Kenya’s Institute of Economic Affairs (IEA) is calling on the Communications Authority to compel mobile operator Safaricom to share telecommunications infrastructure in seven marginalized counties. IEA Executive Director Kwame Owino says this will be a step towards addressing the issue of dominance. The institute warns, however, that implementing price control could disadvantage consumers and reverse gains made in the ICT sector.
According to Owino, it has been difficult for companies trying to come onto the market. Econet’s Yu Mobile quit the market in 2015 while Telkom and Airtel have both undergone either ownership change or consolidation. Players blame this on the Safaricom’s market dominance. IEA warns that the current 4G licensing regime requiring telecom firms to pay KES 2.5 billion could plunge the sector into the same predicament of dominance.
