[kictanet] Safaricom battling pricing power with CA

Tue Feb 1 16:58:20 EAT 2022

Hi @Mutemi wa Kiama <eddiekiama at gmail.com> ,

Its quiet unfortunate, i hope the Communications Authority can weigh in on
the issue, i would also like to get the perspective of listers working for
the Telcos.

Best

On Tue, Feb 1, 2022 at 1:44 PM Mutemi wa Kiama <eddiekiama at gmail.com> wrote:

> This issue is very painful to me Barrack. I lost my REGISTERED modem line
> that I had used for over 7 years this way. Shame on you Safaricom. What's
> the use of line registration if you can't bother calling me on any of my
> two other Safaricom lines to inform me of the pending loss? #UshenziKE!
>
> Warm regards,
>
> Mutemi wa Kiama
>
> Team Captain, This Is Africa: https://thisisafrica.me
>
> Thoughts become things... choose the good ones!
>
>
> -----------------------------------------------------------------------------------------------------------------------------
>
> Public Intellectual, Social Justice & Social Accountability Entrepreneur,
> Strategic Planning & Organizational Development Facilitator,
> Strategic Communications, Movement Building Coach, Human Rights Defender,
>
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>
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> Ordinary, fearless Kenyans.
>
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>
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>
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>
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>
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>
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>
> "Never doubt that a small group of thoughtful, committed people can change
> the world. Indeed, it is the only thing that ever has." ~Margaret Mead
>
> On Tue, Feb 1, 2022, 11:54 Barrack Otieno via KICTANet <
> kictanet at lists.kictanet.or.ke> wrote:
>
>> Many thanks James for saving my skin. @Ali Hussein
>> <ahussein at kictanet.or.ke> i fully agree with you on the Simcard issue.
>> Another small matter is the issue of lines being deleted after a few days
>> because they have not been topped up. Can someone educate me on the
>> rationale behind this issue, doesn't it contravene consumer rights?
>>
>>
>> Regards
>>
>> On Tue, Feb 1, 2022 at 9:22 AM James Mbugua via KICTANet <
>> kictanet at lists.kictanet.or.ke> wrote:
>>
>>> I doubt you will get any Kenyans arguing against cheaper calling rates.
>>> That is where public interest lies...
>>>
>>> JG
>>>
>>> On Tue, 1 Feb 2022, 06:54 Ali Hussein via KICTANet, <
>>> kictanet at lists.kictanet.or.ke> wrote:
>>>
>>>> @Barrack Otieno <otieno.barrack at gmail.com>
>>>>
>>>> The fact that the CA is a government entity doesn't necessarily mean
>>>> they have the public interest at heart. What empirical evidence can you
>>>> share with us that can confirm this? For example this message below that I
>>>> keep on getting from Safaricom every month, despite the fact that I know
>>>> I'm in compliance with this regulation. If you ask as the Safaricom peeps
>>>> they say it's a regulatory requirement to send us repeat messages despite
>>>> the fact that they (Safaricom) already have the details of my compliance in
>>>> their database.
>>>>
>>>> Dear Customer, urgently visit an M-PESA Agent, Dealer, or Safaricom
>>>> Shop with original ID to update your SIM registration.
>>>> Dial *106# for lines registered to you
>>>>
>>>> I get this message like clockwork every month. There are other examples
>>>> but this is one of them.
>>>>
>>>>
>>>> *Ali Hussein*
>>>>
>>>> Fintech | Digital Transformation
>>>>
>>>>
>>>> Tel: +254 713 601113
>>>>
>>>> Twitter: @AliHKassim
>>>>
>>>> Skype: abu-jomo
>>>>
>>>> LinkedIn: http://ke.linkedin.com/in/alihkassim
>>>> <http://ke.linkedin.com/in/alihkassim>
>>>>
>>>>
>>>>
>>>>
>>>> Any information of a personal nature expressed in this email are purely
>>>> mine and do not necessarily reflect the official positions of the
>>>> organizations that I work with.
>>>>
>>>>
>>>> On Mon, Jan 31, 2022 at 1:18 PM Barrack Otieno via KICTANet <
>>>> kictanet at lists.kictanet.or.ke> wrote:
>>>>
