THURSDAY, 1.30PM
TELKOM stands to lose more than a bilion rand in telecommunications infrastructure and equipment if doubts about its choice of wireless network technology for under-serviced areas are correct, industry experts say.
Analysts estimate the telecoms parastatal could lose R1,4-billion if it chooses digital enhanced cordless telecommunications (DECT) over code division multiple access technology (CDMA), which has been touted as ideal for African conditions. One telecoms researcher says that 4,2-million people could have telephone access within 18 months using CDMA technology, six months ahead of a DECT system.
DECT is designed for high-density urban applications, with limited range, while CDMA is an outdoor application for use over large distances. Fuelling the debate are reports that US manufacturers have been dumping DECT systems and obsolete technologies on African markets.
Telkom chairman Dikgang Moseneke says the telecom’s R40-billion, 2,8-million-line roll-out of DECT services will begin in November, saying the radio-based system will have the capacity to provide 400 000 phone lines over a two-year period.
One telecoms research expert says: “CDMA is cost-effective, as mass-market implementation of digital systems drives equipment prices down.” Another analyst claims that it is “ridiculous” that only one of these systems should be deemed appropriate technology for Africa. “Technologies co-exist to provide the most suitable solution for the application,” he says.
Telkom’s use of the DECT system represents the world’s largest roll-out of the technology. The telecom expects that more than 50% of new connections will use radio-based technologies such as DECT.