> In Kenya, a 64k costs about $16,000 a month, not to mention a
> $10,000 licensing fee and an annual/renewal fee of $5,000.
Expensive, eh? And I know that a leased line via your telecoms is
less than that, so it would appear Kenya's telecom is discouraging
use of VSAT, is that right?
But let's be clear what is a cost, what is a price, and what is a
tax. I presume that the $16,000 a month is paid to Kenya's telecom
corporation, not to, say, Intelsat. That is the price to service
providers. The cost to a service provider is that $16,000 plus
whatever else the service provider must pay to operate the service,
including its own equipment, staff, utilities, etc.
Looking more closely at Kenya telecom's price, perhaps only about
$2500 of that $16,000 goes to actual service providers outside the
country. Does Kenya's telecom provide any services for the remaining
$13,500, other than the use of the air?
(If someone has more accurate price estimates, I'd appreciate
hearing them, since I specialize in local pricing of retail
services, not VSAT.)
When I say "cost" I really mean cost of providing a service, which
for someone putting in a VSAT anywhere really is, by some estimates,
about $4000 a month (more if you include the building, accounting,
customer service, etc.). Whatever else that is paid for licenses
and extra monthly charges to a government agency really amounts to a
So, please correct me if I'm wrong, but in Kenya, it sounds like
Kenya telecoms imposes perhaps as much as a $12,000 per month tax on
anyone wishing to operate a commercial VSAT. Not to mention a $5000
annual additional tax for the license. I welcome anyone wishing to
argue otherwise, since I'm basing these figures on second-hand
AfricaLink -- http://www.info.usaid.gov/alnk