South Africa - Fixed Broadband Market - Statistics and Analyses

LONDON, Nov. 13, 2017 /PRNewswire/ -- For many years South Africa's broadband market was held back by an expensive operating environment created by Telkom's dominance in the fixed-line market and in access to international bandwidth.

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This has begun to change, supported by the licensing of Neotel as a second fixed-line operator, as also by the involvement of mobile network operators such as Vodacom and Cell C in the fibre market. Wireless broadband services have carved out market share from existing DSL offerings, though the sector is dominated by mobile networks: about 95% of all internet connections are through mobile networks. Despite a growing footprint, the government plan to provide national broadband coverage will largely be based on mobile technologies.

The landing of international submarine cables since 2009 has brought down the cost of international bandwidth dramatically, and so led to lower end-user pricing. An additional cable with terabit capacity will come on stream by the end of 2017. Previously, Telkom monopolised access to the only major cable serving the country and so was able to demand very high access prices.

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