The mobile operators' interconnect fee lie

ebendl

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Sep 27, 2004
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I'm hoping CellC eventually just steals enough customers to force Vodacom and MTN to reavluate their prices. Pain is with contracts that this will only take anyear or two while people wait for the end of theirs.
 

Easter Bunny

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Feb 14, 2007
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unfortunately many people have been with vodacom/mtn since the beginning and have a fair amount of brand loyalty. also, if they're like me, then they hate paperwork. but then again, vodacom annoyed me so much after moving to the sea that i made the move to the c.
 

Odracir

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May 13, 2009
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If people are unhappy with their service provider than why do we see an increase in subscriber numbers instead of a decline. As long as these subscriber numbers increase the service providers will not change their tactics.
 

Odracir

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Look at DSTV their numbers increase every year and yes I know they don't have any competition.
Look at Vodacom and MTN, their competition is only one Cell Operator who is up against two formidable operators who mislead their customers with promotions that has no real value to their customers but to themselves.
Look at Telkom, their numbers is declining but they still hold this country at ransom and Neotel is nowhere to be found.
 

Stochos

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Jan 14, 2009
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The free market is not working in this sector; on that there does not need to be any debate.

The time for 'radical policy interventions' has long passed.

MTN/Vodacom are criminal enterprises. Their pricing structures are that of organised crime.

No where in the developed world would such extortionate pricing be tolerated for so long.
 

The Jam

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Jul 18, 2008
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What can we conclude? MTN and Vodacom supporters are no different to ANC supporters? No delivery, yet they keep on supporting them.
 

siraman

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Jan 13, 2009
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What can we conclude? MTN and Vodacom supporters are no different to ANC supporters? No delivery, yet they keep on supporting them.

+1

Post of the week for me.God how I wish they could see the light.I mean, how easy can it get to port......
:mad:
 

Creag

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May 19, 2009
Messages
42,500
What can we conclude? MTN and Vodacom supporters are no different to ANC supporters? No delivery, yet they keep on supporting them.

+1

Post of the week for me.God how I wish they could see the light.I mean, how easy can it get to port......

Absolutely true. I have just ported to Cell C. So painless. Took out a contract. What fantastic value. 200 minutes for R200. And the best thing is that I'm getting better reception with Cell C than I was with Vodacom. FTW!!! :)
 

cpu.

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Jun 23, 2010
Messages
5,219
What can we conclude? MTN and Vodacom supporters are no different to ANC supporters? No delivery, yet they keep on supporting them.
Delivery is not the problem. Price is.
 

BandwidthAddict

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Joined
Apr 19, 2005
Messages
2,342
The free market is not working in this sector; on that there does not need to be any debate.

The time for 'radical policy interventions' has long passed.

MTN/Vodacom are criminal enterprises. Their pricing structures are that of organised crime.

No where in the developed world would such extortionate pricing be tolerated for so long.

What free market? The telecoms market in South Africa is heavily regulated. Even if you had a few billion rand lying around you'd have to spend most of it on bribes to even have a chance to get into the market.
 

DXL

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Joined
Aug 15, 2006
Messages
1,333
Just my Thoughts

When the MTR in kenya was high Safaricom held the monopoly with almost 90% of the market.
They received all the Interconnect revenue and others could not compete on price.
Safaricom charged almost R3-00 a minute just like Vodacom did and Vodafone has a majority stake in Safaricom.
Then the GOVT decided to flatten MTR rates to R0.20 per minute and Licenced 2 more mobile operators with Infrastructure sharing promoted.
They now have 4 mobile Operators.
The Safaricom Subscribers are very Loyal but that is slowly breaking up.
Competition is working albeit slowly but it is working.
Kenya has almost the Continents Lowest Mobile Tariffs.
The new operators are slowly getting the numbers going and coverage is expanding by all operators.
It might take 3 years for the market to be totally levelled in terms of subscriber numbers but the point is they have the lowest call rates , so mission accomplished.

SA can learn from this our MTR R0.40 is very high as well.
Drop it to R0.20 per minute across all operators anytime.


DXL - Team
 

DXL

Expert Member
Joined
Aug 15, 2006
Messages
1,333
Just my Thoughts

When the MTR in kenya was high Safaricom held the monopoly with almost 90% of the market.
They received all the Interconnect revenue and others could not compete on price.
Safaricom charged almost R3-00 a minute just like Vodacom did and Vodafone has a majority stake in Safaricom.
Then the GOVT decided to flatten MTR rates to R0.20 per minute and Licenced 2 more mobile operators with Infrastructure sharing promoted.
They now have 4 mobile Operators.
The Safaricom Subscribers are very Loyal but that is slowly breaking up.
Competition is working albeit slowly but it is working.
Kenya has almost the Continents Lowest Mobile Tariffs.
The new operators are slowly getting the numbers going and coverage is expanding by all operators.
It might take 3 years for the market to be totally levelled in terms of subscriber numbers but the point is they have the lowest call rates , so mission accomplished.

SA can learn from this our MTR R0.40 is very high as well.
Drop it to R0.20 per minute across all operators anytime.


DXL - Team
 
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