I also suspect they will make no profits and will wind up sooner than later. Its simply too easy to buy multiple SIMs and use twin sim phones . . . What does it actually solve?

On Mon, Mar 28, 2011 at 3:02 PM, Andrea Bohnstedt <andrea.bohnstedt@ratio-magazine.com> wrote:
Hey all,

I'm actually curious about the business case for the porting company, assuming that the KES173 fee per ported number are the only revenue they have (or will they be paid a fee by the operators as well?). The East African article indicates that in Pakistan, around 3% of subscribers ported. I had a quick look around the internet and in India, it seems to be less than 1% so far. If the company plans to invest around USD2m per year for the coming years, and gets KES173 per ported number - how long is that going to be profitable?

From my quick look around, there also seems to be a suggestion that number portability is more attractive for post-paid subscribers - still a much smaller market segment in Kenya. And many people already have two lines, so where would you move to? I think mobile operators will probably throw out more offers and promotions, which is attractive for consumers, but how many are actually going to change operators? And if the numbers are limited, then the network effect for those operators who charge higher off-net tariffs will remain.

Happy week!
Andrea

On 28 March 2011 13:59, Michael Ouma <benomnta@yahoo.com> wrote:
Kenya's MNP:  http://tinyurl.com/4ssdw8b

Michael Ouma
Journalist
Kenya
Tel:+254-725-537823




"Do not go where the path may lead, but go instead where there is no path and leave a trail," - Ralph Waldo Emerson


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