WEDNESDAY, 11.00AM
TELECOMS parastatal Telkom’s plan to provide millions of new telephone lines before the end of the millennium was set in motion on Tuesday with the award of a R2-billion contract to Alcatel Altech Telecoms and Lucent Technologies for radio systems involved in the provision of 400 000 new lines over the next two years.
Telkom chairman Dikgang Moseneke said recently the company aims to connect at least 256 000 new lines in underserviced areas this financial year, bringing the 1997/98 total to 360 000.
Victor Moche, Telkom’s public communications executive, said the 360 000 lines to be installed by next March will cost R4-billion. The total cost estimate for the network expansion programme has been revised downwards from R53-billion to R40-billion. Moche said a “significant portion” of the equipment to be supplied in terms of the new contract will be locally manufactured. He said the successful bidders, chosen from eight applicants, had made a commitment to support local industry through startegic partnerships, and that they will subcontract a portion of the work to black empowerment companies. The contract also provides for “comprehensive training for Telkom employees”.
Alcatel Altech is a joint venture between Alcatel, the world’s largest telecoms equipment supplier, and Altech, a local electronics group. AAT recently sold a 20% stake in its operation to black empowerment group Rethabile investments for R125-million.
Lucent Technologies is the former research arm of unbundled telecoms giant AT&T, which is reported to be negotiating a merger with SBC Communications, one of Telkom’s strategic equity partners. Lucent is no longer part of AT&T.