Johannesburg - JSE-listed telecommunications group Telkom must get into the mobile market urgently, its outgoing chief executive officer Reuben September said on Monday.
He was addressing Telkom's annual results presentation.
Earlier, Telkom reported that profit plummeted for the year ended March 31, with headline earnings per share dropping to 46.8 cents compared with 610.5 cents a year earlier.
Continues Below↓"Simplicity, quality and value will be Telkom's three main guiding principles to its entry into the mobile market," September said.
He said Telkom would also use mobile technology to offer fixed-line services where the group was experiencing operational challenges such as recurring cable theft.
"After extensive research into the market's needs, Telkom will be launching pre-paid, post-paid and hybrid voice and data; 2G voice and data; and 3G voice and data."
September said a domestic roaming agreement had been signed with cellphone company MTN.
"An international roaming agreement is close to being concluded and from our launch, which will be in the calendar year 2010, Telkom will offer full national and international roaming," September said.
Telkom had already ordered 2 000 base stations which were in the process of being constructed.
"We plan to have 40 percent of our own population coverage at launch which will be grown as required over the next five years," September said.
He estimated that capital expenditure needed to implement mobility would be a maximum of R6-billion over five years. - Sapa
