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Fixing Sentech
- Thread starter rpm
- Start date
angelblaze
Well-Known Member
I have a better idea. Privatise Sentech and give it 20 year tv signal distribution exclusivity. Sentech is not the problem, a meddling government is. as always.
You may have a point here - but what stops them from charging exorbitant fees for signal distribution if they are given exclusivity (as a private, for-profit company)?
DragonLogos
Expert Member
A large egg had a problem very much like this, it had something to do with sitting on a wall
LazyLion
King of de Jungle
Scrap the entire mess. Disband the company and fire those Government Ministers who are responsible for this debacle. Hold them personally financially accountable for the failure of the company. Sell the assets off to a third party private company. Give the resources back to ICASA to redistribute... no wait... fire ICASA as well... appoint a proper regulator and then give them the assets to re-distribute. Pass legislation that absolutely forbids the govt from getting involved in the telecommunications industry.
telkomsuig
Expert Member
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well written article.
Sentech sitting on Wimax spectrum is a crying shame. Sell to highest bidder and Guvament can immediately bank 25% freeBEE money.
Sentech sitting on Wimax spectrum is a crying shame. Sell to highest bidder and Guvament can immediately bank 25% freeBEE money.
Sentech is a typical parastatal, and will end up like exdom and hellkom.. Oops.. It is already there!
The company is struggling because of politically appointed senior management making bad decisions. Just like exdom.
When no wireless started they could have had the first 3g network running, but with bad decisions they have managed to drop the ball. Run over it, reverse back, park on top, sleep on it, lose it. And now ask for more time with the ball!
Shame! They should just focus on broadcasting!
The company is struggling because of politically appointed senior management making bad decisions. Just like exdom.
When no wireless started they could have had the first 3g network running, but with bad decisions they have managed to drop the ball. Run over it, reverse back, park on top, sleep on it, lose it. And now ask for more time with the ball!
Shame! They should just focus on broadcasting!
I agree 100%, but I would like to add that when the analogue to digital conversion is completed [if ever], Sentech's current CEO, Sebiletso Mokone-Matabane, should be sacked - preferably along with the entire board as well [and if that means Poison Ivy's & Stalin-Mafole's collective arses inadvertently get napalmed, then so be it].
Yep, the empirical rule of privatisation, is never privatise a monopoly entity, first make sure that the monopoly entity has ample competitors that are effective competition, and then privatise it - but not a quasi-privatisation where guavamint ends up holding the majority of shares.
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Very logical argument Duncan. Sentech should get out of telecoms. Focus on wholesale broadcast network. Similar to the idea of Angelblaze. But to make the business case work, we need more broadcasters, i.e. TV networks. We now have multiple pay-TV operators, but I would think a few more community / municipal wide tv stations and a few non-SABC stations should be enough for Sentech to focus on broadcast network.
It makes sense that there be one broadcast signal distributor in SA (economies of scale etc) but it should ideally not be exclusively in private sector hands (just look at what the banks have done with their payment clearance system) - its hugely expensive and little incentive to improve (if-it-works-why-fix-it syndrome). But also not exclusive in govt hands, as it breeds complacency and often incompetence. Work on a cost+ (small % ~5-10%) basis to ensure financial sustanability, but the overiding factor must be quality of its service, and how well the retail broadcast sector (its biggest/only) client performs.
Advising a number of different companies and govt departments, it shocks me how often they neglect to think of the whole value chain in which they operate / want to operate, and what benefit/value adding they want to do (except extract profits - do as little as possible for as much as possible for as long as possible).
It makes sense that there be one broadcast signal distributor in SA (economies of scale etc) but it should ideally not be exclusively in private sector hands (just look at what the banks have done with their payment clearance system) - its hugely expensive and little incentive to improve (if-it-works-why-fix-it syndrome). But also not exclusive in govt hands, as it breeds complacency and often incompetence. Work on a cost+ (small % ~5-10%) basis to ensure financial sustanability, but the overiding factor must be quality of its service, and how well the retail broadcast sector (its biggest/only) client performs.
Advising a number of different companies and govt departments, it shocks me how often they neglect to think of the whole value chain in which they operate / want to operate, and what benefit/value adding they want to do (except extract profits - do as little as possible for as much as possible for as long as possible).