Cellular price hikes in SA: we were warned

spiff

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During a battle over mobile call termination rates, local mobile networks warned that an unfavourable outcome could result in “catastrophic” consequences, including price hikes.
nice so basically they saying " fork you - we will screw you one way or the other "
 

TJ99

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nice so basically they saying " fork you - we will screw you one way or the other "
It's just like when the gubmint forced pharmacies to lower their prices and they came up with that "dispensing fee" BS.

Or when they realised no-one is paying e-trolls so they increased the fuel levy by something ridiculous.
 

TJ99

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nice so basically they saying " fork you - we will screw you one way or the other "
It's just like when the gubmint forced pharmacies to lower their prices and they came up with that "dispensing fee" BS.

Or when they realised no-one is paying e-trolls so they increased the fuel levy by something ridiculous.
 

LCBXX

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When you have shareholders screaming and headline earning targets demanding 30% year on year growth, whilst being under no obligation to shrink on either front (whilst you are silently colluding with your competition), the choices are easily made.

Just call it basic capitalism, not a "warning". These cellular carriers know that they wield power over a service which has become an basic requirement for all but everyone. People will sacrifice on clothing themselves for airtime.
 
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spiff

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MTN and Vodacom issued similar warnings, indicating they would lose out on R1 billion in revenue if Icasa went ahead with a proposed reduction in termination rates, which included greater asymmetry for Cell C and Telkom.
that's R1b you tossers shouldn't be earning in the first place!
 

spiff

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Just call it basic capitalism, not a "warning". These cellular carriers know that they wield power over a service which has become an basic requirement for all but everyone. People will sacrifice on clothing themselves for airtime.
thank god I cancelled my contract with EM T N 2 yrs ago!

I hardly ever make phones calls. in fact I loathe phones period!
 

Axis

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And yet Cell C is going to spend R8bn on their network. They can't be struggling that much
 

Jase

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Cell C has been bugging me for the past 2 weeks to 'upgrade' and get the S6. Think I'll skip and stick with a month to month after my contract ends. Mobile data is just way too overpriced and I have no real need to connect to the internet when I am out and about. FB, WhatsApp etc. can all wait until I am home or at a free Wifi hot spot.
 

JustinB

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Cellular price hikes in South Africa: we were warned

Vodacom and Cell C’s contract price hikes should not have come as a shock to their users
@Jan / Kevin - why aren't you covering the legalities of doing this? Contracts are advertised as fixed price agreements. Why not get an opinion from our resident legal experts here?

Also, what percentage of their subscriber base is on contract vs. prepaid? Prepaid can move at the drop of a hat, but contract people will be held to ransom to pay cancellation fees based on inflated retail prices for handsets.
 

zululami

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The problem is when the government and influential politicians have shareholdings in 'private' companies - this renders the watchdogs useless. Even if they do seem to be effective - like when Icasa forced providers to lower connection fees, it's all a farce - they will shaft you in the end!
 

Jan

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@Jan / Kevin - why aren't you covering the legalities of doing this? Contracts are advertised as fixed price agreements. Why not get an opinion from our resident legal experts here?
Legal experts and other relevant parties have been asked. Apparently they are very busy currently and this is quite a complex issue, but they are looking into it and have promised to give us feedback.

Also, what percentage of their subscriber base is on contract vs. prepaid? Prepaid can move at the drop of a hat, but contract people will be held to ransom to pay cancellation fees based on inflated retail prices for handsets.
On Vodacom: 26.5 million pre-paid, 4.9 million contract - http://businesstech.co.za/news/mobile/78965/vodacom-loses-subscribers-in-sa/
 

Chris.Geerdts

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Legal experts and other relevant parties have been asked. Apparently they are very busy currently and this is quite a complex issue, but they are looking into it and have promised to give us feedback.
The operators believe if their new tariffs are approved by ICASA, they are good to go. The guidelines for ICASA are based on official inflation and if there hasn't been an increase for a while they claim 'catchup'.

Look at Multichoice - they get away with increases every year no problem. The only way I got out of that upward spiral was by cancelling
 

KOPITE

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The problem is when the government and influential politicians have shareholdings in 'private' companies - this renders the watchdogs useless. Even if they do seem to be effective - like when Icasa forced providers to lower connection fees, it's all a farce - they will shaft you in the end!
This
+1000000000

Including Eishkom, Monochoice, Vodakants, EmptyN, Etrolls, Telscum, etc.......
 

Swa

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Also, what percentage of their subscriber base is on contract vs. prepaid? Prepaid can move at the drop of a hat, but contract people will be held to ransom to pay cancellation fees based on inflated retail prices for handsets.
This is quite an interesting one. They lower prepaid rates to get customers but then force contract customers to pay more in overall costs simply because the latter can't switch so easily.

The operators believe if their new tariffs are approved by ICASA, they are good to go. The guidelines for ICASA are based on official inflation and if there hasn't been an increase for a while they claim 'catchup'.

Look at Multichoice - they get away with increases every year no problem. The only way I got out of that upward spiral was by cancelling
Except they didn't change tariffs but package prices. Doesn't involve Icasa.
 

KOPITE

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This is quite an interesting one. They lower prepaid rates to get customers but then force contract customers to pay more in overall costs simply because the latter can't switch so easily.


Except they didn't change tariffs but package prices. Doesn't involve Icasa.
Yes, but the SABC signed secrecy contracts with Monochoice, which allow them to broadcast the best programming to selected audiences.
 

cr@zydude

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Legal experts and other relevant parties have been asked. Apparently they are very busy currently and this is quite a complex issue, but they are looking into it and have promised to give us feedback.



On Vodacom: 26.5 million pre-paid, 4.9 million contract - http://businesstech.co.za/news/mobile/78965/vodacom-loses-subscribers-in-sa/
Something I have thought about, to get a contract the network needs to do an affordability study. This is based on your income and the cost of the package which you want. With the prices going up, does that mean that some people's contracts are no longer affordable? Do networks leave headroom in theor calculations for these increases?
 

marine1

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Really??? So again it's our fault? Never take responsibility do they? Mafia
 
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