Devoted to Providing World-Class Mobile Network for All South Africans

Cell C, the third largest mobile operator in South Africa, is seeking to provide the best mobile network in the country. In 2010, they launched a HSPA+ 900MHz next-generation wireless network with speeds of up to 21.6Mbps. Steven Boiles, Cell C's executive head of networks, has a strong background in technology. On 6th April 2011, we interviewed him about Cell C's 3G network construction, operation, service promotion, and wireless network development in South Africa.

Reporter: In 2010, Cell C began deploying a HSPA+ 900MHz next-generation wireless network in South Africa. It originally planned to cover 34% of the South African population by the end of 2010 and 67% by the middle of 2011. How is the network deployment progressing? What difficulties have you had inengineering and technology? How have you overcome them?

Steven Boiles: We have met our target for the end of 2010. In fact we have exceeded it, and now 40% of the South African population is covered. This is a fantastic achievement for us. Our mid-year target for 2011 is 67%, and we expect to meet that target. But more excitingly for us, we plan to cover 97% of the population by the end of this year. And that means the Cell C network will have the largest population coverage in South Africa. This makes us extremely proud.

      Certainly, we also have faced difficulties in the process. Anyone who has been involved in network rollout will tell you there’s always a difficulty. We had one involving the World Cup soccer that meant we had to stop construction. This affected some of our launch projects in major cities. We have normal problems that affect all network rollouts: We have to get permits, we have to find enough contractors that can actually install base stations. What we are doing in South Africa is the largest rollout anyone has attempted in such a short space of time. We will grow our network from just under 3000 sites (that we had at the end of 2009) to 5000 sites by the end of this year. Any network operator attempting that kind of growth always faces challenges. So far we’ve done well and we expect to do even better. In the future, we will further enhance network coverage and improve network quality.

Reporter: The network will be the first HSPA+ 900MHz and also the fastest 3G network in South Africa. What advanced technologies have been adopted in the network and how will these impact subscriber experience?

Steven Boiles: What makes Cell C unique is that we haven’t had 3G before. So we haven’t gone through the evolution phase of 3G to Release 99, 3.6, 7.2, and 14.4. We’ve gone straight from 2G and decided to swap over the network from end to end. We have deployed a complete Release 7 IP core network together with a complete 100% HSPA+ 21Mbps network. So we’ve leapfrogged from where we were to where we actually will be. What is significant about Cell C’s network is that the HSPA+ Release 7 network is IP across all network elements. This is a first for South Africa. ZTE’s Software Defined Radio (SDR) technology is utilized across our entire network. With the unified SDR platform, all wireless technologies including 2G and 3G can be realized on a single module, and upgrade to HSPA+ and LTE will be smooth. Compared with 2100MHz, the lower 900MHz frequency provides deeper and wider coverage with better penetration for indoor users. Fewer base stations are needed for coverage, and indoor coverage is enhanced.

    The combination of R7 all-IP networking and SDR technology offers our customers a low latency, high capacity network that can evolve quickly to HSPA+.  According to our own internal tests, our network is the fastest. If you go to an independent source such as netindex.com, we are also the fastest (as measured by each network subscriber). So we are giving subscribers the fastest service in South Africa. The feedback we have received is extremely positive, and we’ve also approached the marketplace with a very compelling offer. We’ve reduced the price, we’ve understood that people want larger volumes of data at a lower price, and our offer is seen as being extremely attractive.

Reporter: Can you talk more about your offers to customers?

Steven Boiles: We launched two prepaid data products so that customers could get the best deals right away. One is a 24GB package including a 7.2Mbps USB speed stick, SIM card and 2GB of data per month over 12 months for R1499. The other is a 60GB package including a 21.6Mbps USB speed stick, SIM card and 5GB of data per month over 12 months for R2999. These are unbeatable offers that allow as many customers as possible to share in the fastest network. These service packages have attracted a large number of subscribers.

Reporter: Cell C won the “Best Mobile Broadband Service 2010” award from MyBroadband. Why did Cell C win this award? Could you share your success story?

Steven Boiles: Mybroadband is an independent South African website aimed at technical people and anyone who has an interest in electronics, computing and IT. They have an annual award for the best broadband service determined by voters. Cell C launched a HSPA + network in September; and in November 2010, we were  deemed by a very clear majority to be the best network and also the broadband provider that did the most in 2010 to improve the overall state of broadband in South Africa. The pricing for Cell C’s launch offer has been deemed the best ever broadband pricing in South Africa. So we are extremely proud that within a few months of being live we are being recognized.

Reporter: Cell C has a unique way of providing network content and services. It has succeeded in rolling out MyTools and Red Bull MOBILE. What’s your strategy for content and service provision?

Steven Boiles: Cell C believes we need to partner with various companies that are leaders in their fields. We’ve launched two new services. One is Mytools, an interactive web-based product that allows people to manage their phone service. They can change voicemail messages; direct people to voicemail, to a phone or landline; view call history, or access voicemail deposits online. We will add to this as we go forward so that people can have an internet view of themselves. They will have complete control over services from an internet-based portal.

    We also launched Red Bull MOBILE virtual network four weeks ago. Red Bull MOBILE is innovative, powered by Cell C’s new generation super-fast HSPA+ 900MHz/ 2100MHz network. Customers have access to premium Red Bull content using a customized smartphone. Again, we wanted to partner with a leading brand and give customers new services that are specifically aimed at a certain segment. We see that we should partner with companies that have these capabilities.

Reporter: What impact will Cell C’s next-generation wireless network have on the competition pattern of mobile operators in South Africa?

Steven Boiles: Cell C has always been a 2G network. So historically our competitors have launched 3G networks. So we haven’t been seen as a technical leader. With the HSPA+ network launch, consumers, who are the most important, have been seeing us as a technical choice. Our competitors, I hope, still don’t see us as a major threat, but we hope that by the end of the year they understand we are holding the best network.

Reporter: Since 2010, operators around the world have been deploying LTE networks to seize more market opportunities. What are Cell C’s considerations in deploying an LTE network?

Steven Boiles: Once you deploy the next generation, you always look to the next generation. Unfortunately in South Africa we still have not got regulations approved that will allow LTE spectrum to be released. We hope that will be finalized in the next 12 months, and I think it’s a natural evolution for many operators that once you have deployed HSPA+ you can start to look at LTE rollout. For Cell C it’s difficult to say actually when that will be in the current regulatory environment.

Reporter: What do you think about applications and development of wireless technologies in South Africa in coming years?

Steven Boiles: South Africa is a very large and diverse marketplace. We have some extremely high-end users that expect very high speed and very high service levels. We also have a vast market that as yet has been unused to using data. So one aspect of Cell C’s rollout is that we want to enable everybody, everywhere. Where our competitors have focused on the main cities, we are making sure that our network will provide high-speed data everywhere and bring in millions of people who in the past have never used data. On the African continent I believe a similar situation exists where there are many people who have never used the Internet. When we now see the influx of smartphones―and by that I mean not just iPhone 4―but really cheap smartphones together with a nationwide high-speed data network, the opportunities in South Africa are huge.