No plans to sell user base, says iBurst

iBurst says that selling its user base was one of a number of options considered, but it is no longer on the cards.

iBurst is currently in a restructuring process which involves, among other things, staff cuts and improving efficiencies within the business.  This restructuring process sparked rumours that iBurst is looking at selling its user base to a third party.

iBurst CEO Jannie van Zyl told MyBroadband that while selling its user base was previously a consideration in the restructuring process, it is no longer on the cards.  The broadband provider is however considering outsourcing certain operational aspects of the business, such as the call-centre.

“As part of the restructure process, iBurst evaluated a number of possible scenarios for the business going forward, all focussed on achieving the best level of efficiency in the business while driving the new sales initiatives. These ranged from relatively simple internal restructures right through to a much more complex reorganisation of the entire business that could have seen some functions move out completely." said van Zyl. 

"After extensive strategy sessions with my Exco, we have decided on the current structure and have now completed the restructuring process. Now it's business as usual. As communicated before, iBurst is fully committed to grow its consumer base aggressively, both via its own sales structures and via its Service Providers and Resellers.”

Van Zyl added that while many of the potential changes may improve operational efficiencies, there is always a strong focus on improving service levels and ensuring customers will benefit from any operational changes.

"The process over the last few weeks have been disruptive to an extent and did impact service levels, but now that it's complete we can look forward to stabilise service levels again" van Zyl concluded.

iBurst restructuring process - discussion