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South Africa: Experts Slam The Government For Poor Broadband Growth

Jun 25, 2007

Regarding broadband usage and penetration, South Africa is far behind then other countries, which include Iceland, Korea, Netherlands, Denmark etc., but the country is still experiencing decline.

The Organization for Economic Co-operation and Development (OECD) nations witnessed a growth of 10.6%, which was fifteen times more than South Africa's growth rate of 0.7%, as reported by My ADSL.

The broadband consumers in the country are experiencing services difficulties especially, the ones linked to international connectivity.

Rudolf Muller, an expert from Myadsl.co.za said, "The poor broadband growth is caused by slow service delivery, high prices and usage restrictions," in news published by Business Report.

High price of broadband in South Africa is the largest hindrance to the development of e-Commerce in the country. Moreover, many users have been reporting the problems of connectining to global websites. Irregular connectivity and slow speeds have resulted in frustration among broadband users.

On the other hand, Dobek Pater, analyst at Africa Analysis said "The problem in South African broadband is that often progress in government initiatives is slow and the business case is not always clear," as published by Business Report.

One more reason, for poor broadband growth in South Africa is that there exists a monopolistic environment in the fixed line sector. Telkom is the organization that leads the country's fixed line system and controls the broadband penetration.

The solution exists in a combination of strategies and techniques. The government should spearhead this approach, but it is not being serious. It is almost neglecting the poor growth of broadband in South Africa through restrictive legislation and improper interference. Operators of broadband should take on a consumer-centered attitude and should not expect benefits from every part of their services.

As per an analyst at
RNCOS "Increase in competition, dropping the costs of both international & local bandwidth and a major decrease in residential broadband price need to be considered as the initial step to increase South Africa's broadband penetration. The need to make broadband affordable among South African, as the present situation blocking the economic growth of South Africa."

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