Companies aim to extend AT&T’s global networking reach to Sub-Saharan Africa and boost Telkom’s strategy to grow a strong ICT footprint there

April 16, 2009

2 Min Read

JOHANNESBURG, South Africa -- Telkom, one of the largest communications services providers on the African continent, and global communications leader AT&T*, have entered into an agreement that will allow both companies to explore ways to provide global seamless communication and technology solutions and services to multinational customers (MNCs), either based in or seeking to extend their operations in Sub-Saharan Africa.

Telkom CEO, Reuben September, and Ronald E. Spears, president and CEO of AT&T Business Solutions, today participated in a ceremony in Johannesburg to sign a Memorandum of Understanding (MOU). The agreement calls for both companies to establish seamless connectivity between the Telkom and AT&T networks, so that companies in Sub-Saharan Africa can connect more effectively to other global markets.

It would also allow multinational companies seeking to establish or expand their operations in these African countries to obtain Internet Protocol (IP) based and mobility services and applications more easily within the continent and around the world.

Under the terms of the MOU, the two companies will begin work towards definitive agreements that would:

  • Directly connect the Telkom regional network and the AT&T global network.

  • Deliver a wider geographic footprint of telecommunications services, both in Sub-Saharan Africa and other global points.

  • Enhance mobile service capabilities for corporate customers in Sub-Saharan Africa

  • Extend global VPN (Virtual Private Network) services to support the state-of-the-art network requirements of customers either headquartered in or seeking to expand sites in Sub-Saharan Africa.

  • Explore other potential opportunities in areas such as Telepresence, hosting and professional services.

  • Expand the existing global wholesale voice services relationship between Telkom Group and AT&T.

    September welcomed the agreement, saying that it “further entrenches the solid progress we have made in executing our strategic imperatives”.

    “This agreement will definitely contribute to our objective of expanding our leadership position beyond the borders of our country. The fact that AT&T has chosen to conclude this MOU with Telkom is further testimony of the Group’s network reach and capability. At the same time, the agreement will give impetus to Telkom’s determination to expand geographically and become a fully fledged Pan-African operator,” added September.

    Telkom SA Ltd. (NYSE/Johannesburg: TKG)

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