S.Africa's Vodacom says to cut call tariffs

[bekdik]

Telkom's now going to drop their prices between 19:01:01 and 19:01:02.

Calls which start or end outside of the discount period will be charged at normal double peak rates.

 

[Gooku]

Smart move

This is a good example of how Telecoms company can covert unutilized capacity into extra revenue while benefiting its customers.

I am however surprised at the negative reaction of the stock market - I think they only read half of the story

 

[Peter7]

Geez, like squeezing blood from a stone. These guys really don't want to let go of their profits. Thanks for the whole 3 hours. Kind of ridiculous actually, if it was in fact for peak times this would be a different story.

Aren't most people in traffic at this time - guess everyone is going to go out and get a hands free kit.

MTN and Cell C will now have to reduce there rates at the sake of loosing customers.

I'm really glad that ICASA is having an impact. Gives a positive indication how it will deal with Telkom! (When is the draft going to be available?)

 

[matt156]

I think the JSE sees this as the beginning of a price war (hopefully)

 

[mancombseepgood]

What's next?

Whats next, free ADSL from TELKOM? The pessimist in me says this is major Voda shareholder Telkom's attempt to shift the focus away from the ADSL thingy for a bit...

 

[krycor]

I think this was done to quell ICASA a bit, i hope they aren't fooled though. Cause i was reading somewhere that cell phone networks were also under investigation for amongst other things.. prices.

 

[Mams]

I heard Allan Knot Craigs ( CEO vodacom ) interview on 702 yesterday.
These guys are not really serious:
He said more than once; that they did it to basically generate more traffic as these hours are the least used time on the network and at 8pm there is a rush of traffic so this is just for there benefit>>more revenue...but he says :its a win win situation .....by the way...
And he says that it was a response to MTN s call cuts & he says that Vodacom is not entering a price war and he doesnt think this will cause a war..........

 

[Global|]

It is an attempt to piss off people that recently changed from vodacom.

 

[biltonguy]

Oh please, I read the first reuters report that didnt specify 5-8pm and i was impressed, but now a measly 3 hours, thanks for nothing.

 

[Windmill]

A con

Why didn't Vodacom cut prices between 1 and 2 am? This price cut was an absurd publicity stunt which no doubt will be followed by other members of the cell phone cartel. Vodacom is controlled by Telkom

 

[Moederloos]

This price cut was an absurd publicity stunt...

Like I said before. One has to question the "leak" by Reuters. Was it deliberate?

 

[BTTB]

MTN cuts costs by up to 50%

MTN cuts costs by up to 50%
Aug 31 2005 05:42:03:150PM

Johannesburg - South Africa's second-largest mobile network MTN Group (MTN) has announced that it is to introduce an MTN WOW WOW value bundle that effects between 37% and 50% discounts for pay as you go subscribers.

Unlike its rival Vodacom Group - which over the weekend announced a similar deal for its customers across the board at no extra charges - MTN's new and existing users should purchase specific starter packs in order to enjoy lower tariffs for services such as SMSs, voice calls and MMSs.

Between 17:00 and 20:00, weekdays, MTN users can enjoy a 50% discount for all on-network calls as well as for calls to landlines.

For Vodacom- and Cell C-bound calls the tariffs fall by 37%.

Vodacom's new tariff plan launched on Sunday will see an on-network call rate of R1.49 per minute for pre-paid and contract users - from 17:00 to 20:00.

The downside, however, is that its customers making Cell C- and MTN- destined calls will not enjoy these benefits.

With MTN WOW WOW, users will pay R1.65 for on-network and Telkom- bound calls and R2.28 for other networks. In addition MTN users will be able to send ten SMSs and five MMSs, per month, at no charge.

"MTN's key differentiator is that it offers inclusive value packages aimed at ensuring that users benefit when making calls both on the MTN network as well as calls to other networks," the listed operator said.

It also said it is committed to partnering with its user base by offering subscribers tailored packages that suit their lifestyle and their pockets.

Communications Users Association of South Africa spokesperson Ray Webber hailed the move to slash mobile prices as a "fantastic" one.

"We hope they are going to start competing vigorously and this is a step in the right direction," he added.

See MyADSL News here.

 

[LabAnimal]

I personally think R1.49 is no saving, however it is considering where we live...

If Telkom didnt own 50% of Vodacom, and Vodacom didnt use Telkom to route trafic from tower to tower, would Vodacom be any Cheaper ?

Very curious to see when Cell C will jump on the 50% thing - i heard they are the cheapest network (not the best tho...)