Growth of broadband in South Africa is restricted by availability, not
affordability.
Competition is encouraging investment in coverage and driving prices down.
Broadband household penetration is expected to increase from less than 1% at
the end of 2006 to 10% in 2012.
SPOTLIGHT
Conditions in South Africa are such that we expect a surge of growth in broadband take-up over the next few years. A significant portion of the country’s households can afford broadband. However, a lack of competition, a lack of investment, and long local loops have meant limited broadband availability, long waiting lists, and poor service. This is changing as competition intensifies in South Africa; the incumbent is also reacting to a changed environment.