STATE’S TELECOMMUNICATIONS PLANS
Telkom-Cell C merger to grow connectivity in SA
The potential tie-up of Cell C and Telkom could boost the government’s plans to increase connectivity to all citizens, analysts said on Wednesday. It emerged this week that Telkom might make another bid for Cell C, which was downgraded in January by ratings agency Standard & Poor’s for missing payments to creditors. Cell C is already in discussions with Blue Label, which wants to buy 45% of the business. The government, which owns 39% of Telkom, wants every citizen to have access to broadband coverage and services in the coming years. Anesu Charamba, team leader for information and communication technologies (ICT) at Frost & Sullivan Africa, said the government would gain a significant presence in the mobile market, which could be used to increase connectivity to all citizens, especially in rural areas.
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