Following months of speculation, Woza yesterday announced that it is to partner with ICL to offer cut-price Internet access.
ICL is the infrastructure partner providing the services behind Absa`s free Internet access offering. However, the partnership between Absa and ICL is due to end in September when the contract expires.
Woza founder Kevin Davie says the partnership between ICL and his company will allow Woza to concentrate on providing the content and marketing, while ICL will provide the infrastructural services.
Mike Semple, ICL infrastructure manager, says the company has built up considerable expertise in providing Internet services to the consumer market and wants to use this as a base to roll-out additional products and services.
Subscribers to the new Internet service provider (ISP) will be offered full Internet access for R59 a month. The service will include five e-mail addresses, free Web hosting space and countrywide dial-up access through the Internet Solutions network services.
Davie says Woza`s entry into the access market is timed to coincide with Absa`s decision to end its free Internet access offer. He notes that while many companies have tried their hand at Internet provision, they have generally not succeeded. "We think this market is best left to specialists."
According to Semple, the new ISP will mainly target users cut off by Absa at the end of this month when the bank closes its access to non-banking clients, although the new service also aims to lure customers away from the larger service providers. "It is clear that quality connectivity and content can be supplied much more competitively than done by some of the incumbents," he says.
"A lot of Internet users are facing cost pressures because of the recent Telkom price hikes. Our lower subscription fee will make a contribution to neutralising the price hike," says Davie.
He also believes that with the deregulation of the telecommunications market and the imminent licensing of the second network operator, the market is ready for "new products and lower prices ... Internet offerings tend to be one size fits all. We intend rolling out new products and pricing in the coming weeks and months."
Davie says that while there are other parties in the market charging similar prices, none of them offer content services and instant access to an online community. "Companies which also offer content, price their offering at more than double we intend charging."
Users will be able to subscribe from Friday, 24 May, on www.woza.co.za.
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