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71

Telkom Integrated Report 2017

Productive

capital

Openserve is investing

for future growth

Our investment to

modernise the network,

by covering multiple

fibre connection points

to homes, businesses,

cabinets and base stations,

continued to ensure that

we maintain and grow

our market share in the

fibre market. We made

significant inroads in our

strategy to modernise our

network, having passed

more than 2.2 million

premises with fibre. This

was underpinned by

an increase in capital

investment, improved

efficiencies in network

roll-out and more

streamlined processes.

We continue to lead in

the fibre market, providing

high-speed next-generation

broadband access with

over 149 000 kilometres

of fibre deployed.

The number of homes passed

with fibre (FTTH) increased by

169.7 percent to 219 825 homes,

as we improved our deployment

approach and focused on gated

communities and key suburbs.

Of this, 40 627 homes benefited

from our accelerated refreshing

programme. This translates to a

connectivity rate of 18 percent

(FY2016: 10 percent). Our

connectivity rate was higher this

year, at approximately

23.4 percent, reflecting our

increased efforts to commercialise

our network. This was also

supported by an extension of our

fibre resellers, which increased

to 144.

We increased the number of

fibre end-point connections to

businesses to 52 755. This allowed

us to provide multiple services

with high-speed links to major

corporates in South Africa, catering

for their major site requirements

as well as lower-speed fibre-based

metro ethernet links, for the branch

connectivity.

This sound performance was driven

by a significant demand and uptake

in fibre solutions as customers

increasingly see fibre as a cost-

effective, high-bandwidth medium

that fulfils their current and

future needs.

We increased the number of

fibre links to base stations to

5 928, which provides services to

mobile players. Our pricing and

engagement strategy continued

to make headway in reducing

self-provisioning, resulting in

an increase in orders from our

customers. The strategy stimulates

growth in our megaline circuits and

other products that service the

requirements of our clients at the

base stations.

While we drive the fibre rollout,

we continue to see a market need

for using our existing network,

enabling access to internet at the

required speeds. To this end, we

have seen an increase in fibre to

the cabinet by 37.2 percent to

approximately 2 million.

Customer experience remains a top

priority to us. With our internal big

data analytics services, we are able

to accurately predict problems and

have better access to information

that allows us to have a more

proactive approach to managing

our network. Several initiatives

underpin this drive, which include

the implementation of the digital

technician concept, improving

our dispatching methodology

and ensuring quality productivity.

The aim is to improve customer

satisfaction and improve internal

efficiencies by driving the first-

time-right principle. We will

continue to improve our fulfilling

and assurance processes.