{"id":552351,"date":"2007-05-24T07:27:45","date_gmt":"2007-05-24T07:27:45","guid":{"rendered":"http:\/\/localhost:8888\/wordpress\/technology\/552351-state-awards-r378m-contract-to-neotel-2.html"},"modified":"2007-05-24T07:27:45","modified_gmt":"2007-05-24T07:27:45","slug":"state-awards-r378m-contract-to-neotel-2","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/technology\/552351-state-awards-r378m-contract-to-neotel-2.html","title":{"rendered":"State awards R378m contract to Neotel"},"content":{"rendered":"<p><font size=\"2\">The State Information Technology Agency (Sita) would invest R454 million over five years to replace the redundant government network managed by Telkom, Sita said yesterday. <\/font><\/p>\n<p><font size=\"2\">The next-generation network would create a platform for more efficient and cost-effective services, allowing the state to offer programmes like voice over internet and telemedicine, and to connect to multipurpose community centres on a single platform.<\/font><\/p>\n<p><font size=\"2\">Neotel plans to offer high bandwidth capacity to link Sita&#8217;s 25 sites in major cities and towns to about 3 000 government departments. <\/font><\/p>\n<p><font size=\"2\">Public services minister Geraldine Fraser-Moleketi said Neotel&#8217;s bandwidth capacity translated into savings of about eight times the cost of the alternative offer for the contract.<\/font><\/p>\n<p><font size=\"2\">The government has criticised Telkom for its high costs, which made it difficult to attract foreign investment into the country. <\/font><\/p>\n<p><font size=\"2\">Yesterday Telkom said it had cut international bandwidth prices by 30 percent. <\/font><\/p>\n<p><font size=\"2\">Last year, Telkom said it expected to lose about 9 percent of its government contracts to Neotel, as well as about 15 percent of total market share.<\/font><\/p>\n<p><font size=\"2\">Telkom plans to spend R7 billion to install an internet-based network to diversify its offerings and compensate for shrinking voice revenue. It will also offer pay television through its high-speed internet lines.<\/font><\/p>\n<p><font size=\"2\">Neotel plans to spend about R11 billion on infrastructure in the next five years. The group is already offering international bandwidth capacity to more than 12 clients. <\/font><\/p>\n<p><font size=\"2\">The first leg of Sita&#8217;s investment entails an upgrade of the government network backbone by Business Connexion, which will supply, install and support equipment supplied by Cisco over three years for R76 million. <\/font><\/p>\n<p><font size=\"2\">The transition to the new network is expected to start in October. <\/font><\/p>\n<p><font size=\"2\">The old and new networks will operate in parallel until all the departments have been connected.<\/font><\/p>\n<p><a href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php?t=76007\">Comments<\/a><\/p>\n<p \/>\n","protected":false},"excerpt":{"rendered":"<p>Neotel, the second fixed-line telephone operator, has bagged its biggest contract to date after it won a R378 million deal to install an internet-based network for the government.<\/p>\n","protected":false},"author":23,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_facebook_post_id":"","_sma_instagram_post_id":"","_sma_threads_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[17],"tags":[],"class_list":["post-552351","post","type-post","status-publish","format-standard","hentry","category-technology"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/552351"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=552351"}],"version-history":[{"count":0,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/552351\/revisions"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=552351"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=552351"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=552351"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}