
*"I still think the fees should remain the same at USD 25 million. That's what Safaricom paid, and with inflation the money is even worth less."* some time back the nokia 3310 cost around 15K, by your reasoning it should now cost 20K after factoring in inflation. Personally, I belive license fees should be tied to market trends and not history. On Wed, Jun 2, 2010 at 10:01 AM, Philip Musyoki <pmusyoki@gmail.com> wrote:
So finally, after all those years, Zain will be launching their 3G service next month. But it all seems all these plans are tied to CCK reducing licence fees for 3G specrtrum licences. I wonder what will happen if they do not, and thee are a lot of powerful players in the industry who ate counting on this. Never the less, I still think the fees should remain the same at USD 25 million. That's what Safaricom paid, and with inflation the money is even worth less. And Zain, or Celtel had the opportunity to acquire a 3G license then and develop their markets the same way others did.
Nevertheless, I think we should watch and see if this will have any bearing on product reliability and prices offered by other players. And their is the small matter of acquisition by Bharti Airtel, I am not sure where this leaves Zain's 3G plans. The new owners, known for targeting the 'lower end' of the market may as well decide the lower end of the market does not need 3G after all. And they will have come full-circle. It used to be the upper end of the market with KenCell back in 2001.
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