Altech and CityNet signs agreement

ADSL South Africa (Broadband South Africa), 29 April 2007

South African IT company, Altech, has signed an agreement with CityNet Wireless, an US-based wireless service provider, and its global licensing partner, CityNet Wireless International.
 
‘The agreement aims to enable Altech to enter the broadband infrastructure and operator space in sub-Saharan Africa, using the technology currently in operation in more than 40 cities worldwide’ (Altech and CityNet to provide broadband Internet access services, ICTWorld, April 2007).
 
In other words, the agreement will enable Altech to provide Internet access services in sub-Saharan Africa, including South Africa.
 
Why sign an agreement with CityNet and not a local service provider instead?
 
Altech has good reasons for signing the agreement with CityNet which include:

  • Global experience – According to Altech CEO, Craig Venter: “Broadband network delivery systems are now at the centre of all global digital communications” (Altech and CityNet to provide broadband Internet access services, ICTWorld, April 2007).
     
    In other words, it makes sense to get a partner with global experience.
  • Cost effective – Also according to Venter: “Our choice of CityNet Wireless as our technology partner in this deal reflects our strategy to expand into broadband markets in Africa, where cost-efficient use of advanced IP-based wireless networks is the key to meeting massive pent-up demand” (Altech and CityNet to provide broadband Internet access services, ICTWorld, April 2007).
     
    ‘CityNet Wireless, which has been deploying wireless WiFi mesh networks globally since 2003, including densely populated cities, such as Houston, Panama City and Mexico City, says that it has been successful in reducing the traditional cost of urban networking, using a combination of standard WiFi protocols, mesh architecture for redundancy and network flexibility, and network management software tools’ (Altech and CityNet to provide broadband Internet access services, ICTWorld, April 2007).
     
    In other words, teaming up with CityNet enables Altech to provide cost-effective Internet access services.

ADSL South Africa (Broadband South Africa) welcomes Altech’s move since it will help to introduce cost-effective broadband Internet access services to more people South of the Sahara Desert.

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