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Econet has contracted Astellia for optimisation of network Quality of service

by Mafu Sithabile
10 Nov 2011 at 05:55hrs | Views
Press reports indicate that Econet has contracted Astellia, a leading provider of monitoring solutions for the optimisation of mobile network Quality of service (QoS) for its network optimization.

The contract signed is valued at approximately € 1 million. This is envisaged to result in Econet improving the quality of both its broadband and voice services. The partnership will enable Econet to gain end-to-end insight over its mobile network performance for both voice and data services.

Econet will be able to detect and investigate problems such as slow web browsing due to instance to congestion, inefficient transaction procedures or faulty handsets.

The Econet share price has weakened on sustained foreign selling pressure and is down 22% YTD. Econet remains dominant commanding approximately 65% of the mobile network market and the demand for group products remains strong given the weak competition.

The company also enjoys higher ARPUs than local peers due to the high value subscriber base, mainly corporates who are on post paid. Management state that ARPUs and margins will be defended at U$10 and 45% respectively. The company is post its peak funding period having rolled out the network countrywide. Management anticipate capex of just above US$ 100 million in FY 2012 but below FY 2011 figure of US$ 270 million.

Source - Byo24News