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SA data prices 'are excessive, the returns are above normal'

3 December 2019 8:56 AM
Tags:
Cellular networks
Thembinkosi Bonakele heads Competition Commission
#DataMustFall
cellular data

The Competition Commission's Tembinkosi Bonakele explains the findings calling for cellular companies to lower prices.

The Competition Commission has recommended service providers reduce the price of data or face prosecution. The Commission presented its data service market inquiry’s final report on Monday afternoon.

It found data prices are excessive in South Africa and the market is highly dominated by Vodacom and MTN.

Competition Commission Commissioner, Tembenkosi Bonakele talks to Lester Kiewit about the way forward.

Bonakele disagrees with the argument that dropping data prices would hamper infrastructure development by cell phone companies.

That is no argument at all. These companies are licensed in the first place and nobody is saying they must not make money. What we're saying is the returns they are making is extraordinary as a result of prices being excessive.

Tembenkosi Bonakele, Commissioner - Competition Commission

Competition law prohibits the charging of excessive pricing by dominant players.

Tembenkosi Bonakele, Commissioner - Competition Commission

Listen to the interview below:


3 December 2019 8:56 AM
Tags:
Cellular networks
Thembinkosi Bonakele heads Competition Commission
#DataMustFall
cellular data

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