Vodacom Hots Up Cellular Competition With Video Deal

Razer0

Expert Member
Joined
Aug 7, 2004
Messages
1,900
Reaction score
42
Location
Durban
Taken from http://www.mybroadband.co.za/nephp/?m=show&id=58

In a world first for a cellular network operator, Vodacom is letting its customers make video calls for the same price as a voice call an aggressive pricing tactic likely to see thousands of users defect from MTN and Cell C.


In a second competitive coup, Vodacom is also offering high-speed wireless connectivity for computer users, in a direct attack on the fast internet access offered by Telkom, Sentech and Wireless Business Solutions. Both services were launched this weekend on Vodacom's new third-generation (3G) network, an investment costing about R1,2bn.

The pricing ploy means Vodacom will make money from 3G only if it wins a large number of users. Its chances are good, however, as even when users are abroad they will be able to make video calls for the same price as international voice calls, in what is likely to prove Vodacom's most compelling offering.

Chief operating officer Pieter Uys said the prices were pitched low in a calculated bid to crush the rivals. "With video calls priced so you don't have to worry about the tariff it will be hugely popular, and that's why we've taken this bold step," he said. "We looked at what the rest of the world is doing and other operators are offering video calls for three times the rate of a voice call. Our video and voice calls will be exactly the same, and that's unique."

(/END QUOTE)

Does this mean that on TOP of the R599 (which is absolutely rediculous IMO) per month that you have to pay for the service, you have to pay for making the call too??? And dont forget the 3GIG cap that comes along with it.
Someone please correct me, it sounds like ADSL on a cellphone but you have to pay for the duration of the video call aswell?
 
3G is old technology.

I can't believe it's being palmed out here as some kind of revolution - it's old old old.
My bet is that it's cheap and easy to offer 3G over here without that much hardware overheads - the bulk of the cost being expertise.

A quick buck or a sitting duck ? :D
 
lol yea tell that to the americans and they're like.. "oh WOW REALLY?!? oh golly gosh thats so cool"
 
pfft... you joke! Someone (American) once actually asked me if we had lions and elephants roaming around in the streets.

My answer wasn't pretty... :o
 
Mobile Connect at R599 has nothing to do with video calls. It is pitched as a rival to Scumtech and Telkrap internet access.

What Razer0s initial post means is if you take out a normal talk package you can make a video call at the same rate as a voice call and it’s included in the talk bundle etc. You just need a 3G phone.

I don’t know if or when MTN/Cell C are going to offer 3G, but I think they have a problem on their hands unless they launch soon. Vodacom (or Vodafone rather) have so much power they can pretty much crush the opposition on this - if people actually want to see the person they are calling that is……
 
Whats this about a 3gig cap? Its still one gigabyte on their website.

Celery
 
oopsy doopsy, my bad.. i read from perdition somewhere that the cap was 3gig so i assumed. But better yet the point being thats its a price/offering waaaay over our heads. Why do they keep trying to bend the SA consumer over
 
Because the South African consumer takes it and comes back for more.

"other operators are offering video calls for three times the rate of a voice call"
Implies to me that we are paying 3 times too much for a voice call.

Cheers
Chris
 
Top
Sign up to the MyBroadband newsletter
X