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Commission has downplayed role of spectrum in reducing data prices - Vodacom

3 December 2019 10:10 AM
Tags:
Icasa
Vodacom
Competition Commission
data prices
final report
data cost
Data giant Vodacom claims that delayed spectrum allocation has impacted the rate at which data prices have fallen in South Africa.

South Africa's largest mobile operator, Vodacom, has responded to the Competition Commission's findings on data prices in the country.

In a report that features a number of interventions, the commission recommends that mobile operators reduce the cost of data or face prosecution.

The commission found that Vodacom and MTN dominate the market and has called on them to drastically lower their prices.

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

Meanwhile, Vodacom has said that the commission has failed to take into account the role of spectrum in reducing data prices.

Delayed spectrum allocation has impacted the rate at which data prices have fallen in South Africa, says Vodacom spokesperson Byron Kennedy.

RELATED: Final report on data prices might land Competition Commission in court - expert

Kennedy has flagged the commission's views on data as inconsistent with the findings of communications regulator Icasa.

He claims that Vodacom has reduced the effective price of data by circa 50% since March 2016.

It's immediately evident that there is a significant difference in opinion between the Competition Commission and Icasa on a number of issues that are critical to data prices in South Africa.

Byron Kennedy, Head of media relations - Vodacom

Icasa says there are a number of reasons why spectrum assignment is critical to achieving cheap mobile broadband, whereas the Competition Commission has downplayed the role of spectrum in reducing data prices.

Byron Kennedy, Head of media relations - Vodacom

Vodacom has consistently stated that delayed spectrum allocation has impacted the rate at which data prices could have fallen.

Byron Kennedy, Head of media relations - Vodacom

Vodacom says it will engage with the Competition Commissioner on the issues raised in the report and respond in due course.

Meanwhile, the commissioner maintains that if data prices don't fall in the next two months, mobile operators may face prosecution.

Listen to Vodacom's statement and the Competition Commission's response:

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3 December 2019 10:10 AM
Tags:
Icasa
Vodacom
Competition Commission
data prices
final report
data cost

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