selah wrote:@chemos your argument would holdwater if the 50cts offer is across networks but if onnet calls the migration will not be as high as you want us to believe...I know of some pple who depend on safaricom not on the voice but MPesa and its easy functionality just like Nokia which enjoys a monopolistic following here in kenya even though we have cheaper and better phones.
M-Pesa is sticky [definitely a growth driver for Safaricom] but most (spending) Kenyans are multi-SIM folks!
Bottomline: Will the low on-net & off-net prices by Airtel [YU + Orange] affect Safaricom profits? Yes... Not in 2010 but in 2011
As for Kenya's economy... We will benefit from lower calling costs!
Kenyans buy foreign assembled [instead of Mecer] computers without blinking an eyelid... yet complain about the non-existent threat of 'loss' of jobs!
Airtel's expansion will bring higher-enf ENGINEERING jobs for Kenyans!
Airtel Africa HQ will be Nairobi. Jobs for construction folks + high-end jobs for developers & engineers!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett