{"id":550514,"date":"2006-10-16T00:14:18","date_gmt":"2006-10-16T00:14:18","guid":{"rendered":"http:\/\/localhost:8888\/wordpress\/technology\/550514-voip-blocking-mtn-and-vodacom-clarify-their-positions.html"},"modified":"2006-10-16T00:14:18","modified_gmt":"2006-10-16T00:14:18","slug":"voip-blocking-mtn-and-vodacom-clarify-their-positions","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/technology\/550514-voip-blocking-mtn-and-vodacom-clarify-their-positions.html","title":{"rendered":"VoIP Blocking:  MTN and Vodacom clarify their positions"},"content":{"rendered":"<p><font size=\"2\">In an ITWeb article <a href=\"http:\/\/www.mtn.co.za\/\" target=\"_blank\" rel=\"noopener\">MTN<\/a> General Data Manager Brian Seligman is quoted as saying that \u201cWe [MTN] have filed for a tariff of R25 per megabyte with ICASA for VoIP and have the right to either block VoIP or charge the R25 per megabyte tariff.\u201d <\/font><\/p>\n<p><font size=\"2\">Seligman told MyADSL that it is highly unlikely that MTN will block all VoIP traffic, but that they are considering various alternatives when it comes to VoIP on its network.<\/font> <\/p>\n<p><font size=\"2\">He\u00a0said that MTN has the technical ability to either block VoIP traffic or charge certain rates for this kind of traffic, and that MTN is looking strategically at this issue.<\/font> <\/p>\n<p><font size=\"2\">The cellular company said that VoIP can not be ignored and that the company must look at issues related to profitability, but that the current VoIP discussions are also focusing on the quality of service of voice traffic on its network and the protection of its current data users.<\/font> <\/p>\n<p><font size=\"2\">Seligman said that their network has a finite capacity, and that they have to look at the types of traffic on its network to ensure everybody can enjoy a good experience when using MTN\u2019s data services.<\/font> <\/p>\n<p><font size=\"2\">Seligman pointed out that VoIP is not seen as a threat but rather as an opportunity to MTN, and that it will be treated as such.<\/font> <\/p>\n<p><font size=\"2\"><strong>VoIP saves consumers money<\/strong> <\/font><\/p>\n<p><font size=\"2\">VoIP software like Skype and Google Talk are widely seen as a threat to the revenues of traditional voice operators like Telkom, Vodacom, MTN and CellC as it bypasses the per-minute billing from traditional voice carriers.<\/font> <\/p>\n<p><font size=\"2\">These VoIP programs are available free of charge and enable users to make free VoIP calls when they are connected to the Internet.<\/font> <\/p>\n<p><font size=\"2\">In a bandwidth rich environment calls effectively become free, and even in a bandwidth starved environment like South Africa VoIP can save broadband users a great deal of money.<\/font> <\/p>\n<p><font size=\"2\">With a 1 GB HSDPA package from MTN the charge for bandwidth is just under 50c per Megabyte. <\/font><\/p>\n<p><font size=\"2\">VoIP programs like Skype use in the region of 500 KB per minute, which means that call costs to other Internet and Skype connected mobile phones can be as low as 25c per minute.<\/font> <\/p>\n<p><font size=\"2\">With the new range of 3G and <a href=\"http:\/\/en.wikipedia.org\/wiki\/HSDPA\" target=\"_blank\" rel=\"noopener\">HSDPA<\/a> enabled mobile phones set to hit the market the use of VoIP can have a negative impact on the voice revenue of the mobile operators.<\/font> <\/p>\n<p><font size=\"2\">The higher speeds and lower latency of HSDPA makes VoIP a particularly attractive option for cellular subscribers, and MTN\u2019s strategic discussions may be related to the increased availability of 3G and HSDPA phones and services. <\/font><\/p>\n<p><font size=\"2\"><strong>Vodacom leaves options open<\/strong> <\/font><\/p>\n<p><font size=\"2\"><a href=\"http:\/\/www.vodacom.co.za\/\" target=\"_blank\" rel=\"noopener\">Vodacom<\/a> stands to lose far more than MTN when it comes to VoIP usage, mainly because of their superior 3G\/HSDPA coverage and larger number of subscribers using these services on its network.