As authorities in the US and elsewhere move to bolster broadband services and access, Web‑based businesses are anticipating a boom in e-commerce.
"Web-based companies around the world are expecting a real dot-com boom in the near future," says Christo Deysel, LoanLink IT SA director. "This time around, however, there will be a shift in emphasis away from product sales to business utilisation."
Of all the business applications, Deysel says tourism is expected to be one of the biggest gainers from the growing momentum in e-commerce. "With the soccer world cup in 2010, there will be a tremendous opportunity for online booking of accommodation and other facilities, but will South African Web sites be able to offer world-class service?" he asks.
"Unless SA gets its act together and provides decent broadband Internet access, we are bound to lose out," says Deysel. "Broadband is vital to the economic development of the country as more business becomes Web-based because of the versatility, speed and cost benefits."
Web-based business presents significant opportunity for cost savings in terms of hardware, software deployment, mobility, backup and maintenance, says Deysel. "That`s why Web-based business makes such good sense in SA and why improved Internet access is an economic necessity."
Deysel says the time has come for government to address the problem of limited bandwidth, which he feels is bound to hamper the development of Web-based business.
"The government will more than double any investment in providing broadband Internet access in terms of boosting the economy and increasing tax revenue. It`s a matter of investing in the economy of the country. It`s a win-win opportunity."
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