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</o:shapelayout></xml><![endif]--></head><body lang=EN-US link=blue vlink=purple><div class=WordSection1><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif"'>Dear Mr Hussein,<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif"'><o:p> </o:p></span></p><p style='mso-margin-top-alt:.2in;margin-right:0in;margin-bottom:.2in;margin-left:0in;line-height:13.5pt;background:white'><span style='font-size:11.0pt;font-family:"Tahoma","sans-serif"'>Thank you sir for the insights. Clearly, the answer to your question can be found in Wikipedia’s definition you have generously availed. What you didn’t address yourself to, however, is the quality of service levels, pricing, among other aspects in the case of a single-seller of an essential service. They are certainly uncompetitive and anti-consumer. Ask yourself, for instance, <u>must</u> KENIC’s customers in this day and age pay through a registrar who gobbles up some commission adding to the consumers’ woes? Can those security fears, if real, be addressed in a different way? Why can’t people pay online for instance: <a href="http://www.101domain.com/domain_registration_joburg.htm">http://www.101domain.com/domain_registration_joburg.htm</a> <o:p></o:p></span></p><p style='mso-margin-top-alt:.2in;margin-right:0in;margin-bottom:.2in;margin-left:0in;line-height:13.5pt;background:white'><span style='font-size:11.0pt;font-family:"Tahoma","sans-serif"'>Fair trade and competition policy may not necessarily be universal but <span style='color:#231F20'>it is about making principles of fairness and decency mean something in the marketplace especially for the goods/services we buy. Essentially, it offers a way for all of us to identify products that meet our values – principally so we can make choices that have a positive impact to the world around us. <o:p></o:p></span></span></p><p style='mso-margin-top-alt:.2in;margin-right:0in;margin-bottom:.2in;margin-left:0in;line-height:13.5pt;background:white'><span style='font-size:11.0pt;font-family:"Tahoma","sans-serif";color:#231F20'>Retaining KENIC as a single-seller where multiple-sellers can compete favourably and profitably won’t be in the consumer/KENIC’s own interest. Just imagine, for a second, that a company like Safaricom, Airtel or AccessKenya ISP has a Yahoo/Gmail address. Or put this way, which Kenyan company or individual wouldn’t die for a Dot Ke address for his or her business if they can afford? These domains uniquely define “Kenyan-ness” and a sense of patriotism – why must they be made expensive and a preserve of Ali Hussein (sorry and others) who can afford a “me.ke”? And how can they be made cheaper would be the salient question – open up the space to other sellers. <o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif";color:#231F20'>Sound macro-economists will tell you, for free, that you don’t protect KENIC market share by locking competitors out especially knowing that they have been there for a while. They possibly are only exploiting less than 5% of their market potential. Imagine if all Kenya “emailers” could dump the insecure Yahoo/Gmails for a Dot Ke … that would be big business for KENIC and her competitors! As you rightly put it, the captains at KENIC must know the market thus : <i>“</i></span><i><span style='font-family:"Tahoma","sans-serif"'>3. In today's hyper competitive world there are few monopolies left.”<o:p></o:p></span></i></p><p class=MsoNormal><i><span style='font-family:"Tahoma","sans-serif"'><o:p> </o:p></span></i></p><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif"'>Kind regards,<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif"'>Japheth Ogutu<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif"'><a href="http://www.cofek.co.ke">www.cofek.co.ke</a> </span><span style='font-family:"Tahoma","sans-serif"'><o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Tahoma","sans-serif"'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in'><p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> Ali Hussein [mailto:ali@hussein.me.ke] <br><b>Sent:</b> Friday, January 31, 2014 5:28 PM<br><b>To:</b> Consumers Federation of Kenya (COFEK)<br><b>Cc:</b> KICTAnet ICT Policy Discussions<br><b>Subject:</b> [***SPAM*** Score/Req: 07.40/5.0] Re: [kictanet] KENIC Board Statement on dot.KE<o:p></o:p></span></p></div></div><p class=MsoNormal><o:p> </o:p></p><div><p class=MsoNormal>Japheth<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>How do you define a monopoly? In my opinion KeNIC is far from a monopoly. <o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>Let me just refresh ourselves here.