Although huge strides have been made in terms of connecting South Africa with the world the reality is that SA's broadband penetration rate is about 10% within a population of 50 million. Many are of the opinion that despite about two decades of market liberalisation, the cost of telecommunication and broadband services are still too high, hindering progress and IT career opportunities.
If the South African telecoms market is opened up, one can foresee a high penetration of Internet users and more competition in the online business environment. Ordinary South Africans will also be able to access the Internet without being hampered by the financial implications. The entry of private companies will result in cheaper and faster broadband at lower prices and will encourage more innovation in the industry
In order for South Africa to be globally competitive, flexible telecoms regulations need to be put in place so as to allow SMEs to engage in e-commerce trade inexpensively.
At a recent Southern Africa Telecommunication Networks and Applications Conference the department made a commitment, along with ICT industry players, to create an additional one million IT jobs and have 100% broadband penetration by 2020. Commentators have been sceptical of these goals, saying they are ambitious.
However the highly anticipated move over to digital television will free up large chunks of spectrum. The auctioning of space in the 2.6GHz band, initially mooted for May last year, is on hold while the Independent Communications Authority of SA (ICASA) waits for communications minister Roy Padayachie to sign off on parameters that will allow it to go ahead.
The role of the government is critical in the rollout of broadband services and it is important that pressure is kept up to ensure that this happens sooner rather than later. The growth of data services and demand for broadband highlight the importance of getting this right. It can mean important growth for the country and the creation of additional well-needed IT jobs in the sector.
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