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Telkom desperately wants Cell C (despite its flirtation with MTN)

19 November 2019 10:02 AM
Tags:
MTN
Telkom
The Money Show
Vodacom
Cell C
Bruce Whitfield
Sipho Maseko
Duncan McLeod
TechCentral
blue label telecoms
spectrum
roaming

Cell C is in a losing race against MTN and Vodacom. Telkom is not going to let this one go, says TechCentral’s Duncan McLeod.

Telkom’s share price lost more than 5% on Monday when Cell C and MTN announced their new roaming agreement.

The agreement may complicate its plans to buy Cell C.

The agreement means Cell C will roam entirely on MTN’s network, without MTN acquiring any Cell C spectrum or infrastructure.

It also means that Cell C customers will be able to use MTN's massive network at Cell C's far cheaper prices.

The Money Show’s Bruce Whitfield interviewed Duncan McLeod, founder and Editor at TechCentral.

The network is going to be managed by MTN… allowing Cell C to reduce its capital expenditure… Since 2001, it’s been in a losing race against MTN and Vodacom, trying to keep up with investments in network infrastructure. It’s been impossible… This will free them up… to focus on customer service…

Duncan McLeod, Editor - TechCentral

Sipho Maseko [Telkom CEO] is not going to let this one go… They are desperate for this deal. Telecommunications is a scale game… They find it increasingly difficult to compete with Vodacom and MTN… It complicates things for Telkom…

Duncan McLeod, Editor - TechCentral

Listen to the interview in the audio below (and scroll down for more quotes from it).

Cell C is going to become a super ‘Mobile Virtual Network Operator’, similar to Virgin Mobile…

Duncan McLeod, Editor - TechCentral

Blue Label is sitting in a powerful position… you’ve got two companies that are very keen on Cell C’s business…

Duncan McLeod, Editor - TechCentral

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This article first appeared on 702 : Telkom desperately wants Cell C (despite its flirtation with MTN)


19 November 2019 10:02 AM
Tags:
MTN
Telkom
The Money Show
Vodacom
Cell C
Bruce Whitfield
Sipho Maseko
Duncan McLeod
TechCentral
blue label telecoms
spectrum
roaming

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