Equity’s MVNO Faces Yet Another Hurdle Set By Safaricom.

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Safaricom, Kenya’s Leading telecommunication company has put out word against Equity bank’s Mobile Virtual Network Operator that was initially set to begin July and would see subscribers use special technology SIM cards designed to marry other SIMs.

The firm’s CEO Bob Collymore has expressed the same to Communications Authority via a letter saying the Virtual Network Operator should not issue the special simcard as it would expose subscribers to financial fraud and deflect communication.

The letter comes hardly a month after Cofek filed a suit seeking to block the award of the MVNO’s license due to breach of section 78 of Kenya Information and Communication Act which requires it to give 30 days’ notice prior to licensing within which one can make objection.

Safaricom has asked the regulator to involve GSM Association which represents the interests of mobile operators worldwide to review the risk posed by the new technology to be launched by Equity. Mobile money service is one of the major product to be launched by the company beating the platforms already in the market but rival company to be has pointed out compromised security for the M-Pesa system which will render it vulnerable to fraud.

Telecommunications watchdog has asked for time to carry out research inorder to tell if it is a case or not. In the meantime, CA will get expert advice from manufacturers of mobile phone SIM cards to facilitate a sound decision.