Telkom today introduced the company's new-look wholesale and networks division, Openserve. It will be a distinct business unit within the Telkom Group and forms part of Telkom's turnaround strategy.
The telco says the separation heralds a new era in the Telkom group as it prepares to welcome a more open access environment and all the opportunities it offers.
"To fundamentally change the way we do business, while also working to take up a meaningful and impactful role in an increasingly open access environment, we have had to review our operating model," says Telkom Group CEO Sipho Maseko.
The company says the creation of the new business is in line with Telkom's turnaround strategy to separate its wholesale and retail divisions to facilitate greater focus, accountability and customer-centricity.
"Over the past two years, our strategy has delivered positive results, but it is not yet complete. We have tackled inefficiency, complexity and high costs, and our quest to improve our customer experience remains a primary focus," adds Maseko.
Telkom says separation is important as it facilitates the independence of the company's consumer division from the wholesale and networks division. As a standalone business unit within Telkom, Openserve will be autonomous and will be responsible for its own profit and loss account.
The company announced the appointment of Alphonzo Samuels as MD of Openserve. He has been at Telkom since 1984 and was appointed CTO in February last year.
"With the launch of Openserve, we want to make a significant impact on the way we provide open access broadband to all South Africans. We welcome a more open access environment and believe that we, as Openserve, can make important headway in helping all South African bridge the digital divide," according to Samuels.
"As a key driver of socio-economic development, Openserve will enable more choice, increased innovation and greater service provider competition. The result will be increased broadband access."
Telkom intends to play a substantial role in lowering the barrier to entry for new players and increase the competitiveness of smaller players. However, Maseko admits this will not be easy.
"The landscape of telecommunication in our country and around the world has changed and we are responding to this change with this clear and decisive action," Maseko concludes.
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