Neotel s time to shine. Dr Angus Hay, CTO
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1 Neotel s time to shine Dr Angus Hay, CTO
2 Neotel is Voice Data Internet Network Services Content Fixed Mobile South Africa s first converged communications network operator
3 Market segments Wholesale Enterprise SMME Consumer Converged communications network
4 Milestones 2006: Launched wholesale international services on global, Tier 1 network Secured 8000 km long distance network, bought 1300 km metro fibre Obtained R2bn debt finance, and ramped up network deployment 2007: Completed and switched on national network, and made first call Obtained 800 MHz CDMA spectrum (in addition to microwave spectrum) Acquired Transtel Telecoms (R250m), more than 500 staff in 100 locations Continued rapid network build, including 700 km of new metro fibre Established the Neotel Telecoms Training Academy as part of CSI Launched national leased line services, won national SITA contract Gained 40 blue chip customers including Internet Solutions and TENET Secured access to SAT 3/SAFE, and contracted to land SEACOM cable Launched national converged voice and data Enterprise services 2008: Launched South Africa s first Metro Ethernet service Launched consumer voice and high speed Internet (CDMA) Launched enterprise wireless services (including WiMAX)
5 Change we can believe in Wireless Optical fibre IP (Convergence, VPNs, Content)
6 Putting it all together Network services Global Transit Content / Applications Internet Peering Voice Interconnect Access: Fibre National network Access: Wireless
7 SEACOM on track
8 Optical fibre National and Metro Photos: ld13, Neotel
9 Copper wire still has its uses
10 The second layer: Metro Ethernet NeoMetro Link High bandwidth Ethernet point to point connectivity in metros South Africa s first Metro Ethernet service, with speeds up to 1 Gbps Neotel s optical fibre metropolitan networks and Fibre to the Kerb access The first and only Cisco Powered Carrier Ethernet service in South Africa METRO ETHERNET SERVICES SITE 2 WWW E-LINE 1 E-LINE 2 VLAN 1 VLAN 2 MPLS VPN SITE 1 VLAN 3 VOICE LEGEND UNI CPE METRO ETHERNET RING SITE 3
11 Enterprise Multiplay NeoVoice Flexible, multi line voice connectivity to the global telephone network Choice of Primary Rate Interfaces (PRI), or voice over IP (SIP trunks) Geographic Number Portability allows retention of existing numbers NeoVPN Multi Protocol Label Switching (MPLS) based IP Virtual Private Network (VPN) SA s only end to end IP network, no legacy transmission or access Access speeds of 64kbps to 1Gbps, Ethernet interfaces as standard NeoInternet Dedicated or shared, fixed bandwidth leased line Internet connection Global Tier 1 Internet blended with local peering, with no distinction Access speeds 2Mbps to 1Gbps, Ethernet interfaces as standard
12 Hosting: World class data centres Requirements Physical and network security Reliable power, optimum energy usage Highly available connectivity, DRP Tier 1 Internet connectivity Support and monitoring Service types Collocation Managed servers Virtualisation Applications On demand / SaaS Neotel s NeoHost range of products
13 Enterprise Wireless Access VectaStar WiMAX
14 CDMA2000 Neotel s 3G technology More than 277 operators in more than 102 countries have deployed or are planning to deploy CDMA million CDMA2000 Subscribers 1X EV-DO Rel. 0 EV-DO Rev. A Commercial In Deployment/Trial
15 CDMA2000 deployment and roadmap All-IP Services Broadband downloads Broadband uploads Low Latency Advanced QoS VoIP, PTT an d VT OFDM Multicast Multi-Carrier Rev A Lower delays and higher data rates Software Upgrade CDMA2000 1X EV-DO REL 0 EV-DO REV A EV-DO REV B DL: 2.4 Mbps peak UL: 153 kbps peak DL: 3.1 Mbps peak UL: 1.8 Mbps peak DL: Mbps peak 2 UL: Mbps peak 2 LTE Neotel s deployment: 3G CDMA xEV-DO Rev A at 800 MHz Neotel is a member of the African CDMA Forum, affiliated to the CDMA Development Group
16 Shareholder expertise and support
17 Wireless Generations
18 NeoConnect Prime CDMA2000 1xEV DO Rel Mbps downlink, 153 kbps uplink Average downlink speeds kbps Voice, High speed Internet and SMS Carrier grade voice quality, per second billing Internet packages from 2.5 GB to Uncapped SMS to and from mobile networks Free NeoMail (neomail.co.za) e mail account Simple No installation, quick setup Call NEO
