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Even monopolies will standardise

Johannesburg, 22 May 2001

Intel`s carrier-technology focus at the first European Intel Developer Forum (IDF) does have implications for monopolistic telecommunication markets such as SA, believes Jurgen Thiel, regional manager, EUMEA, Intel.

"Our strategy [for regulated markets] doesn`t differ too much from deregulated markets," says Thiel. "Monopoly companies are very keen to talk to us, and they are keen to drive new technologies."

Thiel adds that monopolies realise their status will not last forever, and some (like Telkom) know that deregulation will happen shortly.

"Over time, telecom companies will move to standard building blocks, and standard operating systems," predicts Thiel. Intel hopes its 64-bit Itanium processor will play a part in this standards-based telecom architecture.

telecom is a large part of Intel`s Next Generation , and Thiel sees this avenue being of particular interest to the local market. "Wireless is something that has the biggest potential. Seeing the high adoption of wireless already, we see how important wireless could be in SA."

Thiel warns that once SA deregulates, voice will no longer be the most important traffic on a network - will be the operators` primary income. "Voice does not warrant the costs of a network in a deregulated market," he says.

Intel is trying to drive its processors and networking equipment into the high-end telecom marketplace - unfamiliar territory for the silicon giant. "We honestly know we are not playing a big role in the carrier market, but we have the technology to compete in this market now."

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