Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      Meta's smart glasses are officially coming to South Africa - Mark Zuckerberg

      Meta’s smart glasses are officially coming to South Africa

      2 October 2026
      Eskom has a R1.20/kWh offer for bitcoin miners

      Eskom has a R1.20/kWh offer for bitcoin miners

      2 October 2026
      Usaasa consults on universal access as its abolition stalls

      Usaasa consults on universal access as its abolition stalls

      2 October 2026
      Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger - Shane Chorley

      Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger

      2 October 2026
      Home affairs pulls the plug on the green ID book - Leon Schreiber

      Home affairs pulls the plug on the green ID book

      1 October 2026
    • World
      BMW restructuring plan bets on AI and new models

      BMW restructuring plan bets on AI and new models

      1 October 2026
      OpenAI's rogue agent problem keeps getting bigger - Sam Altman

      OpenAI’s rogue agent problem keeps getting bigger

      28 September 2026
      The new battle over the desktop

      The new battle over the desktop

      23 September 2026
      AMD is now worth a trillion dollars - Lisa Su

      AMD is now worth a trillion dollars

      22 September 2026
      Anthropic weighs new model launch to blunt OpenAI's Astra surge - Anthropic CEO Dario Amodei and OpenAI CEO Sam Altman

      Anthropic weighs new model launch to blunt OpenAI’s Astra surge

      21 September 2026
    • In-depth

      10 days that changed the course of AI

      21 September 2026
      Meta to the AI industry: slow down without us - Mark Zuckerberg

      Meta to the AI industry: slow down without us

      16 September 2026
      Google DeepMind CEO Demis Hassabis. Image: John Sears

      The plan to stop AI from breaking the world

      16 July 2026
      The internet has a Strait of Hormuz problem

      The internet has a Strait of Hormuz problem

      15 July 2026
      AI boom sparks rally, frenzy and fear

      AI boom sparks rally, frenzy and fear

      11 June 2026
    • TCS
      Lexi Novitske, general partner at Norrsken22, on the TechCentral Show

      TCS | Norrsken22’s Lexi Novitske on how China is winning African tech

      1 October 2026
      TCS | Dominic White and Adam Ely on AI agents going rogue

      TCS | Dominic White and Adam Ely on AI agents going rogue

      29 September 2026
      TCS | Octotel's Trevor van Zyl on the fibre merger question

      TCS | Octotel’s Trevor van Zyl on the MetroFibre merger question

      16 September 2026
      Meet the CIO | Shoprite's Chris Shortt on what a supermarket becomes

      Meet the CIO | Shoprite’s Chris Shortt on what a supermarket becomes

      9 September 2026
      Rubicon's EV charging network is profitable - and growing fast - Watts & Wheels

      W&W | Rubicon’s EV charging network is profitable – and growing fast

      8 September 2026
    • Opinion
      South Africa's next energy crisis is in the accounts department - Craig Holmes

      South Africa’s next energy crisis is in the accounts department

      29 September 2026
      The steam engine lesson AI doomsayers keep missing - Sam Clarke

      The steam engine lesson AI doomsayers keep missing

      28 September 2026
      Regulating AI: apply the laws we have first - Dirk de Vos

      Regulating AI: apply the laws we have first

      21 September 2026
      What Revolut can and cannot take from South Africa's banks - Pambos Soteriades

      What Revolut can and cannot take from South Africa’s banks

      15 September 2026
      The end is nigh, and the shares go on sale in October - Duncan McLeod

      The end is nigh, and the shares go on sale in October

      14 September 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM.com
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Publishared
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Vox
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
      • Watts & Wheels
    • Events
    • Advertise
    TechCentralTechCentral
    Home » Opinion » Duncan McLeod » C what can be done

    C what can be done

    By Editor8 September 2010
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    Get breaking news on WhatsApp

    [By Duncan McLeod]

    South Africans are a cynical lot. When it comes to telecommunications, that cynicism is often justified. Too often, SA operators are big on promises and short on delivery. But Cell C’s new strategy may indeed shake up SA broadband.

    Cell C CEO Lars Reichelt is a dynamic and colourful character. His colleagues at the cellular network operator say he works harder than anyone they’ve met, often pulling stints late into the night and insisting that his team be available to work similarly long hours.

    And in the past few months, the Cell C crew has never worked so hard. Not only has the company (somewhat controversially) changed its branding, it’s also building a new network at great cost as it prepares to take the fight directly to bigger rivals Vodacom and MTN.

    If the launch of the company’s new wireless broadband network in Port Elizabeth is anything to go by, its rivals have plenty to worry about.

    Other cities will follow soon, with Bloemfontein and Durban rumoured to be going live within the next three weeks.

