Alternative telecommunications (telecoms) operators were taking an interest in acquiring some of the market share controlled by traditional Global System for Mobile Communications (GSM) and fixed-line operators.

At the recent VoiceSA conference, held in Johannesburg, a number of new telecoms players voiced their confidence in “stealing” significant market share from the incumbent operators.

Vox Telecom MD Douglas Reed said that there were now more opportunities for alternative providers than ever before.

“The market is highly unpredictable, and the incumbents are slow to adjust. The general trend of information technology is towards putting the power back in the hands of the consumer. The traditional providers will be less able to lock in customers, and customer loyalty will be difficult to achieve,” he noted.

Connection Telecom director Rob Lith highlighted that as much as 60% of the telecoms market was currently controlled by GSM operators.

Steve Song, a fellow at the Shuttleworth Foundation noted that a localised, low-cost, self-installed network built on Wireless Fidelity (WiFi) technology, instead of GSM services, could be used in communities where communication need not cover larger distances.

“In Africa, among the bottom 75% of earners, about 50% of disposable income is spent on mobile services. Using a simple, low-cost device, communities can build their own networks to significantly reduce the cost of telecommunications,” he explained.

Meanwhile, Lith highlighted cloud computing as a driver of change in the hosted telephony market, while Internet Solutions GM for voice Wayne Speechly added that high-definition voice and video calling was beginning to gain traction and show potential.

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