Category Archives: Safaricom

SaaSa

As promised, SaaSa is a new offering (tariff) from Safaricom that allows cheaper (by about 50%) phone calls and SMS’s between 5 PM and 8 PM. No idea yet what the company’s new product, promised by year end, that will change our lives.

Safaricom goes VoIP

Safaricom and Celtel both received internet gateway licenses which will enables them to bypass Telkom on international calls.

While Celtel promises some good things for consumers in the future, Safaricom immediately launched 888 VoIP service with calling costs of 30 shillings per minute (to US, Canada, Australia, Europe, others) 40 (around East Africa) and 50 (to India, others) – all billed per second.

I have made a few calls and the quality is quite good. More details here on the service, including some rather harsh terms and conditions.

Who Cares?
Also today Safaricom cell phones started displaying location messages – You look at your phone screen and it says where you are at the moment e.g. “Nairobi West”, “Upper Hill”, and “City Center”.

Phone Company eats its children

Simu ya jamii phones have provided employment opportunities, and been a lucrative side business for many people including disabled Kenyans, cyclists, owners of kiosks and cybercafés. But operators’ profits have taken a tumble of late owing to the licensing of additional operators as well as mobile phone companies own products – such as sambaza and me2u which have made it possible for traditional ‘simu ya jamii customers’ to receive fractional airtime gifts from other mobile users.

Safaricom & Mercesdes

With some ministers very quiet on the job these days, some key permanent secretaries are speaking more about their ministry policy directions and plans for the rest of the year.

Communications
Dr Bitange Ndemo, the Permanent Secretary in the Ministry of Communications gave an interview this week where he revealed that:
– Telkom will be restructured in the next few months and privatised by the end of the year. This is urgent because the value of Telkom is decreasing each year and the restructuring, estimated to cost 50 billion shillings, will be financed by the sale of 9% Safaricom to Vodafone.
– The licensing of a second national operator, – FORGET ABOUT IT, as Telkom already faces enough competition

Finance
– Joseph Kinyua, the Finance PS announced that government would privatise National Bank by the end of the year.
– Consolidated bank will also be sold to another party. The previous owners of Consolidated have expressed interest in re-aquiring the bank’s assets.
– He also announced that the government will follow in the steps of Rwanda and limit purchases of government limousines. Good luck, as we’ll keep any eye out for any new GK giants like the all new Merc S Class.

– Sector documents from the Ministry of Finance are now available at their web site

Safaricom vs. Celtel

Safaricom Success.

Safaricom vs. Celtel
Am contemplating making my Celtel number my main line and downgrading Safaricom to secondary status, after switching to the new Celtel 24 S plan.

Celtel have, clearer calls, good products and service but their marketing has never been as good as Safaricom’s. Safaricom has often released products that are clone’s of Celtel with more fanfare and blitz, and capturing the consumer’s mind sense – such that everyone believes that Safaricom pioneered such products as sambaza (celtel had me2u first) and instant loading of airtime and checking of balances (also a celtel first). Safaricom has the right marketing mix, using colours, sheng, branding – e.g. bamba50, sambaza, as well as popular campaigns such as matatu poa. But one gripe I continue to have with Safaricom is the inability for international callers to get through to me.

Safaricom are quiet right now, but I would not be surprised if they are crunching their numbers, reverse engineering Celtel’s 24 S plan and will come up with their own plan that will offer the same service, but at a slightly cheaper rate.

Telkom modernizes
Starting today, anyone with a Telkom Kenya line in Nairobi or Mombasa will be able to
check their bill online.

The Road to Diani
Tourism Minister, and aspiring Coast king-pin, Morris Dzoro has announced that a new road will be built from
Mombasa airport to Diani Beach – bypassing the Island and Likoni ferry crossing.

EA Breweries
Turnover increased slightly from 18.4 to 19.7 billion shillings in the half year ended in December 2005. After tax profit increased from 3.08b to 3.32 billion and company will pay an interim dividend of Kshs. 1.75 per shares (‘04 was 1.5) to shareholders on 15th March. The company also earned 8.6 billion shillings in indirect tax for the government in the half-year (up from 8b).

US & Anglo Leasing
The day after Finance Minister David Mwiraria resigned, the People newspaper reported that one of the triggers of his departure was that the US Embassy in Nairobi has signalled that it would not grant him a visa to head a Kenyan delegation travelling to Washington DC to attend World Bank talks in February.

Broadband Kenya
Japan’s Kyocera has announced the commercial introduction iBurst wireless broadband services to Kenya.