Neotel: Simpler, Better, Faster
Neotel
Network Speaking at the recent Futurex – Computer Society of South Africa Conference in Sandton, Dr. Angus Hay, strategist at Neotel, jokingly said that the difference between Telkom’s network and that of Neotel is that Neotel’s is simpler, better, faster.
Neotel is building its network on New Generation Network (NGN) technologies and principles, and has the advantage of not having to accommodate legacy systems like Telkom.
Hay said that while data bandwidth is currently a real constraint in the local telecoms space, he sees a fundamental shift in future with a decline in bandwidth prices, both nationally and internationally.
Neotel’s fiber network, which is partly provisioned through the state company InfraCo, is widely seen as having the same or even higher capacity than Telkom’s current backhaul infrastructure.
Hay further pointed out that Neotel’s global network, through VSNL, is far larger than Telkom’s international network. This advantage may give Neotel an edge in international connectivity and call rates.
Reducing costs
Hay said that Neotel plans to reduce the cost of doing business in South Africa and in so doing will promote and support new industries, specifically in the service arena.
He said that the lack of competition was up to now the hallmark of the South African telecoms market. This resulted in rising prices which are out of line with competitive global markets, but Neotel intends to remedy this.
Hay said that traditionally call charges in South Africa only seem to be rising, but that this will definitely change with Neotel’s arrival.
He further said that he sees 2007 as the year in which the international bandwidth constraints, because of Telkom’s de-facto monopoly on SAT3/SAFE, will change.
Hay is confident that the SAT3/SAFE landing stations will be declared essential facilities by ICASA under the new Electronic Communications Act (ECA).
Neotel is further involved in various other initiatives in the international fiber arena, which will include the building of a new system. Details about their involvement are sketchy, but it includes discussions surrounding EASSy and SEACOM.
Hay said that additional capacity will be needed for the 2010 World Cup which makes the building of a new international cable system essential.
Consumers can look forward to voice and internet services from Neotel in the second half of 2007.
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