Tuesday, September 16, 2008

Telkom Kenya to unveil mobile service this week

By James Ratemo

The stage set for stiff competition in the telecommunications sector this week as Telkom Kenya officially unveils its mobile telephone service.

The company becomes the fourth entrant into the cellular sub-sector after the two well-established players, Safaricom, Zain and another newcomer, Econet Wireless.

With a war chest of more than Sh8 billion, the company will rollout the network in Mombasa and Nairobi, but will eventually cover the whole country.

In an exclusive interview with The Standard on Monday, Telkom Kenya CEO Dominique Saint Jean promised to give his competitors a run for their money with affordable cross network tariff rates alongside its other services.

firm’s services

"Telkom Kenya offers a fixed wireless service using CDMA technology, our entry into Global System for Mobile (GSM) will boost our profile in the cellular market and we are lucky since we will benefit from the latest technology," said Jean. The company, the former sole fixed line operator, is also set to unveil its commercial brand this week.

"We will address all segments in the market and we are signing network interconnection agreements with other GSM cellular operators. From our GSM and CDMA network, calling across networks will be cheaper as compared to other operators," he said.

The fixed-line operator applied for the mobile licence last year and went on to sign an agreement with Ericsson, the Swedish telecommunications giant, as the sole equipment supplier for its ambitious GSM network.

"This new venture reflects a strong commitment by Telkom Kenya to deliver superior communication experience to customers and will pave way for healthy competition in the cellular market. We will focus on quality service in order to survive the anticipated stiff competition," said Jean.

labour force

A latecomer in a market that is already crowded, Jean said, the company has a lean labour force of 3,000 employees down from 17,000 a year ago and 6,000 in December.

"We will retain our landline network especially in the rural areas where majority of low income earners live and in urban centres where there is no vandalism," he said.

"We believe there is strong demand for GSM, fixed line and broadband offered as one package."

CCK approves Econet’s proposal to offer 3G services

By James Anyanzwa

The Communication Commission of Kenya has approved Econet Wireless Kenya’s proposal to offer 3G services.

The industry regulator allocated a 3G Spectrum to Kenya’s third mobile operator, putting the firm in a position to unveil 3G services as part of it rollout later this year.

The 3G technology will initially be available in Nairobi and its environs. "3G technology is designed to enable mobile operators offer its users a wide range of more advanced services including high speed data, while achieving greater network capacity though improved spectral efficiency," Mr Michael Foley, the firm’s managing director said in a statement.

diversified service

He said the 3G license is a milestone that would enable EWK offer a diversified service beyond the traditional mobile voice service.

"We intend to have a well managed and reasonably priced package for our customers," he said. The 3G technology include wide area wireless voice telephony, video calls and broadband wireless data.

Foley said subscribers would enjoy access to high-speed data at superior speeds. He said subscribers would need to acquire 3G enabled handsets in order to enjoy mobile broadband services including Internet access, email communication, access to calendars and other multimedia services.

He said PC users would, however, access the service using either broadband modem plugged into a computer to access the internet for a single user or a broadband wireless router that allows a group of users high-speed access to the internet.

internet service

The service enables robust and high-speed broadband Internet services whether mobile or in a fixed office environment. Foley said enhanced 3G network would eliminate challenges of limited fixed network infrastructure and expensive internet access alternatives.