Telkom Kenya launches Orange mobile services

Telecoms

Mobile telephone charges are expected to come down with the unveiling of Telkom Kenya's new Orange mobile services, which include voice and Internet. "This is an important point in Telkom Kenya's growth plan," said Chief Executive Dominique Saint Jean.

Its debut in the mobile service market is set to usher in a new round of price wars after setting the lowest charges of Sh14 per minute for calls outside its network and Sh7 per minute for calls within its network.

Safaricom currently charges Sh25 per minute for calls outside its network and Sh10 for calls within its network, while Zain charges sh16 for calls outside its network and Sh7 within its network. Telkom Kenya will operate on the 077 prefix charges on a per second billing.

A price war between Safaricom and Zain- at the time Celtel Kenya, saw prices fall from a high of Sh50 per minute on interconnection calls to the current levels within the last two years.

The Communication Commission of Kenya's intervention restricting the inter-network rate to Sh30 per minute also played a central part in bringing the charges down. Telkom Kenya will also be offering a privileged tariff of sh3.50 per minute to a group of 5 family and friends numbers.

The firm will also join Popote Wireless and Flashcom in offering wireless connection.

In offering Internet services, it will be joining the league of AccessKenya, Africa Online and Wananchi Online among others.

The unveiling of its new commercial brand seeks to build on its 250,000 existing CDMA customers and about 6,000 corporate Internet users and 18,000 narrow band subscribers.

The first roll out is to be carried out in Mombasa and Nairobi before embarking on a countrywide launch."By the end of the year we will cover all main cities in the country," said CEO Saint Jean. He said the company was spending Sh8 billion every year on its roll out of infrastructure and services.

The Nation