The future is wireless
Telkom Kenya will directly compete with the two mobile phone operators soon after offloading its Safaricom shares.
The GSM rollout is expected to happen before the restructuring and privatisation of the giant telco.
Currently, Telkom Kenya operates both fixed-wireless and the traditional fixed line service.
Telkom's fixed-wireless going by the name Code Division Multiple Access (CDMA), is a digital wireless transmission technology that allows for a large amount of users to share access to a single radio channel that transmits voice and data.
Safaricom and Celtel Kenya on the other hand are running on GSM - a Global System for Mobile Communication platforms. The system is the most popular standard for mobile phones in the world.
Speaking during the stakeholders meeting on sitting of communications masts, towers and safe use of wireless terminals on Wednesday, 19 September, the Communication Commission of Kenya (CCK) director general Eng John Waweru said the giant incumbent will roll out GSM after offloading its shares at Safaricom Kenya.
"Telkom will roll-out mobile (GSM) services once it sells its shares at Safaricom", said Waweru.
This is expected to materialise before the first quarter of next year when Telkom's restructuring and privatisation process will be over.
It is anticipated that at the time, Telkom Kenya will have handed over its share holdings at Safaricom to the Government of Kenya, and Safaricom's initial public offering taken place to fund part of the restructuring process.
Waweru projected that their target is to have eight million more subscribers in the next two years.
"The next one billion subscribers will come from developing world; here in Kenya, we expect eight more million subscribers in the coming two years as growth continues," said Waweru.
Currently, there are about nine million GSM subscribers in the country shared by Safaricom and Celtel.
"We were used to fixed lines, and history has it that fixed lines have not solved our developmental issues. Telkom Kenya only managed to connect 300,000 subscribers, while mobile phones have added nine million more, this is a clear indication that the future is wireless," said Waweru.
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