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New mobile phone Company good idea – ZACA

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The Zambia Consumers Association (ZACA) has welcomed Government’s move to rescind and revoke its earlier decision not to allow a fourth mobile phone service operator in the country.

ZACA Executive Director Muyunda Ililonga says the move is commendable as it will help encourage competition and also enhance the vibrancy of the mobile telecommunication sector in the country.

Mr Ililonga said the more players come into the telecommunication sector the more the country’s economy is likely to grow.

He told ZANIS in an interview in Lusaka today that more competition in the telecommunications sector will also mean that consumers will have a wide range of products to choose from.

He said Government’s earlier decision to close any possibility of a fourth telecommunication company from coming into the country was not fair to the investors and the consumers.

Mr Ililonga said consumers need to have the right of choice and that that can only be achieved if competition in the mobile telecommunications sector is allowed to flourish by letting other players onto the market.

He said competition would also bring about innovation which would result in a wide range of improved products.

The ZACA Chief has also called on Government to enhance the capacity of the Zambia Information Communication Technology Authority (ZICTA) to effectively regulate the sector with the coming in of other players in the sector.

He noted that ZICTA has not done enough to protect consumers against uncompetitive activities of players in the telecommunications sector, adding that many complaints against mobile telecommunication service providers have gone unchallenged.

Mr. Ililonga said it is imperative that Government raise the capacity of ZICTA to supervise companies more especially with the coming of more players in the sector.

He said there is currently dissatisfaction about the regulatory capacity of ZICTA as concerns raised by consumers have not been resolved to the satisfaction of the consumers.

Recently Transport, Works, Supply and Communications Minister Christopher Yaluma announced that Government had rescinded and revoked its earlier decision not to allow a fourth mobile telecommunication phone service operator into the country.

Mr. Yaluma disclosed that Government was currently in the process of allowing a fourth mobile phone service operator in the country, a move which he said was aimed at encouraging more competition in the telecommunications sector and subsequently help lower prices for mobile phone services.

ZANIS

19 COMMENTS

  1. Poor services by airtel. Network busy, the subscriber you are trying to call has their phone switched off when infact not, error in connection, network outages similar to ZESCO loadshedding, call drops in middle of conversation, no voice while they are chewing your airtime, list of failures by AIRTEL is long! Ba ZICTA know this but ni ba ngwele…

  2. THATS A WELCOME MOVE,I HOPE THE SAME THING CAN HAPPEN TO THE POWER SECTOR,ZESCO MUST ALSO BE GIVEN COMPETITORS WHO CAN OPERATE INDEPENDENTLY WITHOUT ANY GOVERNMENT INTEFERANCE,SAME APPLIES TO THE WATER SECTOR,PEOPLE SHOULD BE OFFERED MANY OPTIONS ON WHICH TO CHOSE FROM.

  3. @ A james daka namwe simungazibe cabe ati naeve Zamtel ni competition bebele. Zamtelo akalipo mdala, alikosa.

  4. Anyone who will condemn the PF here like #4 james daka does not think using proper organs. This will mean more jobs and better paying ones because if Airtel is not paying you well, you simply spread your CV.

  5. Am no pf supporter but i acknowledge where good is intended, we have cried for a credible phone network provider for far too long as the current ones have taken us the consumers for granted with their poor network service and fake competitions where the dates for the finale are never advertised meanwhile get bombard with promotions of the same. i hope these no intention for corruptly bringing another low standard Company during the tender process with the hopes of getting kick backs ( that’s a fantancy knowing how our politicians operate). bring in a genuine company as one blogger said Vodacom, people in south don’t buy phones they buy contracts making phones very cheap. you can even buy a phone on loan thats how advanced our friends have reached.

  6. This is a good move which should be supported by all well meaning Zambians except those with small brains like James daka.

  7. Also remember that this kind of business entails numbers and the population of Zambia speaks volumes. It is as good as saying were there are 10 people demanding for a commodity which is supplied by 5 firms obvious you expect loses in ¾ of these firms resulting in loses of jobs. As the demand and supply is largely affected. How many mobile operates are in Nigeria with a population of over 160 million think about it     

  8. The Govt has thrown a towel, meaning M’membe’s application to venture int mobile phone business is achieved. M’membe the driving force for every govt decisions and appointments.

  9. There should be no limit whatsover to the number of providers in the country. Why such protectionism? Whichever company fails to provide satisfactory services will go under, and that, indeed, is the nature of competition.

  10. Zambia’s population is a paltry 13.3 million. This is not huge enough for more than three mobile phone providers. If the government were serious they would have had a strategy to expand Zamtel’s subscription numbers from the paltry 1m to 5m or so! Any new investor will have to ask him or herself hard questions? The first is how much of the market is still there to capture considering that Airtel already has +4m subscribers, MTN has +3m and both are still growing? How much should I invest to be on the same level with these early starters? Believe me you the new company will have to make an initial investment of over $500m to just be on the same level with the other two! And Mmembe doesn’t have that money!

  11. Has the fact that Pipo are on different networks for different things or packages am on Mtn for Internet n cell z 6-6,imagine if a new network comes in wit cheaper Internet n a promotion better than 6-6,if we have more players some of these services will be free or cheaper because the only way they ll make money is through promotions which increase there Market share.
    Another fact is zamtel n airtel have been here the longest n they ve collective managed to secure wat? 4m I don’t think cell z has over a million subscribers,my questions were do the rest of the 13mil Pipo fall in? These are the Pipo who are supposed to ensure a substantial amount of the population is on there network no matter the cost,cheaper phones,cheaper Internet and rates.more players will breAk this monopoly

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