level play ground

Business Daily
Date: 15.09.2015
Page 8
Article size: 331 cm2
ColumnCM: 73.55
AVE: 0.0
CA says Airtel and
Safaricom are on
level play ground
BY OKUTTAH MARK
feet on enforcement of mar­
free, which is not possible," faricom's 4G spectrum would be shared
said Mr Wangusi in Nairobi with other telcos and that the leading
yesterday.
operator will have to pay a license fee
"So if they go to the of $56.25 million (about Sh5.6 billion)
streets to talk about spec­ before it is issued with the 800MHz
trum, we (the regulator) don't know frequencies.
ket dominance rules.
if they have any problem on the fre­
The telecommunications sector regula­
tor has defended itself against claims
made by Airtel accusing it of favouring
Safaricom on issuance of 4G frequen­
cy spectrum and dragging its
The Communications Au­
thority of Kenya (CA) director
general Francis Wangusi yes­
terday said he was not aware
of any difficulties that Airtel
had faced with the frequen­
cy spectrum (800Mhz) that
it was allocated to test­pilot
its 4G network.
The CA also said that Air­
tel should not blame the regulatory
environment "for inability" to keep up
with the competition.
The ICT Secretary Fred Matiang'i
said Airtel should instead seek solu­
tions to any challenges facing it from
the right offices, "instead of engagement
from the streets."
Airtel last week threatened to exit
the Kenyan market if new regulations
are not passed to curb Safaricom's
dominance.
"We have spectrum in
thel800Mhz and we have
Mr Wangusi also defended the
regulator from claims that the regula­
Airtel last week took issue with a re­
tory environment is tilted in favour of
quency."
cent notice by the regulator indicating Safaricom, saying that if Airtel wants
to exit the market they are free to do so
Ifthey want to
pull out of the
but should not blame it on the regula­
tory environment.
market because
"We cannot pull someone's legfrom
runningjust because we want another
they can't run
person to run after and catch up with
faster...itisokay
him. Airtel have a very good space to
that Safaricom will be given a licence run. Ifthey wantto pull out of the mar­
to roll out high­speed (4G) Internet ket because they can't run faster, yes it
is okay, but I don't think it is because
countrywide.
The notice was published on August of the regulatory environment that is
19 and gives stakeholders a month to preventing them from doing well," Mr
submit their objections, if any. Airtel Wangusi said yesterday.
Mr Youssefi had said that "anti­
said giving Safaricom the 4G permit
ahead of other telcos would "tie" con­ competitive behaviour" by the market
leader had condemned competitors to
sumers to one service provider.
"We do not agree with the way the losses, claiming that it also contributed
valuable 800HZspectrum was allocated to the exit by Essar—Yu network opera­
to the dominant player to deploy the 4G tor — as well as the expected pull out by
network without a clear agreement with France Telecom from Telkom Kenya.
"We have been trying for over five
other players on commercial terms,"
even offered to give Airtel Airtel's chief executive Adil El Youssefi years and have not made one dollar
the spectrum to rollout the said in a media interview last week.
in profit. Airtel is likely to exit Kenya
network on a pilot basis.
The CAhas stated that Safaricom's
if the market structure is not ad­
They want us to give them 4G licence will be issued on condition dressed in terms of dominance," said
the spectrum frequency for that it is shared with other operators. Mr Youssefi.
It also indicated that 30 per cent of Sa­ [email protected]
Ipsos Kenya ­ Acorn House,97 James Gichuru Road ­ Lavington ­ Nairobi ­ Kenya
Business Daily
Date: 15.09.2015
Page 8
Article size: 331 cm2
ColumnCM: 73.55
AVE: 0.0
Communications Authority of Kenya director­general Francis Wangusi. file
Ipsos Kenya ­ Acorn House,97 James Gichuru Road ­ Lavington ­ Nairobi ­ Kenya