Egg-dance to win Infraco licence

[rpm]

http://mybroadband.co.za/news/Telecoms/1070.html

 

[ShaunSA]

They seem very confident they will be able to get this through.


http://www.itweb.co.za/sections/telecoms/2007/0708231045.asp?S=Broadband&A=BRO&O=FPTOP

Public sector CIOs should not sign any long-term connectivity agreements, as Infraco, government's new broadband supplier, would be the cheapest, says Department of Public Enterprises director-general Portia Molefe.

“I am confident Infraco will be licensed soon and I am very encouraged that there was agreement [in Parliament] that it would just require a small alteration to the Electronic Communications Act,” she said.

 

[cookiemonster]

I give up! Is the government purposefully trying to hinder the telecoms market in South Africa, or are they just plain stupid?? I don't know which is better!

I know this has been asked many times, since the government basically owns Telkom, why don't they drive down prices with them? Why do we have to waste billions of our taxes to create a company to compete with itself?!

TO Government: Leave the market alone!! You are too utterly stupid and incompetent to do anything properly!

 

[Deicide]

i agree, could anyone forward that to Gov

 

[Shake&Bake]

Clear example of how they fill one another's pockets - help change the ECA and we'll give you a million.

Why would the law be changed so quickly for them, but for the private sector they won't budge. For Seacom and our SNO - nothing but obstacles - Infraco - a little debate and an amendment to an act of law (and the lining of pockets) and they're off to a great start.

 

[cookiemonster]

Secondly, how long does it take Telkom to do anything who is partially privatised? Does anyone think Infraco is going to do it quicker? They not profit driven (apparently) so what's the rush then to get this up and running? This R5 billion cable is probably going to be lost at sea and land up in the Antartic somewhere!

Why would anyone want to invest in this country when they know now that in the long run (whenever Infraco may be up and running in the distant future) their margins are going to be slashed?

 

[swim]

HAHA neotel will close before they start

 

[Oupoot]

Solve all this mess - Infraco, sell the infrastructure you have bought from Esitel & Transtel to Neotel, apply for a proper licence and start laying all the international cables you want and any long distance national infrastructure, in SA or throughout the region. Alec Erwin should acknowledge that they have created a legal mess, rather than try and circumvent the laws of the land to suit their tastes.

 

[krycor]

I wonder who besides gov is investing in infraco (they mentioned private investors) & if it is specified that infraco can never become a private company because i wont be surprised if it becomes one eventually

 

[Oupoot]

How quickly does the existing Infraco infrastructure (the Esitel & Transtel network cables) deteriorate through general wear and tear and technological advancement? I mean, until Infraco has the necessary licence, it may not legally provide any service to Neotel. Using even the quickest legal option available, it will take about another year before Infraco can supply Neotel with said infrastructure. Given that the intention is for Neotel to have a 4 year exclusivity, why don't Infraco simply sell the infrastructure to Neotel with a buy-back clause and given buy back price after 4 years? It could be build into the contract that Neotel will upgrade the network as if Infraco would have done, with the buy back price simply increased to compensate Neotel for this.

Alternatively, Neotel hire the infrastructure from Infraco for four years, not simply the space - the same principles applies. Whichever method is used, I am sure Neotel dont have to wait for Infraco's licence to start operations.

Hopefully someone has thought of this and could identify the flaws in the argument or give a better alternative than that proposed by govt.