R/€ = 14.24
R/$ = 10.38
Au 1228.28 $/oz
Pt 1369.00 $/oz
Sep 07, 2007
MTN may spend R1,3bn on 5 000-km optical-fibre networkBack
JSE|MTN|Rosebank|SABMiller|Vodacom|South Africa|Backbone Network|Cellular Operator|Fixed-line Network|Mobile Operator|Optical Fibre Network|Tim Lowry|Ethernet|Fibre Optic|MPLs|Optical Fibre
© Reuse this Mobile operator MTN has started the process to rollout some 5 000 km of optical fibre network nationwide over the next two years, the company said at a presentation in Sandton on Friday.
MD Tim Lowry called the initiative "a massive self-provision investment" that would involve an estimated R1,2-billion to R1,3-billion, depending on possible joint ventures or partnerships that are likely to be entered into during the course of the project.
Possible partners included new entrant Neotel and the country's biggest cellular operator Vodacom, which has also said that it plans to build a fixed-line network.
Lowry said that MTN would want to reduce the level of capital expenditure through partnerships.
MTN announced in June that it was considering entering the fixed-line business in South Africa, to keep up with the growth in data traffic and cut one of the company's biggest operational costs.
MTN said that it had designed and mapped out its own national backbone network, and was in the process of going out to tender to identify relevant suppliers and obtain final costings for the laying of the 5 000-km network.
The tender process is expected to be finalised by the end of the year.
MTN has already undertaken a pilot project with fibre optic cables being laid between Sandton, Illovo and Rosebank. Lowry noted that the project "was largely deployed" at present. Companies such as SABMiller and the JSE have been involved in the project.
The first phase has involved a capital expenditure of about R8-million for the fibre and about R2-million for the equipment, Lowry noted.
He explained that the area in which the pilot project has been carried out was home to a number of financial services companies and large blue-chip organisations, and that MTN's product offerings were well-suited to these firms.
MTN will initially launch three products; an Ethernet MPLS, an Ethernet private line service and a multitenant connect service. Future developments by the end of the year may include an Ethernet e-local area network, a dual connect, a full redundant connect, and a multitenant connect service that would use a building's existing copper cabling for reticulation.
Lowry said that MTN was trying to build an environment where a company could have a centralised server and centralised applications and could run the entire business nationwide from the one location.
MTN Business head of network solutions Mike Brierley explained that the usual lead times attached to fibre optics networks was about 12 months,but that MTN could roll out the service in between six and 12 weeks.
He added that bandwidth was flexible and could also be easily and quickly upgraded, where required.
Edited by: Liezel Hill© Reuse this Comment Guidelines
Updated 2 hours 26 minutes ago The value of copper theft narrowed by 22% year-on-year to R9.5-million in November, however, month-on-month the value increased by R300 000, from R9.2-million in October, the South African Chamber of Commerce and Industry’s (Sacci’s) November Copper Theft...
Updated 3 hours ago The International Year of Crystallography 2014 (IYCr 2014) was launched worldwide on Thursday. Next year marks the centenary of the award of the Nobel Prize for Physics to Max von Laue (1879-1960) of Germany for his discovery (published in 1912) that crystals...
Updated 3 hours ago Engineering consultancy Mott MacDonald has been appointed as lenders’ technical adviser by Investec Bank and Absa Bank for the 50 MW Bokpoort concentrated solar power (CSP) plant, being developed in Groblershoop, in the Northern Cape. The two banks are the mandated...
Recent Research Reports
Defence 2013: A review of South Africa's defence industry (PDF Report)
Creamer Media’s 2013 Defence Report examines South Africa’s defence industry, with particular focus on the key players in the sector, the innovations that have come out of the defence sector, local and export demand, South Africa’s controversial...
Road and Rail 2013: A review of South Africa's road and rail infrastructure (PDF Report)
Creamer Media’s Road and Rail 2013 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 network, the funding and maintenance of these respective networks, and the push to move...
Liquid Fuels 2013 (PDF Report)
Creamer Media’s 2013 Liquid Fuels report examines South Africa’s liquid fuels market, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing,...
Projects in Progress - Second Edition (PDF Report)
Creamer Media’s second Projects in Progress supplement considers some of the major project developments under way, including high-profile energy and transport projects, as well as a few of the lower-profile public and private developments. What remains apparent is...
Water 2013: A review of South Africa’s water sector (PDF Report)
Creamer Media’s Water 2013 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
Canadian Mining Roundup for June 2013 (PDF Report)
The June 2013 roundup includes details of the development of TSX-V-listed Aldridge Minerals’ flagship Yenipazar polymetallic project, in Turkey; the Canadian Nuclear Safety Commission’s renewal of Cameco’s uranium mining licence pertaining to the Cigar Lake...
This Week's Magazine
Johannesburg-based locomotive solutions provider DCD Rolling Stock officially launched Phase 1 of its R240-million recapitalisation programme at its Boksburg manufacturing facility, last month.
Sales of electric cars should pick up once more such vehicles become available on the South African market, says Nissan South Africa (SA) chief marketing manager Ross Garvie. The local arm of the Japanese car company launched the country’s first fully electric...
Denel Land Systems’ (DLS) Mechem division is successfully marketing the latest version of its highly regarded Casspir mine-protected vehicle, the Casspir NG2000 series wide body ambulance. As its description says, this has a notably wider body than standard...
The infrastructure boom in Africa has seen investment in 322 megaprojects reach $222.7-billion, says professional services firm Deloitte in its ‘African Construction Trends’ report. Deloitte Southern Africa infrastructure and capital projects leader André Pottas...
ASME, the international engineering profession’s cooperative, educational and training, research, outreach and codes and standards development organisation (originally the American Society for Mechanical Engineers, founded in 1880), is seeking to improve the...