>>>>> @Ali Hussein <ahussein at kictanet.or.ke>
>>>>> on this matter, I will cast my lot with the Communications Authority.
>>>>> My thoughts are CA has public interest at heart whereas Telcos have
>>>>> commercial interest. I also think it is good the matter is being handled
>>>>> out of court. We must explore alternative dispute resolution mechanisms as
>>>>> a country that upholds multistakeholder principles. Spectrum as a resource
>>>>> should be availed for all citizens affordably, the Citizen must come first
>>>>> after which financial considerations can follow.
>>>>>
>>>>> Thank you
>>>>>
>>>>> Best Regards
>>>>>
>>>>> On Tue, Jan 25, 2022 at 9:22 AM Hezron Gikanga via KICTANet <
>>>>> kictanet at lists.kictanet.or.ke> wrote:
>>>>>
>>>>>> Ali & everyone else, thanks for the insights, and illuminating
>>>>>> questions.
>>>>>>
>>>>>> My perspective below (+disclosures).
>>>>>>
>>>>>> Hez Gikang’a
>>>>>>
>>>>>>
>>>>>>
>>>>>> *From: *KICTANet <kictanet-bounces+hezron.gikanga=
>>>>>> thearcrayon.com at lists.kictanet.or.ke> on behalf of Ali Hussein via
>>>>>> KICTANet <kictanet at lists.kictanet.or.ke>
>>>>>> *Reply to: *Kenya's premier ICT Policy engagement platform <
>>>>>> kictanet at lists.kictanet.or.ke>
>>>>>> *Date: *Tuesday, 25 January 2022 at 08:11
>>>>>> *To: *Hezron Gikanga <Hezron.Gikanga at thearcrayon.com>
>>>>>> *Cc: *Ali Hussein <ali at hussein.me.ke>
>>>>>> *Subject: *Re: [kictanet] Safaricom battling pricing power with CA
>>>>>>
>>>>>>
>>>>>>
>>>>>> Kivuva and listers
>>>>>>
>>>>>>
>>>>>>
>>>>>> This is a very interesting case and could probably serve as a case
>>>>>> study worldwide. At this point in time I have more questions than answers:-
>>>>>>
>>>>>>
>>>>>>
>>>>>> 1. The Telco sector is an interesting one. Where do we draw the line
>>>>>> between Market Power, abuse of Market Power, Free Markets, centralized
>>>>>> control of power by Regulators? I can go on and on. *(there are
>>>>>> several studiesconducted  on the state of competitiveness in the industry
>>>>>> over the last decade plus, across different market segments, and when I was
>>>>>> at Airtel Africa a decade ago, this is one of the ‘internecine wars’ we
>>>>>> fought – both against the Regulator CA (whom I firmly believe isn’t fair),
>>>>>> and against the dominant player then. A groundbreaking Analysys Mason
>>>>>>  report back then was edited to soften some of the findings, and so nothing
>>>>>> was (effectively done) to rein some of the predatory and abusive practices
>>>>>> (in the name of GoK-ownership and ‘free/fair competition). There are also
>>>>>> comparative studies from other markets, tests, and models to go by..…I
>>>>>> doubt that there was goodwill/political willpower to effect some of the
>>>>>> changes..case in point is that several draft pieces of
>>>>>> legislation/amendments have been brought by individual legislators for a
>>>>>> ‘market-correction’..they haven’t gone far..will Ezra Chiloba et al succeed
>>>>>> now? Time wll tell..*
>>>>>>
>>>>>>
>>>>>>
>>>>>> 2. I can't help but wonder whether the current regulatory environment
>>>>>> is fit for purpose and whether the Telcos themselves are stuck in the '80s
>>>>>> and the regulator with them? Good question. *Refer to above. And the
>>>>>> question of independence of the Regulators (not just CA and CAK) from undue
>>>>>> political influence & fatalistic nationalistic tendencies….*Isn't it
>>>>>> time to take into consideration that the cheese is moving or has moved and
>>>>>> that VOIP-type services have eaten into the traditional voice market and
>>>>>> these guys continue to fight for what's remaining of the market? *Yes,
>>>>>> re the market segments looked at, and the inevitable nature of the
>>>>>> evolution/march of the tech revolution*…Has a study been done on
>>>>>> what percentage of the voice market is going to VOIP? *Do the
>>>>>> technocrats in the Regulatory space have requisite skillsets and motivation
>>>>>> to grasp the business models, workings of the industry, and import of their
>>>>>> determinations? For the sake of argument, revisit the debate on distributed
>>>>>> ledgers/block-chain….*
>>>>>>
>>>>>>
>>>>>>
