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
      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
      South Africa's digital ID is here - but you can't have it yet - Leon Schreiber

      South Africa’s digital ID is here – but you can’t have it yet

      1 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
      Eskom waives rooftop solar fees, but the registration fight isn't over

      Eskom waives rooftop solar fees, but the registration fight isn’t over

      1 October 2026
      Absa is moving cash out of its branches

      Absa is moving cash out of its branches

      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
      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
      Winstone Jordaan on building a national EV charging network

      Winstone Jordaan on building a national EV charging network

      2 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 » In-depth » Icasa under fire over spectrum auction

    Icasa under fire over spectrum auction

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

    Dominic Cull

    A top regulatory expert has lambasted the Independent Communications Authority of SA (Icasa) over its planned auction of spectrum for wireless broadband services, saying the process is deeply flawed.

    Dominic Cull of Ellipsis Regulatory Solutions says there are a number of serious flaws in the process of licensing spectrum in the valuable 2,6GHz and 3,5GHz bands.

    Cull’s concerns should be taken seriously, especially given the strategic economic importance of the frequency in question. The mobile operators, for one, stand to make billions of rand from selling services in these new bands.

    There’s likely to a particularly wild scramble for spectrum in the 2,6GHz band, where operators will be able to build networks of national scope.

    Already, the mobile operators have signalled their interest in bidding for the spectrum so they can begin building networks using “long-term evolution” (LTE), the technological successor to the 3G networks they already operate.

    But Cull says Icasa hasn’t thought through the process properly. He says the auction will fail to extend wireless broadband outside the cities and will make it more difficult than necessary for the mobile operators to roll out LTE networks.

    And confusion over how the process will work will play into the hands of the incumbent operators, which have more resources to deal with the problems effectively.

    The first problem is the way Icasa has provisioned the spectrum, Cull says. It’s planning to auction it off in single, 30MHz chunks. This is well suited to companies wanting to build networks using WiMax, but not those wishing to deploy LTE.

    BMI-TechKnowledge researcher Martin Roetter recently criticised Icasa’s decision to structure the 2,6GHz band in so-called “30MHz unpaired channels”, saying it reflects the wishes of the advocates of mobile WiMax.

    “Unfortunately Icasa’s decision in this case is far from being in the best interests of the country and its residents,” Roetter says. “It is highly unlikely to foster the goal of achieving the maximum coverage, minimum costs, and highest quality and performance of future mobile broadband services.”

    Instead, Roetter says, Icasa’s decision is the “result of shortsighted thinking which has been unduly swayed by arguments from advocates of one specific wireless system”.

    Cull says what Icasa should have done with the spectrum is shift the existing holdings in the 2,6GHz band, especially iBurst’s, so that the band could be used for both WiMax and LTE.

    He says he is also concerned about the rules governing the 3,5GHz spectrum auction. Only companies with so-called class network licences — those for building networks that are only district or municipal in scope — are entitled to bid for 3,5GHz spectrum. This is a problem as relatively few companies have class network licences.

    There are 52 districts in SA, with two licences on offer per district, for a total of 104 licences.

    However, there are only about 50 class network licensees in the country. After Altech’s 2008 court victory against former communications minister Ivy Matsepe-Casaburri, many of the smaller Internet service providers have individual (provincial and national) licences rather than class licences.

    Also, Cull says few of the class licensees can afford to stump up the R70 000 nonrefundable deposit to participate in the auction and some may struggle to raise the required but refundable R250 000 auction fee. “I don’t know how Icasa thinks that’s going to work,” he says.

    Another problem, Cull says, is that Icasa has not published details of how exactly the auction will work. This is creating further uncertainty, he says, and playing into the hands of the incumbents, which have better resources to deal with the lack of clarity.

    Then there’s universal service. Icasa requires prospective licensees to cover 50% of the population of their district (in 3,5GHz) or the country (in 2,6GHz) within two years of their being awarded the spectrum. If they don’t, they risk losing the spectrum.

    But accompanying regulations state clearly that Icasa will take away spectrum licences only if companies fail to achieve 50% of that target, or just 25% of the population, Cull says.

    He says operators will simply cover the more lucratives markets of Gauteng, Cape Town, Durban and Port Elizabeth, which are already well served by infrastructure, to achieve that 25% target. This means Icasa won’t achieve its objective of broadening coverage outside the metropolitan areas.

    Finally, Cull says the requirement that 30% of bidders’ equity must be in the hands of historically disadvantaged individuals (those defined as black, or white women) is also problematic.

    “Icasa is trying to play a role in transforming the industry. To what extent is the industry transformed by incumbents forming special purpose vehicles to bid for the spectrum?” says Cull. “It seems like a very narrow form of empowerment to me. The nature of the deals done by the incumbents will need to be scrutinised carefully.”  — Duncan McLeod, TechCentral

    • 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


    Dominic Cull Ellipsis Regulatory Solutions Icasa spectrum auction
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleZA Tech Show: Episode 114
    Next Article Broadcasters slam DOC over digital TV rethink

    Related Posts

    Woan's ghost exorcised - Solly Malatsi

    Woan’s ghost exorcised

    25 September 2026
    Cell C boss buys into his own turnaround - Jorge Mendes

    Cell C boss buys into his own turnaround

    22 September 2026
    Vumatel operating profit jumps 57% as the Vodacom deal lands

    Vumatel operating profit jumps 57% as the Vodacom deal lands

    18 September 2026
    Company News
    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
    Dell Technologies Forum 2026: what to expect in Johannesburg

    Dell Technologies Forum 2026: what to expect in Johannesburg

    1 October 2026
    What Smollan learnt moving 9 000 users to Google Workspace - Digicloud Africa

    What Smollan learnt moving 9 000 users to Google Workspace

    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
    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
    South Africa's digital ID is here - but you can't have it yet - Leon Schreiber

    South Africa’s digital ID is here – but you can’t have it yet

    1 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
    Eskom waives rooftop solar fees, but the registration fight isn't over

    Eskom waives rooftop solar fees, but the registration fight isn’t over

    1 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