Telkom under pressure despite 8ta

[rpm]

Telkom under pressure

Telkom still in under pressure despite 8.ta launch, says Frost & Sullivan

 

[Gatecrasher]

Does this analyst know his stuff?

1. Telkom could only have benefited from cuts in mobile interconnect rates.

2. There is massive potential for expansion in South Africa, if only Telkom dropped the mandatory fixed lines charges for those who don't want voice and made ADSL more accessible and affordable. What Telkom gives up in the one hand will be returned many fold in the other. They have to change from a high margin business to a high volume business, otherwise their revenues and profits will continue to dwindle as customers seek more affordable alternatives.

 

[davemc]

Telkom therefore needs to start bolstering its African operations and do so soon. The rest of Africa is still a potentially lucrative growth area for the operator, but opportunities are fast becoming scarce.”

This is FAIL.
This is the reason that I will abstain from purchasing Telkom shares.
Multi-Links has run out of market, put a cap on it and chuck it in the freezer.

 

[Polymathic]

For the same price has your basic line rental, you can get a cellphone contract and get over R100 airtime per month. i don't understand why doesn't telkom give free landline minutes after all they are not going to pay any interconnection fees since it's their own network.