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WEEKLY PUBLICATION DEADLINE: 12 pm GMT Sunday. ISSUE NO 358 TOP STORY: Google appoints Wananchi’s Mucheru to head up its new operationGoogle is moving outside of the continental comfort zones for most global investors, North and South Africa, and is opening its first operation in Sub-Saharan Africa. Kenya has been chosen as the base camp for what is likely to turn into a sub-regional business. It has chosen Joseph Mucheru, former CEO of Wananchi to be its Site Lead- Kenya and although he has barely got his feet under the desk, Russell Southwood spoke to him about what Google might be doing, infrastructure initiatives and Kenya’s media and communications bills. Q: With more competitive markets in Kenya, it’s an exciting time for anyone in the telecoms and Internet markets there. So why did you leave Wananchi? Strategically, Wananchi is going into building infrastructure. There’s no denying there’s a huge need for it but I’ve always had a passion for content and applications. In the past, I’ve always been dragged into infrastructure to support my web business. Also this is the first time an international content player like Google has entered this market and it’s very exciting. And this is another reason I’ve chosen to work with them. Q: So what’s Google want to do? Initially there will be three big things. Firstly, we want to optimise the use of Google applications in the region. We already have a lot of customers in the region but further development of the market is hindered by the absence of an international cable offering cheap bandwidth. Google understands that this is an impediment and is willing to go to the extent of buying international bandwidth that locals don’t have to pay the current considerable premium they are. The second thing they want to develop is their Maps product to make sure it has local information that is searchable and useful. The third thing is using Google advertising in ways that can help monetize local content. Lots of people have done local content but most times it’s flopped. We hope to show that there’s a way of doing advertising that can support content. If we can do this, it will generate jobs and work. But I should say clearly that I’ve only been with the company a week…. Q: So what’s your role? I’ll be the Site Lead – Kenya and will lead a whole team. I’ll be involved in facilitating all the initiatives going on in the area. The company is massive but works in small teams. So I’ll help determine what can be done and be pro-active about making it happen which means I’ll be acting in an entrepreneurial way. Q: I hear that Google is also interested in policy issues? Google has an interest in what’s happening in terms of policy and has a policy team and they want to have someone in every region. Their concern is to ensure that when policy is made that it benefits all of mankind. So it is willing to support someone who will participate in policy debates. So for example, here in Kenya, that person might look at the media and communications bills and Google would be able to lend its support and bring in its experience of these issues from elsewhere. Q: So as a Kenyan what do you personally make of these two pieces of legislation? I’ve looked at the Communications Bill and I think that there are certain things that would be disastrous, particularly for e-commerce. For example, it says that you will need to get a licence to get a sub-domain and this cuts right across existing global practice. The second thing is that the Bill says that certification authorities must have licences. In effect, it’s saying that for Verisign to be recognised it must get a licence from CCK. Q: What issues are there with the media bill? There’s an issue in terms of the registration and deregistration of journalists. I’m happy that’s what being suggested would work with the current Government but it would be a great deal less good under a bad Government. Q: How will journalists be registered? The Government will decide on the basis of qualifications and writing if an individual will get a licence to practice as a journalist. There must be a way of monitoring standards but something more like a Media Council needs to be set up to monitor the licensing. Something more like the Law Society of Kenya in relation to lawyers. This would have an independent board but the Government might have a single seat but would be equal to everybody else on that board. Q: I understand that there are also some definitional difficulties with the legislation? Yes, it defines broadcasting as anything that is broadcast speech like radio and moving pictures like television. Currently whether this applies to something like You Tube is very vague. Also on a separate issue, the regulator is required to determine the content of the programming code. We can’t expect CCK to do that. We need to be able to review these issues so they don’t become monumental.
REGIONAL MOBILE ROAMING SCHEMES BECOMING ALL THE RAGEThis week Celtel announced that it had extended its regional roaming scheme covering East Africa (Kenya, Tanzania and Uganda) to include DRC, Congo-Brazzaville and Gabon. Upon crossing the border into the included countries, a subscriber will be charged the lowest tariff in that particular country. The network will automatically activate upon crossing the border of any of the six countries without prior registration. It will be interesting to see what impact this has on traffic volumes, other international rates and the sales of local SIM cards. A Kenyan Celtel user who visits Tanzania can call a Celtel Tanzania subscriber, a mobile user on another network or a fixed line subscriber for KS20.71 a minutes. The same user can call Congo-B users for KS35.19 a minute and DRC users for just KS18 per minute. Meanwhile Malian incumbent Sotelma has complained to the Malian regulator that France Telecom-owned, Sonatel (which also owns Mali’s Ikatel) has offered a regional roaming scheme between the two countries and it cannot do this. The boot is now well and truly on the other foot for this incumbent. It wants access to Sonatel’s network to be able to do this. Perhaps it should buy Tigo…. TANZANIA’S TANESCO OFFERS ITS OWN FIBRE SERVICE TO OPERATORSTanzania’s national power utility TANESCO has launched its fibre network for use by other carriers in a move that it promises will reduce the price of telecommunications in the country. It told the local press that it had advertised for a qualified and experienced company to run the service that was launched on 5 June. Tanesco will form a subsidiary company to handle its fibre business. According to TANESCO’s David Mshana:”Our business is to generate and provide electricity, but it is very important for us to use this facility (the fibre) for commercial purposes. Even TV and radio stations are welcome to use the facility. Instead of using the usual masts to telecast, broadcast or transmit, it will be prudent and cheaper for them to use the fibre optic cable.” SOUTHERN SUDAN MOBILE OPERATORS GIVEN NATIONAL LICENCESSudan’s regulator, the confusingly titled National Communications Corporation has issued the first national mobile licences for two Southern Sudan mobile operators, in an attempt to reduce the licensing