Two graphs that scare Vodacom and MTN

The writing is on the wall...

Now, they either can do one of three things :

1. Do nothing, hope it is an anomaly and that it will go away.
2. Start charging for OTT usage.
3. Lower data prices, get rid of the OOB sharky and get people to use data more aggressively.
 
I wonder if we will ever see a data only in future in which they only sell data and voip over cell.. maybe sms too. I'd be interested to see how this would play out as i think the 1st network to make the move wins while the other stays heavily vested in voice.
 
The writing is on the wall...

Now, they either can do one of three things :

1. Do nothing, hope it is an anomaly and that it will go away.
2. Start charging for OTT usage.
3. Lower data prices, get rid of the OOB sharky and get people to use data more aggressively.
The obvious option is 3, but I am afraid that they are so addicted to the fat profit margins that voice and SMS offered. Data is a lot more democratised and highly contested. They will have to be lean and efficient, and effectively become dumb pipes.
 
Well its really simple! Do what Telkom did with international calls especially and cut the cost per minute! It used to cost almost R10 a minute to phone to the UK now its only 50c from a landline.
But to give another example a couple of days ago it was about R4.80 per minute to phone a cell phone in Botswana from Vodacom!

So the question then is if the person on the other side has a decent connection and data i could phone via Whatsapp calling for probably less than 50c a minute over 4G and have a nice long conversation for almost nothing.
Even locally cell phone providers still charge around R1 a minute! its the same bloody rip off as SMS costing 80c and traditional calls will follow the same path as SMS if the operators dont reduce their cost per minute drastically.

The joke of it all is that Whatsapp calling and traditional phone calls arent all that different, in both cases your voice is largely carried over some form of Voip protocol.
 
They'd better get used to being nothing but wireless ISP's selling dumb data pipes, because that's exactly what they're going to be in 10 years time.
 
I wonder if we will ever see a data only in future in which they only sell data and voip over cell.. maybe sms too. I'd be interested to see how this would play out as i think the 1st network to make the move wins while the other stays heavily vested in voice.

In a fully digital network aren't all calls VoIP anyway?
 
Vodacom already has Voip infrastructure and tariffs that we bolt onto Broadband Connect products and then the customer just plugs in a phone to the router. Some of my clients that took this from me says it works very well, and the tariffs per minute is very cheap compared to normal rates. Could Vodacom not do a dialer of some kind for Android and Iphone and make it available for cellphones?
 
The obvious option is 3, but I am afraid that they are so addicted to the fat profit margins that voice and SMS offered. Data is a lot more democratised and highly contested. They will have to be lean and efficient, and effectively become dumb pipes.

This is a positive turn of events! A very good post from Ngwe23 :D
 
They'd better get used to being nothing but wireless ISP's selling dumb data pipes, because that's exactly what they're going to be in 10 years time.

Unless they go triple play like other providers overseas have done.
 
There are Options !

The writing is on the wall...

Now, they either can do one of three things :

1. Do nothing, hope it is an anomaly and that it will go away.
2. Start charging for OTT usage.
3. Lower data prices, get rid of the OOB sharky and get people to use data more aggressively.

1. Drop sms charges.
2. Drop voice calls to 50c per minute to any network as well as most International calls.
3. Make data more affordable LTE

a) First 2 Gigabytes at R49
b) Next 2 Gigabytes at R69
c ) 5Gig Bundle R99
d) 10 Gig Bundle R169
e) 20 Gig Bundle R249
ABOVE PRICES Valid for 30 Days

f) 20 Gigs @ R399
g) 40 Gigs @ R699
h) 60 Gigs @ R899
Above prices valid for 6 months

Watch this Space and this post :)

Its coming soon :)
 
Vodacom already has Voip infrastructure and tariffs that we bolt onto Broadband Connect products and then the customer just plugs in a phone to the router. Some of my clients that took this from me says it works very well, and the tariffs per minute is very cheap compared to normal rates. Could Vodacom not do a dialer of some kind for Android and Iphone and make it available for cellphones?

They do this for people who are likely to go elsewhere for their voice minutes. Not for minions like us. Unlikely for app to come soon
 
First thing that needs to change is this OTT mentality. You provide a data service. That is completely agnostic to the nature of data it is carrying and no other data providers use it or even care what they are carrying. The whole irony is that the voice networks are the real over-the-top providers as the packet network isn't voice native.
 
They do this for people who are likely to go elsewhere for their voice minutes. Not for minions like us. Unlikely for app to come soon

I personally think it is a pretty good idea with many ways of tweaking it. So you can create the app for the dialer and your SIP account. Vodacom can then activate Voip as a VAS on any line, so your line will become a dual function line. Normal CS voice and VOIP. So when someone calls you, Vodacom's network will then determine best way to connect that call to your phone, be it CS or Voip. Vodacom can implement the Opus codec in Voip so that the call quality is great with the lowest impact on network resources. Then to make money off it, they can say right, you pay R20.00 per month for the Voip service and then you can pay the lower Voip rates when calling off net numbers. When dialing other Vodacom numbers the call is free. Or perhaps make it that you get 50 minutes free for Vodacom to Vodacom numbers, and then the rest you pay.

This way, you are putting your data network to good use (but doing so efficiently by using the Opus codec), and you are also creating a extra revenue stream while running CS and Voip concurrently on the same line. That way, when CS voice does start dying out, you have your foot in the door already with Voip services and the switch will be less drastic?
 
The writing is on the wall...

Now, they either can do one of three things :

1. Do nothing, hope it is an anomaly and that it will go away.
2. Start charging for OTT usage.
3. Lower data prices, get rid of the OOB sharky and get people to use data more aggressively.

All 3 of those are unlikely, which is why they're trying option 4: Regulation of OTT data. If they go option 2, they'll lose all their customers to Cell C.
 
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