1. Allocation Of Equitable Spectrum Resources –
An Entrepreneur Approach
ICT White Paper Symposium
31 October 2016

2. How did we get here? Policy and Regulatory Timeline (2007 – 2011)
ICT White Paper
How did we get here? Policy and Regulatory Timeline (2007 – 2011)
14 Dec 2011
Draft Policy Direction - High Demand Spectrum
POLICY
16 April 2010
Spectrum Policy
13 July 2010
Broadband Policy
17 Sept 2007
Policy Directions
Smile SA
spectrum
Application
During this period Smile obtained spectrum licences in Uganda, Tanzania, DRC and Nigeria
REGULATION
Nov 2006
2007
June 2008
July 2009
May 2010
July 2010
Sept 2010
Mar 2011
ICASA Requests
comments on Procedures for 3.5 GHz/2.6 GHz
No activity
Reasons Document
Draft Procedures Regs
Final Procedures Regs
ITA Withdrawn (ICASA)
Draft Radio Frequency Spectrum Regs and Explanatory Memo
ICASA Final Radio Frequency Spectrum Regs and Explanatpry Memo
Licensing Framework Reasons
ITA 2600 MHz and 3500 MHz
Smile applied for spectrum in 800 MHz and 2.6 GHz in 2008 when it was NOT in high demand; the High Demand Spectrum Policy Direction (draft) was only published in 2011

3. In 2016 launched Voice over LTE
ICT White Paper
How did we get here Policy and Regulatory Timeline (2012 – present)
POLICY
Dec 2013
SA Connect – Broadband Policy
Feb 2014
Green Paper
Nov 2014
ICT Policy Discussion Paper
Mar 2015
ICT Policy Review
Final Report
Sept 2016
ICT White
Paper
During this period Smile was able to test technologies and then rolled out commercial and National 4GLTE Infrastructure in Uganda, Tanzania and Nigeria.
In 2016 launched Voice over LTE
REGULATION
Dec 2011
Mar 2012
Aug 2014
Nov 2014
Dec 2014
Mar 2015
Sept 2015
July 2016
Draft ITA and Spectrum Plan MHz and 800 MHz
ICASA Licensing process on hold
Draft IMT Roadmap
14 November
Final IMT Roadmap
Draft Spectrum Regs
Final Spectrum Regs
Info
Memo
IMT Spectrum ITA
28 November
Draft Radio Spectrum Plan
Regulatory activity in and 2014.
The ICT policy process was underway from 2014 – 2016
and culminated in the ICT White Paper

4. ICT White Paper Key Issues - Where do we go from here?
Long awaited White Paper changes the status quo . Represents a fundamental shift and change in approach to promote the use of spectrum as a public good for the purposes of social and economic development
Policy is clear about need to change market structure and involve players beyond ‘the usual suspects’ (but not clear on how to include other players with experience and good track records)
Policy is silent on the impact of the WOAN on the transformation of the ICT sector - BEE ownership and control, woman ownership and control
Not clear about the critical role of new entrants and entrepreneurs in the WOAN – and in the sector as a whole
Needs to be clear on the role of the various elements in the broadband value chain to support the WOAN
Policy Directives need to be issued. Monitoring and enforcement need to be strengthened in order to create a clearer link between the initiatives proposed and the outcomes
South Africa has fallen behind in broadband development due to 8 years of delays in licensing spectrum – now is the time!

5. Prevent Delays Issue Policy Directives
Policy Directives should be issued to the regulator to ensure policy implementation is clear and swift
Delays of the past decade cannot be repeated!
Ensure that directives are clear with timeframes and identification of responsible implementing parties

6. Policy Directives Broadband Value Chain
Spectrum
Towers
Backhaul
International
National
Metro
Data Centre
Policy Directives Broadband Value Chain
Competition on services (marketing, sales distribution) and on the areas of the broadband value chain where there in not sufficient competition
Opportunities for All
Competition
No policy Directive
Insufficient competition – Policy Directive

7. Policy Directives Spectrum – Wireless Open Access Network
Spectrum included in WOAN
Spectrum currently not licensed
All unlicensed IMT spectrum should be put into the WOAN pool of spectrum immediately and licensed within the next 6 months
450 MHz
700 MHz
800 MHz
Any other available IMT spectrum that has not been licensed
Spectrum currently licensed
Investor confidence should be retained
Spectrum license term should be linked to the ECNS license term as long as the holder of the license is complaint with all obligations
If there is non compliance at the time of renewal, then spectrum should not be renewed and should be put in WOAN pool of spectrum
WOAN spectrum should include 450 MHz, 700 MHz, 800 MHz and any other IMT spectrum that has current not been licensed and WOAN should be formed within 6 months

8. Policy Directives Spectrum – Wireless Open Access Network
All open access principles in the White Paper should apply to the WOAN – i.e. cost basis, transparency, non-discrimination…
Spectrum is a public commodity and therefore government must take control of how it is managed and who owns it
Wireless Open Access Network (WOAN) consortium should be primarily majority black owned (51% or more) and at least 50% woman owned
WOAN should be led by experienced third party comprising of black people and women
Wireless Open Access Network should be majority black owned
(51% or more) and at least 50% woman owned

9. Policy Directives Active and Passive Infrastructure Sharing
All open access principles in the White Paper should apply, passive and active infrastructure sharing should be encouraged, as per White paper, at a cost basis
Passive Infrastructure (Towers)
All towers that have been deployed should be consolidated into a single vehicle, managed by a third party with experience (Nigeria and USA example).
An RFP should be issued to select the third party Towerco, for transparency
The Towerco must be majority BEE owned and led
Active infrastructure (RAN) sharing should be encouraged as per White paper on an open access and cost based model
Consolidate towers and establish a majority BEE led
TowerCo managed by an third party

10. Policy Directives National and Metro Fibre
All open access principles as set out in White Paper should apply to fibre
Use Telkom infrastructure as per White Paper given its dominance in the national and metro markets, however several other companies are also key players – especially in urban areas
All fibre should be consolidated under a single company, managed by a third party (Fibre Open Access Network)
National and metro fibre infrastructure that exists should be pooled together into a single company including Telkom and other Fibre companies
Access should be provided on a cost basis
Consortium should be formed based on those who have included infrastructure, and other interested parties
RFP should be issued to select the third party manager of the Fibre Open Access Network
All new fibre should be laid by the consortium
Consolidate towers and establish a majority BEE led
TowerCo managed by an third party

11. Conclusion Policy Directives to be issued on
Spectrum (WOAN) – 450MHz, 700MHz and 800 MHz immediately
Active and Passive Infrastructure
National an Metro Fibre
Spectrum is a public commodity, so more intervention required - WOAN should be privately led and entrepreneur driven – but only ‘qualified new entrants’ who have a proven track record and experience
The broadband value chain needs to support the WOAN. It has to be created in a way that incumbents cannot prevent its success through their action, or inaction:
Wireless open access national network takes into account the various inputs needed for it to succeed
Where existing operators’ towers or other infrastructure are needed for the network to be successful, and to meet national goals, this should be enforced, and the ownership should be biased towards transformation.