confusion currently reigning. South Sudan’s telecoms minister Gier Chunag Aluong said last Thursday that the Khartoum-based regulator had granted licences to Gemtel and Network of the World (NOW). Aping the habits of African rulers elsewhere, the Southern Sudan Government has taken partial ownership of both companies. The licences will only allow the companies to operate in the South. Vodacom enters broadcasting and multimedia market in South Africa Vodacom has formalised its entry into the broadcasting and multimedia market by announcing today that it had secured an exclusive pay-TV agency agreement with MultiChoice. “With cellphone penetration in South Africa at over 80%, Vodacom is constantly looking for opportunities to expand its growth horizontally in the market,” said Alan Knott-Craig, chief executive officer of the Vodacom Group. “With 23 million customers in South Africa, Vodacom has the distribution and marketing know-how that could lead to more significant growth in the satellite pay-TV market. With less than 10 million TV sets and fewer than 2 million satellite pay-TV subscribers in South Africa, we can expect strong growth as Vodacom offers the most affordable satellite pay-TV so far available,” Knott-Craig said. “Vodacom already has 33,000 mobile TV users that can choose from 22 channels on Vodafone live! cellphones, in addition, we are currently piloting more than 17 channels across digital video broadcast to handset technology together with MultiChoice.“ With DStv Select, Vodacom and non-Vodacom customers have a choice between two DStv Select bouquets, each offering a variety of the latest entertainment, news, sports, movies, documentaries and music channels. “For the first time, South Africans will be able to subscribe to satellite pay-TV for as little as R139 per month and choose one of the two DStv Select bouquets of channels they’d like to view. We expect to attract many customers who will enjoy the variety of more than four channels, but can now afford it for the first time,” Knott-Craig said. The DStv Select bouquets offer up to 16 channels including SABC 1,2,3 and e.TV. (SOURCE: MyADSL) LIBERIA DEBATES BILL TO SET UP INDEPENDENT REGULATOR AND LIBTELCOPublic hearings on the Draft 2006 Telecommunications Act began last week with the joint House and Senate committees on Post & Telecommunications actively listening and sometimes expressing strong but opposing views about the merit of calls being made for its eventual passage into law. The Act which takes into account several measures, Minister Doe said would address "the outdated laws we have on our books" such as the Act that created the Liberia Telecommunications Corporation (LTC) which he said created the LTC as "a monopoly for the industry." "LTC as we know it today was created to function at the time as the only operator, the only regulator and the only policy maker of the telecommunication sector," he said adding that the sector is experiencing "a transformation from monopoly to open market competition," he told the Committee members. The Telecommunication Act seeks to repeal the one created in the early 1970s that awarded an outstanding monopolistic power to LTC as regulator, operator and policy provider of the telecommunication sector of the country. The new Act if passed into law will mean that the LTC will now become LIBTELCO. Under the new Act which is being debated at the National Legislature, LIBTELCO will serve as operator which the Liberia Telecommunication Authority (LTA) and the Ministry of Post and Telecommunications serving as regulator and policy provider, respectively. "Apart from trying to woo committees' members into accepting the Act, Senator Sumo Kupee of Lofa was concerned about knowing the functions of the LTA and others, asking as to whether LTA was an autonomous agency. "If it is a commission, why does it have to have regulations approved by the cabinet?" he asked. Commissioner Lamini Waritay, Justice Minister Morris and Deputy Minister Morris Saytumah however struggled to answer the question. Meanwhile the annual payments from mobile providers for licences surfaced during discussion of the bill. Comium-Liberia makes annual fees payment totaling some US$100,000 in tandem with its "concession agreement." Cellcom, LiberCell and Lone Star Cell are paying as annual license fees US$95,000, 75,000 and US$65,000 respectively. (SOURCE: The Analyst) Kenyan Ministry Joins Push for Telcoms Tax CutsThe ministry of Information and Communications is backing efforts by mobile companies to have taxes levied on the industry reduced. peaking during the ITU’s Forum on Telecommunications Regulation in Africa, Information and Communication Minister, Mutahi Kagwe, said there is need for a tax cut. "I think there is a case for it. But of course, you have to balance the need for the reduction and the Government's need for revenue," he said. The forum, hosted by the Communication Commission of Kenya (CCK) and attended by other Africa regulators, was convened to discuss ways of raising access to telecommunication services, by making it possible for service providers to share network and other common infrastructure. obile telephone operators want tax on mobile calls reduced and excise duty removed. "I am negotiating with my colleague in Treasury to see what can be reduced," he said, but declined to disclose whether the pleas will be factored in this year's budget. That, I will leave to the minister (Finance) but I hope he will consider the proposal," Mr Kagwe said. The idea to encourage sharing of infrastructure is borne out of the realisation that it could lower entry costs for new companies to participate in the telecommunication industry, increasing competition and lowering access costs to users. Infrastructure sharing holds tremendous promise for Africa, where investment in ICT development is yet to match market demand," CCK Director-General John Waweru said. he commission, he disclosed, is in the process of developing a framework to facilitate harmonious infrastructure sharing, and will be out in three weeks. (SOURCE: The Nation ) Malawi’s New fixed phone line operator to roll out 80,000 lines in 5 yrsMalawi Communications Regulatory Authority (Macra) says newly authorised fixed line provider, Access Communications Limited (ACL), has proposed to roll out 80,000 telephone lines to subscribers in five years. acra spokesperson Clara Mulonya said ACL would provide 20,000 lines in the first year of its operations and expand as time goes. Macra was hopeful that the new company would bring competition and in turn quality services to the telecommunication industry. “Macra expects to see people have easy access to lines in their homes as well as in their businesses. This will create competition which will definitely result in high quality services for the consumer,” Mulonya said. Four companies have stakes in ACL and these include Gestetner with 23.03% shares, Dynamic Communications holding 25.97%, Fags Investments Ltd with 27% and Voicecom Investments who own 20%. CL intends to invest over K7.8 billion (US$56 million) in implementing their operations and the company is expected to start its activities in three months’ time. ACL was issued a licence on May 25 this year as the second national operator to provide fixed line services. (SOURCE: The Daily times)
