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Calling on SA telcos collaboration
South Africa's local telecoms sector is faced with a mish-mash of macro and micro economic pressures and the buzz word to commonly repeated to work against them is collaboration. Today is the official launch of an association that aims to call on this collaboration in a meaningful way. Joining CNBC Africa for more is Nomvuyiso Batyi, Chief Executive Officer, Association of Comms and Technology.
Thu, 11 Aug 2022 15:43:28 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- Establishment of an association to address infrastructure sabotage
- Short-term goals focused on policy responsiveness and 5G network deployment
- Challenges of industry competitiveness and regulatory delays
Today, South Africa's local telecom sector faces a myriad of economic pressures, both macro and micro, with collaboration being identified as a key factor to overcome these challenges. The launch of an association aims to unite telecom companies under one voice to address these issues effectively. Nomvuyiso Batyi, Chief Executive Officer of the Association of Comms and Technology, sheds light on the creation and mandate of the association.
The association was long overdue, with plans dating back to 2012, to ensure the industry's collective voice is heard in public policy and regulatory spaces. The main trigger was the need for telecom companies to join forces to strengthen their advocacy efforts and address common concerns. The mandate of the association is clear - to advocate for responsive policies to combat infrastructure sabotage, enhance the rollout of 5G networks, and ultimately attract investors to the telecommunications industry.
In South Africa, infrastructure sabotage has been a persistent challenge, affecting service quality and hindering investment opportunities. The association's short-term goals involve addressing this issue head-on by pushing for policies that safeguard infrastructure and prevent disruptions. Collaboration with government entities, such as the Department of Publications and Digital Technologies, is also crucial for advancing the deployment of 5G networks across communities.
The financial implications of infrastructure sabotage are significant, although specific data on industry-wide costs are yet to be compiled. Repairing damaged infrastructure comes at a high price, with millions of rand spent on rectifying damages that impede progress. The association recognizes the urgency of quantifying these costs to emphasize the importance of tackling infrastructure sabotage on a national scale.
Despite the long-awaited establishment of the association, challenges such as industry competitiveness and regulatory delays have impeded progress. The telecom sector's focus on commercial endeavors and individual company interests often overshadowed the need for collective action. For instance, the licensing of high demand spectrum took 17 years to materialize, highlighting the consequences of fragmented advocacy efforts within the industry.
Managing competition within the association poses a unique challenge, considering the diverse interests of member companies. To mitigate potential conflicts, member companies undergo competition law training and discussions on competitive issues are segregated from general meetings. Additionally, an independent competition law expert monitors board interactions to ensure compliance and fair competition practices.
As the association embarks on its inaugural phase, it remains open to welcoming new players, including small and medium-sized enterprises (SMEs) and original equipment manufacturers (OEMs). The inclusivity of the association reflects its commitment to representing the broader telecom ecosystem and addressing the needs of various industry stakeholders.
In conclusion, the launch of the Association of Comms and Technology marks a pivotal moment for the South African telecom sector as it strives to overcome economic challenges through collaborative advocacy and concerted efforts towards infrastructure development and regulatory reforms.
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