Telkom showing it's hand
The fact that the operator has made this announcement within just days of another relating to the disposal of its stake in Vodacom (freeing it up to persue a more focused market strategy), means that the operator is very quickly gearing up to move into the African telecommunications space.
During a recent media interview, Telkom CEO Mr September announced that the company is looking at opportunities within South Africa as well so the domestic market should not be taken for granted.
The provision of converged services is likely to characterise the operator’s push into the African continent. Frost & Sullivan expects Telkom to target the enterprise and public sector space more aggressively as this presents the best option for growth.
While the operator faces some criticisim and competition in this segment in the domestic market, its expertise could be perceived as advanced by other African clients, establishing it in a favourable position. Telkom is showing that it is willing to spend its newly earned cash and there are likley to be some more interesting announcements following hot on the heels of this one.
Telkom’s future plans – give your views
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