IN BRIEF:- Algerie Telecom released its first telephone directory for professionals and the public, the “Professionals Directory”. Presented on the occasion of the 40th International Fair of Algiers (FIA, 2-7 June), the publication concerns Algiers agglomeration and all the central area, others covering up the remaining areas are expected. It is the first of a series of four being already achieved in partnership with Les Pages Maghreb Company, this company’s Manager Sofiane Ziani pointed out. - Telma in Madacasgar is the latest company to join the long list of African telecommunication operators that are victims of cable vandalism. The company reported that portions of the new fibre link between Antananariva, Moramanga and Toamosina have been cut and had to be replaced. - A study into the impact of awarding a third mobile licence in Mozambique will be submitted to the government later this year, says the country’s telecoms regulator, the Mozambican National Communications Institute (INCM). If its findings are positive, the mobile market could be opened up to fresh competition – subject to the approval of the government and the implementation of a new regulatory framework. - The Moroccan regulator, the ANRT has announced that number portability for fixed line and mobile subscribers is universally available in Morocco as of 31 May. All operators are required to port a number within 15 days of a subscriber’s request. - According to Bassoro Amadou, President of the Privatisation Commission of Cameroon, the privatisation of Camtel, the national incumbent, should be completed in a couple of months with the selection of strategic partner which will be able to acquire 51% stake in the company while the State will keep the remaining 49% . - Kenya’s fixed wireless telecoms operators are not doing terribly well: one is in sale discussions and both have only a few thousand subscribers, making them more like ISPs than telcos. - Telkom Kenya is offering a fixed wireless phone with a double-SIM, one for its fixed wireless service and the other for a leading mobile operator. Is this the future of fixed-mobile convergence? Meanwhile Telkom Kenya is to lay off a further 4,000 employees as it prepares for privatisation. - The expansion of legal VoIP continues with Botswana adding itself to the list of countries with legal VoIP. However, locals report that getting a licence for the new service is a slow process. However, after a two year transition period in 2009, the market will be completely liberalised. Meanwhile in Togo, Café Informatique has had its VoIP telecoms service licence renewed but still has no interconnect with incumbent Togo Telecom. Our source tells us that this will take changing a Governmental decree to enforce the interconnect. Timescale? Uncertain. In Egypt, legalising VoIP remains on the agenda of the Board of regulator NTRA but it is waiting to clear out the way the implementation of international licences first. Again the timescale is uncertain. TELECOMS, RATES, OFFERS AND COVERAGE- Both CV Telecoms and Sonatel get 25% of their revenues from international roaming. Plentiful tourists feed high-cost roaming calls straight into their respective bottom lines. - Mobile operator Safaricom in Kenya has announced that its Blackberry new wireless voice and data service, will go live on June 20. While individual clients will acquire the BlackBerry gadgets at an introductory offer price of Sh27,000 and Sh36,000 for the 8700 and 8100 models respectively, corporate clients will buy five and get an equal number of the gadgets for free. - Orange-Mali is rolling out its multimedia “Live Box” service which offers a combination of internet and fixed line telephone services as well as CCTV functionality. The service will be available in Bamako, Kayes, Ségou, Sikasso and Koutiala. - In Uganda, Celtel has completed the first phase of its network upgrade in order to accommodate up to 1.5m subscribers. - In Ghana, Areeba mobile telephone network has reported that it has extended until mid-June, the period within which some subscribers would experience disruptions in service due to a major network upgrade of the service. - Sonatel has announced disruptions on its fixed line network in the North and the South of Senegal as the company is soon going to start upgrading the switches in the local PSTNs in Tambacounda, Velingara, Ziguinchor, Kaolack, Thiès, Louga and Saint Louis.
MTN Launches Faster Internet in UgandaMTN Uganda has launched WiMax broadband service that will see individual Internet users and small-scale businesses have access to what it promises will be fast and reliable Internet connections. peaking at a press briefing to launch the product on June 6, MTN Chief Commercial Officer Erik van Veen said: "This service targets individual users and owners of small business." MTN's WiMax broadband follows mobile Internet access launched by Uganda Telecom and Celtel last month. Van Veen said customers would only pay for what they use. "We will have more control over our network," Van Veen said. Customers will have to choose from three different bundles of broadband depending on their needs.Customers can obtain 2000 Megabytes (MB) bundle at Shs115,000 for light user, 115,000MB at Shs220,000 for medium users, and 1 Gigabyte at Shs395,000 for heavy users. This is on top of Shs295,000 installation fee. WiMax broadband is available in 35 towns around the country including Busia, Soroti, Nebbi, Arua, Yumbe, Gulu, Moroto and others. (SOURCE: The Monitor) Government Still Studying Cable Bids in KenyaThe outcome of the national terrestrial fibre-optic project tender will be known in the next few months. Information and Communication Mnister Mutahi Kagwe said bids for building of the infrastructure are in the last stages of evaluation. A national optical cable network capable of transmitting large volumes of data at high speed will be constructed at a cost of Sh3.5 billion. The project is expected to connect major towns in the country and will take 18 months to be completed. The short listed companies include Sagem Communications, Huawei Technologies Investment Company, Alcatel Luccent Ltd, ECI Telecom Ltd, Draka Comteq Telecom BV, Siemens Networks, ZTE Corporation, Fujikura Ltd and Taihan Ltd. The minister would not say exactly when the winner will be announced. (SOURCE: East African Standard) Only 17 Percent Use the Internet in RwandaOnly 17 percent of Rwanda's population (which is approximately 1,530,000) access the Internet. This is in spite of Information Communication Technology (ICT) being the government's master card to transform the country into a knowledge-based economy. This percentage was established from the recent results from the Scan ICT Baseline Survey done by the National Institute of Statistics. The local community usage of internet is way below average compared to UN Agencies and other Non Government Organisations (NGOs) operating in the country. Whereas only 14 per cent of the private sector uses internet and only 12 per cent of the public sector, all UN systems and 26 per cent of NGOs use internet in the country. And while about 45 percent of the public sector has websites, the percentage within the private sector stands at 25 