R1bn network for Joburg

Is this part of that R30b project that was mooted a while ago?


The maths seem about right for Africa... R1b to do the actual work.. R29b to pay bribes and backhands.
 
I suspect that the large majority of this network will be used for internal communication and municipal service delivery. I can't see a government department being able to provide the kind of customer service required for a consumer broadband service. They can't even get it right for rates and utilities ;)

There may however be bandwidth available for large corporates and I-ECNS holders to obtain capacity for their networks. A healthy addition to the competitive market that would improve things for consumers indirectly.
 
I highly doubt this will turn to fruition... I know Ericsson has the tender but this is Africa...
That 3 years will turn into 6 and at the end nothing will be delivered, a marketing campaign will go around with rubbish spin by the spin doctors and we'll be left back at square one.

I'd like to be optimistic, but SA leaves you with no other option. Optimism is for fools in this country.
 
The first phase of the Joburg Broadband Network Project (JBNP),will be the rolling out of the network's fibre core, which will take around three years to complete, will begin in earnest on 1 April.

I had a feeling that R 1 Billion is way too low for this. The R 1 Billion is for the 1st phase of the network. I suspect we will see further announcements regarding this.
 
It's time we did a reality check on some of these municipal plans. There are a few obvious things to note:

  • Jo'burg is spending R1bn of YOUR MONEY.
  • Governments at all levels are notoriously inefficient spenders. Ericsson is not stupid.
  • The network is primarily being built for the city's own services. I'm sure they have ambitions to offer some services, but don't expect anything really competitive - think Sentech.
  • By not making use of efficiently-built, competitive carrier networks, the city is actually reducing the market size for these carriers, so the average cost of services to most users will INCREASE.
  • The correct reason for any government to intervene like this is to provide services that are economically unviable for commercial players e.g. the poorest (read: lowest ARPU, basic service) customers. Unfortunately, most governments really don't know how to build a proper business plan that is focussed on mass market consumer services (again, note the Sentech experience). They'd be better off subsidising some private players.
  • These are the same guys that deliver your electricity, sanitation, roads etc. Do you really believe that they're going to bring you decent broadband?
In essence, unless you are an Ericsson shareholder, don't get your hopes up.
 
just another useless joke to add to the thousands we have heard before...i mean really...u guys are gonna spend all our money on "building something that will hopefully open up some competition" meanwhile the pricings wont change so just back pocket the money and stop messing around with us...we aint that stupid.
 
Wow, there's a lot of negativity in this forum today.
I disagree with all the previous comments, I think this is yet another step in the right direction. Previously, this would all have been done via/through Telkom and subjected to their pricing, now, there will be fibre in the ground and I'm sure they'll sell off their spare capacity to existing networks, like the plans for other government initiated metropol network.
 
lol @ article.
read this all before.
too many times in fact.
pure bs.
MORE PIE IN THE SKY.
i want pie on my plate!
 
Wow, there's a lot of negativity in this forum today.
I disagree with all the previous comments, I think this is yet another step in the right direction. Previously, this would all have been done via/through Telkom and subjected to their pricing, now, there will be fibre in the ground and I'm sure they'll sell off their spare capacity to existing networks, like the plans for other government initiated metropol network.

I agree. Could be that alot of the posters aren't taking into consideration the cost of reliable telecommunications for the provinces departments. But typical human nature is me myself and I just want want want instead of looking at the big picture.
 
So who actually does the work? How many subcontractors (who will all add their 10%+ margin) is this going to go through before it gets to the people who will actually be doing the work?

Projects like this are a goldmine for the corrupt and incompetent, which is why you will never see any transparency in these deals.
 
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