>>>>>> 3. Are we fighting the wrong war? *Maybe. Reframe this to focus on
>>>>>> the benefits for the consumer, and industry, if we are to truly be the
>>>>>> ‘silicon savanna’ that we aspire to*
>>>>>>
>>>>>>
>>>>>>
>>>>>> 4. Last but not least how do we as a country reason out without going
>>>>>> to court? *Alternative Dispute Resolution (ADR) works, but where all
>>>>>> parties have faith in both the dispute resolution process/mechanisms, the
>>>>>> competency and ‘agnosticism’ of the adjudicators and in the enforcement of
>>>>>> the decisions reached. Without that the courts remain the only viable
>>>>>> option for aggrieved parties (at the risk of falling out of favor with the
>>>>>> Regulators et al..)*
>>>>>>
>>>>>>
>>>>>>
>>>>>> My two cowrie shells.
>>>>>>
>>>>>>
>>>>>>
>>>>>> Regards
>>>>>>
>>>>>>
>>>>>>
>>>>>> *Ali Hussein*
>>>>>>
>>>>>> Fintech | Digital Transformation
>>>>>>
>>>>>>
>>>>>>
>>>>>> Tel: +254 713 601113
>>>>>>
>>>>>> Twitter: @AliHKassim
>>>>>>
>>>>>> Skype: abu-jomo
>>>>>>
>>>>>> LinkedIn: http://ke.linkedin.com/in/alihkassim
>>>>>>
>>>>>>
>>>>>>
>>>>>>
>>>>>>
>>>>>>
>>>>>> Any information of a personal nature expressed in this email are
>>>>>> purely mine and do not necessarily reflect the official positions of the
>>>>>> organizations that I work with.
>>>>>>
>>>>>>
>>>>>>
>>>>>>
>>>>>>
>>>>>> On Mon, Jan 24, 2022 at 9:20 PM Mwendwa Kivuva via KICTANet <
>>>>>> kictanet at lists.kictanet.or.ke> wrote:
>>>>>>
>>>>>> Safaricom has a huge pricing power in voice services, making it
>>>>>> difficult for rivals Airtel Kenya and Telkom Kenya to compete with it, the
>>>>>> Communications Authority of Kenya (CA) has said.
>>>>>>
>>>>>>
>>>>>>
>>>>>> The regulator made the disclosure in its response to a case filed by
>>>>>> Safaricom at the Communications And Multimedia Appeals Tribunal seeking to
>>>>>> stop CA from cutting the mobile termination rate (MTR) per minute to Sh0.12
>>>>>> from Sh0.99.
>>>>>>
>>>>>>
>>>>>>
>>>>>> MTRs are the charges levied by a mobile service provider on other
>>>>>> telecommunications service providers for terminating calls on its network.
>>>>>>
>>>>>>
>>>>>>
>>>>>> Safaricom argues that the reduction of the charge, which was to take
>>>>>> effect at the start of this year, ignores the cost of doing business in the
>>>>>> telecommunications industry.
>>>>>>
>>>>>>
>>>>>>
>>>>>> The regulator responded by stating that the leading telco has the
>>>>>> lowest cost of operations, allowing it to run promotions at prices below
>>>>>> the MTR and which its rivals are not in a position to match.
>>>>>>
>>>>>>
>>>>>>
>>>>>> Safaricom’s leading market share has seen it charge its rivals more
>>>>>> than it pays out to them, leaving it in a net profitable position.
>>>>>>
>>>>>>
>>>>>>
>>>>>> More ...
>>>>>> https://www.businessdailyafrica.com/bd/corporate/companies/safaricom-pricing-power-revealed-in-tariff-battle-3691550
>>>>>>
>>>>>> _______________________________________________
>>>>>> KICTANet mailing list
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>>>>>>
>>>>>> Unsubscribe or change your options at
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>>>>>>
>>>>>>
>>>>>> KICTANet is a multi-stakeholder Think Tank for people and
>>>>>> institutions interested and involved in ICT policy and regulation. KICTANet
>>>>>> is a catalyst for reform in the Information and Communication Technology
>>>>>> sector. Its work is guided by four pillars of Policy Advocacy, Capacity
>>>>>> Building, Research, and Stakeholder Engagement.
>>>>>>
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>>>>>>
>>>>>> KICTANet - The Power of Communities, is Kenya's premier ICT policy
>>>>>> engagement platform.
>>>>>>
>>>>>> [image: Image removed by sender.]
>>>>>> _______________________________________________
>>>>>> KICTANet mailing list
>>>>>> KICTANet at lists.kictanet.or.ke
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>>>>>>
>>>>>> Unsubscribe or change your options at
>>>>>> https://lists.kictanet.or.ke/mailman/options/kictanet/otieno.barrack%40gmail.com
>>>>>>
>>>>>>
>>>>>> KICTANet is a multi-stakeholder Think Tank for people and
