Vodacom CEO says smartphone prices must be lowered in South Africa

Joosub points out that only 25% of the Sub-Saharan

Who keeps the stats for the rest of Africa?
 
Mike Hoxbig said:
So subsidise them on 24 month contracts like you used to...
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This isn't about subsidies for more expensive phones, this is for those too poor to qualify for a contract, article gives an example of a R250 phone.

Another bigger issue imho is how the cheaper bundles are quite expensive for what you get.
 
Johnatan56 said:
This isn't about subsidies for more expensive phones, this is for those too poor to qualify for a contract, article gives an example of a R250 phone.
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That's one side of it. Phones are too expensive, that's always been the case. Contracts were a means of selling new phones every 2 years to those who qualified for one, and recovering the cost through VAS. It's just good business sense.
Johnatan56 said:
Another bigger issue imho is how the cheaper bundles are quite expensive for what you get.
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And this side of it is completely within Vodacom's control. The cheap phones are not the issue, everyone is walking around with one. It's the network costs that hit the poor the hardest. This seems like hiding behind "the poor", to pass the buck onto the cost of the device, which he knows will never come down, to shield himself from difficult questions around the network costs which are within his control...
 
Only 9% duties?! Here's a tip - you could claw back that 9% extra on your entry level smartphone in no time by moving away from Vodacom to somewhere with cheaper data.
 
elvis_presley said:
Only 9% duties?! Here's a tip - you could claw back that 9% extra on your entry level smartphone in no time by moving away from Vodacom to somewhere with cheaper data.
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And this, wondering where that 60% reduction is Vodacom promised once they get the spectrum.
 
Developing local assembly and production plants can enhance 4G device affordability while creating jobs and boosting local manufacturing industries,” says Joosub.

Really - with us having the most expensive labour in the world, never mind the region. Eish!!
 
Swa said:
And this, wondering where that 60% reduction is Vodacom promised once they get the spectrum.
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The promise went up in smoke ... , never to be seen nor heard of again.

But to be fair, SABC and eMedia are still occupying alot of that spectrum.
 
elf_lord_ZC5 said:
The promise went up in smoke ... , never to be seen nor heard of again.

But to be fair, SABC and eMedia are still occupying alot of that spectrum.
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Yeah the spectrum that's supposed to make it easier to roll out to rural areas, but I think Vodacom was talking about the high demand spectrum that was auctioned. Will have to go back to the articles.
 
Swa said:
Yeah the spectrum that's supposed to make it easier to roll out to rural areas, but I think Vodacom was talking about the high demand spectrum that was auctioned. Will have to go back to the articles.
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They have their excuse
 
elf_lord_ZC5 said:
Developing local assembly and production plants can enhance 4G device affordability while creating jobs and boosting local manufacturing industries,” says Joosub.

Really - with us having the most expensive labour in the world, never mind the region. Eish!!
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But higher duties are there to encourage and protect this kind of local initiative, aren't they? This seems more of a "I see a potential 9% increase in profit margins on phones, so let's throw out all the usual scare tactics and talking points"
 
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