SNO looks at its technology options

MaD

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http://transcripts.businessday.co.za/cgi-bin/transcripts/t-showtranscript.pl?1109889442

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Posted: 2005-03-03 23:55 <--- LOL! :)

SNO looks at its technology options

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Presenter: Lindsay Williams Guest(s): Tom O'Neill

With the imminent appointment of all parties to the second telephone network operator (SNO) questions are being raised about the technology that might be used. Qualcomm vice president of new business Tom O’Neill

LINDSAY WILLIAMS: The imminent appointment of the SNO provides an opportunity to adopt CDMA 3G technology - this is where I start to lose interest, because I don’t understand it! Please tell us about CDMA 3G technology?

TOM O’NEILL: This has already been seen in South Africa in a different variant - both Vodacom and MTN are using a variant of CDMA 3G known as UMTS or wide band CDMA.

LINDSAY WILLIAMS: What does it mean for the second network operator? What I really want to know is when the second network operator comes in - when it eventually happens - what are they going to offer, that the existing operator doesn’t?

TOM O’NEILL: All versions of CDMA, currently, are 3G. There are differences in the fundamental technology, that results in different bit rates (data rates) being supported between the different variants. The current maximum bit rate offered by Vodacom, and by MTN, is in the area of 384 kilobits per second. The second national operator would have the opportunity to elect to use a different variant of CDMA technology - where that bid rate might be increased to 2.4 megabits per second.

LINDSAY WILLIAMS: It sounds as though this is all in terms of efficiency, and improved quality of service - does it actually mean anything, in terms of price, to the consumer?

TOM O’NEILL: It can. CDMA 3G technology has been adopted in India, and in India we’ve been seeing a reduction in prices to consumers. The lowest tariff in the world, right now, is at eight tenths of a US cent per minute for voice calls - I think that’s about 5 South African cents - and that’s being supported by CDMA 3G technology in India.

LINDSAY WILLIAMS: Apart from India - where else has it been applied?

TOM O’NEILL: There are about 235-million subscribers of CDMA in the world now - predominantly China, India, the United States, Japan and Korea.

LINDSAY WILLIAMS: Where does Qualcomm fit into this whole picture?

TOM O’NEILL: Qualcomm is a technology organisation, an engineering organization - we’re located in California, and our hallmark is this CDMA technology, which we’ve been working on for 15 years. We don’t produce any consumer devices - we produce chip sets that go into CDMA phones. Like on a PC you see “Intel inside” you’d see “Qualcomm inside” on a CDMA phone.

LINDSAY WILLIAMS: And you’re working closely with the second network operator in this country? When it eventually does happen - you’ll be there with them?

TOM O’NEILL: Certainly, we’re supportive of any adopters of CDMA. The second national operator is evaluating this technology - we’re trying to make sure that they best understand what it can do, and hopefully utilise its optimal performance.

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Why are they discussing CDMA? Shouldn't they at least be discussing WiMax and fixed-line technologies first?
 
With CDMA, there is no need to lease telkom infrastructure like local telephone lines. This is very promising...
 
martin said:
Why are they discussing CDMA? Shouldn't they at least be discussing WiMax and fixed-line technologies first?
I agree, as I've said before I would rather the SNO went for WiMax & Telkomonopoly didn't get a WiMax licence at all (since they've abused me & the rest of SA with its monopolistic parasitic overpricing).

I don't understand why the SNO would be looking at CDMA, quite frankly Sentech has proved that their data implementation of 3G (i.e. MyWireless) is fraught with problems - specifically signal issues.

I'm sure it must be possible to run a PSTN type service off WiMax...
 
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From how I see it, at least if taken at face value, it seems that the SNO might be looking into using 3G/CDMA for last mile connectivity instead of having to rely on interconnection or unbundling of the local loop (which could take a while) or even having to worry about laying their own copper to homes and businesses, while keeping the network completely data-centered (utilizing technologies such as VOIP for voice telephony). This of course would mean that the entire network itself would be "3rd generation" which is quite a good thing as that definitely means the network itself will be far more manageable than the legacy network that Telkom runs (no matter how much they tout themselves as being "cutting edge" most of their network is still legacy stuff and requires a lot of maintenance, at much cost). It also means that implementation for the SNO might be high, but the upkeep will be low, potentially meaning less cost for the user.

However, the downside of this is that as far as internet connectivity from the SNO will be concerned, you'll be stuck with 3G/CDMA unless you're willing to pay for the copper coming to your home (possibly at a higher cost) - at least for the average consumer. I doubt initially we will see anything along the lines of DSL or fixed-line connectivity, at least not to the consumer (though I'm sure this will be provided to big business and ISP's)... we will have to see what they choose to do.
 
And - what about the international link. Cmon, the first priority of the SNO MUST BE another submarine cable, or a link into the existing cable that is not Teklom controlled. Without that all we have is a glorified VANS, and absolutely no means of providing international services at cheaper rates.
 
How many towers / base-stations do you need with CDMA compared to WiMax...

What is the range of a CDMA tower compared to WiMax...
 
Well, werent there talk of them useing the power lines? That way they dont need to rent infrastructure from telkom?
 
I wonder if they'll buy into existing Cell companies existing infrastructures ?
Vodacom is obviously teamed with Telkom, I'm not sure about MTN or Cell-C ?

That would be an obvious starting point to get to market quickly, as the tower infrastructure is already present and with modifications and equipment additions, it would make a rollout quicker and far more widespread.

Couple that with the ability to attach equipment to Eskom infrastructure, such as power lines and you have yourself a fairly quick opportunity to offer services.

The downside, of course, could be lack of experience dealing with the customer, as we've seen with both Sentech and WBS.
 
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