[kictanet] Safaricom may face sanctions over network outage-its a risk management issue

Wed Apr 26 20:12:14 EAT 2017

Walu,Just to paraphrase what you have said.A "catastrophic network failure" as that which occurred a few days ago is not an issue of "small timers" to quote you.It is a fundamental "National Security" matter and should be treated as such.The rest are details. 
John Kariuki

      From: Walubengo J via kictanet <kictanet at lists.kictanet.or.ke>
 To: kariuki_JN at yahoo.com 
Cc: Walubengo J <jwalu at yahoo.com>
 Sent: Wednesday, April 26, 2017 2:17 PM
 Subject: Re: [kictanet] Safaricom may face sanctions over network outage-its a risk management issue

@Areba,
Agreed with Point (a).  No one should be punished for being dominant, unless they abuse the dominance.Agreed with Point (b). Abuse of dominance is already defined in KICA laws and CA regulations (just google :-)
As for Kenya Power (& Darkness?), they are a legal distribution monopoly, though there has been attempts to change this. More like what we had during the Kenya Posts & Telcoms days.
I think what Ngigi and I have tried to do but failed miserably,  is to try and raise the conversation above 'bashing' or 'protecting' Safcom. That really is not the point. 
The point is that as a country we have a single-point of failure, when it comes to mobile money or internet services (yes there are options, but not effective options in terms of geographic reach & depth, as well as social scope and scale).
We can chose to pray and hope that the single point of failure, never fails; or we can play the devil's advocate and think about what Kenyans will do, when and if the single point failure does fail - as it did recently.
It's called risk-management at a national level. It is an agenda that perhaps the National Security Council should be having. Not small timers like me, Ngigi, Ali, Areba  et al :-)
walu.nb: am not closing the debate, I am just saying lets look at it from a macro rather than a micro level.

      From: Collins Areba via kictanet <kictanet at lists.kictanet.or.ke>
 To: jwalu at yahoo.com 
Cc: Collins Areba <arebacollins at gmail.com>
 Sent: Wednesday, April 26, 2017 1:37 PM
 Subject: Re: [kictanet] Safaricom may face sanctions over network outage

I think we are missing the point if we do not look at what impact this "dominant" business is all about. I would posit that: 
a) There is / should be nothing wrong with being a dominant player. It is a state one can exist in by virtue of their sheer scale, and one should not be punished for being dominant. 
b) The real problem here would be ABUSE of dominant position. Abuse should also be clearly defined, I believe creating an atmosphere of growth of one's competition should never be the responsibility of the dominant player. As long as they act within agreed rules of engagement. 
I still need to see anchoring legislation defining and supporting market dominance, and the impact of one being declared as such. I would love to, for instance understand if KPLC, a listed company, making profit for shareholders is also listed as dominant. 

On Wed, Apr 26, 2017 at 10:14 AM, S.M. Muraya via kictanet <kictanet at lists.kictanet.or.ke> wrote:

@Ngigi, Well noted. 
@Ali NOFBI is a good reason to invest further in Telkom Kenya.
http://icta.go.ke/national- optic-fibre-backbone-nofbi/
It is a governance/political issue here, not a market issue. 
Fortunately for Kenya, we have a CS who understands markets, investors and now governance. 
NSE listed firms are collapsing because corruption networks prioritize dishonest gain over service delivery (which includes building up Kenyan talent/firms).  
Asset recovery will occur if/when our Security & Judiciary officials resist loot offered to them. 
http://www.breitbart.com/ texas/2017/04/25/ted-cruz- calls-14-billion-seized-el- chapo-fund-border-wall/

Some of these funds could be utilized to build up NOFBI (network infrastructure) and communication channels (radio, text, portals, etc) to engage citizenry in a civil (non political) manner on day to day issues such as security, extortion, careless driving, etc.
On Apr 25, 2017 9:17 PM, "Ngigi Waithaka via kictanet" <kictanet at lists.kictanet.or.ke > wrote:
Now, the big issue is that Safaricom rans a very large part of our country's 'core' infrastructure and it would be *very irresponsible* of the regulators to sit back, looking at the scraps of 'competition' as a healthy industry and hope against hope that nothing evil would befall Safaricom.
Even Safaricom themselves have a policy of buying their core equipment from at least *TWO* separate vendors , regardless of how good a deal one vendor could give them in total. They don''t leave it to the market to decide!
Its called *RISK MANAGEMENT*
So, if they can do that for their own equipment, it is only prudent that we as a country also have proper risk management in our core services. It is *NOT* a question of splitting the firm, but ensuring, by whatever means necessary, that we have at least 3 credible options.

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Regards, 

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