percent. All UN systems in Rwanda have websites up and running. And about 65 percent of the NGOs have websites, according to the survey. Computer usage stands at 37 percent for public sector, 27 percent for private sector 42 percent for NGOs and 71 percent for UN systems. Overall computer usage stands at 34 percent in Rwanda. Low internet usage according to Emmanuel Gatera, the Management Information Systems Director at National Bureau of Statistics, is attributed to high subscription charges by the only three internet service providers (ISPs) in the country; MTN Rwandacell, Terracom Rwanda and Artlel. To subscribe to MTN internet, one requires a whopping Frw130, 000 for an Iternet card plus Frw20,000 monthly fees. At Terracom, an EVDO card for only specialised computers and laptops costs Frw150, 000 with 400Kbps speed. Monthly subscription is $63 (about Frw35,000). Terracom's Asymmetric Digital Subscriber Line (ADSL) goes for Frw50, 000 per month. These tariffs, according to Gatera, could be the highest in the region. ICT penetration in urban areas is by far above that in rural areas. The survey indicates 0.89 per cent penetration in urban and 0.01 per cent in rural areas for computers and Internet connection. Fixed and mobile phone rollout stands at 14 percent in urban areas and as low as 0.6 percent in rural areas. For TV and Radio, penetration in urban is 61.4 percent and 39.8 percent in rural areas. Overall, 41.9 percent of Rwandan households have at least both TV and Radio. Only 0.14 percent of Rwandans have computers connected to the Internet. The recent international investors' conference resolved that government, through Rwanda Information Technology Authority (RITA), should find ways of lowering the cost of ICT in the country to increase access. Rita Director General, Nkubito Bakuramutsa, says the situation is under control. "Rita is building a national ICT backbone that will lower costs of internet to $10 (about Frw5,500) subscription per month," he said in a recent interview. The three ISPs have only until next year for their Iternet provision exclusivity agreements to expire. Bakuramutsa says by that time, the Kigali Metropolitan Network (KMN), the faster fibre optic highway, faster than the common wireless, Vsat and dialup connection, will be ready. He explained that KMN, also referred to as "The Kigali Ring", is a pilot project laid around Kigali that will provide backbone to ISPs. The director said ISPs will be tapping from this faster and cheaper fibre optic highway to sell to people's homes and businesses at relatively lower prices. The project will eventually be rolled out to other major towns like Butare, Gisenyi and Cyangugu, then to other parts of the country. Bakuramutsa says for ISPs to be able to tap KMN, they will need to have proposals that are no way below $10 per month. "The government has injected a lot of money in this highway to host ISPs in the country cheaply so that they can also charge lower to their clients," he explained and added, "ISPs in Rwanda charge highly because of commensurate high hosting costs." Apart from the three local ISPs, other international ISPs are already knocking at Rita's doors ready to abide by the proposed price of $10 per month. There has been a delay in setting up community information centres in rural areas under the Rwanda Telecentre Network (RTN). The RTN was launched in 2005 with the aim of establishing specialised centres with computers suitable for rural setting and connected to internet. According to project plan, within three months, the Ministry of Infrastructure would have established thirty telecentres in rural areas. But since then, nothing tangible has been done. Bakuramutsa, who is hardly three months in office, said the delays were due to mistakes that were made in the project. As such, the project had to be revisited and now 12 fully equipped telecentres will be ready by September, this year. (SOURCE: New Times) SOUTH AFRICA’S GTS UNVEILS ITS Broadband pricingGoal Technology Solutions (GTS), a local company known for embracing Broadband over Power Lines technology, has revealed their broadband pricing structures. GTS’s GoalNet broadband services, which make use of Power Line Communication technologies, starts at R 189-00 per month for a 512 Kbps service with a 500 MB usage limit. Their 1 GB GoalNet offering is priced at R 299-00 while their 3 GB and 5 GB services come in at R 410-00 and R 500-00 per month respectively. Their top-up rate is R 70-00 per GB. All these packages are soft capped and once the limit of the prescribed data is reached, Internet connectivity will simply be throttled to a slower dial-up equivalent speed. According to the GTS website these services are available in GoalNet coverage areas and come with a free plug-and-play modem. GTS has also unveiled the prices for their unshaped ADSL package which starts at R 92-00 for a 1 GB account. Their 3 GB account retails for R 259-00 a month and their 5 GB offering costs R 381-00. Their 10 GB offering is priced at R 667-00 which equates to R 66-70 per GB, a figure that is below current rates from SAIX and Verizon Business based ISPs. All the ADSL packages are hard capped, and according to GOAL they will release their shaped ADSL pricing soon. (SOURCE: MyADSL) IN BRIEF:- Algérie Télécom has launched its first high speed CDMA2000 1xEV-DO wireless in the local loop (WiLL) services. The new broadband system, which is available to users in the capital Algiers, allows for the convergence of the operator’s PSTN, ADSL and WiLL systems. Equipment was supplied by Huawei. - Google has opened an Egyptian office to help market its Arabic products in the region. Google has developed Arabic language versions for online services such as Google News, Gmail and Google Earth. Internet use is growing rapidly in the Mena region, with 12.4m people expected to be online in Egypt alone by 2010, according to Madar research cited by Google. - Apparently the WAFS consortium is having troubles with members north of Angola, both in terms of raising financial commitments but also in terms of agreeing the terms under which the fibre will operate. - Nairobi airport’s wi-fi hot-spot is not working and no-one knows why. You can see it but cannot connect to it. The problem has been there for over a month. Why has it not been fixed? - Telkom Kenya’s much vaunted VoIP pre-paid calling card is still using TDM and has not transitioned to a VoIP plarform. - Sentech is shortly to launch a T-CDMA network in Kenya, joining over four others all planning to roll-out some kind of wireless infrastructure. - The Ethiopian Government has conducted another sweep of cyber-cafes offering VoIP calling services. Some of the users arrested were so young that they had to be released. - This week Inmarsat relaunched its regional BGAN service in Kenya as if it were a new product. This satellite Internet access product is extremely expensive to operate although we hear prices are coming down. Two years ago it cost $11 a meg to download but this is now down to US5 a meg and if you are using large volumes $1 a meg. It might actually be a widely used product if prices came down even further. The system can offer download speeds of up to 492 kbps per second and is able to combine voice and data.
