Will the new alliance against Celtel last?
Will the new alliance against Celtel last? When Celtel unveiled its single EA network there was a lot of trepidation in the communications sector on the implications of such a move. Talking heads and officious spectators immediately began wondering how the other two communications service providers in the Ugandan market, MTN and Uganda Telecom, would react. The decision to embrace East Africa, a first from Celtel, startled its competitors. The genius who came up with the idea deserves every bit of his pay cheque and more. No strategy will possibly have as far reaching results as this first from Celtel - who in Uganda were the pioneer mobile-phone service provider, although they squandered all the advantages of first entry with a premium pricing strategy - but that is a story for another day. The responses have been rapid and varied. MTN immediately commenced negotiations with Vodafone and Safaricom and presto, we have the three musketeers. The challenge posed by Celtel was sorted, or was it? Uganda Telecom, on the other hand, quickly signed a multimillion deal to sell Uganda's international gateway (256) to Gemtel, a Sudanese-based firm whose ownership is still being investigated by parliament. Before entering into an analysis of the merits and demerits of such a course of action, let us utilise the timeless lessons taught to us by our forefathers in Acholi folklore. There once was an able and robust hunter who chanced upon a baby leopard deserted by its mother. Nyaga, fascinated by the beautiful fur, carried the leopard home and commenced looking after it. Elders admonished Nyaga, women cautioned him on the folly of keeping something no human being had ever dared to keep, noting that the creature had long, sharp nails. To all this well-intentioned advice, Nyaga blocked his ears. In consequence, as the leopard grew bigger and bolder, one day in jest it wounded Nyaga. Niccolo Machevelli had nothing but disdain for mercenaries or auxiliaries in the defence of a principality. Similarly, auxiliaries leave the one who calls them in a lurch if they are defeated and in the power of the mercenaries if they win. It is through this prism that I choose to look at the response of the three musketeers to the challenge posed by Celtel. Yet even after painting such a grim scenario, we are yet to address the question of who the tiger in the alliance is or how long it will be sustained. Watmon Mike Kinyera via e-mail http://www.nationmedia.com/eastafrican/current/Opinion/opinion2602073. htm
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