Showing posts with label regulation. Show all posts
Showing posts with label regulation. Show all posts

Thursday, January 28, 2010

Broadband Internet in Kenya

Wow, what a rant by Kahenya Kamunyu, on the broadband mess in Kenya and why he is angry! Here is my response on this critical issue.

Is there a problem with broadband in Kenya? Is it a mess? Yes, at least I think so and agree with Kahenya. We however need to define the problem; is there no broadband Internet? Is it not accessible in enough places in Kenya? Is it too expensive? Are the speeds not fast enough? Further we need to define broadband so that we are all talking about the same thing. I would propose a ubiquitous always on Internet connection that supports the basic services and satisfactory user experience with applications offered on computing hardware devices. For this article I will use the following definition, an always on Internet connection with a minimum speed of 256 kbps in at least one direction.

Is policy the factor hindering growth in investment in broadband technology?

If Kahenya means an absence of policy by the government of Kenya (GoK) then that is not true. We have the following policies that address broadband access to accomplish further ambitious goals; Vision 2030, the Kenya ICT Policy and the Ministry of Information and Communication (MOIC) Strategic Plan 2008 – 2012. The MOIC strategic plan addresses the need for increased international bandwidth, better national connectivity and last mile technologies.

The way that the GoK handled the development and roll out of M-PESA (and other money transfer services via mobile phones) surely indicates that the GoK is interested in technology as a driver of economic growth. The Ministry of Finance (MOF), MOIC, the Central Bank of Kenya (CBK) and the Communications Commission of Kenya (CCK) looked the other way long enough to allow the services to take off and then introduced favorable regulations.

Is broadband in Kenya = 3G

Kahenya does not speak about the quality or cost of the Safaricom 3G service. Is the Safaricom service poor or does Kahenya just dislike Safaricom and would rather use 3G service offered by Zain, Orange or Yu. Or does he believe that competition will result in better quality of service and a lower cost offering to subscribers.

Is $25 million too much to pay for a 3G network license? If so why did Safaricom pay this fee? I do not know the answer to this question. I do however believe that Kahenya, and most Kenyans, are overly fixated with mobile telephone technology as the medium for the delivery of broadband Internet.

Yes, Safaricom, Zain, Orange and Yu have delivered voice telephone services to millions of Kenyans who had long given up on Telkom fixed line telephone services. Kenya has never had more than 300,000 fixed telephone lines.

The critical questions we need to ask as Kenyans is, can 3G (or any other mobile phone technology) offered by the 4 mobile network operators (MNO’s) be the primary way we access broadband Internet services?

None of the countries with a high uptake of broadband Internet, defined by the International Telecommunications Union (ITU) as number of subscribers per 100 inhabitants, depend primarily on wireless broadband. Rather these countries rely primarily on DSL, cable or fiber-optic infrastructure; all fixed rather than wireless technology. I will concede that there is increasing fixed-mobile convergence to ensure ubiquitous seamless Internet connectivity. MNO’s are using this convergence to off load high data traffic to fixed networks to decongest networks and improve on user experience.

Last mile is still the weakest link

Kenya has made great progress in the past decade with international connectivity, through the under-sea fiber optic cables, and through the terrestrial fiber optic cables throughout the country. A have a good backbone network with great redundancy. The Kenya Internet exchange point (KIXP) project by the Telecommunications Service Providers Association of Kenya (TESPOK) has been a great success. Most of the former are examples of successful private and public investment projects. The weakest link remains the last mile. Fiber to the home (FttH) is too expensive and hence only available in a few commercial buildings in the cities. In a few apartment blocks in select residential areas in Nairobi there are fiber optic connections complemented with copper wire for the ‘last drop’.

Specific goals for broadband Internet in Kenya

Perhaps Kahenya is right that policy is the problem. To be more accurate more specific goals are required for improving the number of subscribers to broadband Internet in Kenya.

The MOIC strategic plan 2008 – 2012 refers to the very low number of broadband subscribers in Kenya. 3,300 subscribers or 0.01 per 100 inhabitants according to the ITU. ( 3.4 million Internet users or 8.67 users per 100). TESPOK offers a much higher number of broadband Internet users; 120,000.

The MOIC strategic plan however does not offer any goals on how many broadband subscribers Kenya should aim to have by 2012. This is a missed opportunity. The document instead offers goals for the number Internet users and number of institutions with access to broadband.

The MOIC lists GSM, CDMA, WiMAX, WiFi and “Internet over power (KP&L Co.) lines” as solutions for the last mile. Only the cable or fiber-optic links on Kenya Power and Lighting Company (KP&LCo.) infrastructure is fixed. The goals need to be more specific and ambitious and unless there is a major breakthrough in the next generation wireless technology more though needs to be given to fixed infrastructure. These will ensure that their is a definite plan of action to increase access to broadband Internet.

Solutions and lobbying rather than "Bitange Ndemo must go … "

Really! Will ignoring Bwana Ndemo who is willing to attend Skunkworks, mingle with techies and understand their struggles and technology needs improve matters?

Does Kahenya really believe that giving Ndemo the cold shoulder will cause him to do better as the PS at MOIC. Does Ndemo determine government policy and directives on his accord? There are so many more actors in this sector; Kibaki, Raila, Pogohisio, Njoroge, ministers, MP’s, the private sector and investors.

It is in the best interest of all stakeholders and especially Internet users to continue working with Ndemo and support him. That the MOIC has a strategic plan based on Kenya's Vision 2030 plan is great progress. More solutions need to be determined and then offered to the key actors and then lobbied for. TESPOK can play a great role once they realize that they can multi task and take on other projects other than IXP’s.

We can fix the last mile problem and increase affordable broadband Internet services offerings. A key aspect in enabling Kenya realizes it’s amazing potential.

Sunday, October 11, 2009

2009 a great year for ICT in Kenya!

I am changing the focus of this blog to provide a commentary on information and communication technologies (ICT) in Kenya.

2009 is proving to be a great year for ICT in Kenya.

Two undersea optical fiber communications cable projects have been completed, connecting Kenya with the rest of the world. Until now Kenya has been dependent on satellite technology, which is expensive and has high latency (delays), to connect to the rest of the world for telephone and Internet. The moaning and lamentation about continued high connectivity costs and very little reporting on the increased bandwidth and reduced latency threatens to overshadow the significance of the moment. But then again, perhaps this is Kenyan characteristic is not so negative if viewed from the perspective of the great desire to have affordable excellent Internet connectivity. Looking in hindsight the current debate mirrors that of mobile phone costs which have in the course of time reduced as the mobile phone operators have recovered their investment and competition and numbers of subscribers have driven costs down.

The growth in the numbers of people using mobile phone, the increase in the use of relatively cheap mobile to access the Internet and the innovations in money transfer (MPesa and Zap) are fantastic.

The Kenya Communications (Amendment) Act 2009 is a milestone with the inclusion of a regulatory framework for e-commerce. Again the focus by many Kenyans and especially media is the lamentation about the desire by government to control and reduce media freedoms. Whilst it is understandable that media would rather not be controlled and they should be very grateful that they are dealing with GoK and CCK, which in comparison to most African countries has developed a good framework for regulating the ICT sector. Just ask the South African's.

These three things, better Internet, innovation in the use of mobile phones to connect to the Internet and as a means of money transfer and a legal framework for e-commerce will significantly improve the lives of many in Kenya. Many will look back to 2009 as the beginning of amazing times.

"Now this is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning." Sir Winston Churchill, Speech in November 1942, British politician (1874 - 1965)