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Harry,
I hate sounding like a Telco/ISP Operator, but if you read my earlier posts,
this "Ndemo crack the whip" call is really what needs to be
investigated.
As I posted earlier, there are multiple, interrelated variables in this
"Internet Pricing Model". If a whip must be cracked (and
perhaps it should), it must be well measured(how many strokes), informed
(what is the expected impact), targeted (who is to be hit, Regulator,
Operator, Content Providers, Users?) and timed (at what point/condition do
you crack the whip).
walu.
--- On Thu, 9/23/10, Harry Hare <harry@africanedevelopment.org>
wrote:
From: Harry Hare <harry@africanedevelopment.org>
Subject: Re: [kictanet] ISPs slap Ndemo
To: "Walubengo J" <jwalu@yahoo.com>
Cc: "KICTAnet ICT Policy Discussions"
<kictanet@lists.kictanet.or.ke>
Date: Thursday, September 23, 2010, 3:34 PM
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.
African
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