The local loop conundrum

The only way to achieve true competition on the access networks is through local loop unbundling (LLU) regulations, but none of the necessary regulations are even drafted by ICASA at this point, Holdsworth continued.
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They did say mid 2011...didn't they...

So another 10 years and it should have passed the preliminary draft...

Cool! We will have LLU by 2030!!! Yay!!! :rolleyes:
 
foX2delta said:
Why should telkom give up its network? It layed it so it belongs to them, same goes for MTN +Vodacom. Now I agree it must be done to get some real competition going but seems sillly that they must give it away, or is this really just ICASA forcing them to share it (at a cost)?
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Tell you what Telkom can keep all the new cable (not replacement cable) that it has laid since it changed from The Post & Telecominications Department to Telkom.

ads said:
Unbundle Telkom...

http://www.openreach.co.uk
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This is what I've been thinking for a while now. Why not give up the "network" to a company that can be run like ICANN, basically a cooperative and Telkom can become a service provider. Telkom can pay to use the network just like all the rest.
 
LLU this is issue and a half....1 question I'd lyk 2 is, has the General stepped in(seriousness) 'cause if not this is jst extra years of wasted tym n stress
 
Local Loop is for Local Noob.
Last mile using wireless is much easier and with the advances in wireless technologies it is not going to be a bottleneck if loads of subscribers jump on the band(width) wagon.
 
I don't know what to do about this.

There is a very definite reason that Neotel uses wireless for it's last mile requirement, there is simply no actual space to hang cables on the telephone poles, and, they'd be exposing their infrastructure to their competition.

Government can implement LLU by actually purchasing the Local Loop from Telkom, at a price which Telkom has full authoritative control over.

BUT, once the LLU is available for rent, the usual government bungling and money wasting will set in resulting in a deterioration of the Local Loop, much in the same way that the road network has deteriorated.

So, purchasing the Local Loop from Telkom is out of the question.

That leaves us with only one option, to rent the infrastructure directly from Telkom, and to regulate the price using some unimaginable formula hack that will look very much like the existing rental pricing in place.

So, the result will look pretty much like what we currently have, except that the government would be getting involved, vetting itself against Telkom, which is a conflict of interest because of the high level of government ownership in Telkom.

What a bloody mess.

:confused:
 
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I still dont see this becoming a reality for at least the next 5 years.
But come on telkom - surprise me.
 
i don't think the question of who paid for it is really relevant at all and you will find that in most countries implementing LLU it is not just about the legacy copper network installed in the days of the single natural monopoly fixed line provider - it also applies to new fibre loops and to the wireless local loop (the unbundling of which through the assignment of access frequency to new entrants ICASA is also getting horribly wrong as we speak)

when the argument about who paid for it has been raised in meetings between telkom, icasa and new entrants telkom has raised a number of responses as to why this is not relevant and i tend to see it as a red herring

if you consider that the local loop is almost impossible to duplicate and that it is an extremely important aspect of SA's drive to become an information society then, imo, it is a short step to saying that the value of this network element needs to be maximised, something which is clearly not happening at the moment.

as we are seeing and will see more of in the future competition in international links and long-distance national links is bring down pricing - this must be extended to the LL where the lack of competition is essentially a green light for telkom to inflate pricing as it has done with international and other links
 
If Telkom's share prices are anything to buy, they should probaby consider dropping their prices to establish some sort of gain again. Sitting on your fat ass gridlocking the industry is probably one way to do it, but moving things forward by creating healthy competition is another entirely.
 
An Idea

davemc said:
I don't know what to do about this.
That leaves us with only one option, to rent the infrastructure directly from Telkom, and to regulate the price using some unimaginable formula hack that will look very much like the existing rental pricing in place.
What a bloody mess.
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We need something similar to what the OpenReach people have done

What about a seperate business division to handle ONLY LLU in a vendor neutral way -- as per SEACOM / DFA / INFRACO

Normal Telkom can still handle all the other stuff.


This could be a sort of P2P ( Public Private initiative ) Including elements of Telkom and the BIG private guys with an independent board with consumer elements / watchdogs.

Telkom can maintain physical control of the existing infrastructure but this can be managed by the newly formed body which would include elements of Telkom staff.

Something really neutral that would leverage the capability of this national asset and optimise the use of it for EVERYONE.

After all -- IF the big cable operators CANNOT get this bandwidth to the paying consumer WHO is going to lose out ?????


MW
 
1. Government, where is our SN(fixed line)O that you licenced how many years ago now?
2. Unbundling the local loop is currently the only option to get competition on fixed line direct to the consumer.
3. With the glut of international bandwidth coming out way, we're going to be completely screwed if it can't actually reach the consumer.
 
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