Vodacom has entered into a 15-year partnership with the Passenger Rail Agency of South Africa, worth an estimated R1 billion.
The agreement comprises two major components, the first of which is to monetise Prasa’s telecommunications assets – through its subsidiary Intersite Asset Investments – by leveraging Vodacom Business’s enterprise channel capability.
“This includes Multiprotocol Label Switching; Virtual Private Network connectivity; Unified Communications and Collaboration; Metro E Fibre Access; Microwave Access; Dedicated Internet Access; Hosted Exchange; Security Information Event Management; and Internet Access,” said Vodacom.
The second is to lease Prasa’s dark fibre optic cables for the duration of the contract, “making these assets commercially available to government and enterprises”.
Vodacom said Prasa has over 900km of fibre along railway lines and stations.
Through the agreement, Prasa will be able to generate revenue through its fibre assets as well as on-sell Vodacom’s enterprise products and services.