Leading communications development company JSE-listed Accord Technologies, has joined forces with SA`s largest cellular service provider M-Tel in the fast growing cellular retail and rental markets.
Accord and M-Tel are forming a new company, Audio Cell (Pty) Ltd - of which 65% will be held by Accord and 35% by M-Tel - to operate a number of retail and phone rental stores.
Accord`s five current MTN retail outlets in the Western Cape, known as Downtown Cellular, will be incorporated in Audio Cell along with M-Tel`s retail stores in Cape Town and Tokai. These stores will trade as MTN Downtown Cellular and will provide the full range of handsets, accessories and pre-paid vouchers as well as contract options.
Audio Cell will also include Accord`s rental operation Fone 4 Hire, which will trade as MTN Fone 4 Hire. In addition to incorporating Fone 4 Hire`s current kiosk at Cape Town International Airport, the new operation also includes M-Tel kiosk at Johannesburg International Airport.
SA currently has one of the world`s fastest growing GSM cellular markets. Informed industry projections are that the networks` current 1,9-million subscriber base - including contract and pre-paid cellular users - will increase to around 3-million by the year 2000.
In addition, expected growth in international tourism to SA will boost the cellular rental market.
"The dynamic growth of the cellular market in the vibrant retail and rental sectors is creating huge opportunities for those with foresight and courage to grasp them," says M-Tel`s COO Rob Reynolds.
"This venture between M-Tel and Accord will not only broaden our base in these sectors, but enable us to develop a range of new benefits for customers as well as work to the advantage of both companies."
According to Brandon Saldsman, Accord Technologies` CEO, Fone 4 Hire has operated successfully since 1996 renting handsets to international and local travellers, business people, embassies and corporate clients.
"There has been consistent growth in this sector of the cellular market, with customers taking advantage of the ability to pay only for the period of intended use, to upgrade to the latest technology and to benefit from the insurance options which protect against loss. MTN Fone 4 Hire also offers professional cellular fleet management," he says.
"We are enthusiastic about this new venture with M-Tel which strengthens our position as an active participant in and driver of the growth of the cellular market.
"The success of the initiative is guaranteed not only by growing market demand, but by the dynamic mix of skills and expertise which are brought to bear by Accord and M-Tel. I believes that results will exceed all our expectations," Saldsman concludes.
Editors Note
Accord Technologies was listed on the JSE in June 1998.@Picture =
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