Telkom today confirmed the key terms of the sale of a 15% stake in Vodacom, South Africa’s leading mobile phone operator, to UK-based Vodafone Group and the intended listing of Vodacom on the JSE.

Telkom formally confirmed today that a 15% stake in Vodacom will be sold to Vodafone for R22.5bn in cash, less Vodacom’s attributable net debt of R1.55bn. Telkom will distribute 50% of the after tax proceeds from the sale transaction to Telkom shareholders by way of a special dividend. The dividend will be paid upon closing of the transaction, which is expected to take place in the first half of 2009.

The transaction is subject to approval by 75% of Telkom shareholders, the competition authorities and the Independent Communication Authority of SA (ICASA). Irrevocable undertakings in support of the transaction have already been received from Telkom’s largest shareholders, the South African Government and the Public Investment Corporation (PIC).



Keep reading →

Popularity: 22% [?]

Posted in the category: Economy, News, Technology

The organisers of AfricaCom Awards 2008 have announced the finalists for the inaugural African telecommunications awards taking place on 18 November 2008 at the International Convention Centre, Cape Town.

South Africa’s new second Network operator, Neotel, has been nominated as a finalist in the New Entrant of the Year category for the AfricaCom Awards 2008. It joins several dozen other African telecommunications operators and suppliers who are vying for recognition.

The awards recognise the achievements and success within the African communications market during the last twelve months.

According to the organisers, the quality and quantity of entries was exceptional and sets the standard for the African telecommunications industry going into 2009.

The finalists are:



Keep reading →

Popularity: 13% [?]

Posted in the category: Economy, News, Technology

In a decision that may change the shape of South African telecommunications, a High Court ruling was made on 29 August 2008 by Justice Norman Davis that Value Added Network Service licence holders, which include all Internet Service Providers, must be allowed by the regulator to provide their own network infrastructure. ARTHUR GOLDSTUCK assesses the implications.

Today may have seen the beginning of the end of the dreaded monster lurking in the tangled forests of South African telecommunications law. When Judge Norman Davis ruled in the High Court this morning that Value Added Network Services (VANS) must be allowed to provide their own networks – and that the regulator is obliged to grant the appropriate license to any network that chooses to do so -  he heralded the beginning of a truly competitive environment in telecommunications.

The court case was brought by Altech Autopage against the telecoms regulator, ICASA, essentially to force ICASA to issue a new category of telecoms licences to anyone who applied, rather than cherry-picking a select handful that ICASA decided were worthy.

The Electronic Communications Act envisages that these ECNS (Electronic Communications Network Services) or I-ECNS (Individual ECNS) licences would eventually allow their holders to provide any communications service, from Internet to phone to broadcasting, as the technology underpinning these services is all moving to a common platform, namely the Internet Protocol). Little wonder everyone would like a slice of that pie.



Keep reading →

Popularity: 32% [?]

Posted in the category: News

The announcement last week that Naspers has put MWEB up for auction created a stir of surprise, but not shock. Arthur Goldstuck looks at the implications

Is the decision by Naspers to sell MWEB a vote of no confidence in the Internet? Hardly. If anything, it declares the opposite: a recognition that the Internet has become so pervasive, its best businesses will be built on what people do on the network, rather than on how people connect to it.

While it may not be a good thing for MWEB, it is probably a necessary thing as MWEB evolves from an ISP into a telecommunications company. MWEB is entering a new era in South African telecommunications and has little choice but to become an infrastructure owner – once the regulatory environment allows it. Naspers is traditionally in the content space, and has avoided owning the plumbing that makes it all work. It will be a painful divorce, but good for the kids.

Keep reading →

Popularity: 35% [?]

Posted in the category: News, Technology, Trends

Our sister web site, Gadget, today lifts the lid on the first consumer device that will be rolled out by Neotel, South Africa’s second network operator. Alluded to as a “converged device” in briefings earlier this week, it has emerged that it will be a phone with a high-speed Internet connection, providing “carrier grade” voice, as well as broadband data, to consumers in urban areas. Read more about it on the Gadget web site.

Popularity: 58% [?]

Posted in the category: News, Technology