Acer still the vendor of choice with Tunisian Ministry of EducationAcer Computer, a Middle East and African supplier of notebook and desktop computers, has signed a deal to supply the Tunisian Ministry of Education (MoE) and the Ministry of Technology (MoT) with high-end Acer desktops and notebooks. In the third deal of its kind, Acer became committed to delivery of 1,800 high-end commercial desktops to the Tunisian Ministry of Education. Acer has already supplied more than 4,758 desktops to the Ministry of Education in the last two years. “This deal is not just a significant milestone for Acer, it is a reflection of the strength and presence of Acer as a brand, especially with educational institutions across the region,” said Mohammed Hilili, Country Sales Manager, North & West Africa, Acer Computer, (M.E) Ltd. “Acer is fulfilling existing commitment to supply Ministries of Education in Oman, Ethiopia, Morocco, and Jordan with high-end Acer computers,” added Hilili. Acer Computers has a strong presence in Tunisia. It has been the vendor of choice for the Tunisian Ministry of Technology for two years, with more than 8,950 notebooks and desktop computers already delivered. As part of the deal, the IT vendor will also provide after sales support through its partner Tunisie Micro Informatique. “We have had a close association with Acer Computers on strategic enterprise projects, and this new deal solidifies and demonstrates the corporate and business offering we can provide to valued clients,” said Mondher BenAyed, Chief Executive Officer, Tunisie Micro Informatique. (SOURCE: Al Bawaba ) Microchip Maker AMD Aims at South AfricaMicrochip manufacturer AMD aims to increase its market share in SA from a mere 5% to 29% in the next few years after opening an office in the country. Although the move initially raises its local staffing level from two to three, the new country manager has been instructed to make substantial headway in a market dominated by Intel. Imi Mosaheb would not say how much cash AMD has earmarked to support him as he launches new marketing campaigns, sales drives and training courses. AMD's microprocessors and graphics cards are imported by local computer manufacturers Mustek, Sahara and Pinnacle Micro, which use the components themselves as well as resell them to smaller manufacturers. Mosaheb said there was no intention of disrupting those channels, although he would be responsible for business development, including building relationships with key customers. He has 16 years of experience in the industry; for the past five years with AMD. It was difficult to ascertain its market share in SA, he said, yet AMD felt it was selling more products than the 5% that analysts credit it with. "Our worldwide market share is 29%, so to bring SA in line with that would be good," he said. Its rival Intel is about 10 times bigger than AMD. CEO Hector Ruiz said the new office would open next month as a result of AMD's significant growth in SA. According to research by BMI-TechKnowledge, its sales rose 61.3% year on year in 2006."SA is becoming increasingly prominent within the global IT market and is vital to AMD's overall success," Ruiz said. Despite SA's population of 45-million, only 1,8-million PCs were likely to be sold in SA this year. "Given the size of the population, that's a phenomenal opportunity to figure out what you have to do to make sure technology is affordable," he said. "Technology isn't useful if it's not accessible by the vast majority of people, so our strategy is to lower the cost of technology more so people around the world can have access to it regardless of the income of the individual." While Ruiz was in SA he met President Thabo Mbeki and Deputy President Phumzile Mlambo-Ngcuka to assess the local progress of AMD's 50x15 initiative. That is a scheme to provide affordable computers and internet access to half the world's population by 2015. Ruiz also discussed AMD's presence in SA and its efforts to promote fair competition in the country. "Every segment of our life is affected by computer technology and the biggest source of innovation is fair and open competition. It's really important that the environment nurtures competition," Ruiz said. If growing its business in SA meant selling shares to local black investors, then New York-listed AMD was certainly willing to consider that, he said. (SOURCE: Business Day) Will E-Learning Make Teachers Redundant?Does electronic learning (eLearning) threaten to displace the teacher? This question emerged at an international conference held in Nairobi last week, attended by 1,400 people from 88 countries. The latest in information communication technology (ICT) with a focus on education, training and development was showcased. eLearning makes use of computers, radio or television in addition to books and classes. It ranges from single users to group learning in class. Students are able to talk on-line and exchange ideas. It is participatory and allows the sharing of learning material between networked users. The format helps to reinforce what has been learnt through the use of graphics and pictures. Students can hear sound and practise on their own. The greatest advantage of eLearning is that users can learn at their own pace. The New Partnership for Africa's Development (NEPAD) is encouraging countries to adopt eLearning. Jenny Cole of South African-based NetLearn tried to dispel fears that the method will eventually render teachers jobless. "eLearning does not take the teacher out of the classroom. You need a teacher to drive e-Learning," she observed. John Matogo, a lecturer at Kenya's Strathmore University, said eLearning complements the work of teachers. "eLearning facilitates the provision of extra material on-line. Sometimes it is impossible to give personal attention to students, so they can send questions on-line and communicate with other students." Kenyan education minister George Saitoti said at the opening of the conference that the ICT method of education was cost effective compared to the current modes of teaching used in schools. "With eLearning, one teacher can reach many learners through video conferencing and other modes." But Chris Smith, a lecturer at the UK-based University of Bolton, said African teachers risked being made irrelevant by the adoption of e-Learning unless they were trained in the field. When it comes to other areas, eLearning has reaped some fruits. NetLearn supplies its services to the long-distance University of South Africa (UNISA) and currently deals with 14,000 students. "We are having great successes with the International Computer Driving Licence (ICDL)," said Cole. "The technology is improving. Our accomplishments come from having a mixed approach, blending books, eLearning and workshops," added Cole. UNISA is looking at rolling out ICDL to other faculties. The health department in KwaZulu Natal, one of South Africa's provinces, wants over 3,000 health workers in the seaside city of Durban to be provided with the latest treatment information, including on