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Sentech puzzles market

ADSL South Africa (Broadband South Africa), 16 September 2007

Sentech’s last minute pullout from the pay TV race on Thursday came as a surprise to many players in the telecoms market.
 
Sentech said: “The decision to step out the pay-TV arena was a strategic business decision which will have no negative impact on Sentech’s current business affairs, or future business affairs” (Sentech pull-out from pay-TV race a puzzle, Tom McLachlan, Business Day, 14 September 2007).
 
In other words, it’s business as usual for Sentech who ‘….partnered with the SABC in an attempt to obtain a pay-TV licence…’ (Sentech pull-out from pay-TV race a puzzle, Tom McLachlan, Business Day, 14 September 2007).
 
‘The Independent Communications Authority of SA (
Icasa) said on Tuesday that it had received the late notice from Sentech on Monday, just two days before the authority was to announce the finalists to the market’ (Sentech pull-out from pay-TV race a puzzle, Tom McLachlan, Business Day, 14 September 2007).
 
In other words, it is clearly a last minute pullout from the pay TV race.
 
Were any reasons given for the pullout in Sentech’s letter to Icasa?
 
No, but ICASA is planning to meet with Sentech to discuss the matter.

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