Do commercial web portals and sites fall into Content Service Provider category?
Does anyone know if the above case is so? And what happens to the informal ICT sector where professional, experienced individuals or small office/home office types, self employed want to develop the above as legit business? Looking into the details of the category license, reveals a concealed fate for small investors, which means a non-starter : -"*Content Services*" means information of any kind normally provided at a fee and is delivered over electronic communications networks and services. They include broadcasting content, financial information services and other information society services. -Within NINE (9) months from the Effective Date, the Licensee shall establish and maintain efficient information services to assist any person to answer questions regarding products, services, and any other reasonable questions relating to the Licensed Services - Within nine (9) months from the Effective Date, the Licensee shall submit to the Commission the accounting principles which relating to the running of the Licensed Systems and which allows the recording of investments, expenses and revenues in accordance with Generally Accepted Accounting Principles (GAAP) in Kenya.15.2. Within sixty (60) days of the end of each fiscal year of the Licensee, the Licensee shall deliver to the Commission its balance sheet as at the end of such fiscal year and the related statements of operations, equity and cash flows, in each case accompanied by a report thereon of independent auditors stating that such financial statements fairly present the financial position of the Licensee at the dates indicated and were prepared in accordance with accounting principles submitted to the Commission in accordance with 15.1 above. -In particular, by the 15th July of every year or as agreed by the Commission, the Licensee shall submit a Compliance Report detailing the performance of the previous operational year ended 30th June. - The Licensee shall pay to the Commission:21.1. An initial Licence fee amounting to Kenya Shillings one hundred thousand (KShs.100,000). -On 1st July of each year, an annual operating fee equivalent to zero-point-five percent (0.5%) of the audited annual gross revenues accruing from the Licensed Services during the previous financial year or Kenya shillings one hundred thousand (KShs. 100,000) only whichever is higher. *I highlight these point as at some stage it will affect many. Who knows, you could be selling things from your site portal using mpesa/zap etc and the next thing you know you are operating illegally.* ** *Rgds.*
So an example : @Aki is setting up a number of portals an eg one is a social dating web portal classifieds while @Someone else at skunks is setting up Agoa Kenya web portal. Each of these are much lower revenue services. They are not similar to sms type of content providers who have deals with telcos and use telco platforms to deliver on eg bulk messages on or behalf of clients. Online classifieds is nothing new nor innovative to telcos or service providers, they could have done this years ago. If the above license applies to web portals and the rest than a smaller web potal entity is now competing in the ranks of service providers. Also, if true that the subject license applies, then the ICT industry is one big illusion that seeks to place innovation and diversity in the hands of well established businesses who will not necessarily deliver on such. We have seen the the fiber outcome, what is the best innovation so far from any provider? If no one knows, then I most likely call CCK next week to seek clarifications. Why do I ask? If you want to build a house on a hillside, then you must be aware of mudslides when El Nino comes along. Ignorance will cost you everything. sooner or later. :-) Rgds.
Dear Friends I agree with Aki, my perspective is that once again we are on the wrong end of the stick. It is cheaper to import goods then manufacture them in Kenya. Now it will be cheaper to get Kenyan content from a foreign land then create it from within the country. And the viscous cycle continues. I ask you one question, Africa is rich in resources yet afflicted with poverty. Why? we are a net importer and have the fallacy of importing what we produce. We then are subjected to tax regimes that ensure that we do not dare produce to compete with the rest of the world. Truth is bitter... Adeu
Dear Friends I agree with Aki, my perspective is that once again we are on the wrong end of the stick. It is cheaper to import goods then manufacture them in Kenya. Now it will be cheaper to get Kenyan content from a foreign land then create it from within the country. And the viscous cycle continues. I ask you one question, Africa is rich in resources yet afflicted with poverty. Why? we are a net importer and have the fallacy of importing what we produce. We then are subjected to tax regimes that ensure that we do not dare produce to compete with the rest of the world. Truth is bitter... Adeu
nice write up (especially on highlighting on the possible illegality) i have also been looking into web portals specifically ict-news/magazine web portals and a classifieds portals that combines the buy and sell, online directory, consumer reviews, hosted applications, forums and information services etc but is any company or individual ready to provide these services (what do we know on bandwidth policy management by telcos - especially the broadband service providers) and can i make a content based biz my core business. we need to know if telcos are concerned about business that are content service providers for example video services in Kenya - if you have all the apps and hardware to run such will you get the reliable bandwidth. @aki can you list links of the top 10 kenyan owned web portals that provide comprehensive content services? On Sat, Sep 19, 2009 at 8:18 AM, aki <aki275@googlemail.com> wrote:
So an example : @Aki is setting up a number of portals an eg one is a social dating web portal classifieds while @Someone else at skunks is setting up Agoa Kenya web portal. Each of these are much lower revenue services. They are not similar to sms type of content providers who have deals with telcos and use telco platforms to deliver on eg bulk messages on or behalf of clients. Online classifieds is nothing new nor innovative to telcos or service providers, they could have done this years ago. If the above license applies to web portals and the rest than a smaller web potal entity is now competing in the ranks of service providers. Also, if true that the subject license applies, then the ICT industry is one big illusion that seeks to place innovation and diversity in the hands of well established businesses who will not necessarily deliver on such. We have seen the the fiber outcome, what is the best innovation so far from any provider?
If no one knows, then I most likely call CCK next week to seek clarifications. Why do I ask? If you want to build a house on a hillside, then you must be aware of mudslides when El Nino comes along. Ignorance will cost you everything. sooner or later. :-)
Rgds.
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@Steve, unfortunately none come to mind immediately. How do I define a portal? To me it should be a gateway of somesort, something that brings diversity. I'm no web developer so my attempts will not come close to this but a start towards goals. Its a bit like when you drive down to Mombasa, even at night as you approach mariakani, the salty smell in the air tells you the coast is near. Its a very big pity that we waited until 2009 to do this! Then the banks can sit on their lending rates while we use the minimal revenue returns from portals to fund other steps towards creating data centres that offer very cheap hosting and various services, create online diversity while the entire nation , step by step, becomes a one-network fiber concept. The mechanisms of fiber development are in motion, though slow. This gives enough time to double check/triple check business models, adapt to them and move on parallel with them. For me, I know I cannot afford to pay 6000usd per month on 10Mbit bandwidth that I need for my 2 other core projects, thus having to re-think, and re-think and re-design due to all the obstacles I've seen since july 23rd. I'm just hoping now the final straw that broke the camel's back will not come in the form of a hefty license fee and compliance regulations that cannot help small startups at all. We will know in the next few weeks.......... :-) or :-( My thots. Rgds. On Sat, Sep 19, 2009 at 12:10 PM, Steve <sikileng@gmail.com> wrote:
@aki can you list links of the top 10 kenyan owned web portals that provide comprehensive content services?
On Fri, Sep 18, 2009 at 8:44 PM, aki <aki275@googlemail.com> wrote:
I highlight these point as at some stage it will affect many. Who knows, you could be selling things from your site portal using mpesa/zap etc and the next thing you know you are operating illegally.
I'd also be interested in knowing if this applies if your "content" servers are not hosted locally. ~gms
participants (4)
-
aki -
Athar Ahmad Bhatti -
Glenn Sequeira -
Steve