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New SA broadband network: 4G, 5G and beyond

Out of the ruins of the old iBurst, a new high-speed broadband network is about to be rolled out, with existing operators potentially joining its party, writes ARTHUR GOLDSTUCK.

It was one of the great train smashes of Internet services in South Africa. Now it may just give rise to one of the great success stories.

When iBurst launched in this country more than a decade ago, it promised to change the face of wireless broadband with a new kind of connectivity technology. However, a technology that was once revolutionary was eventually derailed, as its development ended.

Connection speed stalled, service levels declined, and growth fell off the cliff. As a result, it surprised some when the holding company for iBurst, Wireless Business Solutions (WBS), was bought by convergence technology company Multisource last year.

However, it was clear that it was being bought not for its 60 000-strong subscriber base, but for its license to use radio frequency spectrum in the 1,8GHz and 2,6GHz bands – ideal for high-speed mobile broadband. It was also clear that the ownership of WBS, chaired by FirstRand founder Paul Harris, was focused on opening up this potential goldmine.

This week, Multisource removed the invisibility cloak from its iBurst plans. Harris announced a multi-billion Rand investment in a new high-speed national data network using LTE-Advanced (LTE-A) technology.

Current versions of LTE are still regarded as a form of 3G, while LTE-A is regarded as the minimum to describe a network as 4G. Because of the failure of the regulator, Icasa, to allocate additional spectrum in these bands, other operators have to “refarm” spectrum from inappropriate bands to offer a half-baked version of 4G.

This means, in effect, that WBS is likely to become the first entirely 4G data network in South Africa. Its aggressive strategy is also likely to be enhanced by WBS’s roaming agreements with other mobile networks. In other words, an MTN or Vodacom could partner with WBS to get access to full 4G. That also means they could well dip into their own pockets to assist WBS in building out its network.

“Our initial focus is fixed-mobile (like LTE-A enabled WiFi routers) and we will target customers in geographies where we have our own kit and do not need to roam on other networks,” said Michael Jordaan, former First National Bank CEO and a key investor in WBS, in an interview this week. However, he pointed to a company statement that acknowledged: “Roaming is standard practice in the industry with most telcos roaming on each other’s networks.”

He would not be drawn on specifics, saying that roaming agreements were confidential commercial agreements between operators. However “where appropriate, WBS will enter such arrangements.”

“It will take time to roll out a nationwide network,” he said. “We hope to get to 10 000 sites over five years, but will start in high-density geographic areas like Joburg and Cape Town. It means that the initial target market will be fixed-mobile rather than smartphones, as that would require either a national network or a roaming agreement.”

According to Harris, the strategy was partly a response to South Africa’s need for investment in productive capacity to tackle its economic challenges: “Nothing can be gained by sitting on the sidelines. WBS’s investment is a manifestation of its confidence in South Africa and its desire to contribute.”

WBS is looking into the long-term future as well, saying that the network will be enabled to use 5G when the technology is rolled out internationally in the next 5 years, and “will place South Africa amongst the leaders in the field”.

The company says a limited number of sites are already in operation and existing WBS customers will be converted to the new network, migrating from an obsolete technology to one that is ahead of the rest of the market.

National rollout will commence in the next few months.  According to a WBS statement, “Speed and performance will be comparable to fibre, with the advantages that it can be deployed without the cost of digging up suburban streets and time delay in eventually reaching all residential areas.

“Once the network is rolled out WBS will be able to offer mobile broadband on smartphones, tablets and other devices supporting the Internet of Things. In the foreseeable future the majority of voice calls will be carried on data networks, thereby effectively providing consumers with a combined data and voice offering.”

WBS says it has the advantage of not having to invest in legacy networks such as 2G and 3G, and will consequently deploy cutting edge technology referred to as LTE-A PRO or 4.5G. The new network will be deployed on some of WBS’s own 400 sites and sites leased from tower companies and other telecommunications providers.

Jordaan also fired a warning shot at existing operators’ dogged emphasis on traditional voice and their inability to embrace the Over-The-Top apps like WhatsApp and Facebook Messenger.

“We think that voice is fast becoming just another data-enabled app and we are not planning on offering traditional voice; rather VoLTE (voice over LTE), VoIP, WhatsApp, Skype. In essence, we are a competitor to fibre and ADSL.”

Arthur Goldstuck is founder of World Wide Worx and editor-in-chief of Gadget.co.za. Follow him on Twitter and Instagram on @art2gee

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Mobile is the new branch

Standard Bank has launched an account for mobile devices that gives back 500MB of data a month

Standard Bank has introducd a R4.95p/m bank account called MyMo that customers can open on their mobile devices, loaded with data and airtime offerings and other benefits such as virtual and Gold physical card.

MyMo account holders will also enjoy the convenience of a cheque account through a Visa and Mastercard gold card. Once the account is open, users can choose to either receive R50 in airtime or 500MB of data a month, if their card is swiped more than four times a month. A further megabyte of data is loaded on the account for every R20 spent.