    Reichelt says the new network will cover a third of SA’s population by the end of the year, two-thirds by mid-2011 and 97% by the end of 2012.

    Cell C had long been confined to the margins of SA’s mobile industry, forced, by virtue of its technology platform, to focus on the low-margin prepaid voice market. It lacked the network to offer broadband to high-end consumers.

    Not anymore. The company will spend more than R5bn this year building an ad- vanced third-generation (3G) mobile network using a chunk of radio frequency spectrum that gives it big advantages over Vodacom and MTN.

    By deploying its new network at 900MHz, instead of the 2,1GHz band used by its rivals, Cell C is able to build a broadband network at lower cost. And at 900MHz, cellular signals travel further and penetrate buildings more easily.

    MTN and Vodacom can’t “refarm” their 900MHz allocation because that spectrum is already heavily utilised by their 2G voice customers, especially in the urban areas.

    Cell C is also using the very latest 3G wireless technology capable of delivering speeds of up to 21 Mbit/s. I tested the network in Port Elizabeth last week and managed to achieve speeds in excess of 12 Mbit/s indoors. That’s faster than the fastest broadband speeds available on Telkom’s fixed lines.

    The operator is already testing the wireless network in 10 cities, and will launch services commercially in Cape Town and Gauteng before the end of the year, Reichelt says.

    But it’s in pricing that Cell C has dropped the biggest bombshell on its rivals. It has slashed broadband tariffs to as low as R33/GB, making Vodacom and MTN suddenly look very expensive indeed. Though Reichelt says the low rates are part of a launch campaign, it is likely a new base has been set and unlikely rates will rise later.

    MTN and Vodacom will retaliate — they have no other option — by slashing their own data prices and investing even more aggressively in the latest wireless broadband technologies.

    Already, Vodacom is building fibre to about 1 000 of its base stations so it can improve speeds to its customers; and MTN has completed substantial upgrades to its network.

    Of course, there are dangers for Cell C in its new strategy. It’s not as well funded as its bigger rivals and a protracted price war could harm it more than MTN and Vodacom.

    But Reichelt is doing what long needed to happen at Cell C: he’s taking a cellular minnow and giving it what it needs to be a meaningful competitor in SA telecoms.

    • Duncan McLeod is editor of TechCentral
    • This column, which is also published in Financial Mail, is taking a break and will return in the week of 27 September 2010
    • Subscribe to our free daily newsletter
    • Follow us on Twitter or on Facebook
    Add TechCentral as a preferred source on GoogleFollow TechCentral on Google NewsGet breaking news on WhatsApp


    Cell C Duncan McLeod Lars Reichelt MTN Vodacom
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleSuper 5 Media opens up about its troubles
    Next Article MTN, Telkom butt heads over fees

    Related Posts

    Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger - Shane Chorley

    Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger

    2 October 2026
    Lexi Novitske, general partner at Norrsken22, on the TechCentral Show

    TCS | Norrsken22’s Lexi Novitske on how China is winning African tech

    1 October 2026
    How Cell C shaped Blu Label's executive pay - Brett Levy Mark Levy

    How Cell C shaped Blu Label’s executive pay

    1 October 2026
    Company News
    Huawei sets out its vision for intelligent government at GovTech 2026

    Huawei sets out its vision for intelligent government at GovTech 2026

    2 October 2026
    A simple guide to modern laptop processors for small businesses - Incredible

    A simple guide to modern laptop processors for small businesses

    2 October 2026
    Cloud and AI won't deliver value on their own, executives warn

    Cloud and AI won’t deliver value on their own, executives warn

    1 October 2026
    Opinion
    South Africa's next energy crisis is in the accounts department - Craig Holmes

    South Africa’s next energy crisis is in the accounts department

    29 September 2026
    The steam engine lesson AI doomsayers keep missing - Sam Clarke

    The steam engine lesson AI doomsayers keep missing

    28 September 2026
    Regulating AI: apply the laws we have first - Dirk de Vos

    Regulating AI: apply the laws we have first

    21 September 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    Meta's smart glasses are officially coming to South Africa - Mark Zuckerberg

    Meta’s smart glasses are officially coming to South Africa

    2 October 2026
    Eskom has a R1.20/kWh offer for bitcoin miners

    Eskom has a R1.20/kWh offer for bitcoin miners

    2 October 2026
    Usaasa consults on universal access as its abolition stalls

    Usaasa consults on universal access as its abolition stalls

    2 October 2026
    Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger - Shane Chorley

    Frogfoot plots acquisitions as Octotel and MetroFibre weigh a merger

    2 October 2026
    © 2009 - 2026 NewsCentral Media
    Built and maintained by Chronon
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}
    🇿🇦 Sign up to the TechCentral newsletter