[kictanet] Safaricom halves its internet bundles pricing

Thu Mar 5 17:17:07 EAT 2015

Safaricom drop on  pricing quite welcome.

But still a far cry from the UN Broadband Commission targets (http://www.broadbandcommission.org/Documents/Targets-Separated/Target-2.pdf)  of providing broadband internet at less than 5% of the Gross National Incomes. In other words, the drop is too little and quite overdue - courtesy of their dominant position.

As for the entry into the broadcast arena...excellent move. The more the merrier.  But again, Content will remain the bottleneck. The 3Big boys still control the TV content market and not sure how Safcom aims to succeed where Signet and PANG have failed - despite their overwhelming government support.

walu.
      From: Mwendwa Kivuva via kictanet <kictanet at lists.kictanet.or.ke>
 To: jwalu at yahoo.com 
 Sent: Thursday, March 5, 2015 2:27 PM
 Subject: Re: [kictanet] Safaricom halves its internet bundles pricing

The price drops are wlecomed. We have always advocated for affordable real broadband in Kenya. Remember Safaricom controls over 70% of mobile data.

But they should stop those archaic practices of "expiring" data.

On other news ... http://www.businessdailyafrica.com/Corporate-News/Safaricom-granted-go-ahead-to-import-digital-set-top-boxes/-/539550/2642904/-/kgaiig/-/index.html

Telecoms operator Safaricom has applied for a digital broadcasting licence as it aims to take advantage of the convergence coming with digital TV migration to deepen its presence in the wireless Internet market.
The move comes a little more than a year after the firm revealed an interest in entering the TV-on-demand market. Francis Wangusi, the director general of the Communications Authority of Kenya (CA), said Safaricom applied for the licence two weeks ago complete with approval for a set-top box — the gadget that converts analogue signals to digital. “Safaricom is the latest firm that has sought type approval for a set-top box. They have also applied for a digital broadcasting licence but we have yet to approve that,” Mr Wangusi said, adding that the regulator was still considering the possible impact of television signals on the quality of telecoms services.  Bob Collymore, the Safaricom chief executive said they are mainly interested in using the set-top boxes to deliver Internet to households that own a TV set. He has in the past spoken of selling Internet and TV as a package. If awarded a licence, he said, Safaricom would deepen its plan to establish a presence in the emerging broadcasting sector by taking competition to the doorsteps of the mainstream media. Mr Wangusi said the CA had approved Safaricom’s set-top box, giving it an advantage in capturing the emerging home Internet market. Safaricom plans to sell the universal set-top box in the local market, meaning buyers will also have access to all free-to-air TV channels. The telecoms operator’s approach to the emerging digital broadcasting dispensation is similar to that of Africa Digital Network (ADN), the company owned by the three media houses that have been at war with the government over digital migration. ADN, which has a self-provisioning licence, plans to import universal set-top boxes for which consumers will not pay monthly fees, but come with add-ons such as wireless Internet access. READ: Top media firms to stir market with free to air digital boxes Broadcasters and telecommunication service providers have never been in direct competition but the ongoing switch to digital broadcasting appears to be setting the stage for broader technology-driven changes in the market that may in future see Safaricom offer some TV content.   In the new digital dispensation, telecommunication companies such as Safaricom, Wananchi Group, and Telkom Kenya can offer broadcast services such as video on demand, taking competition a notch higher.  Broadcasters, on the other hand, have a chance to offer Internet services to home users and earn extra revenue. Competition is particularly expected to intensify in key areas such as Internet service provision as well as dissemination of new

______________________
Mwendwa Kivuva, Nairobi, Kenya

"There are some men who lift the age they inhabit, till all men walk on higher ground in that lifetime." - Maxwell Anderson

On 5 March 2015 at 12:21, Ali Hussein via kictanet <kictanet at lists.kictanet.or.ke> wrote:

Listers
Safaricom has basically halved the price of its internet bundles.
http://safaricom.com/bundles/
Predatory Pricing or meeting a market demand? 
Who benefits and who looses? 
These are the questions that we must ask. 
>From where I'm sitting I can tell you one thing for sure - I'm not complaining about these new prices. I'm even willing to forgive them for capping my bundles to one month... Although it does raise pertinent issues on Net Neutrality.
Let's look at it this way:-
I used to buy 1k worth of bundles which got me 1.5GB plus a 750MB bonus exclusively for night use (between 10.00pm - 10.00am) 
Now for the same 1k I get:-
2GB plus 2GB bonus for night use.
Predatory pricing or consumer based pricing? The answer depends on whether you are a consumer or Competitor.  :)
One thing is for sure. These prices can come down further. (We Kenyans are never satisfied, right?) :) 
Weekly Internet Bundle (Please Select One)   
   -  4MB + 4MB (Ksh 5)
   -  10MB + 10 MB (Ksh 10)
   -  30MB + 30 MB (Ksh 25)
   -  65MB + 65 MB (Ksh 50)

Monthly Internet Bundle: (Please Select One)   
   -  100MB + 100MB (Ksh.100)
   -  300MB + 300MB (Ksh.250)
   -  650MB + 650MB (Ksh.500)
   -  2GB + 2GB (Ksh 1000)
   -  5GB + 5GB (Ksh 2000)
   -  10GB +10GB (Ksh 3000)
   -  25GB + 25GB (Ksh 5750)
   -  50GB + 50GB (Ksh 6750)

Activate Internet At 2/= a Minute   
   -  Subscribe 
   -  Unsubscribe 

Ali Hussein
+254 770 906375 / 0713 601113
Twitter: @AliHKassimSkype: abu-jomoLinkedIn: http://ke.linkedin.com/in/alihkassimBlog: www.alyhussein.com

"I fear the day technology will surpass human interaction. The world will have a generation of idiots".  ~ Albert Einstein
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The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for people and institutions interested and involved in ICT policy and regulation. The network aims to act as a catalyst for reform in the ICT sector in support of the national aim of ICT enabled growth and development.

KICTANetiquette : Adhere to the same standards of acceptable behaviors online that you follow in real life: respect people's times and bandwidth, share knowledge, don't flame or abuse or personalize, respect privacy, do not spam, do not market your wares or qualifications.

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