Telkom can’t sell 8.ta – it’s that simple

SteveO said:
Its quite a short sited article, think out of the box Hilton.
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I think he's right about: "The board and executive team know that (very simplistically) Telkom needs to become 8.ta. Without this massive change, Telkom is dead and irrelevant in a decade’s time. It’s as simple as that."
 
I thought the "rumors" were about selling all of Telkom, not just h8ta?
 
MickeyD said:
Won't happen. If anything it will be nationalised.
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I agree, but that's what the previous articles said. I think this is the first time anyone mentioned only selling the mobile division.
 
Telkom or 8ta won't be sold, instead the state will merge Telkom with Brodbrand infraco and Sentech and nationalise Telkom, in that they'll have one ICT company owned by the State.
 
This article is possibly the laziest piece of journalism with no thoughts to any facts. All wireless providers need backhaul, wireless is never going to see the same speeds as line services. Telkom has the biggest physical line network and could keep it this way if they focussed on this. Instead they are trying to take the fight to the mobile operators and not get competitive on the line services.

It would make more long term sense to get the line network sorted, making their pricing too good to pass up therefore mobile operators would have no incentive to build their own fibre networks. Thus maintaining a monopoly by sheer scale and quality of service. They could also promote smaller ISPs and competition in the retail market by clever national access packages.

By trying to compete on all fronts they are not able to best use their capital or expertise and are essentially doing everything halfway. Mobile is going to see massive diminishing returns as competition forces them to change their models, so if I were Telkom I would stick to areas I could maintain dominance and profitability.
 
"The board and executive team know that (very simplistically) Telkom needs to become 8.ta."

How bloody stupid must you be to be able to screw up the sweet deal that Telkom has with fixed lines in SA? Then again it would be nice if the gov could admit that they screwed it up. But a politician will never, ever admit any wrong on their part. "Ooh noo... The election is coming up!"

I wish the people would start insisting on competence.

Anyway... If they screwed up fixed lines then they can screw up mobile. Especially since there is no monopoly. Oh wait... Spectrum - Thanks DoC. Well they can screw up a monopoly as well :/ We all know that.
 
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