[kictanet] KICA Amendments: Control of anti-competitive practices by telecommunication operators

[Mwendwa Kivuva]

Thanks Barrack.

To your question, the main aim of this bill as indicated in the document is
to "aid in the control of anti-competitive practices by large
telecommunication industries in the sector."

Just for context, I saw the acting CEO of Safaricom in the news today
challenging the dominance and competition issue.

He said that Safaricom's other main non-telecommunication business, M-pesa,
could never have been successful without being bundled with voice and data.
He said that the first 5 years of M-pesa was never successful. It was
subsidized by voice and data. He also said he does not see the point of
separating M-pesa to punish Safaricom for investing heavily to make the
business successful.

On Thursday, 24 October 2019, Barrack Otieno <otieno.barrack at gmail.com>
wrote:

> Dear Kivuva,
>
> I am confused on this one though it makes sense to distill the components
> of converged networks. In a way, it will provide better premises for
> measuring the digital economy. I am ok with this clause. It needs further
> clarity and meat.
>
> Regards
>
> Regards
>
> On Thu, 24 Oct 2019, 9:32 am Mwendwa Kivuva via kictanet, <
> kictanet at lists.kictanet.or.ke> wrote:
>
>> This is a continuation of the debate to amend the Kenya Information and
>> Communications Act (KICA).
>>
>> Comments and thoughts are welcomed for yesterday's debate moderated by
>> Mercy Mutemi on the regulation of social media and blogging. We can
>> continue contributing through that thread.
>>
>> Today, we discuss the amendments to KCIA published on March 15th, 2019,
>> recommended by Hon Elisha Odhiambo, MP, seeking to add a new section 25A on
>> splitting telecommunications businesses, and section 34A on the
>> compensation of telecommunications consumers on call drops, and section 84J
>> prescribing how the Universal Service Fund (USF) should be used.
>>
>> *The new Section 25A requires telecommunications operators to*
>> - Obtain a license for additional business.
>> - Legally split the telecommunications business from additional business.
>> - Provide separate accounts and reports in respect of all business
>> carried out.
>> - Require Communications Authority to report compliance annually to
>> Parliament.
>>
>> The reasons given for this bill are to allow telecommunications companies
>> to engage in other businesses, and also aid in the control of
>> anti-competitive practices by large industries in the sector.
>>
>> What are your thoughts on this amendment? Do we have any specific
>> recommendations we can pass to Parliament through the public participation
>> process?
>>
>> Warm Regard
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