Fibre is being rolled out, satellites are overhead, and the traditional internet business model is quietly collapsing. In this ITWeb interview, Jacques du Toit of Vox unpacks where South Africa’s next wave of connectivity growth is really coming from — and why the pipe alone is no longer enough. #Voxtelecoms #fibre #broadband
Faced with the challenge of identifying where the next round of growth will come from, SA’s telecommunications sector finds itself at a pivotal juncture.
The industry is also undergoing significant consolidation, marked both by acquisitions and by the increasing sharing of network infrastructure among competitors.
In an ITWeb TV interview, Brainstorm editor Matthew Burbidge spoke to Jacques du Toit, CEO of Vox Telecom, whose business is built entirely around connectivity.
When asked where the next growth area lies, Du Toit said that deflation is a reality the whole industry must contend with. While percentage margins have remained stable, absolute margins “have fallen through the floor”.
“To stay relevant, you’ve got to start layering services that really add value and make you relevant to your end-user,” he said.
Jacques du Toit, CEO of Vox Telecom. (Photograph: Lesley Moyo)
That said, Du Toit believes growth is still possible as fibre is rolled out into historically under-serviced and underserved areas, bringing new connections online.
For customers who are already connected, he sees three main drivers of future growth: artificial intelligence, cyber security and cloud services.
“The traditional ISP will flourish in those three areas, but I think it’s time for the entire market to pivot to services that weren’t traditionally offered by ISPs,” he added.
Du Toit outlined his broader vision, saying the country needs education and a commitment that goes beyond simply providing bare-bones connectivity. “If you can deliver an affordable digital platform to the mass community, I think that will be a big win.”
