Regional Cell companies

[AnomalyNexus]

Why don't we have regional cellphone companies in SA?

e.g. Cell only works within Gauteng.

Only covering a small portion of ZA one would need fewer cell towers. That should make it possible to undercut VC & MTN by a decent amount.

Lots of GP people rarely if ever leave Gauteng. And if they do (Beach vacation) one could always negotiate a roaming style thing with VC at inflated prices.

So why don't we have them?

 

[InTheCube]

The main reason we don't have it is probably because of the legacy of Poison Ivy, ICASA, and the ANC/Goverment. They limited the number of cellular network licenses, instead of having a more liberalised, open market.

Other problem is I don't think South Africa is big enough to cater for "localised" cellular operators. And I don't think consumers would be too happy that their mobile phone isn't truly mobile - limited to Gauteng, or the Cape, etc., especially now that there are 3, almost 4 (include Telkom Mobile) cellular operators that offer nationwide coverage.

 

[AnomalyNexus]

limited the number of cellular network licenses

Valid point.

Other problem is I don't think South Africa is big enough to cater for "localised" cellular operators.

In SA there is always room for someone who manages to undercut the existing offers.

And I don't think consumers would be too happy that their mobile phone isn't truly mobile

Not even if it shaves say 25% of the annual bill? I reckon 95% of the spend almost the entire year in their province.