Better yet, GOK should slice up its 40% stake and sell to smaller businesses that are willing to play ball, so that Kenyans are not at the mercy of a handful ISPs that cannot get their act together

Edwin

Sales without Customer Service........is like stuffing money into a pocket full of holes.
DAVID TOOMA

From: kictanet-bounces+eonchari=lynxbits.com@lists.kictanet.or.ke [mailto:kictanet-bounces+eonchari=lynxbits.com@lists.kictanet.or.ke] On Behalf Of Harry Hare
Sent: Thursday, September 23, 2010 2:35 PM
To: Edwin
Cc: KICTAnet ICT Policy Discussions
Subject: Re: [kictanet] ISPs slap Ndemo

Hello All,

Who in this forum thought it possible to enjoy the new calling rates which are 50% of what we used to pay? My point, we need a disruptive force that will force the ISPs to lower their rates. The Government still hold 40% of TEAMS, and I remember the PS once saying that he will use this if the operators fail to drop their costs. Probably this is the time...this, together with NOFBI, the ministry has capacity to roll out a project like - “free internet for all”, another first from Kenya.  

Think about it.

Harry

On 9/23/10 2:14 PM, "Walubengo J" <jwalu@yahoo.com> wrote:

Yes WHOLESALE prices are down by 80% but RETAIL prices remain relatively high.  Are the ISP/Telco eating up the difference by way of SUPER-PROFITS?

Not sure. There are multiple and intermediary variables that play between the Wholesale Level and the Retail Level that includes, but not limited to Cost of Local loops, Usage/Volume Levels,  Local Content, Regulatory& Competition Environments, Charging Models, etc.

The challenge is to get a way in which to measure and establish which of the above variables will have the biggest, positive and sustainable impact on Retail Internet pricing.  Worse still, a "wrong" distortion of any of the above maybe counterproductive to the others in the long run. It requires a delicate balance of the whole ecosystem.

But perhaps I could be wrong..


walu.

--- On Thu, 9/23/10, McTim <dogwallah@gmail.com> wrote:

From: McTim <dogwallah@gmail.com>
Subject: Re: [kictanet] ISPs slap Ndemo
To: jwalu@yahoo.com
Cc: "KICTAnet ICT Policy Discussions" <kictanet@lists.kictanet.or.ke>
Date: Thursday, September 23, 2010, 2:28 PM

Hi,

On Thu, Sep 23, 2010 at 11:19 AM, Edwin Onchari <eonchari@lynxbits.com </mc/compose?to=eonchari@lynxbits.com> > wrote:
> Yes Dennis,
>
>
>
> Take the case of the US for instance. 1 Mb (dedicated) is going for less
> than $50…

Wholesale cost there is ~$2.50 for 1 Mb/sec

>in Kenya, it’s anything between $500-$800.

Wholesale price in Kenya?  Around 50 USD per Mb/sec  (in Mombasa) is
what I heard recently from an industry player.  That is probably for a
volume purchase of course.

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