19 NeoConnect packages
20 NeoConnect Lite: The Home Phone CDMA2000 1X Voice plus Internet at 153 kbps up/down Voice, SMS and optional Internet Carrier grade voice quality, per second billing SMS to and from mobile networks Internet packages from Out of Bundle to Uncapped NeoMail (neomail.co.za) account on Internet bundles Simple No installation, quick setup Call NEO
21
22 Change in your pocket Neotel Telkom Call Type Example Period To Neotel To Telkom To Neotel To Telkom Local Calls e.g. 011 to 011 Peak [0.33] Off-Peak [0.15] Regional Calls e.g. 011 to 012 Peak Off-Peak National Calls e.g. 011 to 021 Peak Off-Peak To any mobile To any mobile Mobile Calls e.g. 011 to 083 Peak Off-Peak All prices are VAT Exclusive All Neotel prices are per second billed Comparison by MyADSL
23 NeoFlex Voice Fixed Line Least Cost Routing for your PABX / Single Line Up to 20% savings on all fixed line calls Rapid installation and repair Immunity to copper theft Number Portability* Hunting * Available 2009 Call 0860 NEOTEL
24 NeoFlex Voice Pricing Neotel Port Charge R Terminal Charge R CLI Charge: R 0.00 Total Terminal/Line charge R Standard Device Level 24 Hour MTTR R 0.00 Service Level Agreement * 8 Hour MTTR R Insurance on Terminals (Optional) R 9.89 Installation Charge 1 Line Terminal R Installation Charge more than 1 line R Voice Call Charges Standard Neotel Call 0860 NEOTEL
25 NeoFlex Data High speed Internet for multiple users CDMA2000 1xEV DO Rev A 3.1 Mbps downlink, 1.8 Mbps uplink Average kbps in each direction Lower latency Typically < 50ms in each direction Axesstel MV420 router/switch EV DO Rev A with antenna diversity Secure b/g local WiFi Four Ethernet ports, or one USB port DHCP and NAT (WiFi and Ethernet) Battery backup Packages and pricing pending
26 A question of coverage When is coverage in Cape Town going to be expanded? Which areas in Cape Town are looking at being covered next? How far are plans for increasing coverage in Durban? Particularly the Upper Highway area? When will the CDMA2000 coverage materialise in most of Gauteng? Are we going to see some updates and more reliable information about the roll out of coverage since that is the major factor that most people are waiting for? Have you heard of Port Elizabeth? When is the rollout going to extend to other areas? Why is it so difficult to find out when Neotel will be coming to my area (JHB South & Alberton). Could you not place on your website the areas you are putting fibre in and where you will be next?
27 Further questions Can we have pre paid on NeoFlex? If yes, when? If no, why? Please state your position in allowing VoIP over your internet connectivity services. Please state your reluctance in providing VPNs or APNs over your wireless network. Why does Neotel not resell bandwidth for ADSL to ISP's that are out there already? Can we expect fixed line ADSL or fibre from Neotel in the future for private individuals (home users), if so under what time frame? When will there be relief? When will the bandwidth costs of running a local website become merely a minor consideration as it is in most overseas markets? How do you feel competing with Vodacom, a company with such a powerful presence in SA? Neotel s products are very well priced compared to competitors, has the product been successful in the Corporate environment, what are the main problems you come across regarding gaining new business. How has the economic crisis affected Neotel?
28 MyBroadband Neotel wish list COVERAGE Ongoing drive to acquire sites, improved coverage maps and portal Online usage stats Under development Ethernet device NeoFlex Data Internet only packages NeoFlex Data Lower latency NeoFlex Data APN / VPN over EV DO Lab tested, under consideration Number Portability Block early 2009, Individual mid 2009 No contracts Prepaid likely mid 2009 Static IP Available on WiMAX, technical issues with CDMA Analogue phone port NeoFlex Voice, evaluating others Analogue fax port Evaluating devices Simultaneous voice and data Still need two devices Flagship Neotel shops Under consideration WiMAX Available on Enterprise Products, consumer spectrum issue Fixed line / ADSL Need a proper wholesale market Fibre to the home On the roadmap
29 Yes we can!
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