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Thursday, April 26, 2007

Telkom WiMax set to shake up MTN and Vodacom

One of Telkom's biggest challenges (besides not being able to spell customer service), has been its ability to quickly rollout its over priced DSL offerings. The introduction of WiMax onto their network will mean that they can tie down more consumers quicker. My understanding is that with a wireless last mile, they can bypass the challenges they've had in the past and continue on their land grab strategy. However, by locking you down to a long contract, they will be putting more pressure on the mobile operators (who's margins are already stretched to the max) and Telkom will be able to slip back into its usual role...milking us for as long as they can, by offering something that's just a bit better than what anyone else can offer. We know how this model goes, prices move sideways, new/better services trickle in and the SA's dismal Broadband adoption stats continue.

"Fair access to Broadband"...tell us another one.
Telkom also previously said its WiMax network would provide “fair” access to broadband. However, it has refused to define what is meant by “fair”, or how its WiMax offering will be priced opposite its ADSL product.

4 comments:

Anonymous said...

That's right - these guys have got us dangling. It's criminal, and nobody's doing anything about it.

Thanks for the interesting posts and insight.

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