Mobile telecommunication operators Uganda MTN, Vodacom Tanzania and Kenya's Safaricom have introduced a single network in the East African region.
The mobile companies have signed a memorandum of understanding that creates a single network, allowing subscribers of the respective operators to make calls at local rates when travelling in Kenya, Tanzania and Uganda, says Michael Joseph, CEO of Safaricom.
Subscribers will also be able to receive incoming calls and SMSes free of charge, as well as make international calls at a substantially reduced rate, Joseph says.
In September 2006, Celtel introduced a free roaming network system between the East African countries of Kenya, Tanzania and Uganda, known as the One Network.
Joseph emphasises the single regional network introduced by MTN Uganda, Vodacom Tanzania and Safaricom is different to Celtel's One Network in that subscribers do not need to change their tariff plans from their original network.
"Celtel East Africa's One Network requires subscribers to purchase a new tariff plan when travelling in the East African region."
No sign-up fees
He says subscribers on the single network will be activated automatically without any sign-up fees. "It is going to be far more convenient for subscribers."
The network merger between the three mobile operators is in competition with Celtel East Africa One Network, according to market analysts.
Joseph believes competitive pricing structures are beneficial to local businessmen and SMEs. "The single network hopes to encourage business growth and cross-border trade in the region."
Safaricom is confident about partnering with the other mobile operators because of their healthy subscriber base, says Joseph.
Noel Meier, CEO of MTN Uganda, says Vodacom and MTN are the biggest operators in their respective markets by a considerable margin. This will strategically ensure the biggest regional network in East Africa, accessed by the greatest number of customers, he notes.
MTN Uganda has around 1.3 million subscribers, Safaricom 5.2 million subscribers and Vodacom Tanzania has 1.3 million subscribers.
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