Kenya Towards Mobile Virtue Network Operator: Opportunities and Challenges
Advances in Networks
Volume 4, Issue 2, November 2016, Pages: 45-51
Received: Aug. 26, 2016; Accepted: Sep. 5, 2016; Published: Dec. 27, 2016
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Authors
Tirus Muya Maina, Senior Information and Communication Technology Technologist II, Information and Communication Technology Directorate, Murang’a University College, Murang’a, Kenya
Charity Mweru Maina, Information and Communication Technology Officer, Library and Learning Resource Services, Technical University of Kenya, Nairobi, Kenya
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Abstract
This paper points to the necessity to conduct research on Kenya towards Mobile Virtue Network Operator in regard to Opportunities and challenges. The telecommunication and financial business model is shifting away from full vertical integration of the operator’s value chain towards a higher level of specialization. Thus the threshold of becoming a mobile operator is dramatically reduced with the introduction of the MVNO’s concept. It is possible to be an operator without having to invest in frequency spectrum license or in wireless network infrastructure and without having to build up competence in wireless technologies. The regulators have applauded the new players because they want to enhance competition for the benefit of the customers. MNOs use underutilized spectrum in various service provisions bringing in specialization in areas such as data and mobile money. Business competition makes the consumers enjoy benefits from low fees in mobile money, text and voice services. Kenya lack of legal provision for infrastructure sharing, leaving the operators to consent to autonomous agreements with interested parties. Issues raised by MNO include Cannibalization of the MNOs market share by MVNOs, Hostile response from poor MVNO performance, unfriendly choice of MVNOs for partnering purpose. The purpose of the regulator should be increased competition in the mobile communications market, financial and quickening the improvement and the development of new services and technical innovations. Therefore, the entry of MVNOs into the market should be seen as an opportunity that will increase the uptake of mobile services in key segments such as mobile commerce, finance, voice and data.
Keywords
Equitel, MNO, MVNO, Regulator, Telecommunication
To cite this article
Tirus Muya Maina, Charity Mweru Maina, Kenya Towards Mobile Virtue Network Operator: Opportunities and Challenges, Advances in Networks. Vol. 4, No. 2, 2016, pp. 45-51. doi: 10.11648/j.net.20160402.14
Copyright
Copyright © 2016 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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