Vodacom Broadband and School connectivity. 12 September 2014

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1 Vodacom Broadband and School connectivity 12 September 2014

2 Index Broadband in general School connectivity 2

3 Broadband in general

4 Broadband Policy Targets Target Penetration Measure Baseline (2013) By 2016 By 2020 By 2030 Broadband access in Mbps user experience % Population 33.7% internet access 50% at 5 Mbps 90% at 5 Mbps 50% at 100 Mbps 100% at 10 Mbps 80% 100 Mbps Schools % of Schools 25% 50% at 10 Mbps 100% at 10Mbps 100% at 1 Gbps Health facilities % of health facilities 13% connected 50% at 10Mbps 100% at 10 Mbps 80% at 100 Mbps 100% at 1 Gbps Government facilities % of government offices 50% at 5Mbps 100% at 5Mbps 100% at 100Mbps 4

5 Focus areas in achieving these targets Universal access How to we provide access to all? Speed How do we deliver higher speeds to enhance service delivery? Affordability How do we make the service affordable to all? 5

6 Coverage and Speed Data 3G data where we have voice 3G/LTE DSL like service Trial Fibre to Homes Enterprise Fibre to Business Improve in-building coverage 3G GSM 6

7 Affordability Making data affordable and easy to purchase - Power bundles Providing more value since launch R R R MB Price 1GB Price 2GB Price R 600 R 400 Driving the cost of smartphones down R 200 R 0 7

8 School connectivity

9 Vodacom s Universal Service and Access Obligations WHAT 2200 Community Service Telephones 1800 MHz Spectrum Obligations SIM cards Terminal Equipments as donation 3G Spectrum Obligations -Internet access to 140 IPWDs -Internet access to 5000 public schools Terminal Equipments HOW LICENCE OBLIGATION 1800 MHz and 3G SPECTRUM OBLIGATIONS

10 What have we accomplished? 893 Schools Connected 40 Teacher Training Centres Investment of R89m 10

11 What the challenges and how being addressed? Challenges/Key learnings Items being addressed Vodacom s plans Identification of beneficiaries Approval of implementation plan Project roll out issues Stakeholder engagement with ICASA Obligations extended to cover total service Development of specifications Appointment of a project manager 200 million budget allocation Internet connectivity not sufficient ICASA amending licences to update and clarify obligations Addressing funding model 11

12 Where are we now? Vodacom s Revised Universal Service and Access Obligations WHAT - Connectivity to 1500 schools schools connected per year - Minimum speeds 1 Mbps - Specification provided by DBE HOW AMENDMENT TO 1800 SPECTRUM OBLIGATION 12

13 High Level Timelines Jun 14 Jul 14 Aug 14 Sep 14 Oct 14 Mar Finalise regulations Finalise Schools List (ICASA to signoff) Finalise Internal Vodacom SCM processes Procure Hardware (1 st 350 Schools) Sensitise\ Engage stakeholders Finalise rollout schedule (gazetted 04 June 14) (On-going provincial governments engagements) (On-going provincial governments engagements) Engagements with Provincial Depts. of Ed 7 Installation Start (Dependant on USAASA payment model finalised) 13

14 Implementation and support process The following stakeholders are key: School Representatives District IT Representative Vodacom Representative Installation Team Representative Step 1 Training of minimum 3 school reps on; Hardware installed, Basic troubleshooting Step 2 All stakeholders sign acceptance certificate confirming the following; Delivery of equipment (units) Equipment received in good order Training took place Access to internet / Thutong Portal Step 3 Handover Training Manual 14

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