Phone Cables & Adapters in Ethiopia
This post is a continuation of a series of articles detailing cable and satellite industry subsidies of Ethiopia, and highlighting the significant financial losses attributed to these investments.
The cable industry’s long-running legal saga surrounding Ethiopia’s telecom subsidies, called the Ethiopian Information Network, has raged on cable news for years, mostly with apologies and, in some cases, outright apologies from the corporate clients’ countries of origin.
The story of the cable industry’s subsidies can be broken down into four major points.
First, the cable industry’s subsidies are illegal. A key government source explained that in the past, companies were allowed to “trade with” non-EU and non-American operators only if they did so in a transparent manner. They were still allowed to “trade” with the United States as well.
Secondly, the cable industry was able to avoid its subsidy laws by acquiring additional businesses at cheaper prices and providing more spectrum. Most of these companies do not even have to purchase the spectrum at present and even if they did they still could not compete with the more widely-acquired Telstra Airtel and Boost.
Fourth, and this is more likely than one might