Tag Archive for 'license'

Kenya’s YU mobile network to enter Uganda.

Published on June 10, 2009 in random. 3 Comments Tags: , , , , , , , , .

Kenya’s YU mobile network is set to go regional by starting operations in Uganda later this year. India’s Essar Group, and owners of Essar Kenya Limited who operate the YU mobile network have been granted a license to operate in Uganda. It would seem logical to make YU an East African mobile network brand since many Pan-African mobile networks have been using the the same strategy such as Zain, MTN, and Vodacom. However, the last time I checked Uganda had around four mobile networks already operational in the form of Orange, Zain, Mango and MTN – can the market therefore sustain a fifth entrant into the marketplace? Something’s got to give and its at times like these that consolidation in the form of mergers and acquisitions start to happen. The full story on YU’s regional push can be read at the Business Daily here>

Kenya’s shifting Internet and Telecoms landscape.

Published on March 29, 2009 in internet projects. 5 Comments Tags: , , , , , , , , , , , , , , , , .

The last couple of weeks have seen a whole raft of new developments in Kenya’s Internet and Telecoms sectors:

  • The first major development is that the SEACOM high speed undersea cable has landed in Mombasa and work is underway to ensure that operations commence in June 2009 as scheduled. This will afford Kenyan’s for the first time true broadband internet access via their preferred internet service providers.
  • The second was that Telkom Kenya had managed to secure in the region of Kes. 8 Billion from the local banking sector to fund the expansion of its services and network including its Orange Kenya offerings.
  • The third major announcement was that the Access Kenya Group had secured funding of Kes. 400 Million from NIC Bank to expand its  network infrastructure and offerings. This gives the Access Kenya Group a war chest of Kes. 1 Billion in addition to the Kes. 600 Million it already had in reserves.
  • The fourth major announcement was that Safaricom was dissolving Onecom as its small to large enterprise internet services division and integrating the business as part of the broader Safaricom brand due to cost-cutting measures.
  • The fifth announcement is that Google Kenya has launched an SMS search service that enables users with standard mobile phones to make SMS keyword searches via a short code service. This service clearly takes cognizance of the fact that most Kenyans do NOT have web-enabled mobile phones and as such SMS is an alternative channel to access Google’s search services.
  • The last major (and shocking) announcement came from the Communications Commission of Kenya (CCK) which announced that WIMAX licenses would now cost around Kes. 270 Million to acquire and an annual fee of Kes. 14 Million to maintain.

All these developments mean that the next few years should become a pretty interesting for Kenya’s Internet services sector. The funding and roll-out of high quality internet infrastructure, coupled with the fast growing internet market, and the expected lower costs of access through the high speed SEACOM, TEAMS and EASSy undersea cables is going to change ALOT for businesses and individuals in Kenya. However, what remains to be seen is if the appetite for internet services (especially with such limited local content and online services) will match up with copious amounts of ubiquitous bandwidth at relatively low cost – will it ultimately make business sense? I certainly hope so!