Safaricom cuts sale of unlimited Internet

Safaricom has cut unlimited mobile data services to the detriment of heavy Internet users on its network.

The mobile service provider on Monday announced that it will discontinue the sale of unlimited mobile data bundles. However, the firm announced that it may focus its energies on fixed data.

"It has always been our position that unlimited Internet offerings are better suited for a fixed broadband service," said Safaricom CEO Mr Bob Collymore in a press statement.

Unlimited data bundles allow users of 3G-enabled handsets and modems to access the Internet for a set duration of time at a fixed price.

Safaricom has seen the service turn into a loss-making venture as subscribers download heavy volumes of data degrading services across the network. Service degradation is not as evident on fixed network.

Telecoms are positioning themselves to take advantage of the data market as voice revenues begin to decline. In February, Telkom Orange launched unlimited data while Airtel reintroduced its unlimited monthly data package.

Analysts say that users may move from Safaricom into these networks or look into cheaper offerings in fixed data.

"We might see movement of heavy data users to companies that offer fixed data services," said telecom market analyst Mr Eric Musau.

By offering high customers high volume packages, Safaricom will be countering this migration. Data released by the Communications Commission of Kenya (CCK) indicates fixed Internet subscriptions grew by 67 per cent in the second quarter 2011/2012.

By NATION CORRESPONDENT

From analogue to digital television broadcasting

Television viewers are tuning to digital signals purveyed by DVB-T2 technology.

The implementation of the new system will radically change the broadcast media landscape, from the sources of the signal to the recipients.

As we scale this migration from analogue to digital, let us have a look at the new DVB-T2 technology.

What is DVB-T2?

Let us start with the basics. The main difference between digital TV and analogue is the way the signal is carried from the transmitters to a television set.

The analogue signal is in the form of waves. Digital broadcasting involves discrete bits of information which can be encoded and compressed to allow more channels to be relayed.

DVB-T2 is the second generation of digital video broadcasting terrestrial. The superior standard has the capability of increasing the capacity using existing antennas and spectrum, hence making it possible to sustain new broadcast services that require intensive frequency capacity.

In essence, the development of DVB-T2 has been associated mainly with the broadcast industry's need to offer more content and new services on the digital terrestrial TV.

Digital broadcast technology comes with spectrum efficiency and flexibility, therefore allowing the compression of several programme transmissions, as opposed to analogue, which heavily depends on individual frequencies.

DVB-T2 technology has an improved forward error correction and an increase in the number of bits carried per data cell, which in the end increases overall system capacity and further enhances better spectrum efficiency.

The standard has an optimised performance, with improved signal robustness. 

This implies that the picture quality on a DVB-T2 might not be affected by external influences like weather, buildings, or geographical location.

This brings out the better side of digital TV, namely quality sound, crystal clear picture, and large data broadcast.

Benefits

As a matter of fact, the switch over from analogue to digital broadcast has opportunities and benefits for broadcasters and TV viewers as well.

Notably, viewers will have a wide variety of television content. To broadcast companies and country at large, this transition creates digital dividend.

It will free up spectrum and enhance an optimal utility of existing frequencies. Spectrum is a valuable commodity in today's digital world.

Broadcasters will also be able to transmit more TV content with fewer spectrum. The digital systems can be a good avenue for content improvement and provision of a wide range of services to television viewers.

Depending on market demands, the digital platform is good for services that include pay-TV, video-on-demand, 3D TV, and SDTV.

DVB-T2 can deliver 4-HD (high definition) channels in a single 8MHz multiplex. There are more channels in SD (standard definition) on this platform with the MPEG-4 compression.

Set-Top Boxes

In order to access DVB-T2, consumers are advised to switch to digital TVs or alternatively purchase compatible gadgets from vendors with valid authorisation from the Communications Commission of Kenya.

Speaking of set-top boxes, it is in such times of transition that consumers should be wary of unscrupulous traders.

Technically, the set-top box is a receiver that decodes the digital signal into a format that can be displayed on the analogue TV.

The digital switch in Kenya comes at a time when several other African nations are also fine-tuning to the new DVB-T2 platform. 

Member states of the SADC (Southern African Development Group) have chosen the deployment of DVB-T2 at the expense of DVB-T.

The bloc comprises 15 countries that include Tanzania and the inhabitants of the entire lower portion of the African continent.

For member states, the ambitious plan is to switch to DVB-T2 by December 2013. South Africa has so far performed some successful trials in DVB-T2 digital broadcasting.

