‘South Korea’s KT and Kenyan govt to form IT services firm’
‘South Korea’s KT and Kenyan govt to form IT services firm’
South Korean telecoms firm KT Corporation plans to help establish a LTE (4G) network in Kenya while also pairing with the African country’s government to set up an IT services joint-venture.
KT's chairman Lee Seok-Chae met with Kenyan President Uhuru Kenyatta at the Transform Africa Summit 2013 held in Rwanda last month to discuss how to apply the Rwanda-KT business model in Kenya, according to the Korea IT Times.
KT has worked with Rwanda's government to launch that country’s first ever LTE (4G) mobile broadband network.
Rwanda government officials said the LTE network is expected to cover 95% of the population within three years. Rwanda’s population is 11.4 million, according to the GSMA.
LTE networks have also been launched in the likes of South Africa, Namibia, Botswana and Angola over the last two years, but Kenya has yet to unveil a similar next-generation mobile broadband network.
However, further details of how KT could help launch an LTE network in Kenya have not been revealed .
Although KT has made inroads in African markets such as Rwanda and now seemingly Kenya, the South Korean company has experienced opposition from South Africa’s government.
Last year the South African government rejected KT's offer of R2.6 billion for a 20% stake in fixed line telco, Telkom.
Telkom is about 40% owned by the South African government.
At the time, former South African communications minister, Dina Pule, said the KT deal did not "align with Telkom’s overall requirements in a number of areas".
“When you enter an investment deal, you want the best for yourself out of it,” Pule was quoted saying.
The proposed partnership would not meet the needs of Telkom, Pule added.