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TRUE BROADBAND IN AFRICA: HYPE OR REALITY

TRUE BROADBAND IN AFRICA: HYPE OR REALITY. GUGULAKHE LOURIE 14 AUGUST 2009. True broadband in Africa: Hype or Reality?. Background Why does true broadband matter in Africa? How will broadband benefit business? When will consumers start to benefit from true broadband? Conclusion Q&A.

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TRUE BROADBAND IN AFRICA: HYPE OR REALITY

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  1. TRUE BROADBAND IN AFRICA: HYPE OR REALITY GUGULAKHE LOURIE 14 AUGUST 2009

  2. True broadband in Africa: Hype or Reality? • Background • Why does true broadband matter in Africa? • How will broadband benefit business? • When will consumers start to benefit from true broadband? • Conclusion • Q&A

  3. BACKGROUNDAFRICA MOBILE GROWTH VS BROADBAND

  4. AFRICA STILL BEHIND

  5. FIXED BROADBAND VS MOBILE BROADBAND

  6. BROADBAND INFRASTRUCTURE

  7. WHY DOES TRUE-BROADBAND MATTER IN AFRICA? • Access to advanced ICT services can act as a significant development enabler • Broadband penetration closely associated with per capita income • Unreliable satellite connections for Internet & telephone calls • Bridge digital divide • Could promote e-learning, e-health, e-agriculture

  8. UNDERSEA CABLES • INTRODUCTION • STATUS • NEXT STEPS • CONCLUSION • Q AND A

  9. UNDERSEA CABLES: WHAT’S THE BENEFIT FOR BUSINESS? • New licences for service providers • Alternative source of broadband capacity • Acquisition opportunities • Wireless spectrum in rural areas • Infrastructure sharing • Investment in international connectivity hubs • Projects to link landlocked countries • Migrate users to fixed from mobile • Competitive connections between countries

  10. UNDERSEA CABLES: When will consumers start to benefit? • Entrepreneurs: business operating costs likely to come down • Cheaper access to telephone, film & audio downloads • Low prices, high volumes vs individual broadband • Medium-term no benefits, long-term bandwidth prices may come down • Business users likely to benefit in the short-term

  11. True-Broadband in Africa: “Hype”? • Industry in Africa is regulated by governments, which can determine prices • Big gains for business, consumer benefit may take time • Extending access to Internet & personal computers to lower income segments • Broadband will grow if operators adopt a “low price, high volume” strategy • Gradual change but more to come “Hope is a good thing, maybe the best of things, and no good thing ever dies,” Shawshank Redemption

  12. THANK YOU Q&A Gugulakhe Lourie gugu.lourie@thomsonreuters.com +27 11 775 3162 +27 78 667 1366

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