Wednesday, February 23, 2011

Bharti Airtel Kenya to Introduce 3G Services

Bharti Airtel Ltd a Kenyan mobile- phone service provider unit announced that it will begin to roll out 3G services in the first quarter of 2011 as part of a push to attract more subscribers to their network. Currently, Bharti Airtel Kenya is not making anticipated profits as it should, however the situation is set to change with the introduction of 3G services on the Bharti Airtel Kenya network. 
The managing director of Airtel Kenya Rene Meza announced that by incorporating 3G services on Bharti Airtel Kenya network will enhance introduction of new products that will include e-mail and e-commerce services, the managing director also added that Airtel company was considering subsidizing laptops and Internet-enabled handsets to drive data use in East Africa’s biggest economy. The planning process for 3G services was being finalized to incorporate 3G services as early as the end of the first quarter 2011.

Since the telecommunication industry regulator in Kenya (CCK) reduced interconnection charges, Mobile operators in Kenya are becoming more reliant on data for revenue. The voice tarrifs have been lowered due to the competing service providers to the extent that revenue earned from voice have slimmed drastically. Reduction of interconnection charges by the communications commission of Kenya (CCK) has made mobile providers to cut in call costs to less than 2 shillings per minute and in some cases free calls during off-peak hours.

Airtel Kenya has been said to have suffered losses as a result of the reduction in call charges, however Airtel Kenya is keen to see those tariffs to remain low as it seeks to grow market share. By introducing 3G services, Airtel is expected to acquire a significant share of the Kenya’s mobile phone market. Airtel Kenya which has been re-branded from Zain Kenya after Bharti an Indian firm acquired it at a cost of $9 billion is the second largest company in Kenya after Safaricom. With this trend, technology in Africa is expected to reach new heights in the near future

Currently, only Safaricom is operating on a third- generation telecommunications network in Kenya. Bharti Airtel Kenya has a license to operate a 3G network, while Telkom Kenya is expected to get a similar license from the Communications Commission of Kenya with YU Essar telecoms not showing any interest of acquiring the same license.


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2 comments:

This needs to happen fast. Safaricom is screwing us!

yeah infact their daily internet subscription is a scam. They never give a full bundle and you are lucky if you get any.

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