Airtel Seeks to have Safaricom declared dominant and split into three business units

After 18 years of existence in the Kenyan Market Safaricom Limited has continued to dominate other networks and has proved to be a market leader. Currently Safaricom controls 75.6% market share in Voice, 93% in sms, 70% data and 66.7% in mobile money. Now Airtel is seeking to have Safaricom declared dominant by the regulator, Communication Authority so that the playing ground can be easy. This in layman language means that Safaricom has become a colossus and the other networks namely Orange and Airtel would benefit if it was declared dominant. That means Safaricom would operate in a more restricted business environment and it may have to be split into three independent entities.

MPESA
This would become an independent company and subscribers from other networks would register without necessarily moving from their networks. Safaricom's strategy of introducing MPESA was a win for them in terms of locking in their subscribers.

Mobile phone Services
This would be set aside to cater for mobile phone sales and voice services, sms and data but again on a controlled pricing if the Communication Authority will declare Safaricom dominant.

Infrastructure

This would run the base stations and again provide services to other networks at a controlled wholesale price.It should be noted that  Safaricom has invested heavily on infrastructure to ensure that it's customers enjoy uninterrupted services. The other networks want to use this infrastructure to help in terminating calls to their subscribers.
 
Interesting facts on the three telcos leadership styles
Safaricom was started in 1997 as a private limited liability company and was converted into a public company with limited liability in May of 2002. It has had only two CEOs namely Michael Joseph who retired in November 2010 and was succeeded by Bob Collymore. The MPESA service was launched in 2007. Safaricom has never done any major rebranding.

Airtel has rebranded four times in the last 15 years. From Kencell, To Celtel to Zain and finally to Airtel and nine CEOs to boot.

Orange which was the pioneer phone service provider and which was caught flat footed by Safaricom rebranded from Telcom Kenya has had 6 CEOs in a decade and a half.

Yu which made an exit last year had had 4 CEOs before winding up shop apparently because they were not making profits.