The second national operator (SNO) licence has been an ongoing issue for so long that it has begun to feel like one of those typical American soap operas, such as "The Bold and the Beautiful".
You know what I mean - it`s been on the box for so long that no one can really remember when and where it started, what the original plot was all about and despite all this, there is still no coherent end in sight.
In all honesty, I think the dark and murky waters of the SNO process are hiding much, and I am beginning to feel like an actor in a B-grade horror movie.
Rodney Weidemann, journalist, ITWeb
Of course, soap operas are peopled with stylish and beautiful people (whereas we have Ivy), soap operas always have rich families and corporations (whereas we have businesses haemorrhaging money, for lack of a licence) and soap operas have twisted and unbelievable plots, whereas we have... no, wait, we`ve got that too!
The SNO issue seems to be heading into ever darker and murkier waters, particularly with the (admittedly comical) announcement that the "minister of communications has received ICASA`s recommendation and is applying her mind to it".
Apparently our esteemed minister is now seeking legal advice before making a decision on the matter. I can only see three potential reasons for this.
Firstly, she may be thinking of awarding the licence without a 51% equity partner, which would conceivably leave her open to legal challenges from the two ousted bidders, or she may be thinking of awarding the 51% to one of them, and wants to cover her back in case the other one decides to sue.
The third, and most intriguing possibility, is that perhaps the minister is looking to do the unexpected, and try and get the two bidders to combine aspects of their bids into one super-bid, as was described as a possibility when the SNO working committee first evaluated the various applications.
Smoke and mud
Intriguing it is, but it also only further muddies the SNO waters, although the minister is not alone in the smoke-screening game.
Recently it was reported that financially troubled Eskom Enterprises - whose subsidiary, Esi-Tel, is part of the 30% awarded to state-owned enterprises - would have to write off its R1 billion investment in the SNO if the licence was not awarded by year-end.
Apparently the company`s auditors have advised that the investment, consisting of R700 million two years ago and R300 million as a carrying cost, will have to be written off soon, as it is not yielding any return, as was expected by this time.
Of course, just because it is written off, doesn`t mean that the fibre-optic network (put in place along with Transtel) will cease to exist, but it does provide the opportunity for someone in the know to step in and buy up a network valued by the two bidders at between R1.2 billion and R1.6 billion, at a fraction of that price.
Buying it up at that price could even see whoever becomes the owner making a fortune at a later stage, by leasing it out to whoever ends up being awarded the 51% stake (assuming someone ever does).
In hot pursuit
And if the plot has not thickened enough for you yet, what about the rumours that all is not well with Nexus Connexion`s (the 19% empowerment segment of the licence) funding and shareholding?
In an attempt to lay these rumours to rest, I have tried repeatedly to get hold of Nexus chairman, Kennedy Memani, and get some clarification on these issues, but to no avail.
Numerous telephone messages, several e-mails and two faxed lists of questions - regarding queries such as which companies represent Nexus` broadbased empowerment, why there appear to be more investment corporations and holding companies, rather than trusts in the shareholding breakdown, and in terms of funding, how much cash has been raised and what commitments have been received - have been met with stony silence.
I cannot say whether the Nexus chairman is so busy at the moment that he has not found time to respond, or whether he is ducking and diving in any way.
What I do know is that in this industry, when a member of the press is trying to speak to you on a key issue like this, you do get back to them at some point. That is common courtesy - unless you have something to hide.
Hide and seek
In all honesty, I think the dark and murky waters of the SNO process are hiding much, and I am beginning to feel like an actor in a B-grade horror movie.
You know the ones I`m referring to: where the victim is blissfully walking alone, next to a dark, mist-covered lake, and just when you least expect it, some monster from the deep surfaces and drags him under.
Who knows what will rise from the fetid waters that are the current process? All I do know is that whatever it is, I hope it is big enough and ugly enough to take on the true lifeblood-draining monster that is lurking out there.
After all, the monopoly has been allowed to feast as it chooses for far too long already.
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