<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>According to Wikipedia:-<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><sup id="cite_ref-2"><a href="http://en.wikipedia.org/wiki/Monopoly#cite_note-2"><span style='text-decoration:none'>[</span></a></sup>Monopolies are characterized by a lack of economic <a href="http://en.wikipedia.org/wiki/Competition" title=Competition><span style='text-decoration:none'>competition</span></a> to produce the <a href="http://en.wikipedia.org/wiki/Good_(economics)" title="Good (economics)"><span style='text-decoration:none'>good</span></a> or <a href="http://en.wikipedia.org/wiki/Service_(economics)" title="Service (economics)"><span style='text-decoration:none'>service</span></a> and a lack of viable <a href="http://en.wikipedia.org/wiki/Substitute_good" title="Substitute good"><span style='text-decoration:none'>substitute goods</span></a>.<sup id="cite_ref-3"><a href="http://en.wikipedia.org/wiki/Monopoly#cite_note-3"><span style='text-decoration:none'>[3]</span></a></sup> The verb "monopolize" refers to the <i>process</i> by which a company gains the ability to raise prices or exclude competitors. In economics, a monopoly is a single seller. In law, a monopoly is a business entity that has significant market power, that is, the power to charge high prices.<sup id="cite_ref-Orbach.26Campbell_4-0"><a href="http://en.wikipedia.org/wiki/Monopoly#cite_note-Orbach.26Campbell-4"><span style='text-decoration:none'>[4]</span></a></sup> Although monopolies may be big businesses, size is not a characteristic of a monopoly. A small business may still have the power to raise prices in a small industry (or market).<sup id="cite_ref-Orbach.26Campbell_4-1"><a href="http://en.wikipedia.org/wiki/Monopoly#cite_note-Orbach.26Campbell-4"><span style='text-decoration:none'>[4]</span></a></sup><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:10.5pt'><br><br></span><o:p></o:p></p></div><div><div><p class=MsoNormal>So to put this in context. <o:p></o:p></p></div><div><p class=MsoNormal><br><br><o:p></o:p></p></div><div><p class=MsoNormal>1. If I'm unable to buy a .ke does it mean that I will not be able to have an email address, access the Internet, have a domain name? <o:p></o:p></p></div><div><p class=MsoNormal><br><br><o:p></o:p></p></div><div><p class=MsoNormal>2. Kenya Power is a monopoly that basically doesn't have a substitute here in Kenya.<o:p></o:p></p></div><div><p class=MsoNormal><br><br><o:p></o:p></p></div><div><p class=MsoNormal>3. In today's hyper competitive world there are few monopolies left.<o:p></o:p></p></div><div><p class=MsoNormal><br><br><o:p></o:p></p></div><div><p class=MsoNormal>As the consumer watchdog it would auger well for COFEK to deeply understand the regulatory and competitive framework that informs the domain space in general and the ccTLD space in particular.<o:p></o:p></p></div><div><p class=MsoNormal><br><br><o:p></o:p></p></div><div><p class=MsoNormal>Ali Hussein<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><span style='font-size:13.5pt;font-family:"Helvetica","sans-serif"'>+254 0770 906375 / 0713 601113<o:p></o:p></span></p></div><div><p class=MsoNormal><br><br><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'><o:p></o:p></span></p></div><div><p class=MsoNormal>"I fear the day technology will surpass human interaction. The world will have a generation of idiots". ~ Albert Einstein<o:p></o:p></p></div><div><p class=MsoNormal><br><br><o:p></o:p></p></div><p class=MsoNormal>Sent from my iPad<o:p></o:p></p></div><div><p class=MsoNormal style='margin-bottom:12.0pt'><br>On Jan 31, 2014, at 1:37 PM, "Consumers Federation of Kenya \(COFEK\)" <<a href="mailto:hotline@cofek.co.ke">hotline@cofek.co.ke</a>> wrote:<o:p></o:p></p></div><blockquote style='margin-top:5.0pt;margin-bottom:5.0pt;-webkit-text-size-adjust: auto'><div><p class=MsoPlainText>Dear Sir/Madam,<o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>Thanks for sharing. On what basis does the Chairman of KENIC claim that "KENIC is the <u>best suited entity</u> to continue operating and managing ...."