Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Treasury puts R150-million behind MyMzansi government app - Enoch Godongwana

      Treasury puts R150-million behind MyMzansi government app

      21 October 2026
      Treasury backs down on crypto rules after 'thousands' of comments - Enoch Godongwana

      Treasury backs down on crypto rules after ‘thousands’ of comments

      21 October 2026
      Critical PHP vulnerabilities put a large part of the web at risk

      Critical PHP vulnerabilities put a large part of the web at risk

      21 October 2026
      Vodacom pitches a lighter AI rulebook as Pretoria redraws its policy

      Vodacom pitches a lighter AI rulebook as Pretoria redraws its policy

      21 October 2026
      Disney opens its vault to Netflix in South Africa

      Disney opens its vault to Netflix in South Africa

      21 October 2026
    • World
      OpenAI turns the tables on Apple in trade secrets fight

      OpenAI turns the tables on Apple in trade secrets fight

      15 October 2026
      Google's Gemini 4 Argon is finally here

      Google’s Gemini 4 Argon is finally here

      14 October 2026
      Apple's new HomeView smart home hub

      Apple takes another shot at the smart home

      13 October 2026
      AI is now holding up the world economy, says IMF

      AI is now propping up the world economy, says IMF

      12 October 2026
      SpaceX takes aim at US wireless carriers with spectrum acquisition

      Starlink is coming for your mobile operator

      9 October 2026
    • In-depth

      10 days that changed the course of AI

      21 September 2026
      Meta to the AI industry: slow down without us - Mark Zuckerberg

      Meta to the AI industry: slow down without us

      16 September 2026
      Google DeepMind CEO Demis Hassabis. Image: John Sears

      The plan to stop AI from breaking the world

      16 July 2026
      The internet has a Strait of Hormuz problem

      The internet has a Strait of Hormuz problem

      15 July 2026
      AI boom sparks rally, frenzy and fear

      AI boom sparks rally, frenzy and fear

      11 June 2026
    • TCS
      W&W | LDV's Gerhard Moolman on electric bakkies, fleet orders and 'school fees'

      W&W | LDV’s Gerhard Moolman on electric bakkies and fleets

      9 October 2026
      TCS | Frogfoot sees bigger fibre deals coming - TechCentral Show guests Abraham van der Merwe and Shane Chorley

      TCS | Frogfoot sees bigger fibre deals coming

      8 October 2026
      Meet the CIO | Vodacom's Mohamed Sami on the agentic future

      Meet the CIO | Vodacom’s Mohamed Sami on the agentic future

      5 October 2026
      Lexi Novitske, general partner at Norrsken22, on the TechCentral Show

      TCS | Norrsken22’s Lexi Novitske on how China is winning African tech

      1 October 2026
      TCS | Dominic White and Adam Ely on AI agents going rogue

      TCS | Dominic White and Adam Ely on AI agents going rogue

      29 September 2026
    • Opinion
      Nonkqubela Thathakahle Jordan-Dyani

      Why cybersecurity is now a national security issue for South Africa

      15 October 2026
      When a machine can choose, who does it become? Fanie van Rooyen

      When a machine can choose, who does it become?

      9 October 2026
      Let South Africans jailbreak their way to digital sovereignty - Dirk de Vos

      Let South Africans jailbreak their way to digital sovereignty

      5 October 2026
      South Africa's next energy crisis is in the accounts department - Craig Holmes

      South Africa’s next energy crisis is in the accounts department

      29 September 2026
      The steam engine lesson AI doomsayers keep missing - Sam Clarke

      The steam engine lesson AI doomsayers keep missing

      28 September 2026
    • Company News
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM.com
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Publishared
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Vox
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Fintech and payments
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of things
      • Investment
      • IT services
      • Lifestyle
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
      • Watts & Wheels
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Opinion » Duncan McLeod » Don’t do it, Sentech

    Don’t do it, Sentech

    By Editor13 October 2010
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    Get breaking news on WhatsApp

    [By Duncan McLeod]

    State-owned Sentech is reviving plans to build a national broadband network. It wants a second chance and is promising to do things differently this time. However, as much as Sentech’s heart is in the right place, government must not allow it.

    The newly appointed chairman of Sentech, Quraysh Patel, is a breath of fresh air in a stale state-owned enterprise. The energetic businessman, installed by communications minister Siphiwe Nyanda to help turn around the troubled company, isn’t afraid to call a spade a spade.

    In a lengthy interview last week, Patel told me in detail about the problems afflicting the company, the stupid decisions it’s made in recent years, and what needs to be done to rescue it.

    The picture Patel painted was one of a company adrift. He told me he’d uncovered evidence of gross incompetence by the former management team and even pointed to alleged graft committed by former top managers. He told me how the new board was trying to clean up the mess by getting its clients to pay on time and tightening up financial controls, among other things.

    A new CEO should be appointed by the end of the month and Patel has promised that Sentech will get out of businesses that don’t make financial sense.

    Patel tells a convincing story. He comes across as exactly the sort of chairman Sentech needs to pull itself back from the brink. The jury’s still out, but I’d put money on Patel getting the job done.

