Vox CEO points to fibre migration
Vox CEO Douglas Reed says that the telecommunications group is in the process of moving its business products off ADSL solutions onto fibre.
Vox is an independent telecoms operator, providing voice and data services to the Southern African market.
The group, which delisted from Alt-X in December, is focused on providing internet connectivity and converged Internet Protocol (IP) services to business customers.
“In the ADSL space we’ve always sold other people’s services, and about a year/18 months ago, we decided to covert that ratio. So typically Vox Telecom had 20% of our services came off our network, 80% we resold,” he said adding that it led to R1.5 billion in turnover.
“Now what we have done is we have reversed that ratio, so 80% of the products we sell are on our network, which gives us instant access to lowering input costs, so we can be far more aggressive, we can tailor-make, we can provide unique, niche products, and it’s much better for us to compete.”
He said that the move “has taken a little bit of investment, a little bit of a change, but we are looking forward to the year”.
The industry veteran noted that it was time to migrate its business offerings onto a fibre network. “On our business stuff, we are trying to move all our businesses off ADSL solutions, onto fibre. We think it’s time,” he said.
“It’s quite a surprising market this, customers are demanding huge download speeds on their mobile phones and at home, but businesses are quite happy to work on a meg, so we just [have] to re-educate businesses to the 10/15/20 meg sizes which is starting to happen now, the fibre prices are coming down…On the business side we are having a massive push to changing everything to fibre,” Reed said.
He added that fibre to the home would be “long” and “arduous”.
Related article
Vox not in take-over discussions