^ completely different product. Telkom FLLA is a replacement for a landline phone where there isn't copper infrastructure that uses Telkom's 3G network which is available on a mobile phone basis through 8ta. The product should not be able to move between towers and definitely won't do soft handovers. The phone is included (I assume you are effectively renting the phone) and is not a mobile phone.
The Neotel product on the other hand gives you a mobile phone which connects to two different networks -
Neotel's CDMA2000 network (which is a 3G technology but the same as WCDMA which everybody else in SA uses - IIRC Telkom got itself burnt in Nigeria with multilinks involving a CDMA2000 network) which has really limited coverage in the greater scheme of things. [As an aside I don't think the claim that CDMA2000 EvDO is the "most widely deployed of the global 3G standards today" but I do suspect that it has certain advantages in the fixed wireless and limited mobility sphere, although not compelling enough advantages to get anybody in SA other than Neotel on board - I suspect JvZ of Vodacom and somebody at MTN and somebody at Telkom and of course the decision makers at CellC a few years ago when they made their leap will have great insight into this]
Secondly the phone will connect to an "ordinary" cellular network - not Neotel - so what you are getting is a smart phone that connects to Neotel's network which is a fixed line replacement network. This means that you have a running cellphone on CellC, Vodacom, MTN or 8ta (or Telkom mobile)
I suspect that Neotel has divided up its network in some shape or form and so if you move from one part of the network to another it will stop working but that the geographic scope could be pretty damn big.
I am not convinced that Neotel is quite pulling it off with this product but I think it is a good thing for them and it has many great uses where there is coverage. If I was Neotel I would be seriously looking at forming a strategic partnership with CellC - giving both companies access to each others networks. Neotel also need access to the local loop and they need to make an impact on that sphere - honestly I am not convinced that they will even if LLU of the physical copper as required by facilities leasing happens today.
Looking at a small business setup a company can for R450 a user can kit out staff with sufficient communications resources for all the work they can expect the company to pay for - the extra R50 is for the FreeCallZone. From the perspective of having branches on the Neotel network which is of course "fixed line" and you are looking at R150 a month together with staff that aren't deskbound (salespeople, executives) it really makes a difference. However there are many alternative setups and all of the players are singing off the SMME hymn sheet.
What I am hoping Neotel does with this product is expand its capabilities for PBX usage - a "cloud PBX" would be awesome - although I suspect ICASA might have a few things to say and a clearance process. An attorney's firm in Gauteng can essentially have all calls coming through the receptionist and "patched" through to the relevant attorney who can be anywhere in the province and the caller neither knows nor cares. A cloud PBX would involve the absence of on premises PBX equipment and running the system on a webportal (so you receptionist is using a computer).
This product also has the ability for Neotel to make a compelling case to businesses getting Neotel fibre to completely scrap Telkom for communications provision and it makes Neotel look new and hip - internet at the speed of light on fibre and mobile fixed lines (fixed line pricing, mobility within the region).