    But I have a concern. And it’s one that should have taxpayers worried, too. Under Patel’s chairmanship, Sentech is reviving plans to build a national broadband wireless network.

    Many Internet users will remember the company’s abortive previous attempt to build such a network, and will shudder at the prospect of its trying again.

    The late Ivy Matsepe-Casaburri, as communications minister, had given Sentech two valuable licences in a poorly planned attempt to establish it as a rival to Telkom. But Sentech chose the wrong technology, was hopelessly ill-prepared to deal with retail consumers, and, frankly, didn’t have the management talent needed to pull it off. It was a failure that cost taxpayers more than R500m.

    Patel says Sentech won’t repeat the same mistakes. Instead of trying to offer services directly to consumers, it will build a wireless access network and sell services on it to metropolitan and town councils, government departments and provincial governments.

    Sentech wants to spend R2bn on the new network but has promised not to go to cap in hand to central government for funding — apart from the R500m (plus R80m in interest) it has already received from national treasury. Patel wants town councils and provincial governments to help fund the rest.

    When Sentech received its lucrative telecom licences, it had all the opportunities in the world. Back then — in the early 2000s — Telkom still dominated the landscape, and the mobile operators were only beginning to think about building third-generation networks.

    The market has changed dramatically since then. A full-scale war is brewing between Telkom, Vodacom, MTN and Cell C. It’s going to get ugly.

    Patel says Sentech will build a wholesale network only, but a state-owned enterprise that is ill-equipped to cope in a wildly competitive environment will struggle. The company could end up being trampled. Again.

    With the big, private operators viewing rural broadband as an area of growth, Sentech’s goal of extending connectivity to remote places could soon happen anyway.

    Sentech failed once in much easier market conditions. Giving it another chance in a cutthroat environment would be a mistake.

    • Duncan McLeod is editor of TechCentral; this column is also published in Financial Mail
    • Subscribe to our free daily newsletter
    • Follow us on Twitter or on Facebook
    Add TechCentral as a preferred source on GoogleFollow TechCentral on Google NewsGet breaking news on WhatsApp


    Cell C Duncan McLeod Ivy Matsepe-Casaburri MTN Quraysh Patel Sentech Siphiwe Nyanda Telkom Vodacom
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleHeita! Telkom gets ‘081’ number range
    Next Article Microsoft’s Nyati named to Blue Label board

    Related Posts

    Vodacom pitches a lighter AI rulebook as Pretoria redraws its policy

    Vodacom pitches a lighter AI rulebook as Pretoria redraws its policy

    21 October 2026
    Why a robotaxi would struggle to make money in Sandton

    Why a robotaxi would struggle to make money in Sandton

    20 October 2026
    Ispa asks if government still cares about the cost to communicate

    Ispa asks if government still cares about the cost to communicate

    19 October 2026
    Company News
    How to choose a .co.za domain without paying more later

    How to choose a .co.za domain without paying more later

    20 October 2026
    Winners, from left: Zandile Monaisa (Rand Refinery), Sibongakonke Kheswa (PSG Capital), Stefan Links (Forestry South Africa), Thabang Modiba (Mondelez International), Charmaine Ncube (Razor PR), Shaun Burger-Smal (Bestmed Medical Scheme), Nandipha Ngcobo (Transnet), Tracy Mulwela (Vodacom), Cheryl-Lynn Freeman (Mzansi Business Services), Yasheen Harrielall (Zutari), Valentine Mabaso (Taonga Business Group) and Thabang Thlaku (African Rainbow Minerals). Image: Rising Star Awards

    Celebrating South Africa’s rising stars: the leaders shaping what comes next

    19 October 2026
    Paratus Zambia delivers Starlink to thousands of children in Family Legacy schools

    Paratus Zambia delivers Starlink to thousands of children in Family Legacy schools

    15 October 2026
    Opinion
    Nonkqubela Thathakahle Jordan-Dyani

    Why cybersecurity is now a national security issue for South Africa

    15 October 2026
    When a machine can choose, who does it become? Fanie van Rooyen

    When a machine can choose, who does it become?

    9 October 2026
    Let South Africans jailbreak their way to digital sovereignty - Dirk de Vos

    Let South Africans jailbreak their way to digital sovereignty

    5 October 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Treasury puts R150-million behind MyMzansi government app - Enoch Godongwana

    Treasury puts R150-million behind MyMzansi government app

    21 October 2026
    Treasury backs down on crypto rules after 'thousands' of comments - Enoch Godongwana

    Treasury backs down on crypto rules after ‘thousands’ of comments

    21 October 2026
    Critical PHP vulnerabilities put a large part of the web at risk

    Critical PHP vulnerabilities put a large part of the web at risk

    21 October 2026
    Vodacom pitches a lighter AI rulebook as Pretoria redraws its policy

    Vodacom pitches a lighter AI rulebook as Pretoria redraws its policy

    21 October 2026
    © 2009 - 2026 NewsCentral Media
    Built and maintained by Chronon
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}
    🇿🇦 Sign up to the TechCentral newsletter