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
      The Tim Cook era is ending at Apple

      The Tim Cook era is ending at Apple

      15 November 2025
      Revolut hires heavy hitter as it readies its South African launch - Gaby Magomola

      Revolut hires heavy hitter as it readies its South African launch

      15 November 2025
      South Africa get first rating upgrade in nearly 20 years

      South Africa gets its first rating upgrade in nearly 20 years

      15 November 2025
      Discovery Bank opens the crypto gates - Hylton Kallner

      Discovery Bank opens the crypto gates

      14 November 2025
      Kuiper no more: Amazon Leo steps up to challenge to Musk's Starlink

      Kuiper no more: Amazon Leo steps up to challenge Musk’s Starlink

      14 November 2025
    • World
      EU moves to ring-fence 6GHz band for 6G, squeezing out Wi-Fi

      EU moves to ring-fence 6GHz band for 6G, squeezing out Wi-Fi

      13 November 2025
      The billionaire battle to put America back on the moon

      The billionaire battle to put America back on the moon

      12 November 2025
      DeepSeek warns of social upheaval from AI - Chen Deli

      China’s DeepSeek warns of social upheaval from AI

      7 November 2025
      Tesla investors hand Elon Musk the biggest pay deal in history

      Tesla investors hand Elon Musk the biggest pay deal in history

      7 November 2025
      Jensen Huang: 'China is going to win the AI race' - Nvidia

      Jensen Huang: ‘China is going to win the AI race’

      6 November 2025
    • In-depth
      Valve's Linux console takes aim at Microsoft's gaming empire

      Valve’s Linux console takes aim at Microsoft’s gaming empire

      13 November 2025
      iOCO's extraordinary comeback plan - Rhys Summerton

      iOCO’s extraordinary comeback plan

      28 October 2025
      Why smart glasses keep failing - no, it's not the tech - Mark Zuckerberg

      Why smart glasses keep failing – it’s not the tech

      19 October 2025
      BYD to blanket South Africa with megawatt-scale EV charging network - Stella Li

      BYD to blanket South Africa with megawatt-scale EV charging network

      16 October 2025
      DStv woos customers with free upgrades

      As DStv turns 30, it faces its toughest test yet

      6 October 2025
    • TCS
      TCS | Why Altron is building an AI factory - Bongani Andy Mabaso

      TCS | Why Altron is building an AI factory in Johannesburg

      28 October 2025

      TCS+ | Videsha Proothveerajh on Vodacom Business’s new approach to enterprise technology

      28 October 2025
      TCS | The company building a 'living computer' with human cells - Fred Jordan FinalSpark

      TCS | The company building a ‘living computer’ with human cells

      23 October 2025
      TCS | Why South Africans are starting to spend crypto, not just trade it

      TCS | Why South Africans are starting to spend crypto, not just trade it

      22 October 2025
      TCS+ | Managing Sims, saving money: how MSB Micro keeps businesses connected

      TCS+ | Managing Sims, saving money: how MSB Micro keeps businesses connected

      22 October 2025
    • Opinion
      How South Africa's broken Rica system fuels murder and mayhem - Farhad Khan

      How South Africa’s broken Rica system fuels murder and mayhem

      10 November 2025
      South Africa's AI data centre boom risks overloading a fragile grid - Paul Colmer

      South Africa’s AI data centre boom risks overloading a fragile grid

      30 October 2025
      How Eskom clawed its way back from the brink - Busi Mavuso

      How Eskom clawed its way back from the brink

      13 October 2025
      AI takes the throne - Brian Hungwe

      AI takes the throne

      6 October 2025
      How Eskom clawed its way back from the brink - Busi Mavuso

      Trump tariffs and diplomatic missteps push Agoa off the cliff

      6 October 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • 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
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » High prices killing fixed lines – Icasa

    High prices killing fixed lines – Icasa

    By Editor29 November 2012
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    William Stucke

    Low download speeds and high costs are turning people away from fixed-line Internet connections, parliament’s communications portfolio committee heard on Thursday.

    Over the past three years, there had been a “dramatic” increase in the number of households opting to connect through mobile devices, Independent Communications Authority of South Africa (Icasa) councillor William Stucke told MPs.

    “The number of households who have fixed lines is going down. This is not a healthy situation to be in.”

    But the number of those where at least one member had access to the Internet through a mobile phone was rising dramatically.

