Sharp and Clear Strategic Focus

Our strategy going forward is to:

  • Lead in data and broadband, and in Fixed Mobile Convergence;
  • Grow Telkom Business revenues by diversifying the service portfolio;
  • Regain market competitiveness in the consumer market;
  • Consolidate our position as wholesaler of choice;
  • Focus on profitable market segments and services;
  • Enhance operational efficiency.

The strategic imperatives above were informed by renewing and refining Telkom's tactical initiatives across our key business areas as follows:

Growing and defending profitable Telkom Business revenues

Telkom Business aims to be the market leader in Converged ICT. We will retain market leadership in fixed communication services, and additionally become the industry leader in converged communications and cloud services. In order to achieve this we will leverage our two biggest assets: our unmatched business customer base and the unique combination of our fixed network, our mobile network, and our data centre operations.

Delivering on our investment in Telkom Mobile

We are committed to the mobile business and, although tactics may change from time to time, the broader strategy to defend erosion in our fixed-line business while growing converged delivery channels to our customers remains a key priority. Meeting the growing data demand in South Africa is a core feature of our mobile strategy and it is essential that this be done in such a way that it does not lead to cannibalisation of our other services. Instead, we must offer services that reward the customer for using Telkom's products with varying levels of incentives depending on the customers' level of loyalty.

Growing and defending profitable revenues in Telkom Consumer Services & Retail

Using Telkom's extensive network and integrating this with consumer related products such as mobile we are uniquely positioned to meet the future demand for converged communications and increased broadband needs. We intend to work more closely with partners to offer value-added broadband services. The products that we would look at investigating are those that are bandwidth intensive. As an example, Telecoms companies worldwide continue to exploit video-on-demand services and Telkom would look into this as a potential future value added services. The group recently signed an agreement with electronics manufacturer Samsung to provide entry-level Smart TV services to consumers and we expect further innovations in this regard going forward.

Transforming and upgrading the Telkom network

Telkom announced our network transformation programme as a key enabler of the company strategy. We have since achieved major traction against these plans as we work towards delivering an all-IP (internet protocol) network, designed to enable efficiency, fixed-mobile convergence and truly differentiated high speed broadband. The network transformation intent is to take our fibre deeper into the network and smartly leverage a mix of high speed broadband access technologies. Our aggregation network is increasingly able to support super-fast transmission and enable a superior browsing experience. We have also transformed our national and regional transmission networks which has evolved from carrying Gbit/s to Tbit/s throughput with great resilience and manageability. Our international connectivity has received a major boost to ensure worldwide reach with superb capacity and resilience. Telkom's network transformation is bound to change the face of broadband capability in South Africa.