The Citizen (KZN)

Service providers insist they are doing their bit to reduce costs

- Responses from service providers:

Fusi Mokoena, general manager at MTN’s legal department, said spectrum allocation was key in reducing operationa­l costs, which could bring down data prices.

“In the past few years, MTN has reduced voice and data costs by approximat­ely 75%. This year alone, data prices have fallen significan­tly, month-on-month, by a total of between 30 and 40%,” he said.

Mokoena said in other countries where the costs of data and voice are perceived to be lower, industry insights have revealed that network quality and coverage is not necessaril­y on a par with that of South Africa due to lower investment in network infrastruc­ture.

“It is also important to note that network operators in South Africa are facing a network crunch due to the unavailabi­lity of high-demand spectrum that will enable MTN to roll out data networks more speedily and expansivel­y and thereby reduce data costs on a bigger scale.”

Cell C spokespers­on Candice Jones said the company was continuous­ly revising its pricing structure to meet consumer demands.

“Cell C has been key in driving down the cost to communicat­e in SA by bringing real competitio­n to the market. In fact, consumers have benefitted massively from this competitio­n as was evidenced in the study commission­ed by National Treasury that found that competitio­n to MTN and Vodacom, driven mainly by Cell C, has saved the South African consumer more than R47 billion between 2010 and 2015.

“We continue to offer some of the most competitiv­e data (and voice) rates in the market and today announced another price cut on our data offers.”

Telkom’s Gugulethu Maqethuka said over the years, the company had worked to provide high-quality products targeted at consumers at reduced prices. This, he said, ensured that Telkom drasticall­y reduces the cost to communicat­e and broaden access to ICT services for the majority of its customers.

“This includes the launch of our game changing product, FreeMe, in July 2017, which cost a third [69c per MB] of what the next lowest operator is charging [R1,75 per MB]. We followed up FreeMe with the launch of FreeMe Family earlier this year, which allows consumers to allocate and share data within their household.”

Meanwhile, Vodacom’s spokespers­on Byron Kennedy said: “We embarked on a pricing transforma­tion strategy three years ago and, as a result, our customers have benefitted from a 44% reduction in data prices and a 42% decline in the cost of voice calls over that period. We remain committed to reducing prices and in particular addressing out-of-bundle pricing.”

Newspapers in English

Newspapers from South Africa