[kictanet] Should we worry over the impending Telkom Collapse

[Mwendwa Kivuva]

Ali, proper implementation of USF will save us from the poor speeds
you are experiencing in Lamu.

As for Telkom, a complete exit by the government would do the trick.
If it's made a parastatal, it will be another conduit for the
executive to reward political cronies and siphon taxpayers money.

Kencel/Zain/Airtel has survived the tough landscape as investors try
to keep afloat their capital. This would be the case if Telkom was
completely privatised.

Let market forces, regulation, and policy decide the fate of the
industry, but we should do everything possible to keep Telkom afloat.

On 21/12/2014, Ali Hussein via kictanet <kictanet at lists.kictanet.or.ke> wrote:
> Listers
>
> Happy Holidays.
>
> Interesting story in the Sunday Nation on the above. It's especially
> poignant for me as I sit in Lamu trying to send an email for the last two
> hours with no success. I have both Orange and Safaricom and both have failed
> me dismally. I'm left wondering:-
>
> What National Broadband Strategy if we can't get the key county headquarters
> connected even with decent reliable connectivity. Maybe it's because it's
> the season of Kaskazi which is interfering with connectivity.
>
> Anyway, back to the Telkom issue:-
>
> Clearly, the government is yet to think through a clear strategy on how to
> handle  the impending exit of France Telecom  from the shareholding of
> Telkom Kenya - even as the country's third mobile operator in terms of
> subscribers sinks deeper  into financial distress.
>
> The uncertainty around the fate of what was once one of the largest state
> corporations with a workforce of more than 23,000 employees is captured in a
> recent letter by Information and Communications Secretary, Dr Fred
> Matiang'i, to President Uhuru Kenyatta.
>
> Writing in October, Dr Matiang'i argued that the insolvency of Telkom Kenya
> was bound to affect negatively the government's plans in the ICT sector.
>
> According to Dr Matiang'i, Telkom Kenya's dwindling fortunes will put the
> success of the national broadband strategy, including  the plans to roll out
> Huduma Centres at risk.
>
> Read on:-
>
> http://www.nation.co.ke/oped/Opinion/Why-State-should-worry-over-impending-collapse-of-Telkom/-/440808/2564164/-/11c8wxk/-/index.html
>
> Question(s)
>
> 1. I hope Dr. Matiang'i was misquoted because for the life of me I can't see
> how the collapse of one company can put the whole country's Broadband
> Strategy at risk. Can someone please explain this to me? I doubt this is the
> case. Was the management contract for NOFBi so skewed to favour Orange
> Telkom that we are now unable to extricate ourselves?
>
> 2. Are we serious about connecting the country? By now we should expect at
> least the same level of connectivity as Nairobi. We now know that the myth
> of our country's GDP coming majorly from Nairobi is just that. A myth.
> Again, when are we going to get the Universal Access Fund working? At this
> rate we might as well call it a Phantom.
>
> 3. Why are we wasting so much energy on Telkom Kenya? I do commensurate with
> the current Government because they really were saddled with this albatross.
> But now it's time to put it out of its misery. This may sound callous but
> Orange is going nowhere. Even the staff know it. If we want to save Kenyan
> jobs then let's step in and revert it back to being a parastatal because
> clearly the French have funked it.
>
> Ali Hussein
>
> +254 770 906375 / 0713 601113
>
> Twitter: @AliHKassim
> Skype: abu-jomo
> LinkedIn: http://ke.linkedin.com/in/alihkassim
> Blog: www.alyhussein.com
>
> "I fear the day technology will surpass human interaction. The world will
> have a generation of idiots".  ~ Albert Einstein
>
> Sent from my iPad


-- 
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Mwendwa Kivuva, Nairobi, Kenya
twitter.com/lordmwesh

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