iBurst plans 20 000 Internet caf'es

Johannesburg, 14 Jul 2006

iBurst will establish 20 000 Internet caf'es by 2010, with 1 000 planned for the next couple of months, the company says.

The process will begin in August, with 100 caf'es being built in Soweto and expanding to other townships where iBurst already has coverage, says CEO Thami Mtshali. Each caf'e will have four to six computers per connection and up to 30 computers per caf'e, he adds.

The caf'es will offer Web services, such as e-mail and Internet access, at R5 for a 30-minute session. Voice over Internet-based call services will also be offered, with international calls costing from 40c per minute, he says.

Intermediate solution

Mtshali says the project will operate on a "preferred partnership model" with Tradepage, an independent Internet service provider. Local entrepreneurs can expect to invest a minimum of R30 000 for a fully-equipped caf'e.

Rudolph Muller, founder of MyADSL, says Internet caf'es are an effective intermediate solution to address the challenges created by low PC penetration rates and lack of affordable Internet access.

"An unemployed graduate just wants to take his R5, walk to the Internet caf'e up the road and send a hundred CVs to potential employers during a session. Then he wants to come back the following day with another R5 to check if there have been any responses," Mtshali says.

Tebogo Khaas, chairman of the SMME Forum, says while most Internet service providers tend to shy away from townships and rural areas, these areas have been identified as key to contributing to SA`s economic goals.