Fibre competition in Suburbs?

[Clintie]

Question, My suburb is covered by Metrofibre, so would Vumatel or other fiber network be allowed to lay down its infrastructure as well in future or is it just locked in to the one provider?

asking for friend

Regards,
Clintie

 

[PBCool]

Hi there, typically networks don't overbuild each other as it isn't feasible.

 

[Clintie]

Hi there, typically networks don't overbuild each other as it isn't feasible.

Understood. Its a pity because generally it seems like Vumatel is the best among their competitors.

I'll have to move house now to a Vumatel area

Clintie

 

[PBCool]

It really depends, MFN have been one of the better network wise.

 

[Clintie]

Jeez I must have been one of the unlucky ones...

 

[pinball wizard]

Question, My suburb is covered by Metrofibre, so would Vumatel or other fiber network be allowed to lay down its infrastructure as well in future or is it just locked in to the one provider?

asking for friend

Regards,
Clintie

Allowed? Yes. Would we do it? Highly unlikely. No business case to overbuild an entire suburb.

 

[Clintie]

Allowed? Yes. Would we do it? Highly unlikely. No business case to overbuild an entire suburb.

Understood. but What about Choice? Competition on pricing etc?

These are still business cases surely?

Clintie

 

[pinball wizard]

These are still business cases surely?

Unfortunately not. We base a suburban rollout on "x" amount of initial uptake, we can't justify the cost of the infrastructure when we factor in that half of that number (at least) will already have a fibre service installed by another FNO.

 

[Clintie]

Ah ok that does make sense.

Thanks for the clarification.

Clintie

 

[Gtx Gaming]

Fibre providers don't do competition, hence my area don;t have fibre.

Octotel won, then decided they wont make enough money out of the area after getting approval to go ahead, so vumatel said won't bother to apply.
Now we back begging for vumatel

 

[nad_isa]

Unfortunately not. We base a suburban rollout on "x" amount of initial uptake, we can't justify the cost of the infrastructure when we factor in that half of that number (at least) will already have a fibre service installed by another FNO.

interesting, you are in the industry - how much of this is down to your own analysis versus an area submitting interest via either your mechanisms or NW's getting their own interest put forward?

We are getting vumareach in our area so interested to know what goes on in the minds of theses FNO's...

 

[supersunbird]

Frogfoot rolling out here and there is already Openserve fibre here.

 

[VettieOriginal]

Yea we have Metro Fibre and Frogfoot in our area o we happy we can choose who we want and also compare prices so we rather happy

 

[Clintie]

In all honesty I think the FNO's have it wrong. They need to have "Built it and they will come" mentality. Its harder to convince people to sign up for something that isn't there. Once its in then you can still scoop up some of the base that you never had before and then it just becomes a self sustaining race to be the best available. News travels fast.

If you suck, you are out and the next guy gets a turn....very good for competition.

Just my 2 cents.
Clintie

 

[supersunbird]

In all honesty I think the FNO's have it wrong. They need to have "Built it and they will come" mentality. Its harder to convince people to sign up for something that isn't there. Once its in then you can still scoop up some of the base that you never had before and then it just becomes a self sustaining race to be the best available. News travels fast.

If you suck, you are out and the next guy gets a turn....very good for competition.

Just my 2 cents.
Clintie

The problem is probably more with capacity of installing (competent employees to do it all and wayleaves and equipment and the community, you should see the whining about the trenching on WA esp since there is already OpenServe here). So they will prioritise areas they figured out are more profitable, no if areas approach them and show interest, then good, but still, the capacity for installation will cause there to be a waiting list.

 

[pinball wizard]

In all honesty I think the FNO's have it wrong. They need to have "Built it and they will come" mentality. Its harder to convince people to sign up for something that isn't there. Once its in then you can still scoop up some of the base that you never had before and then it just becomes a self sustaining race to be the best available. News travels fast.

That "land grab" ended about 3-4 years ago. Now we are far more focused and accountable to the people that provide money to build all this infrastructure.
To that end, we don't ask or rely on anyone to "sign up for something" before it is built. We do engage in show of interest campaigns to ascertain some sort of projected ROI.

 

[VettieOriginal]

The problem is probably more with capacity of installing (competent employees to do it all and wayleaves and equipment and the community, you should see the whining about the trenching on WA esp since there is already OpenServe here). So they will prioritise areas they figured out are more profitable, no if areas approach them and show interest, then good, but still, the capacity for installation will cause there to be a waiting list.

Yea lets be honest those trenches are a pain, What we have noticed some FNO's really do a brilliant job to ensure that the reinstatement is top standard and then you get the ones that dont care, The issues is almost all of them use contractors and they are the difficult ones to work for. We where lucky we had some awsome support from our FNO's

 

[charlieharper]

Understood. but What about Choice? Competition on pricing etc?

These are still business cases surely?

Clintie

I think more likely in large densely populated cities.

Even when I lived in Seoul city centre... Had the option to choose from 3 different Fibre companies, despite being in a 12 floor apartment building. When you stand in the building's garage you see these 3 huge boxes (i assume POP's), with LG, KT & SKT logo's on them.
My neighbour who's a serious Starcraft gamer had a KT gigabit line for when he play games and another 100mb LG line for the family to do their usual things.

But yeah, go into the country side, you'll most likely only access to 1 company.

 

[deweyzeph]

There are some areas in Cape Town where you can get Octotel, Vumatel and Openserve fibre in the same street.

 

[Clintie]

That "land grab" ended about 3-4 years ago. Now we are far more focused and accountable to the people that provide money to build all this infrastructure.
To that end, we don't ask or rely on anyone to "sign up for something" before it is built. We do engage in show of interest campaigns to ascertain some sort of projected ROI.

Understood but I don't think its good for the consumer not to have freedom of choice. If my FNO gives me hassles I dont have other feasible options available to me.

Its Telkom all over again