    “A total of 32,9% of households now have access to the Internet. It is growing because of mobile telephony, whose operators are not state owned,” Stucke said.

    His colleague, Icasa senior manager Pieter Grootes, said that in this regard the situation in South Africa was “out of whack”.

    “The reality in South Africa is that fixed-line prices are out of whack with the existing situation, and it’s also out of line with trends in the rest of the world.

    “This is a matter that, going forward, all stakeholders — government, Icasa and licensees — will have to come together to work out, and address the fact that fixed lines cost too much, for too poor a quality.”

    Grootes said consumers who wanted to buy access to the Internet would compare price and download speeds.

    “If I want a fixed line, I’ve got to pay R331, and I’ll get a maximum of 1Mbit/s; however, I can go and buy — for R150 a month, from a mobile operator — a package that will give me download speeds of 21,6Mbit/s.”

    In practice, these download speeds were somewhat lower.

    “What this means is that if I have a fixed line, what I’ll get, if I’m lucky, is 600kbit/s download speed, at three in the morning. If I used exactly the same mobile package, which is half the cost of the fixed line, I get a download speed of over 10 Mbit/s.”

    Grootes said this was the main reason the number of fixed lines was dropping. “Why should I as a consumer buy a fixed line if I can get a better, cheaper service from the mobile operators?”

    But if South Africa wanted to enter the digital era, “the way to do so is to have high-capacity, high-quality, cheap, fixed-line connectivity”, he said.

    Stucke said the main reasons fixed line was “losing relevance” were price and download speed. “[But] fixed-line connectivity is capable, in principle, of providing a much higher quality connection; it’s just that not everyone is getting that at the moment,” he said.

    He said fixed-line connectivity was ideal.

    “When you have a fixed line, your connection between you and the concentration point is dedicated to you; it is yours and yours alone, whereas, when you’re using spectrum for that last-mile connection, then every user of that particular piece of spectrum from that base station is sharing that connection.”

    The problems in rolling out fixed-line connectivity included long delays in obtaining approval to lay high-speed lines, and high civil construction costs, Stucke said.

    The committee is holding public hearings on the cost of communications in South Africa.  — Sapa



    Icasa Pieter Grootes William Stucke
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleAbsa turns to Pebble for payments
    Next Article Will the Sony story end in tragedy?

    Related Posts

    Vodacom's Maziv deal is still not done

    Vodacom’s Maziv deal is still not done

    10 November 2025
    South African telecos plot anti-fraud plan as Rica reforms stall

    South African telcos plot anti-fraud plan as Rica reforms stall

    22 October 2025
    Icasa must go back to the drawing board on mobile broadband rules

    Icasa must go back to the drawing board on mobile broadband rules

    22 October 2025
    Company News
    Seize these 3 opportunities to build a digital Africa - Song Xiaodi Huawei

    Seize these 3 opportunities to build a digital Africa

    14 November 2025
    A new era of e-mail defence: KnowBe4 meets Microsoft

    A new era of e-mail defence: KnowBe4 meets Microsoft

    14 November 2025
    Liquid C2 shows businesses how to turn AI into real operational advantage

    Liquid C2 shows businesses how to turn AI into real operational advantage

    14 November 2025
    Opinion
    How South Africa's broken Rica system fuels murder and mayhem - Farhad Khan

    How South Africa’s broken Rica system fuels murder and mayhem

    10 November 2025
    South Africa's AI data centre boom risks overloading a fragile grid - Paul Colmer

    South Africa’s AI data centre boom risks overloading a fragile grid

    30 October 2025
    How Eskom clawed its way back from the brink - Busi Mavuso

    How Eskom clawed its way back from the brink

    13 October 2025

    Subscribe to Updates

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

    Latest Posts
    The Tim Cook era is ending at Apple

    The Tim Cook era is ending at Apple

    15 November 2025
    Revolut hires heavy hitter as it readies its South African launch - Gaby Magomola

    Revolut hires heavy hitter as it readies its South African launch

    15 November 2025
    South Africa get first rating upgrade in nearly 20 years

    South Africa gets its first rating upgrade in nearly 20 years

    15 November 2025
    Discovery Bank opens the crypto gates - Hylton Kallner

    Discovery Bank opens the crypto gates

    14 November 2025
    © 2009 - 2025 NewsCentral Media
    • 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}