Telcos CEOs on the spot in push to declare Safaricom dominant

@Ali, am with Eng Kariuki on this one 😉
Indeed we are in the age of platforms (read MPESA as an example).  And yes we can’t blame Safcom for milking MPESA to the hilt (eg. most government service mobile money payments have a preferred providers ;-).  
I would rather blame the regulator for not seeing this coming, and when they finally saw it, they dilly dallied to intervene (remember 2year market study?)  Furthermore, previous thinking that platforms are sacred corporate jewels not to be touched or  that  all markets will eventually self-correct have been proved wrong elsewhere with FB, Google, etc coming under heavy ‘regulatory fire’ in the recent past.
I dont claim to have the answer to Safcom dominance, but I can claim very strongly that the market forces will never self-correct the dominant position that Safcom continues to enjoy. 
Is dominance  a good thing? Yes, for Safcom.  Is it a bad thing?  Yes, for a country that may realize that they cannot transmit election results simply because the competing providers dont have presence in some areas under their zones. Or that you can’t access internet or send mobile money coz Safcom network sneezed for an hour or two as it happened a week ago. 
I have said this before, the dominance conversation must be rise above competition issues and begin to be interrogated at the level of national security.  If Safcom beats competition to pulp, it is good for its shareholders (me with my very small shares  included), BUT it is bad thing for the country that may discover they have no commensurate alternatives.
That said, I dont believe baby sitting competition to beat Safcom is the answer either.  
Only a new innovation, perhaps the next ‘MPESA on a Blockchain’ sort of thing will be able to give  Safcom the challenge it deserves.
walu.
On Monday, July 30, 2018, 6:00:10 PM GMT+3, Admin CampusCiti via kictanet <kictanet@lists.kictanet.or.ke> wrote:

John
Fortunately I’m not a graduate of Telecommunications Law.. So I can see clearly.. #JustSaying..
I have always advocated for a review of the Framework on competition in not just the Telco sector but most sectors. The Age of Platforms Is here my brother. And we ignore it or focus on old school models of competition at our own risk. The Government is a very inefficient way to correct market conditions. Look at what is happening the world over. 
Why don’t we go ahead and also declare Uber dominant? Let’s engage on this issue and not shoot from the hip. Chairman Kisang is my hero. He must have been smoking the right thing that morning. 🙂 

Ali Hussein
+254 0713 601113 

Twitter: @AliHKassim

Skype: abu-jomo

LinkedIn: http://ke.linkedin.com/in/alihkassim

Blog: www.alyhussein.com

“Discovery consists in seeing what everyone else has seen and thinking what no one else has thought”.  ~ Albert Szent-Györgyi
Sent from my iPad
On 30 Jul 2018, at 5:37 PM, John Kariuki via kictanet <kictanet@lists.kictanet.or.ke> wrote:

Listers, Ali. It is a fact that  “In certain telecommunications market segments in Kenya, SAFARICOM is dominant. Any graduate of telecommunications law will confirm that. It has nothing to do with punishing success or innovation. It is a matter of telecommunications and competition laws. If it was in UK or EU I have no doubt that the issue would not have dragged this long. Remember we also have the ‘small problem’ of Data Protection which has dragged for at least 10 years. Just to repeat what one consultant told my then bosses many years ago and I quote  “The fact that you refuse to see a problem does not mean that it does not exist”. If only we had listened! 

Sent from Yahoo Mail on Android

On Mon, Jul 30, 2018 at 14:37, Barrack Otieno via kictanet<kictanet@lists.kictanet.or.ke> wrote: _______________________________________________
kictanet mailing list

KICTANet Admin information

Related Posts

Submit a Comment

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.