“MyMo is an account for everyone, whether you just landed your first job or have been around the block. With no documentation required it only takes a few minutes to open the account,” says Funeka Montjane, Chief Executive for Personal and Business Banking, South Africa, at Standard Bank Group. “For just R4.95 a month customer will be able to enjoy free swipes and ATM withdrawals at only R6.50 for amounts under R 1 000.

“Mobile is the new branch. This account is about bringing the mobile branch into customers hands, it is about convenience and security while banking.”

She says mobile offers low cost transactional banking which integrates people and businesses into the new connected economy, making mobile the new branch ecosystem that will drive and connect Africa’s growth. Physical connections to the economy are rapidly changing to digital where banks have to move from being financial institutions to service organisations.

“In the past people congregated in communities and eventually cities to maximise the advantages of connectivity. Today a simple hand-held device has the potential to open infinite doors, transforming individuals’ access to opportunities, regardless of where they are, and like never before in history. 

“Historically, a bank account represented access to economic citizenship. Today, having a simple device enabling digital access to a modern banking platform is a passport to global connectivity and vast human development potential.”

The bank says it is using technology, and mobile phones in particular, to deliver low-cost transactional channels accessible to all our customers. The evolution in mobile can be seen in transaction options like cash back at the retail checkout till rather than the ATM, free digital banking rather than using a branch, and the ability to transact using digital wallets, even without a bank account.

“Developing comprehensive connected ecosystems requires a mind-set change from Africa’s banks,” says Montjane. “Banks will evolve away from traditional financial service organisations, into service ecosystems enabling broad universal access to almost everything like enhanced purchasing experiences of vehicles and homes, online procurement of goods and services and lifestyle elements like rewards and travel. 

“These connectivity drivers will also act to future-proof evolving connectivity ecosystem by allowing us to offer untold future services while deriving income from as yet unrealised revenue streams,.   

From a customer perspective, the kind of ecosystems of knowledge, access and, ultimately, connectivity that banks will come to provide will radically transform the share of life that almost all individuals will be able to access.”

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Two-thirds of SA staff hide social media from bosses

With 90% of people in employment going online several times a day, it can be hard for most workers to keep their private and work-life separate during the working day (and beyond). The recently published Global Privacy Report from Kaspersky Lab reveals that 64% of South African consumers choose to hide social media activity from their boss. This secretive stance at work also extends to their colleagues, with 60% of South Africans also preferring not to reveal online activities to their co-workers.

Globally, the average employee spends an astonishing 13 years and two months at work during their lifetime. Interestingly though, not all this time is directly related to solving work tasks or earning a promotion: almost two thirds (64%) of consumers admit visiting non-work-related websites every day from their desk.

Not surprisingly, 35% of South African employees are against their employer knowing which websites they visit. However, more interestingly, 60% of South African are even against their colleagues knowing about their online activities. This probably means that colleagues constitute an even greater threat to future perspectives of an office slouch or maybe the relationships with colleagues are more informal and therefore, more valuable.

On the contrary, social media activity appears to be a less private domain for many and therefore, more suitable for sharing with colleagues but not the boss. This is probably because workers fear harming the public image of a company or interest in decreased staff productivity motivates companies to monitor employees’ social networks and make career changing decisions based on that. Such policies have led to 64% of South Africans saying that they don’t want to reveal their social media activities to their boss and 53% even don’t want to disclose this information to their colleagues.

A further 29% are against showing the content of their messages and emails to their employer. In addition, 3% even said that their career was irrevocably damaged as a consequence of their personal information being leaked. Thus, people are worried about how to build a favourable internal reputation and how not to destroy existing workplace relationships.

“As going online is an integral part of our life nowadays, lines continue to blur between our digital existence at work and at home. And that’s neither good nor bad. That’s how we live in the digital age. Just keep remembering that as an employee you need to be increasingly cautious of what exactly you post on social media feeds or what websites you prefer using at work. One misconceived action on the internet could have an irrevocable long-term impact on even the most ambitious worker’s ability to climb the career ladder of their choice in the future,” comments Marina Titova, Head of Consumer Product Marketing at Kaspersky Lab.

To ensure workers don’t fall prey of the internet threats at a work, there are some core guidelines to adhere to in the digital age:

  • Don’t post anything that could be considered defamatory, obscene, proprietary or libellous. If in doubt, don’t post.
  • Be aware that system administrators may at least, in theory, be informed about your web browsing patterns.
  • Don’t harass, threaten, discriminate or disparage against any colleague, partner, competitor or customer. Neither on social networks or in messages, emails, nor by any other means.
  • Don’t post photographs of other employees, customers, vendors, suppliers or company products without prior written permission.
  • Start using Kaspersky Password Manager to ensure your social media and other personal accounts are not at risk of unauthorised access by someone else in an office. Install a reliable security solution such as Kaspersky Security Cloud to protect your personal devices.

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