Telecom

Kenya's Government Issues 4G Licence To Jamii Telecom

Jamii Telecom has announced that it has finally been granted a 4G licence in Kenya.

A while back, Jamii Telecom had asked the Communications Authority of Kenya to allow it to pay the 4G spectrum fee of KES 2.5 billion ($24.7 million) in instalments. The proposal was then forwarded to Parliament for further consideration.

After several meetings, MPs allowed the bill’s propositions, which were then officially made into law in January 2019.

One notable outcome of the law is that companies whose majority shareholders are Kenyans can now pay license fees in equal instalments over ten years. The law also allows the likes of Jamii Telecom to beam 4G signals to their subscribers if they can pay their license fees over that period.

With this development, the CA has finally granted the telecom company its LTE 700 MHz frequency license.

The $24.7 million fee had been questioned by Airtel, which escalated the issue to the court where the mobile operator faulted the price for being way too high.

Airtel had suggested that paying a fee that matches its profits did not make financial sense although it did end up acquiring the license at full price.

Ultimately Airtel, Telkom and Safaricom and Telkom, which are primarily owned by Bharti Airtel India, Vodacom and Helios will not benefit from the newly approved law.


Credit: This article originated from www.techweez.com





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