<\/font> <\/p>\n<p><font size=\"2\">Vodacom has also indicated that they may consider charging \u2018mobile VoIP tariffs\u2019 for the use of programs like Skype for voice calls.<\/font> <\/p>\n<p><font size=\"2\">\u201cVodacom customers can download and use VoIP clients such as Skype but will experience the typical \u201cbursty\u201d nature of the internet leading to poor voice quality and could be charged mobile VoIP tariffs,\u201d Vodacom said.<\/font> <\/p>\n<p><font size=\"2\">Vodacom has however indicated that it has no intention to launch its own VoIP service.<\/font> <\/p>\n<p><font size=\"2\">\u201cVodacom does not currently provide VoIP services as the technology does not yet lend itself to the quality carrier-grade voice solutions our customers have come to expect from Vodacom,\u201d Vodacom said.<\/font> <\/p>\n<p><font size=\"2\">\u201cBoth in-house and independent tests have confirmed that VoIP solutions today suffer from unpredictable and unacceptable delays and bottlenecks, making it a best-effort service,\u201d said Vodacom spokesperson Dot Field.<\/font> <\/p>\n<p><font size=\"2\"><strong>Backlash from broadband users<\/strong> <\/font><\/p>\n<p><font size=\"2\">The possibility of MNT charging for VoIP calls on their network has drawn sharp criticism from broadband users. <\/font><\/p>\n<p><font size=\"2\">\u201cThis is really pathetic &#8211; instead of adapting to the market they try to prop up their money making empire\u201d said one MyADSL forumite. \u201cQuickest way to alienate users if you ask me,\u201d said another.<\/font> <\/p>\n<p><font size=\"2\">The blocking of VoIP traffic as a revenue protection measure is nothing new in the telecoms arena. <\/font><\/p>\n<p><font size=\"2\">In 2005 Vodafone Germany announced that it would block VoIP traffic from programs like Skype from July 2007. Expectedly this announcement created a backlash and the company said that it may reverse this decision. <\/font><\/p>\n<p><font size=\"2\">In the United Arab Emirates VoIP is blocked completely as a revenue protection device for its telecoms operator, and users in that country can not even access the Skype website.<\/font> <\/p>\n<p><font size=\"2\">While the quality of service argument is used by telecoms firms worldwide who are tampering with VoIP traffic or blocking it, this is simply a politically correct replacement for the term \u2018revenue protection\u2019. <\/font><\/p>\n<p><font size=\"2\">Quality of service is relevant in various aspects of Internet usage, including online gaming, video streaming or online radio, but these operators are focus only on VoIP which can impact their traditional voice revenue stream.<\/font> <\/p>\n<p><font size=\"2\">Broadband users are however unlikely to just sit back and take it on the chin, especially in the wireless broadband arena where competition is fierce. A decision to block VoIP or charge excess tariffs on this service may result in mass migration to a cellular provider that is less heavy-handed with their network. <\/font><\/p>\n<p><a href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php?t=55920\" target=\"_blank\" rel=\"noopener\">Discuss this article<\/a> <\/p>\n<p \/>\n","protected":false},"excerpt":{"rendered":"<p>Recent media reports indicated that MTN may increase the price for VoIP traffic on its network or even block it all together.  MTN and Vodacom clarify their positions on VoIP traffic and software like Skype.<\/p>\n","protected":false},"author":23,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17],"tags":[],"class_list":["post-550514","post","type-post","status-publish","format-standard","hentry","category-technology"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/550514"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=550514"}],"version-history":[{"count":0,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/550514\/revisions"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=550514"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=550514"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=550514"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}