Recent media reports and subsequent online discussions raised questions regarding Telkom Media’s planned IPTV offering. These questions focused on the ADSL access portion of the service and the capping policies accompanying such a service.

ADSL access

Chris van Zyl from Telkom Media made it clear that the R 320-00 paid for their IPTV service does not include the ADSL access portion as suggested by some commentators.

Van Zyl added that if Telkom Media must provision the ADSL access portion of the service to a potential customer they will have to purchase this service from Telkom like any other Internet Service Provider or VANS Provider.

Van Zyl noted that while Telkom may be their largest shareholder they are an entirely separate company from Telkom, similar to Vodacom.

“Telkom Media’s relationship with Telkom will not be on a preferential basis and Telkom Media expects Telkom SA to treat it in the same way as any other service provider,” Telkom Media said.

Capping not an issue with IPTV offering

Van Zyl pointed out that while the IPTV service will be provisioned over the same copper line for existing ADSL Internet customers, it will not be subject to capping associated with Internet related services.

The two services will run concurrently, made possible by the high speeds associated with ADSL 2+, but the IPTV stream will not be measured as part of an ADSL subscriber’s monthly Internet usage. The usage measurement for Internet based traffic and possible capping will still be done by the ISP as is the case now.

Users who are interested in the IPTV service from Telkom will rely on ADSL 2+ access. Telkom is currently upgrading their current ADSL exchanges to ADSL 2+, a technology which allows for downlink speeds in excess of 20 Mbps.

The provisioning of ADSL 2+ however brings various requirements with it, including a relatively short distance to the exchange and a good quality copper line. Telkom is overcoming some of the problems associated with ADSL 2+ by bringing fiber closer to the customer’s premise and by using technologies like mini-DSLAMs.

Not limited to ADSL user base

Telkom Media will be targeting the existing ADSL user base for their planned IPTV offering, but as this is not their only planned offering ADSL access alone will not limit their service delivery.

Telkom Media is also planning a satellite TV offering with various bouquets starting from less than R 100-00 per month for ‘five or six channels’. This service will be aimed at the emerging middle class and will have channels related to news, sport and entertainment.

Possible new offerings in future

Telkom Media said that they will consider launching more comprehensive packages in future which may include triple play offerings – a combination of broadband, voice and television services at a flat rate.

Van Zyl said that they may look at potential partnerships to launch such offerings into the market.

With Multichoice holding a monopoly in the pay-TV space many consumers are eager to see competition enter this market as soon as possible, but Van Zyl warned that the technologies and processes involved are not elementary to roll out.

He said consumers can expect offerings from Telkom Media within 12 to 18 months after receiving their license from ICASA.

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