Situational Analysis 2.3 SWOT Analysis The analysis of strengths, weaknesses, opportunities and threats in ICT is summarised below: 2.3.1 1. 2. 3. 4. 5. 6. 2.3.2 1. 2. 3. 4. 5. 6. 7. 2.3.3 1. 2. 3. 4. 5. 6. 7. 1. 2. 3. 4. 5. 6. 7. 8. 9. 2.3.4 1. 2. 3. 4. 5. 6. 7. 8. 9. Strengths Creation of ICT authority as a one stop shop for all ICT related issues Liberalisation of the ICT sector Availability of National ICT policy framework Availability of legal framework which recognises e-commerce Directorate of Information and Public Communications with national coverage Improved private sector participation and PPP arrangements Weaknesses Inadequate human resource capacity Inadequate proper working tools and equipment Weak and obsolete policy, legal and regulatory framework for the sector Inadequate funding Lack of centralised ICT data bank Inadequate and poor infrastructure Unhealthy competition among private ICT operators Opportunities Big markets in BPO/ITES (IT-enabled services) industries Existence of international ICT companies locally Existence of terrestrial and submarine fibre networks for broadband connectivity Vibrant private sector and stakeholders Untapped potential in local and regional markets Increased adoption of ICT in work and social places Increased government support Price wars among private players Drift towards monopoly status of Safaricom in mobile services by edging out other competitors Poor services and congestion of network High charges of communication services High taxation of ICT related services Domination by foreign investors and multinationals Cyber crime Moral degradation as a result of negative material available on Internet Use of ICT to carry out terrorist activities Threats Price wars among private players Drift towards monopoly status of Safaricom in mobile services by edging out other competitors Poor services and congestion of network High charges of communication services High taxation of ICT related services Domination by foreign investors and multinationals Cyber crime Moral degradation as a result of negative material available on internet Use of ICT to carry out terrorist activities 11

Select target paragraph3