Cell C sells cellular tower infrastructure

I don't fully agree with this, sure it may cost more over the long term, but Cell C may regard their business as being something more innovative than being a tower owner.

After all, how many airlines own their own aircraft, they are all leased.

Maybe Cell C think than they can earn a higher return on the cash that they raised than what it costs to lease the towers. Then it makes a lot of financial sense.
 
stricken said:
CellC has undergone a renovation. Their CEO sees the future, where operators are admins of bitpipes. VC and MTN kind of companies are fighting tooth and nail to keep VoIP off their handsets since it will pretty much place voice revenue in the same basket as data. Think 20c/minute calls. But handsets will get VoIP.

Im running Android Froyo with skypeOUT. At home and work i make 23c phonecalls to any cellphone using WiFi. Since i got this phone.. my bill went from R1200/month to about R400. LoL.
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For sure Cell C is undergoing a 'renovation'. One should ask why only now? They are now at least 3 to 5 years behind MTN and Vodacom. Rather late than never, I guess.

I'm intrigued by your statement that Cell C 'saw the future' and your implication the other operators did not. Can you explain?

What is Cell C doing today in terms of products and services the other guys are not doing or have not been doing for a long time?
 
Jola said:
I don't fully agree with this, sure it may cost more over the long term, but Cell C may regard their business as being something more innovative than being a tower owner.

After all, how many airlines own their own aircraft, they are all leased.

Maybe Cell C think than they can earn a higher return on the cash that they raised than what it costs to lease the towers. Then it makes a lot of financial sense.
Click to expand...

Possibly. Let's hope so. They need all the help they can get to get out of the massive debt they're carrying.
 
they are simply moving OPEX to CAPEX...looks better on the books...getting ready to sell...
They have outsourced callcenters as well.....mmmm
 
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