Operators have to self-provide

[bekdik]

Looks like Telkom has finally made itself redundant!

http://www.itweb.co.za/sections/telecoms/2008/0811281140.asp?A=NET&S=Networking&O=FPLEAD

Mobile operators can no longer justify the costs associated with leased backhaul to provide for the growing number of subscribers and faster technologies.

 

[LazyLion]

haha... Telkom prices itself out of the market. That is what happens when you get too greedy!

 

[stoke]

The company has begun the construction of a national fibre-backbone, which it expects to be completed by 2010. According to the company's figures, fibre will free MTN from Telkom's networks at a cost of between R1.2 billion and R1.5 billion.

It adds that it expects to save over R9 billion over 10 years by implementing its self-provisioning strategy.

LOL. It would be so awesome if the last paragraph read : It adds that it expects to save over R9 billion over 10 years by implementing its self-provisioning strategy, which would be pumped into direct consumer savings and increased competitiveness.

*sigh*

 

[porchrat]

The MTN Group has dedicated R7.1 billion – the equivalent of 70% of the group's EBITDA

With profits like that they're saying they can't afford to remain on Telkom's infrastructure? And can't afford to offer faster connections?

With profits like that they could put broadband on the moon.