iBurst to invest more than ZAR100 million in new fibre network

21 Oct 2010

South African WiMAX operator iBurst has announced plans to invest more than ZAR100 million (USD138.7 million) in a fibre-optic communications network in the Gauteng region, TechCentral reports. The investment is intended to help iBurst gain a foothold in the corporate market, whilst simultaneously growing its retail consumer subscriber base. iBurst intends to lease capacity on Dark Fibre Africa’s network, creating a 25Gbps fibre ring linking its data centre in Gallo Manor, north of Johannesburg, to a backup facility in Midrand. The company will also lease fibre access — at speeds of 20Gbps — linking Sandton, Midrand and Johannesburg’s central business district with the West Rand and the East Rand. In total, it will have access to more than 180km of fibre in the province. The network investment is being funded through operational cash flow, and not through debt. Executive committee member Mike Brown commented: ‘This gives us ample capacity for scalability in the future to grow our broadband base’. iBurst claims to have ‘just shy of’ 80,000 retail subscribers, and intends to grow its customer base to 100,000 in the near future.

South Africa, Rain (Multisource/WBS)