be that the rules of supply and demand are applying and
> >> thereby preventing the "drastic" drops in pricing that it seems many of
> use
> >> are dreaming about?
> >>
> >> I think Walu is asking the right kinds of questions - how do we adjust
> the
> >> supply/demand equation to bring about the desired results?
> >>
> >> In my honest opinion government has been doing a good job of staying out
> >> of business - let's keep it that way.
> >>
> >> Regards,
> >>
> >> Brian
> >>
> >> On Thu, Sep 23, 2010 at 2:16 PM, Edwin Onchari <eonchari at lynxbits.com<http://mc/[email protected]>
> >
> >> wrote:
> >>
> >> Better yet, GOK should slice up its 40% stake and sell to smaller
> >> businesses that are willing to play ball, so that Kenyans are not at the
> >> mercy of a handful ISPs that cannot get their act together
> >>
> >>
> >>
> >> Edwin
> >>
> >>
> >>
> >> Sales without Customer Service........is like stuffing money into a
> pocket
> >> full of holes.
> >> DAVID TOOMA
> >>
> >>
> >>
> >> From: kictanet-bounces+eonchari=lynxbits.com at lists.kictanet.or.ke<http://mc/[email protected]>
> >> [mailto:kictanet-bounces+eonchari <kictanet-bounces%2Beonchari>=
> lynxbits.com at lists.kictanet.or.ke<http://mc/[email protected]>]
> On
> >> Behalf Of Harry Hare
> >> Sent: Thursday, September 23, 2010 2:35 PM
> >> To: Edwin
> >>
> >> Cc: KICTAnet ICT Policy Discussions
> >>
> >> Subject: Re: [kictanet] ISPs slap Ndemo
> >>
> >>
> >>
> >> Hello All,
> >>
> >> Who in this forum thought it possible to enjoy the new calling rates
> which
> >> are 50% of what we used to pay? My point, we need a disruptive force
> that
> >> will force the ISPs to lower their rates. The Government still hold 40%
> of
> >> TEAMS, and I remember the PS once saying that he will use this if the
> >> operators fail to drop their costs. Probably this is the time...this,
> >> together with NOFBI, the ministry has capacity to roll out a project
> like -
> >> “free internet for all”, another first from Kenya.
> >>
> >> Think about it.
> >>
> >> Harry
> >>
> >> On 9/23/10 2:14 PM, "Walubengo J" <jwalu at yahoo.com<http://mc/[email protected]>>
> wrote:
> >>
> >> Yes WHOLESALE prices are down by 80% but RETAIL prices remain relatively
> >> high.  Are the ISP/Telco eating up the difference by way of
> SUPER-PROFITS?
> >>
> >> Not sure. There are multiple and intermediary variables that play
> between
> >> the Wholesale Level and the Retail Level that includes, but not limited
> to
> >> Cost of Local loops, Usage/Volume Levels,  Local Content, Regulatory&
> >> Competition Environments, Charging Models, etc.
> >>
> >> The challenge is to get a way in which to measure and establish which of
> >> the above variables will have the biggest, positive and sustainable
> impact
> >> on Retail Internet pricing.  Worse still, a "wrong" distortion of any of
> the
> >> above maybe counterproductive to the others in the long run. It requires
> a
> >> delicate balance of the whole ecosystem.
> >>
> >> But perhaps I could be wrong..
> >>
> >>
> >> walu.
> >>
> >> --- On Thu, 9/23/10, McTim <dogwallah at gmail.com<http://mc/[email protected]>>
> wrote:
> >>
> >> From: McTim <dogwallah at gmail.com<http://mc/[email protected]>
> >
> >> Subject: Re: [kictanet] ISPs slap Ndemo
> >> To: jwalu at yahoo.com <http://mc/[email protected]>
> >> Cc: "KICTAnet ICT Policy Discussions" <kictanet at lists.kictanet.or.ke<http://mc/[email protected]>
> >
> >> Date: Thursday, September 23, 2010, 2:28 PM
> >>
> >> Hi,
> >>
> >> On Thu, Sep 23, 2010 at 11:19 AM, Edwin Onchari <eonchari at lynxbits.com<http://mc/[email protected]>
> >> </mc/compose?to=eonchari at lynxbits.com<http://mc/[email protected]>>
> > wrote:
> >> > Yes Dennis,
> >> >
> >> >
> >> >
> >> > Take the case of the US for instance. 1 Mb (dedicated) is going for
> less
> >> > than $50…
> >>
> >> Wholesale cost there is ~$2.50 for 1 Mb/sec
> >>
> >> >in Kenya, it’s anything between $500-$800.
> >>
> >> Wholesale price in Kenya?  Around 50 USD per Mb/sec  (in Mombasa) is
> >> what I heard recently from an industry player.  That is probably for a
> >> volume purchase of course.
> >>
> >> African eDevelopment Resource Centre
> >> eDevelopment House  : :  604 Limuru Road
> >> Old Muthaiga  : : P O Box 49475 00100
> >> Nairobi : : Kenya
> >> T +254 20 3741646/7 : :  C +254 725 650044
> >>
> >> Training :  : Research:  :Consultancy:  : Publishing
> >>
> >> No virus found in this incoming message.
> >>
> >> Checked by AVG - www.avg.com
> >>
> >> Version: 8.5.445 / Virus Database: 271.1.1/3153 - Release Date: 09/22/10
> >> 18:40:00
> >>
> >> _______________________________________________
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> >>
> >>
> >> --
> >> Brian Munyao Longwe
> >> e-mail: blongwe at gmail.com <http://mc/[email protected]>
> >> cell:  + 254 722 518 744
> >> blog : http://zinjlog.blogspot.com
> >> meta-blog: http://mashilingi.blogspot.com
> >>
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> >> Version: 8.5.445 / Virus Database: 271.1.1/3153 - Release Date: 09/22/10
> >> 18:40:00
> >
> >
> > --
> > Brian Munyao Longwe
> > e-mail: blongwe at gmail.com <http://mc/[email protected]>
> > cell:  + 254 722 518 744
> > blog : http://zinjlog.blogspot.com
> > meta-blog: http://mashilingi.blogspot.com
> >
> >
> > _______________________________________________
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-- 
Regards,

Mark Mwangi

http://mwangy.posterous.com

Skype : mark.mwangy
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