Cell C has revised its roaming contract with Vodacom, the updated terms of which are effective immediately. The agreement allows Cell C customers to roam on Vodacom’s network where there is limited Cell C coverage.
Though neither party is commenting on the specific terms of the new deal, TechCentral has established reliably that the contract now allows Cell C to roam on Vodacom’s third-generation (3G) mobile network. Previously, the deal extended only to the company’s 2G network.
Cell C also sought a reduction in the rates Vodacom was charging it for roaming in light of recent reductions in mobile termination rates, the fees operators charge one another to field calls on their networks. These fees will drop to 40c/minute in March 2013 and are likely to fall further from 2014.
Cell C said in June that if necessary it would take the matter to the Competition Commission.
CEO Alan Knott-Craig told TechCentral at the time that through the process of cutting termination rates, the Independent Communications Authority of SA had effectively determined the cost of carrying a call.
“Whether you’re roaming or terminating a call, the cost is the same [and this cost] should apply equally to a terminating call or a roaming call,” he said. “A roaming call is just a terminating call in both directions. If anything, roaming costs should be less.”
A Cell C spokesman confirms the roaming agreement has been revised and that the terms are “much more favourable for Cell C” but adds that terms of the agreement are confidential. — (c) 2012 NewsCentral Media