R/€ = 15.22Change: 0.07
R/$ = 14.39Change: 0.09
Au 1071.91 $/ozChange: 8.21
Pt 840.50 $/ozChange: 9.00
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?

And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
RSS Feed
Article   Comments   Other News   Research   Magazine  
Aug 27, 2012

Conduct rolls out 8 fibre-optic business networks, another 100 to follow

Cape Town|Johannesburg|Africa|Industrial|Pipe|Technology|Africa|South Africa|United Kingdom|Cheaper Internet|Communication Technology|Fibre-optic Networks|Internet Solutions|Last-mile Infrastructure|Long-haul Networks|Service|Services|Solutions|Infrastructure|Johan Pretorius|Pipe|Communication Technology|Video Conferencing
© Reuse this

South Africa has extensive fibre-optic networks connecting its cities and suburbs, and even the country to the rest of the world, but largely lacks the last-mile infrastructure to connect commercial businesses to these networks, says Conduct MD Johan Pretorius.

“Fibre-optic networks are typically very expensive, so you would often find that only large corporates have the budget to lay these networks into their buildings.”

However, what do you do if you are a small business, but would also like access to services such as fast, reliable, cheaper Internet?

“We looked at the connectivity gap, and came up with a business model we think provides the answer,” says Pretorius.

Conduct is a member of the Birchman group, started in the UK by two South Africans in 2003. Today the company, specialising in information and communication technology, has 14 offices in 11 countries, including South Africa.

Conduct specifically “plays in the so-called last-mile market”, says Pretorius. “To put in the last mile of fibre-optic cabling is very expensive – from a capital perspective almost ten times less efficient than long-haul networks.”

What Conduct does, is to proactively install fibre-optic networks in certain selected high-density business precincts. All Service providers, such as Internet Solutions, Vodacom, Vox or MTN, then use this infrastructure and offer businesses in the precinct their various services.

“We provide the network on an open access basis,” notes Pretorius. “Any service provider can use the infrastructure to service their clients. We make our money from the service provider paying us to use the network.”

Pretorius says the idea of an open access network ensures that competition among service providers intensifies, enabling lower-cost services. This becomes increasingly important when considering that data demand doubles every 18 months.

Other benefits include access to tools and services that can “change your business”, such as cloud computing and video conferencing, he adds.

A simply explanation is to say that service providers would often offer a client a pipe with only one offering available in there, explains Pretorius – “orange juice, for example” – as the infrastructure belongs to the service provider. However, if the pipe is made available on an open access basis, the client can choose exactly what service and what service provider it wants – “champagne, orange juice or Fanta.”

Conduct has already installed four networks in South Africa, and is busy with another four. The Industrial Development Corporation is a funding partner for the venture.

“We should have eight networks up and running by the end of September,” says Pretorius.

Of the eight networks, seven are located in Johannesburg, and the remaining one in Cape Town.

“We are looking at rolling out networks in a 100 more areas over the next 18 months,” says Pretorius.


Edited by: Creamer Media Reporter
© Reuse this Comment Guidelines (150 word limit)
Latest News
The tide has turned for South African ports and the Transnet National Ports Authority (TNPA) is pressing ahead with its investment under Transnet’s Market Demand Strategy (MDS) notwithstanding poor economic growth. TNPA CEO Richard Vallihu told a TPA...
A 7 500 m2 rooftop solar system has been installed on several buildings at the V&A Waterfront, in Cape Town. The powering of several buildings on the iconic property will result in an estimated 1 640 000 kWh/y of clean energy. So far, 900 kW have been successfully...
The 865 km gas pipeline from the central processing facility (CPF) in Temane, Mozambique, to Secunda, South Africa, is to undergo a further $210-million expansion, the Republic of Mozambique Pipeline Investments Company (Rompco) confirmed on Monday. Rompco is a joint...
Recent Research Reports
Water 2015: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2015 Report considers the aforementioned issues, not only in the South African context but also in the African and global context in terms of supply and demand, water stress and insecurity, and access to water and sanitation, besides others.
Input Sector Review: Pumps 2015 (PDF Report)
Creamer Media’s 2015 Input Sector Review on Pumps provides an overview of South Africa’s pumps industry with particular focus on pump manufacture and supply, aftermarket services, marketing strategies, local and export demand, imports, sector support, investment...
Liquid Fuels 2015: A review of South Africa's liquid fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2015 Report examines these issues in the context of South Africa’s business environment; oil and gas exploration; fuel pricing; the development of the country’s biofuels industry; the logistics of transporting liquid fuels; and...
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
This Week's Magazine
The BMW Group will invest R6-billion at BMW Group South Africa’s (BMW SA’s) Rosslyn plant to produce the next-generation X3 sports-activity vehicle (SAV) for the local and export markets. Rosslyn will continue production of the current 3 Series through its lifecycle,...
The lack of consequences for poor performance and transgressions on the part of contractors remains a significant hurdle to tackling South Africa’s service delivery challenges, delegates heard at the Consulting Engineers South Africa Infrastructure Indaba, on...
City of Ekurhuleni executive mayor Mondli Gungubele earlier this month officially named the city’s bus rapid transit (BRT) system, Harambee.
NICK CHRISTODOULOU As about 58% of data stored by organisations is dark, they must identify this dark data to expose risks and valuable information
About 58% of unstructured data stored by companies is dark data, which means that the value or regulatory importance of the data has not been determined. Subsequently, most of the stored data add costs, rather than increasing revenue or reduce regulatory risks, says...
BRIAN VERWEY Effective management, review and administration of non-core elements can improve business operations and increase revenue and decrease unforeseen risks
Effective logistics, import/export and manufacturing consulting services require detailed industry knowledge and experience, but can add significant value to these industries by providing expert advice on various technical elements in their value chains, says...
Alert Close
Embed Code Close
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96