Telkom's mobile strategy

Is this possibly the best kept secret in Telecoms at the moment? Can't help but feel that deep in the corridors of Telkom someone is planning to buy a stake in Cell C. What does everyone else think?
 
Nope. Disagree although it might have been an option if they had 3G capabilities.
 
If they buy cell-c it will to be up their voice subscribers and get a piece of market share + not have buy gsm/2g equipment. Not sure if cc will allow it though and voda + mtn will likely oppose due to market share. (it WILL kill voda + mtn immediately irrespective of their interconnection charges which look like it will be regulated lol.)

Telkom need to just take the plunge me thinks but at the same time they are a bit very mixed. I mean they have almost every possible last mile possibility available to them they just need some guys who know what they doing + planning for the future correctly otherwise its gonna be another fail.
 
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thesuspect said:
Is this possibly the best kept secret in Telecoms at the moment? Can't help but feel that deep in the corridors of Telkom someone is planning to buy a stake in Cell C. What does everyone else think?
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I think it is very likely. It just makes sense for Telscum to buy Cell C. I don't think Cell C shareholders will veto such a move, given the generally poor performance of the company. And everyone knows Telkom is sitting on a bucket load of cash.

Telkom would win by getting immediate access to lots of cellphone towers - IMO one of the most important things to rolling out a country-wide GSM/3G/HSDPA network. The acquisition of sites for erecting base stations has affected both iBurst's and Neotel's rollout plans. Telkom would also gain +- 7 million subscribers, and a substantial country-wide retail channel to complement its Telkom shops.

And, if Cell C don't start rolling out 3G/ HSDPA services, they are doomed. Also, if interconnect rates are going to be dropped soon, resulting in lower call costs, then Cell C has much less to offer the public then Vodacom and MTN already do.
 
"If one also takes into consideration the ongoing erosion from fixed line telephony to mobile telephony, the damaging consequences of staying invested in Vodacom becomes clear," Nyanda said.
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This erosion is natural as technology has advanced.
The problem is that in SA, the fixed line infrastructure for data, which is a key requirement of many organisations, is non-existent, hence the requirement for mobile data too.
Telkom is leveraging its position unfairly, by decreasing their fixed line investiture in order to promote their mobile plans. Where is the competition commission when you need them? Or even a decent regulator? ARGH!
 
Fixed line telephony does not need to be eroded - bring out faster broadband and new services and you have a winner!

Any service which fails to innovate and improve erodes - mobile included
 
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If Telkom buys Cell C and they get 3G, I won't have the following answer to their tele marketers: "Does Cell C have 3G? No? Bye Bye"... :(
 
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