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What about Cape Town and other areas in South
Africa?
Capetonians and people living in other areas of South Africa will be connected but will
have to be extra patient.
Capetonians will have to be extra patient because it’s clear that Neotel’s rollout in Cape Town has so far been slow due to
the city’s landscape. People living in other areas of South Africa, especially rural areas, will also have to be
extra patient. Fortunate for some and unfortunate for others, economies of scale are playing a huge role in
Neotel’s expansion. It makes more sense to first rollout in highly populated areas (urban areas) with a higher
disposable income, and then to use the income derived from those areas, to expand into less populated areas
(rural areas) where the disposable income is on average much lower. In Cape Town’s case, it’s clear that the
landscape is playing a huge role in the speed of Neotel’s rollout and not necessarily the size of the population
or a lack of disposable income.
In other words, Capetonians and people living in other areas of
South Africa will be connected and not be left in the cold by Neotel.
ADSL South Africa (Broadband South Africa) is happy
that Neotel is able to secure additional funding for its expanding programme. South Africans deserve a much
better alternative than Telkom.
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