The International Telecommunication Union (ITU) has set 17 June 2015 as the deadline for migration from analogue to digital terrestrial television.

A self-set deadline by Kenya was June this year. The DVB-T2 signal is currently available in parts of Nairobi, with gradual roll-out expected to eventually cover the rest of the country.

The television signal currently available to most TV viewers in the country is analogue. Viewers will have to tune to something new as DVB-T2 takes over the air waves.

The government recently announced that by July this year, the DVB-T2 digital broadcast signal will be available in 70 per cent of the country.

By ESMOND SHAHONYA

Locally-developed software cuts accounting costs for SMEs

Small and medium enterprises (SMEs) can now eliminate the cost of buying computer servers and employing ICT personnel by tapping into a locally developed web-based business management system — Biashara Cloud.

Biashara Cloud is an enterprise resource planning (ERP) software developed for SMEs.

It can be accessed remotely through cloud computing technology through laptops, personal computers, and mobile phones.

The system offers applications that support everyday company activities such as sales, stock management, banking, and purchasing — meaning a business owner who subscribes to Biashara Cloud only needs to enter business transactions into the software to automatically generate a balance sheet or profit and loss account.

It costs SMEs between Sh800,000 and Sh2 million to acquire computer servers.

This has made it difficult for most businesses to leverage on technology, cut costs, and improve efficiency.

Tony Mutonga, the commercial director of Biashara Cloud Ltd, said that at a monthly fee of Sh1,500 per user, SMEs can access the system from wherever they are so long as the area has Internet connectivity.

"The system is able to manage and co-ordinate all business transactions.

Therefore one can keep track of all their records from anywhere, and since it does not require one to buy physical servers it reduces the number of IT support," said Mr Mutonga.

Through the system, business records can be shared in real time between the office and field officers. Since its launch two months ago, Biashara Cloud has attracted 21,000 users.

Mr Mutonga said that they were working with financial institutions, such as Family Bank, who have roped in their SME clients to enable them conduct their businesses efficiently. Biashara Cloud has joined a number of firms such as Safaricom, Kenya Data Networks, and Flexus which are battling it out to offer cloud computing technology to corporates, government departments, and SMEs.
To secure data, Mr Mutonga said, the firm has encrypted information. Encryption is the process of transforming information (referred to as plaintext) using an algorithm (called a cipher) to make it unreadable to anyone except those possessing special knowledge, usually referred to as a key.

Cloud computing involves using multiple server computers via a digital network to store data and allow clients secure access to a variety of applications and data from any network device.

It also provides an easy to use, cost efficient, flexible, dynamic, and secure environment for modern business transactions.

Gaining traction

The practice is gaining traction among corporate organisations that want to cut down on capital and operational expenses.
Other than Biashara Cloud, other firms targeting SMEs with similar services include Flexus Technology.

Mr Oscar Ahere, a product development manager at Flexus Technology, said that while some Saccos had started embracing the use of money transfer services such as M-pesa, Zap, Orange Money, and YuCash, they were yet to link them with their back office financial databases.
"With technology such as cloud computing, Saccos can cut their operation costs by embracing the latest technologies which will help them trim the number of their field officers, reduce fraud, and increase efficiency," said Mr Ahere.
Flexus Technology's Kopesha web-based application aims at helping microfinance field officers to minimise errors associated with manual entries.

Sacco field officers can use Kopesha to register members, manage savings, make loan applications, disburse loans, and receive loan repayments.

The software can be used on simple mobile phones that cost as low as Sh4,000.
As a result, Saccos may no longer require data entry clerks to update and reconcile information that field officers or their members submit.

National Co-operative Housing Union chairman Francis Kamande said most co-operative societies use internal servers which are not only expensive to buy, but also mean that they must employ ICT staff.

This not only adds to their operational costs, but also makes it hard to retain the professionals making the investment not fully utilised.
However, by adopting new technologies such as cloud computing they would be able to cut such costs.

It costs a co-operative society about Sh200,000 to buy a server, while the cost of maintaining cloud computing could be as low as Sh30,000.

"This is a new method of storing huge amounts of data using the Internet and outside the physical premises of the parties involved, the server is no longer necessary," Mr Kamande said.

"Cost saving in harsh economic times rationalises the need for cloud computing by eliminating the need for costly infrastructure purchases every year," he added.

Kenya has 14,000 co-operative societies with 10 million members who have mobilised about Sh230 billion or 30 per cent of national savings.

By Okuttah Mark