Matiang'i takes battle against Safaricom a notch higher

ICT Cabinet Secretary Fred Matiang’i. Dr Matiang’i has said regulations to rein in on dominant mobile phone service providers are ready for debate in Parliament. PHOTO | SALATON NJAU | NATION MEDIA GROUP 

In Summary

• Airtel Kenya, the country’s second largest telco controlling 16 per cent of the market, has been pushing to have Safaricom declared dominant in order to give the other players some breathing space.
• Mr Wangusi also added that dominance was key in his focus signalling the commitment of the duo to reign in on what they see as Safaricom's anti-competitive behaviours.

By LILIAN OCHIENG
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Information Cabinet Secretary Fred Matiang’i has said regulations to rein in on dominant mobile phone service providers are ready for debate in Parliament.

Mr Matiang'i who was speaking on Thursday in a media briefing to usher in the Communications Authority of Kenya Director General Francis Wangusi's new term in office. Mr Matiang'i said telcos must regulated so as to ensure other small players have room in the market.

READ: Matiang'i backs Airtel push to breakup Safaricom

"I am sending regulations on dominance to Parliament next week, telcos need to be regulated to ensure some players are not strangled in the market," said Dr Matiang'i.

Mr Wangusi also added that dominance was key in his focus signalling the commitment of the duo to reign in on what they see as Safaricom's anti-competitive behaviours.

Airtel Kenya, the country’s second largest telco controlling 16 per cent of the market, has been pushing to have Safaricom declared dominant in order to give the other players some breathing space.

Of the three players in the business — Orange, Airtel and Safaricom — Safaricom is the only one that has consistently reported profits.

“The Kenya information and communications Act section 84W gives the Communications Authority of Kenya powers to declare a service provider to be dominant if their market share is at least 50 per cent of the relevant gross market segment,” Mr Matiang’i noted in a past letter to the authority.