1. Presentation by Sentech Limited to the Portfolio Committee on Communications 2005 budget vote 11 March 2005

2. Team Gladwin MarumoChief Operating Officer Dingane DubeExecutive, Regulatory Affairs and Government Relations Johan KoekemoerExecutive, Finances and Administration Johan RaathExecutive, Office of the COO

3. “The third world is under-developed mainly because it missed the industrial revolution, for whatever reason, slavery, colonisation etc. Unless it hops on the information superhighway and is part of the communication age, the 21 st century will be a re-enactment of the 20 th ” Ron Bettig Professor of Communications 1990

4. Sentech Achievements since we were last here Finalised commercial rollout of the MyWireless service Gauteng Online – 1100 schools in phase 1 Providing connectivity to MPCC’s on ongoing basis Delivered world class television and radio service with the aging analogue transmitter network Growing as a communication player with major impact Teleradiology to Eastern Cape ongoing

5. Sentech Radio and Television Transmitting Stations

6. Sentech broadcasting infrastructure Television transmitters552 FM Transmitters723 Medium Wave Transmitters16 Short Wave Transmitters15

7. The cost of staying analogue High maintenance cost Tech dump site No revenue growth Costly for broadcasters Poor use of spectrum No new services Digital divide widens

8. Impact of Tariff regime on Medium- Sized Radio Station

9. Impact of Tariff regime on Community Radio Station

10. World trend Digitisation – the pace is picking up Convergence is key Managed liberalisation fundamental

11. Digital Terrestrial Television Digital transmission of signals Efficient use of spectrum –More broadcasters Multiple language capabilities –Cultural and content diversity Interactivity –Every TV set provides universal access capabilities e-Government New applications

12. New Applications on DTT DVB-H –Television on mobile –The future of video streaming –Video phone calls Interactivity is the name of the game

13. Digitisation – key for South Africa Digital terrestrial television (DTT) is a key component of digitisation for South Africa. –R300m cost of transmitter replacement. –Set-top-box / decoder. Digitisation policy key –Standards –Migration –Subsidisation 2010 World Cup

14. Why is it important? Need to modernise infrastructure Sentech is a broadband player Television is broadband New Sentech Network is broadband True convergence

15. Funding anomaly R 400 million provided to SABC to digitise infrastructure –This is a good decision, they need to prepare Nothing provided to Sentech Sentech must be ready for 2010 World Cup

16. The test platform works Sentech has proven the technology and the service Now we need to expand the platform This will make DTT as well as all of the advantages of DTT possible

17. Sentech needs Capital Injection –R300 million (dollar sensitive)

18. Regional Television National commitment Important for communication with and for our communities The cost of rollout is projected at R240 million

19. Sentech’s Integrated Platform IP Decoder 3G modem 3G Mobile VSAT Other Pt to M-Pt Applications Access DVB Decoder / DAB Decoder DVB PCI Card Video / Audio & Enhanced Services Video &IP Streaming GSM & DVB-H / DAB Video & Audio streaming Video & Audio streaming High Speed Internet Internet & VoIP Internet TV & Radio Distribution VoIP(voice) Gateway Video Backhaul Multicast IP Content Streaming Application Services DVB Platform TDMA / Docsis High Speed Internet WiFI High Speed Internet Sentech Core Networks NSN Core Transport

20. Thank-You