HIV/AIDS, through an interactive health education project. The educational material in the project is being created by the nurses themselves, to be shared on-line with professional peers. Peggy Nkonyeni, the provincial health minister, has a long-term vision of nurses and other health workers using the programme to support their professional development. Strides have been made in the NEPAD e-schools initiative. The project was initiated in secondary schools with the aim of reaching young Africans and enabling them participate in "the global information society and knowledge economy". A key output expected from the project is to impart ICT skills to young Africans in primary and secondary schools and to harness ICT to improve and expand education in African schools. Countries which have embraced eLearning by participating in the NEPAD initiative include Algeria, Burkina Faso, Cameroon, Gabon, Ghana, Mali, Mauritius, Nigeria, Rwanda, South Africa, Uganda, Mozambique, Egypt and Lesotho. Six schools from each participating country were selected for the demonstration project. The pilot phase has successfully been concluded. The schools have been equipped with computer laboratories, networking facilities and internet access. The next phase will involve getting partners to equip secondary schools with ICT infrastructure and training stakeholders on how to implement eLearning in schools. For some participants, like Zambia's education minister Geoffrey Lungwangwa, the digital divide between Africa and developed countries can be bridged by embracing eLearning. Emmanuel Odhiambo of Computer Networks Company which provides eLearning in 13 African countries noted the high cost of equipment as well as lack of local expertise. "When machines break down after we are gone, there is no one to repair them." Building capacity to reach the remotest parts was cited as a challenge by speakers from Uganda, Nigeria and Ghana. Ghana's deputy minister for education, Kwame Amporfo Twumasi, advised African countries to develop their own eLearning curriculum to suit the African situation. Maria Levy of Eduvision, a South African education ICT company, said her company was developing software that would digitize textbooks and make them available to schools across Africa. "We will digitize school textbooks and use a satellite network to relay the contents to students. All a student will need is an aerial and a server," she said. The Kenya Institute of Education is also in the process of digitizing the school curriculum to lay the groundwork for learning and teaching using ICT. (SOURCE: Inter Press Service) No Ubuntu Dells for SOUTH AFRICA, yetDell last week launched one of their desktops and two of their notebooks with Ubuntu preloaded, causing much excitement among the Linux community. Unfortunately, as it turns out, the launch has been limited to the US so far. Tectonic spoke to Dell's local mobile brand manager to find out when these machines are likely to reach South African shores. Gavin Slevin, Dell South Africa's mobile brand manager brought some clarity to the issue. He confirmed that the Ubuntu machines are currently only available in the US, saying that Dell was taking a phased approach to the roll out. The biggest factor in bringing out Ubuntu machines is that of "skilling up" their support staff. "Currently we can't support our customers in the manner to which they have become accustomed," explained Slevin. So, the big question, when will they be available in SA? Cautiously, Slevin explained that he could not give a timeline, as there was not yet one in place. Pressed for at least a rough guesstimate, Slevin said that if he were to guess they would probably be available by the end of next year. There is the possibility that if sufficient demand is generated in South Africa for the machines, that this could be sped up. It was precisely because of this reason that this happened in the USA, where 30 000 people requested Linux on Dell's Ideastorm site. A follow up survey saw 100 000 people respond positively to the idea. Slevin said that with sufficient numbers, he might be able to encourage the company that there is strong local support and a waiting market for pre-installed Ubuntu. If you would like to see Dell bringing preloaded Ubuntu machines to South Africa, please leave a comment below. Slevin revealed that it is however possible to order a non Microsoft machine from Dell in South Africa and that customers must just advise the sales person that they want to run Linux. Dell will not be able to offer its usual customer support for these machines, but for Linux enthusiasts who are used to sorting out their own problems with the help of the online community, this shouldn't be a problem. (SOURCE: Tectonic) IN BRIEF:- Microsoft is boosting its operations in Tunisia . The inauguration on Thursday at la Ghazala technological park in Tunis of the "Microsoft Innovation Center" which is part of a partnership agreement signed in July 2006, between the software giant and the Tunisian government, is an indication of the company's desire to intensify its strategic partnership with the country. - A version of Wikipedia aimed at school children has been launched with the content limited to articles suitable for children. Accessible online and as a download, the encyclopedia will soon be found in all tuXlab schools in South Africa. - In Kenya, the Government plans to invest Sh7.8 billion to lower the cost of Information and Communication Technology (ICT) connectivity. The elaborate investment plan, dubbed Kenya Transparency and Communications Infrastructure, is expected to finance government's initiatives to computerise its systems and facilitate high-speed connectivity to rural areas. - Ingram Micro SA, a division of Ingram Micro, a global technology distributor, has officially opened its doors in South Africa, promising to bring the most complete portfolio of IT components, peripherals and accessories to the local reseller and system-builder community. - UNIDO and Microsoft signed an agreement in Ouagadougou to implement a common initiative to equip African Small and Medium Enterprises (SMEs) with second-hand computers collected from big companies. - Intel is to team up with Asustek Computer Inc to produce a cheap computer for developing countries that might sell for as little as $200 but going up to $4-500. One Laptop Per Child has moved its launch date back to July this year. It may well have a flash memory hard drive, a 7-10 inch screen and wireless Internet. It will either run a freely available Linux operating system or Windows XP. - Several reports reach us of customers on a variety of PCs suffering screen “blue-outs” when running Windows Vista. One customer said Microsoft responded very quickly with no less than 40-plus patches that had only been written in the previous week. Any other readers have this experience? - IATA has extended its e-ticketing deadline by five months according to an announcement made by IATA in Vancouver lat week. IATA expects Africa to reach 84% compliance by the end of the year.
