MTN faces flak over Verizon purchase

One thing I find very funny.

the ISP's run to the Competition commission saying Telkom is halting the competition. That was last week. MTN comes and then becomes a very serious contender for Telkom, what do the ISP's do.... run to the Competition Commission again. They should get their game faces on and stop crying foul. It's a waste of time and effort they could have used somewhere else.

With MTN buying out Verizon it actually creates more competition :rolleyes:
 
Pitbull said:
One thing I find very funny.

the ISP's run to the Competition commission saying Telkom is halting the competition. That was last week. MTN comes and then becomes a very serious contender for Telkom, what do the ISP's do.... run to the Competition Commission again. They should get their game faces on and stop crying foul. It's a waste of time and effort they could have used somewhere else.

With MTN buying out Verizon it actually creates more competition :rolleyes:
Click to expand...

Yeah but they're obviously going to complain because its more competition for them, its not as if they're doing it to help the consumer out, although that's what they'll claim.

This is a good move for MTN IMO, should help them compete very well with VC who are also rolling out their ISP side.
 
Got this in my inbox, from Verizon :

The Future of Verizon Business South Africa
Dear xxxx xxxxxxxxxxxxx

On June 13, 2008, Verizon Business agreed to sell all of its equity in Verizon South Africa Proprietary (Ltd) (Verizon Business South Africa) to Mobile Telephone Networks Holdings (Proprietary) Limited (MTN Group). The sale also includes Verizon Business's interests in other countries in sub-Saharan Africa, including Botswana, Kenya, Namibia, and Zambia.

The sale to MTN Group is consistent with our strategy of optimizing global operations to meet the communications needs of large enterprises, MNCs, and governments. We do this through a mixture of wholly-owned global infrastructure and assets, local and global service and support teams, and key partnerships.

Verizon Business remains committed to providing advanced IP communications and information technology solutions for MNCs with operations in Africa through partnerships with MTN and other local providers as appropriate.

The transaction is subject to regulatory approvals. Until closing, account teams should continue to operate business as usual.


John Killian
Verizon Business President
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I think MTN is doing the right thing - as to provide competition to telkom.

Least the other guys can do is to buy shares in MTN :D
 
The_Librarian said:
I think MTN is doing the right thing - as to provide competition to telkom.

Least the other guys can do is to buy shares in MTN :D
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MTN can compete fine with Telkom right now. There is no need for them to buy Verizon Business other then to take out a competitor. Our company has just switched from MTN to Verizon Business (who were cheaper) and now we will be back with MTN. If MTN want customers they can just cut back on those massive profits a little drop their prices a bit.
 
Abe said:
MTN can compete fine with Telkom right now. There is no need for them to buy Verizon Business other then to take out a competitor. Our company has just switched from MTN to Verizon Business (who were cheaper) and now we will be back with MTN. If MTN want customers they can just cut back on those massive profits a little drop their prices a bit.
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I think we need to separate MTN NS/Business and MTN SP when talking about competing with Telkom. MTN NS is, or rather was, puny in comparison to Telkom before this transaction.

As for their pricing, they are in the middle of heavy capital infrastructure spend, so doubt their rates will come down anytime soon. But in time, maybe.

And no I dont work for them. ;)
 
gdiza said:
MTN needs those profits, to keep up with the local soccer tournaments ;)
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I would guess they spend more money on your beloved cricket than soccer.:p

IIRC they only sponsor a couple of teams, and no actual cup competition. But then I'm too lazy to verify.:D
 
MTN has just announced that they got the remaining 59% share in I-Talk.
Which now makes it a 100% stake holder. Subject to competition Commission approval.

Nothing is stopping MTN I think :eek:
 
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I think if MTN drops their prices below vodacon, that might hurt telkoms b!tch and will reflect the price at which telkom sells its international data to mtn. Could this happen?
 
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