Pay-TV operator Super 5 Media on Tuesday retrenched all of its remaining employees, more than 40 people in all, and is now facing the prospect of liquidation if it isn’t able to pay one of its biggest creditors by the end of the week. TechCentral, which last week broke the news of the problems at the company, has now learnt Super 5 Media is facing a claim of as much as R25m from Rothschild, an international investment advisory company.
Telkom sold its controlling stake in Telkom Media, now Super 5 Media, for just R68m, the JSE-listed telecommunications group’s 2010 annual report has revealed. This means Telkom lost a net R403m from the failed venture. It had loaned the business R471m, which it has now written off, according to the report.
Three years ago, when the Independent Communications Authority of SA (Icasa) licensed three new pay-TV players, most of us couldn’t wait to see something super. Four new companies were given a chance to bring new shows to SA’s TV screens. Most importantly, they were supposed to provide competition to the incumbent monopoly, MultiChoice.
Episode 4 of SA’s business technology podcast, TalkCentral, is live. In this week’s show, your hosts Duncan McLeod and Candice Jones talk about the dramatic axing of communications department director-general Mamodupi Mohlala. We interviewed her this week about how the drama unfolded at the department. We also review the other big stories of the week, including Wananchi’s plans to deploy fibre to the home in Kenya, the “I’m been unfairly maligned” speech by Telkom’s nonexecutive chairman, Jeff Molobela, the impending collapse of pay-TV operator Super 5 Media, the launch of DStv Mobile’s streaming video service, and much more.
Telkom is trying urgently to renegotiate multiple contracts entered into by its troubled Nigerian subsidiary Multi-Links. If it can’t reach new agreements with the suppliers, Multi-Links could be forced to shut up shop. That’s the stark warning from Telkom acting CEO Jeffrey Hedberg, who had been running the Nigerian business until a few weeks ago, when he was called on by Telkom’s board to head up the group following the premature departure of former CEO Reuben September.
Telkom nonexecutive chairman Jeff Molobela, under fire for allegedly overstepping his mandate and interfering in the day-to-day operations of the group, has hit back at his critics, saying he’s been unfairly maligned. Molobela used a press conference in Johannesburg on Wednesday to slam “innuendo from a number of quarters” and refute claims that he “recklessly ignored corporate governance”.
Outgoing Telkom chief financial officer Peter Nelson has sold nearly R1,8m worth of the group’s shares in the open market just days after he announced he would be stepping down from the telecommunications group. Telkom informed the market late on Tuesday that Nelson sold 53 421 ordinary shares last Friday, 23 July, a week after he surprised shareholders by announcing he would step down.
Want to phone someone on Vodacom? Rather than dialling “082”, you may soon have to dial “882” instead. Draft regulations governing the phone numbering scheme SA uses could mean that every phone number in the country will have to change. The Independent Communications Authority of SA (Icasa) has released draft numbering plan regulations that could result in South Africans having to learn a raft of new dialling codes if fully implemented.
The fixed-line telecommunications market in SA is set for a turnaround, in part because of declining mobile termination rates, says technology research and advisory firm BMI-TechKnowledge. A new report, SA Voice Services Market Forecasts and Analysis, shows that between 2009 to 2014, fixed and mobile revenues are forecast to grow at compound annual growth rates of 3% and 7% respectively.
Senior managers at Telkom must be brought to book for alleged corruption and fraud at the parastatal, the Communication Workers Union said on Friday. This included managers who were resigning, said union spokesman Matankana Mothapo, who questioned the timing of the resignations.
