Altech court victory

RogueRunner

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Mar 11, 2008
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Although I think it's a good thing can you imagine the chaos with every tom dick and harry trenching and putting cable in the ground. So now if some developer cuts a cable who is going to fix that mess? :p
 

Inertia

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Jan 23, 2005
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Although I think it's a good thing can you imagine the chaos with every tom dick and harry trenching and putting cable in the ground. So now if some developer cuts a cable who is going to fix that mess? :p
Exactly. Companies will have the ability to negotiate with the big guns by saying that if they dont reduce their prices they will simply build their own network at a cheaper rate. The force of competition should start becoming evident
 

UglyKidJoe

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Jul 3, 2006
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no problem

Although I think it's a good thing can you imagine the chaos with every tom dick and harry trenching and putting cable in the ground. So now if some developer cuts a cable who is going to fix that mess? :p
...not an issue if you agree with what Altech said (...the courts did! ;))

That only a handful of companies in South Africa have the finances and the know-how to roll out a R1-billion network was Altech’s argument in court.
 

tjunyat

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Feb 22, 2007
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Although I think it's a good thing can you imagine the chaos with every tom dick and harry trenching and putting cable in the ground. So now if some developer cuts a cable who is going to fix that mess? :p
Any company wishing to trench and lay cable will still require wayleaves in order to do so. It'll be scheduled etc, so there will be recourse in the event of a cut cable etc.
 

jamieb

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Dec 13, 2004
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laying of cables

Its bewildering how our telecoms authorities choose to find so many excuses to limit competition. Firstly, there is concern about whether companies will go bankrupt due to over investment in infrastructure. The presumption is that the government is better equipped to predict the profitability of a particular venture. This flies in the face of the capitalist system which in a broad sense allows the individual firm to choose where to make its investments. If a firm gets it wrong, its really not the end of the world. Other operators simply will purchase the network infrastructure at rock bottom prices.

Allowing only a handful of players to dig up the SA road's is also not an acceptable solution. Only a small number of players have the resources to dig up roads and lay fibre optical cables. In any case, the mere fact that any firm could have the ability to lay their own cable, will place pressure on bandwidth prices, which will in turn act as a disincentive for additional entrants into the market. In any case, this problem can be solved but putting appropriate systems in place.
 
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