Econet Raises Us$15m for Nationwide Expansion Drive in ZimbabweMobile telephone services provider Econet Wireless has raised US$15 million for its nationwide expansion drive aimed at improving service and reducing congestion that has dogged the telecommunications sector. Econet was seeking to raise more than US$20 million for network expansion and has had to float 10 percent of its shares in foreign currency to foreign investors. Last week, the company's shareholders gave unanimous approval for the company to issue new shares to foreign investors and subsequent to the approval, the company said it had already reached an agreement with a South African institutional investor who will buy new shares for US$15 million. This is the first time the company has raised equity finance by issuing shares to a foreign investor since it was listed in September 1998. The company says it is finalising the purchase arrangements with the investor. Econet intends to use the proceeds of the sale to help finance its expansion from 800 000 to 1,2 million subscribers. Econet has also secured vendor financing and loans for the rest of the expansion. Econet Wireless Zimbabwe chief executive Douglas Mboweni said the issuance of new shares to raise foreign currency had become necessary because of the acute shortage of foreign currency in Zimbabwe. "As a company we generate a lot of Zimbabwean dollars, but we cannot obtain foreign currency to pay for equipment.This issuance of shares has allowed us to raise money from our foreign shareholders as well as new investors," he said. (SOURCE: The Herald) South Africa’s Datatec Buys Out Carotek DivisionTechnology company Datatec has spent $6,9m (about R49,1m) to buy out the information tech- nology division of Carotek in the US, the company said last week. The price will be covered by $3,4m in cash and by issuing 624092 new shares in Datatec. Carotek ITD will be folded into the US arm of Logicalis, Datatec's second-largest subsidiary which supplies technology infrastructure. The move will beef up the presence of Logicalis in five states and strengthen its ability to serve customers using technologies from HP. The acquisition will add 30 staff and increase Datatec's annual revenue by about $25m, while pumping up its pretax profit by $1,5m. CEO Jens Montanana said Datatec was a leading supplier of HP technologies in the US and elsewhere, and was committed to growing that business. "This acquisition furthers our geographic reach into the southeast of the US and increases our sales and technical talent pool around HP enterprise products and services," he said. Other expansion activities are still in the pipeline, particularly in emerging markets. Montanana said last month two substantial acquisitions were pending in Africa as it bought out distributors active in markets including Nigeria. He also promised to strengthen its presence across Europe and begin operating in Turkey. Datatec traded 10c down at R40,50 last week. This week, Montanana exercised 700000 share options at a strike price of R10,96 and another 202369 with a strike price of R7,44, giving him another 900000 shares in the company for R9,17m. (SOURCE: Business Day) MOZAMBIQUE BYTES BOUGHT BY LONRHOLonrho has acquired 65% of one of Mozambique’s largest commercial Information Technology Solution Providers, Sociedade Comercial Bytes & Pieces, Limitada (“Bytes & Pieces”), which provides turnkey network solutions and maintenance and support to Mozambique businesses, NGO’s and Government organisations. Bytes & Pieces featured at 53 in the KPMG “Top 100 Companies in Mozambique” survey in 2004. Bytes & Pieces is an authorized distributor of Dell equipment in Mozambique, providing Enterprise Solutions on a Dell hardware platform. The IT company is a Microsoft Certified Partner and was awarded the System Builder Partner of the Year 2006 for East and Southern Africa. Bytes & Pieces is also an authorized distributor or value added reseller for CISCO Systems, MGE UPS Systems and Legrand networking products. Lonrho is buying the stake in the Bytes & Pieces for $2.34m and will take up two thirds of the board positions. The two founders of Bytes & Pieces, Vijay Thadani and Veronica Miller, will together retain 35%. Bytes & Pieces recorded profits before tax of US$854,000 in 2006, on revenue of US$8.6 m. The company now plans to expand into the region using the Bytes & Pieces model with a distribution division for high quality networking products and also with an Enterprise Solutions implementation division based upon the Dell hardware platform. The first countries in which the company will expand include South Africa, Zimbabwe, Zambia, Swaziland, Lesotho, Botswana, Namibia, Malawi and the Democratic Republic of Congo. Lonrho Chairman and CEO David Lenigas commented “As the majority shareholder in Bytes & Pieces, Lonrho intends to further build on the IT company’s success and replicate the business model built up in Mozambique to the rest of Africa.” “This acquisition is another example of Lonrho’s strategy of investing in African infrastructure. We are entering into this field as it services African business with high quality IT solutions, an essential tool for helping them to grow and prosper while keeping up with the rest of the world” IN BRIEF:- Telecom Namibia will launch a Black Economic Empowerment (BEE) procurement policy to take a proactive approach in redressing socio-economic imbalances in the country, the company announced. - The Development Bank of Southern Africa (DBSA) is to contribute USD13.5 million to support a large-scale network infrastructure development project by Celtel Zambia. The five-year project aims to increase access to mobile telephony services in Zambia, by expanding Celtel Zambia’s network to over 100 towns that currently do not have access to telephones. An estimated USD105 million will be spent on phase one of the network expansion project alone.
Firefox 2 speaks AfrikaansThe popular Mozilla Firefox web browser has been translated into the South African Afrikaans language. Afrikaans is one of 11 official South African languages. The Afrikaans translation is the work of non-profit Translate.org.za and its volunteer community. This is the first official release of Afrikaans translations in the Firefox 2.0 series. Between 15 and 20 percent, or almost 1 million South African internet users, make use of the Firefox web browser to view the Internet. Translate.org.za has been creating interim builds for testing for a number of months, says Dwayne Bailey, director of Translate.org.za. "This is the most extensively tested translation release of ours to date. We think our Afrikaans users will appreciate the time and effort that we have taken to ensure quality". Translate.org.za is a non-profit organisation focusing on delivering free and open source software in local languages. They won the African ICT Achiever award in 2006 for bridging the digital divide. "Firefox is one piece in the puzzle of creating a fully Afrikaans computer," says Bailey. He says that with growing Afrikaans internet content it has become more important to have a web browser in Afrikaans. Bailey says that the team has also been translating Firefox into all the other official South African languages and these are currently being tested before release. Translated into more than 41 languages, Firefox 2 is available in a native language version for more people around the world than any other Web browser. "Firefox 2 delivers the best possible online experience for people today," says Mitchell Baker, CEO, Mozilla. "The improvements Mozilla has made to the ease of use, performance, and security in Firefox 2 reflect our ongoing, singular focus on meeting the needs of Web users all over the world." The latest version can be downloaded free from http://www.mozilla.com/firefox/all.html. (SOURCE: Tectonic) Science Vice Minister for Co-Operation On Government's Portal in AngolaThe deputy minister of Science and Technology, Pedro Teta called Thursday, here, for a greater co-operation of government institutions towards the updating of information of the Angolan Government's Web Portal. According to Pedro Teta, there is a need for a constant updating of the portal's information and provide subjects about the services supplied by Ministries, specially