Image default
Africa Breaking News

Safaricom, State likely to be Hit by Huawei Sanction

According to a local investment bank in Kenya, The blacklisting of Chinese tech giant Huawei by the United States could potentially filter through to the Kenyan market due to the high exposure by government and leading telcos to the firm’s equipment.

The ban on Huawei is likely to have an impact on future smartphone sales in most countries.

The Standard Investment Bank( SIB) of Kenya says  although the Huawei issue is still developing, concern is on whether Safaricom’s British parent firm, Vodafone, will look to take a similar position as its US counterparts on dealing with Huawei .

SIB says although the Huawei issue is still developing, concern is on whether Safaricom’s British parent firm, Vodafone, will look to take a similar position as its US counterparts on dealing with Huawei.

Whereas Safaricom maintains it has a dual-vendor network, Huawei is the bigger supplier to Nokia by our estimation, potentially presenting a material risk .

Safaricom had a network expansion and maintenance capital expenditure of between Sh35 billion and Sh39 billion in a financial year.

However, any restrictions on Huawei equipment will apply in future rather than historical investments, which will mean lower risk of heavy investment to potentially replace existing networks,SIB Noted.

Huawei has been fighting claims that the action by the US will affect its business in other countries.

Related posts

Mass grave of 200 people uncovered in Ethiopia

Ivory Coast requests return of 148 artworks from calls 

When clerics become partisan, they lose public relevance —Buhari

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

WP Twitter Auto Publish Powered By : XYZScripts.com