? Who was this consultant and how was he or she sourced? Was he or she paid and if yes by whom? When KENIC says it is the "best" who are the lesser ones that were being compared to it? KENIC is a monopoly under Cap 504, Competition Act and must be declared as such. It is also single-sourced in an opaque manner. KENIC should opened to a regulated competition. CAK and Government must get out of KENIC fast and swift in the consumer interest. <o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>Kind regards,<o:p></o:p></p><p class=MsoPlainText>Japheth<o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>Japheth Ogutu<o:p></o:p></p><p class=MsoPlainText><b><u>Program Officer</u></b><o:p></o:p></p><p class=MsoPlainText>Consumers Federation of Kenya (COFEK)<o:p></o:p></p><p class=MsoPlainText>Meky Place, Block F-45<o:p></o:p></p><p class=MsoPlainText>Ngong Road/Ring Rd Kilimani Junction<o:p></o:p></p><p class=MsoPlainText>P.O Box 28053-00200, City Square, NAIROBI, Kenya <o:p></o:p></p><p class=MsoPlainText>Tel. 254-20-2615496, 2300859 Fax. 254-20-3861719; Cell phones: 0715555550, 0770700007<o:p></o:p></p><p class=MsoPlainText>E-mail: <a href="mailto:hotline@cofek.co.ke">hotline@cofek.co.ke</a><o:p></o:p></p><p class=MsoPlainText>Website: <a href="http://www.cofek.co.ke">www.cofek.co.ke</a><o:p></o:p></p><p class=MsoPlainText>Facebook: "Consumers Federation of Kenya (Cofek)" <o:p></o:p></p><p class=MsoPlainText>Twitter: @ConsumersKenya YouTube: "ConsumersKenya"<o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>13th December 2012 - President Kibaki assents to the Consumer Protection Act, 2012 Read it here: <a href="http://www.cofek.co.ke/Consumers%20Protection%20Act%202012.pdf">http://www.cofek.co.ke/Consumers%20Protection%20Act%202012.pdf</a> <o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>-----Original Message-----<br>From: kictanet [<a href="mailto:kictanet-bounces+hotline=cofek.co.ke@lists.kictanet.or.ke">mailto:kictanet-bounces+hotline=cofek.co.ke@lists.kictanet.or.ke</a>] On Behalf Of Walubengo J<br>Sent: Friday, January 31, 2014 12:23 PM<br>To: The Consumers Federation of Kenya (Cofek)<br>Cc: KICTAnet ICT Policy Discussions<br>Subject: [kictanet] KENIC Board Statement on dot.KE<o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>Find attached. <o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>Ofcourse I am just being a messenger here, not necessarily the owner of the message since I do not have the privilege to sit on the KENIC board :-)<o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText> <o:p></o:p></p><p class=MsoPlainText>walu.<o:p></o:p></p></div></blockquote><blockquote style='margin-top:5.0pt;margin-bottom:5.0pt;-webkit-text-size-adjust: auto'><div><p class=MsoNormal><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>_______________________________________________<br>kictanet mailing list<br><a href="mailto:kictanet@lists.kictanet.or.ke">kictanet@lists.kictanet.or.ke</a><br><a href="https://lists.kictanet.or.ke/mailman/listinfo/kictanet">https://lists.kictanet.or.ke/mailman/listinfo/kictanet</a><br><br>Unsubscribe or change your options at <a href="https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com">https://lists.kictanet.or.ke/mailman/options/kictanet/info%40alyhussein.com</a><br><br>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.<br><br>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.<o:p></o:p></span></p></div></blockquote></div></body></html>