the Organic Statute to be published. Speaking at the workshop on "The Government's Portal - Electronic Governance" for journalists of various organs, the deputy minister affirmed that this co-operation is indispensable for the success of the project. To Pedro Teta, each Ministry should at least identify 20 services to be made available and the forms for citizens to have access to them. At the moment, according to the government official, the portal has about 40 services available that he considered as insignificant compared to the number of Ministries in the country. The deputy minister said that there is a need for a greater sensitisation of the population and of government officials on the portal's importance and for the effect he called for the collaboration of journalists. Pedro Teta explained that to meet the new dynamic, the government has to modernise, make flexible and develop competences that enable public sectors to improve procedures so as to turn them more productive and closer to citizens. The official stated that the path to meet these challenges demands commitment to information technologies and boosting of the creation of an information society and a strong dedication towards electronic governance. He informed that the National Information Technologies Commission is holding awareness campaigns, countrywide, to informa citizens on the importance of the portal and of electronic governance. The Government's Portal is a project that at stage of evolution. It is divided into three levels, the portal of the citizen, the administrative and of the government. Citizens' Portal reflects all the services of government organs. It has services, forms and legislations, whilst the administrative portal is restricted and the government's has information on the whole administrative sector. He stressed that the portal that citizens can have access to at the website www.angola-portal.ao will enable a better interaction between the Angolan executive and the citizen, apart from government departments. The workshop that is being promoted by the National Commission of Information Technologies proceeds Friday with another group of journalists. Last April the commission held a seminar for public managers. (SOURCE: Angola Press Agency)
PEOPLE- Connie Molusi, the ousted CEO of media company Johnnic Communications (Johncom), has taken up the position of chairman at Telkom Media in South Africa. - Michael Foley has recently joined Celtel Nigeria as Chief Commercial Officer. - Storm Telecom has appointed Willem van Rensburg, previously head of strategy and telecommunications at BCX, as CEO. The two founding shareholders, Tim Parsonson and Tim Wyatt-Gunning, have handed over the reins. - Joseph Mucheru has been named the new site lead for Google Kenya. - Nnamdi Nwokike was recently endorsed as the CEO of West African Telecommunications Regulators' Assembly, WATRA, at the General Meeting of the body in Bamako, Mali. - Steven Hayward, Telkom’s managing executive of retail marketing at Telkom South Afric , has resigned. Erna Korff has taken Hayward’s place as acting Managing Executive. - Technology company GijimaAST has appointed Jonas Bogoshi as its new CEO, poaching him from the State Information Technology Agency (Sita). EVENTS- ICTs for Civil Society CONFERENCE June 2007 – South Africa The conference and exhibition organised by SANGONeT will be aimed at increasing NGOs’ awareness of the strategic importance of their websites and the online environment in general. For further information visit http://sangonet.org.za - HIGH SPEED ACCESS TECHNOLOGIES Conference 19-21 June 2007, Gallagher Estate, Johannesburg, South Africa IQPC's 2nd Annual High Speed Access Technologies conference is perfectly positioned giving you answers at a critical time offering an objective platform for you to hear case studies on current obstacles and successes of Broadband. You will also be able to join us for a Site Visit To the Eskom Test Site. This site visit will show you what progress has been made over the past few years and what MainNet is doing to promote broadband over Power Lines. For more information please contact Susan Theron on +27 (0) 11 669 5019 or visit our website http://www.iqpc.com/za/highspeed - SatWiBB Africa: African Satellite & Wireless Broadband Conference & VoIP Forum EAST AFRICA: Safari Park Hotel, Nairobi, 11-13 July 2007 WEST AFRICA: Muson Centre, Lagos, 21-23 August 2007 Theme: ”Broadband bridges across Africa: First and last mile solutions” Local and international industry leaders will make presentations on the following topics: Efficient bandwidth delivery mechanisms Next Generation Networks: Selecting the right migration path Building wireless communities Fiber optic vs. satellite-based connectivity: Do they compete or do they complete? DVBS2: Its role in trunking Rural Wireless: The role of WiMAX, WiFi, CDMA and hybrid technologies VoIP survival strategies for telcos, ISPs and cyber cafes Build vs. buy: VoIP solutions for Africa Providing a VoIP service over a WiMAX network Maximising international VoIP services The event also includes a Masterclass on Building Wireless Communities by Paul Munnery, CEO, Wireless Digital Cities, UK To request full details, email info@aitecafrica.com or log on to www.aitecafrica.com - Telecoms World Africa 31st July - 2nd August 2007, Johannesburg, South Africa Key decision-makers in South Africa and leading international players will share their expertise and forge invaluable business relationships in a highly interactive environment. For further information visit www.terrapinn.com/2007/telecomza - Wi-World Africa 2007 27 – 30 August 2007, Michelangelo Hotel, Johannesburg, South Africa. In Africa, fixed-line infrastructure is lacking and there is a major problem with copper wire theft. Wireless communication is therefore a great alternative. For further information visit www.terrapinn.com/2007/telecomza - ICT Africa 2007 October 1-5, 2007, Kenyatta International Conference Centre, Nairobi, Kenya ICT Africa is an annual continental information and communications technology conference addressing all aspects of ICT development in Africa. The conference is convened by NEPAD council in collaboration with the NEPAD Kenya secretariat. The 2007 event will be organized by Global Conferences, Cape Town, South Africa. For further information contact rjacobs@globalconf.co.za - Infrastructure Partnerships for African Development (iPAD) Central Africa 3rd - 5th October, Kinshasa, Democratic Republic of Congo iPAD Central Africa 2006 provides an opportunity to network directly with key partners. The event aims to facilitate regional planning and collaborations under one roof between government, the public sector and business. iPAD Central Africa 2006 is a one-stop-shop for investigating investment opportunities in DRC and the Central African region as a whole. For further information visit http://www.spintelligent-events.com/ipad-central2006/en/ JOBS AND OPPORTUNITIESCall for Journalist participation to Web2forDev 2007 The Web2forDev 2007 is the first international conference to discuss how new internet tools commonly known as Web 2.0 can be used to the advantage of Southern actors to more efficiently network, collaborate and exchange information in the field of rural and agricultural development and natural resource management. CTA will support three journalists from Africa, the Caribbean or the Pacific (ACP countries) to attend the conference and lead its daily coverage. For further information please email radio@cta.int IN / VAS Project Manager - Tanzania The company is looking to recruit an IN / VAS Project Manager with strong Project Management background with IN/VAS on Ericsson nodes (PPS, CS3.0, DWS, CCN) and strong customer focus. For further information contact advertising@balancingact-africa.com CONTRACTS: WHO'S SELLING WHAT TO WHOM?Tunisie Télécom and Cisco - Tunisia According to Telecompaper, Tunisie Télécom (TT) has inked an agreement with Cisco for the latter to offer managed services to the operator’s enterprise customers. According to the news agency, the relationship aims to strengthen TT's position as a provider of integrated data services and to increase marketing of its Cisco product based services.
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