Article
As urban subscribers approach saturation point, mobile phone companies, equipment manufacturers and policymakers are united on a new approach to target rural areas through a series of tax incentives and cheap handsets. Swedish equipment manufacturer, Ericsson, plans to radically reduce the cost of telecommunication in East Africa by supplying mobile phone and fixed line telecommunication operators with low-cost equipment. Goran Soderholm, Ericsson’s Vice President, marketing and communication in Africa, says the company is planning to supply “an expanded mix of technologies” which would ensure that operators have the best equipment at low cost. Ericsson projects Kenya ‘s mobile phone growth could hit 50% yearly.

