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Kibaki intervenes and stops mobile call charge reductions
Much Know
#51 Posted : Wednesday, June 08, 2011 4:59:59 PM
Rank: Elder

Joined: 12/6/2008
Posts: 3,579
The growth trajectory has been bent downwards, the lower tariffs have seriously dampened safcoms growth, the curve has taken some degrees to the horizontal and who knows?, the big winner "in the region" is Airtel, and it has made sure safcom and it's services do not become a threat and are contained within.
Ras Kienyeji Man
Wa_ithaka
#52 Posted : Wednesday, June 08, 2011 5:10:16 PM
Rank: Veteran

Joined: 1/7/2010
Posts: 1,279
Location: nbi
Please note Safcom is owned by Vodafone. Like Barclays Kenya, it can't operate outside of Kenya because Vodafone has a sub in the neighbour countries
The Governor of Nyeri - 2017
jawz1
#53 Posted : Wednesday, June 08, 2011 5:13:51 PM
Rank: Member

Joined: 8/4/2008
Posts: 205
Location: Nairobi
FundamentAli wrote:
How do you fund a 1.15T budget? (think am the first to use T for a trillion in Kenya - new meaning for T). I expect a shift from percentage of revenue to a charge of say tax of a shilling per minute. With telco's wars this shift cannot be implemented.

I listened keenly to Uhuru's speech but didn't hear about any new taxes targeting mobile airtime or did I miss it?
"When the pupil is ready to learn, a teacher will appear." -- Zen proverb
Kybeeh
#54 Posted : Thursday, June 09, 2011 12:13:31 PM
Rank: Hello

Joined: 6/9/2011
Posts: 1
Kibaki stops further drop in mobile call charges are we going to see safaricom at 6bob soon. http://bit.ly/9tXPDr
Afroknight
#55 Posted : Thursday, June 09, 2011 1:15:15 PM
Rank: New-farer

Joined: 3/28/2011
Posts: 17
Location: Nairobi
Howdy,
Safaricom is a responsible business enterprise and it has genuine interests for its customers.
It is not in our best interests to see Safaricom Make a Loss, what will thousands of dealers, airtime vendors, mpesa dealers, paybill companies do.

It is good for Safaricom to make a good profit for the sake of us all.
Consider that Safaricom, and in fact other big corporates and Parastatals serves as very good tax mobilixazion points for the government.
Now, We do not mind a moneyed government, do we?
But we regret the irresponsible expenditure and pathetic corruption.

All said and done: Let Safaricom make money and i can assure you it cannot go beyond the 3/= it charges.

KR,
G.
Above all alse, Guard thine heart with all diligence, because from it are issues of life... Prov4:23. Email: afroknight@ymail.com or domainagencies@yahoo.com
Barrywhite
#56 Posted : Thursday, June 09, 2011 1:33:44 PM
Rank: Member

Joined: 12/2/2009
Posts: 286
Location: Nairobi
@ Wa_ithaka Revenues fell by a paltry 1.7% when you take the whole FY. When you pick H2 of 2010/1 and compare with H2 of 2009/10, the story is markedly different. A good business should not charge its customers a fee below the cost of production; and that is what Airtel is doing, in the hope they can ruin the sector and kind of benefit with susbcriber numbers before sanity prevails. That's why Kibs directive makes sense, protect the sector and all other dependent sectors on it.
The laudable is more often than not rendered laughable by overclaim
Wa_ithaka
#57 Posted : Thursday, June 09, 2011 3:49:36 PM
Rank: Veteran

Joined: 1/7/2010
Posts: 1,279
Location: nbi
Barrywhite-voice revenue fell by Ksh3bn; data revenue rose by Ksh2.2bn.
If I can pretend to be very clever for a minute. What Airtel is doing is called business. Or loss-leading in technical jargon. You do anything you can to get rivals' customers. Once you attract them, you offer them your pricier products.
Apparently businesses have doing this for yrs.
Look at how Google is competing with Microsoft and Apple on operating systems...
The Governor of Nyeri - 2017
mchawi
#58 Posted : Thursday, June 09, 2011 11:42:06 PM
Rank: New-farer

Joined: 4/4/2011
Posts: 94
Location: Nairobi
Congrats Baks! I'm sure its all in interest of Telecoms industry and Govt. How else would govt have funded its 1.5B budget?
In addition, where wud Telcos hv gotten funding for their investment in LTE, 3G, Wimax etc...
The MTR rates were definitely not sustainable!
jawz1
#59 Posted : Friday, June 10, 2011 9:28:17 AM
Rank: Member

Joined: 8/4/2008
Posts: 205
Location: Nairobi
Safcom has been inching upwards slowly, will it reach 4bob today? Wonder if investor fears have been settled slightly with Prezzo's intervention?
"When the pupil is ready to learn, a teacher will appear." -- Zen proverb
jawz1
#60 Posted : Friday, June 24, 2011 7:35:23 AM
Rank: Member

Joined: 8/4/2008
Posts: 205
Location: Nairobi
Interesting article about Bharti Airtel in the Economist...

Happy customers, no profits
"When the pupil is ready to learn, a teacher will appear." -- Zen proverb
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