Ali, Is the issue about Market Dominance really? Most conversations I have seen are drifting towards just declaring Safaricom as Market Dominant! That's not enough. What is crucial is either the *abuse* and *risks* based on that market dominance, the equivalent of too big to fail! And what is abuse? Say Safaricom based on its dominance as a data provider decided to promote it's LittleCab venture by slowing down Internet traffic for Uber & other competition users (incidentally, I was in a Uber ride not long ago and the driver mentioned strongly that he believes that is so...) The studies that need to be undertaken should relate to whether Safaricom has used its position to advance its interests illegally. However, regulators also should stop sleeping on their job, including CBK who should *mandate* that all Money Transfers Services (M-Pesa et.al) should be inter-operable and have a clearing house similar to banks within at most 6 months. That in one stroke would take most risk off M-Pesa. Regards On Fri, Mar 3, 2017 at 6:17 AM, Ali Hussein via kictanet < kictanet@lists.kictanet.or.ke> wrote:
John
I quote you:-
"...a declaration of dominance in whatever market segments.That is a major admission of market failure under competition law.."
How is Dominance now being equated to market failure?
Have we reached a point where we allow free markets and then when someone gains Dominance we declare market failure?
How now?
Here's an interesting definition of Market Failure:-
https://en.m.wikipedia.org/wiki/Market_failure
*Ali Hussein* *Principal* *Hussein & Associates* +254 0713 601113
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On 2 Mar 2017, at 8:28 PM, John Kariuki via kictanet < kictanet@lists.kictanet.or.ke> wrote:
a declaration of dominance in whatever market segments.That is a major admission of market failure under competition law a
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