>>>>>> institutions interested and involved in ICT policy and regulation. KICTANet
>>>>>> is a catalyst for reform in the Information and Communication Technology
>>>>>> sector. Its work is guided by four pillars of Policy Advocacy, Capacity
>>>>>> Building, Research, and Stakeholder Engagement.
>>>>>>
>>>>>> 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.
>>>>>>
>>>>>> KICTANet - The Power of Communities, is Kenya's premier ICT policy
>>>>>> engagement platform.
>>>>>>
>>>>>
>>>>>
>>>>> --
>>>>> Barrack O. Otieno
>>>>> +254721325277
>>>>> +254733206359
>>>>> Skype: barrack.otieno
>>>>> PGP ID: 0x2611D86A
>>>>>
>>>>>
>>>>>
>>>>>
>>>>> _______________________________________________
>>>>> KICTANet mailing list
>>>>> KICTANet at lists.kictanet.or.ke
>>>>> https://lists.kictanet.or.ke/mailman/listinfo/kictanet
>>>>> Twitter: http://twitter.com/kictanet
>>>>> Facebook: https://www.facebook.com/KICTANet/
>>>>>
>>>>> Unsubscribe or change your options at
>>>>> https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com
>>>>>
>>>>>
>>>>> KICTANet is a multi-stakeholder Think Tank for people and institutions
>>>>> interested and involved in ICT policy and regulation. KICTANet is a
>>>>> catalyst for reform in the Information and Communication Technology sector.
>>>>> Its work is guided by four pillars of Policy Advocacy, Capacity Building,
>>>>> Research, and Stakeholder Engagement.
>>>>>
>>>>> 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.
>>>>>
>>>>> KICTANet - The Power of Communities, is Kenya's premier ICT policy
>>>>> engagement platform.
>>>>>
>>>> _______________________________________________
>>>> KICTANet mailing list
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>>>>
>>>> Unsubscribe or change your options at
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>>>>
>>>>
>>>> KICTANet is a multi-stakeholder Think Tank for people and institutions
>>>> interested and involved in ICT policy and regulation. KICTANet is a
>>>> catalyst for reform in the Information and Communication Technology sector.
>>>> Its work is guided by four pillars of Policy Advocacy, Capacity Building,
>>>> Research, and Stakeholder Engagement.
>>>>
>>>> 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.
>>>>
>>>> KICTANet - The Power of Communities, is Kenya's premier ICT policy
>>>> engagement platform.
>>>>
>>> _______________________________________________
>>> KICTANet mailing list
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>>>
>>> Unsubscribe or change your options at
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>>>
>>>
>>> KICTANet is a multi-stakeholder Think Tank for people and institutions
>>> interested and involved in ICT policy and regulation. KICTANet is a
>>> catalyst for reform in the Information and Communication Technology sector.
>>> Its work is guided by four pillars of Policy Advocacy, Capacity Building,
>>> Research, and Stakeholder Engagement.
>>>
>>> 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.
>>>
>>> KICTANet - The Power of Communities, is Kenya's premier ICT policy
>>> engagement platform.
>>>
>>
>>
>> --
>> Barrack O. Otieno
>> +254721325277
>> +254733206359
>> Skype: barrack.otieno
>> PGP ID: 0x2611D86A
>>
>>
>>
>>
>> _______________________________________________
>> KICTANet mailing list
>> KICTANet at lists.kictanet.or.ke
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>>
>> Unsubscribe or change your options at
>> https://lists.kictanet.or.ke/mailman/options/kictanet/eddiekiama%40gmail.com
>>
>>
>> KICTANet is a multi-stakeholder Think Tank for people and institutions
>> interested and involved in ICT policy and regulation. KICTANet is a
>> catalyst for reform in the Information and Communication Technology sector.
>> Its work is guided by four pillars of Policy Advocacy, Capacity Building,
>> Research, and Stakeholder Engagement.
>>
>> 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.
>>
>> KICTANet - The Power of Communities, is Kenya's premier ICT policy
>> engagement platform.
>>
>

-- 
Barrack O. Otieno
+254721325277
+254733206359
Skype: barrack.otieno
PGP ID: 0x2611D86A
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