There is currently a court battle under way in which MTN and Vodacom are challenging the introduction of new asymmetrical call termination rates.
Vodacom and MTN lodged an application for an urgent interdict to stop the implementation of the 2014 call termination regulations, and have it reviewed.
In its answering affidavit Cell C said that granting the interdict will cause serious harm to the company.
According to Cell C stopping the implementation of the regulations will have a devastating effect on the company. This includes:
- Affecting Cell C’s ability to service its debts
- Negatively impact Cell C’s ability to improve its customer care services
- Restrict Cell C from investing significantly in its network
- Continue to limit the company’s negotiating power
Cell C said that the only real alternative if the 2014 regulations do not come into effect will be for the company to increase retail rates.