Between two stools : broadband policy in South Africa
Date
2007
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Southern African Journal of Information and Communication (SAJIC), The Edge Institute / Research ICT Africa, Braamfontein, ZA
Abstract
This paper explores the underlying causes of South Africa’s relatively poor broadband penetration despite
Government’s acknowledgment of its centrality to a modern economy and information society. South Africa’s broadband policy
has emerged from two apparently contradictory policy approaches. Until these are resolved, the sector will remain inert between
two strategies, unable to move forward on either. On the one hand, broadband has evolved within the context of “managed
liberalisation”, a local adaptation of the international telecommunications reform model. This has created a market structured
around a number of vertically integrated operators, fixed and mobile, whose services have evolved to offer broadband. The latest
phase of this model is expressed in the Electronic Communications Act which came into force in 2006 and reforms the regulatory
and licensing framework to address the challenges of convergence. Within this context, broadband uptake has been relatively
poor and costs of ADSL and mobile HSDPA services remain high as a result of limited competition and ineffective regulation. This
has prompted Government to adopt another strategy, in parallel with its current reform process. It has initiated a fully stateowned
broadband operator, which is also expected to address the high cost of international cable bandwidth currently provided
exclusively by the incumbent. This paper examines the underlying reasons for the development of these two potentially
contradictory processes and their institutional arrangements to assess the implications for the achievement of national policy
objectives on broadband extension.
Description
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Journal Article (peer-reviewed)
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Keywords
RESEARCH NETWORKS, INFRASTRUCTURE POLICY AND INDICATORS, COMMUNICATION POLICY, TELECOMMUNICATIONS, BROADBAND