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
      South Africa is sleepwalking into another AI policy failure - Celeste Labuschagne

      South Africa is sleepwalking into another AI policy failure

      20 May 2026
      Eskom to go to market for 5.2GW of new nuclear within a year

      Eskom to go to market for 5.2GW of new nuclear within a year

      20 May 2026
      The Mythos hacking threat is looking overblown

      The Mythos hacking threat is looking overblown

      20 May 2026
      Inflation spikes higher - and the worst is still to come

      Inflation spikes higher – and the worst is still to come

      20 May 2026
      MTN to work with police to fight E Cape base station crime - Charles Molapisi MTN South Africa CEO

      MTN to turn its African towers into an AI inference grid

      20 May 2026
    • World
      Vatican confronts the age of artificial intelligence. Edgar Beltrán/The Pillar 

      Vatican confronts the age of artificial intelligence

      19 May 2026
      The walkout that could hit every laptop and AI server - Samsung

      The walkout that could hit every laptop and AI server

      18 May 2026
      Pop star sues Samsung for $15-million - Dua Lipa

      Pop star sues Samsung for $15-million

      11 May 2026
      OpenAI's new audio APIs aim for conversational voice agents

      OpenAI’s new audio APIs aim for conversational voice agents

      8 May 2026
      'It was my idea': Musk claims paternity of OpenAI - Elon Musk

      ‘It was my idea’: Musk claims paternity of OpenAI

      29 April 2026
    • In-depth
      Alfa's electric rebel - Alfa Romeo Junior Elettrica Veloce

      Alfa’s electric rebel

      29 April 2026
      Africa switches on as Europe dims the lights

      Africa switches on as Europe dims the lights

      9 April 2026
      The biggest untapped EV market on Earth is hiding in plain sight

      The biggest untapped EV market on Earth is hiding in plain sight

      1 April 2026
      Datatec is firing on all cylinders - Jens Montanana

      The R16-billion tech giant hiding in plain sight

      26 March 2026
      The last generation of coders

      The last generation of coders

      18 February 2026
    • TCS
      TCS+ | The Up&Up Group on the hidden cost of AI - Jason Harrison

      TCS+ | The Up&Up Group on the hidden cost of AI

      13 May 2026
      Michael Rossouw

      TCS+ | The retirement decision most South Africans get wrong

      6 May 2026
      TCS | The Cape Town start-up listening for TB with AI - Braden van Breda

      TCS | The Cape Town start-up listening for TB with AI

      4 May 2026

      TCS+ | ‘The ISP for ISPs’: Vox’s shift to wholesale aggregator

      20 April 2026
      TCS | Werner Lindemann on how AI is rewriting the infosec rulebook

      TCS | Werner Lindemann on how AI is rewriting the infosec rulebook

      15 April 2026
    • Opinion
      AI won't fix your culture - it will expose it - Jackie Kennedy

      AI won’t fix your culture – it will expose it

      19 May 2026
      Free calls, dead voice and Shameel Joosub's Spanish ghost - Duncan McLeod

      Free calls, dead voice and Shameel Joosub’s Spanish ghost

      22 April 2026
      The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

      The conflict of interest at the heart of PayShap’s slow adoption

      26 March 2026
      South Africa's energy future hinges on getting wheeling right - Aishah Gire

      South Africa’s energy future hinges on getting wheeling right

      10 March 2026
      Free calls, dead voice and Shameel Joosub's Spanish ghost - Duncan McLeod

      Apple just dropped a bomb on the Windows world

      5 March 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 Telecom
      • 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
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • 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
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » IS wants incumbents barred from spectrum auction

    IS wants incumbents barred from spectrum auction

    By Editor8 June 2010
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Siyabonga Madyibi

    Dimension Data division Internet Solutions (IS) wants incumbent operators such as Vodacom, MTN and Telkom barred from participating in an upcoming auction for radio frequency spectrum.

    IS has expressed worries that the planned auction for spectrum that can be used to provide wireless broadband services won’t have the desired outcome of stimulating competition in SA’s telecommunications industry.

    Regulatory director Siyabonga Madyibi says the auction, for spectrum in the 2,6GHz and 3,5GHz bands, could fail in its purpose if the Independent Communications Authority of SA (Icasa) doesn’t provide clarity on whether operators that already have spectrum will be allowed to bid.

    “It has always been communicated that if an organisation already has access to last mile spectrum, it should be precluded from participating in this process,” Madyibi says.

    “Icasa’s invitation to apply (ITA) is, however, not clear on this. Organisations that already have spectrum in these two bands are definitely excluded, but the ITA does not clearly state that those who have access to other last-mile spectrum will be allowed to bid or not.”

    Incumbent operators, including MTN and Vodacom, have stated clearly that they are interested in bidding for the spectrum, particularly in the 2,6GHz band where they can roll out next-generation wireless broadband services using “long-term evolution”.

    But Madyibi is not convinced these players will be allowed to participate in the spectrum auction. It’s not even clear, he says, whether incumbent operators will be able to use other vehicles to bid for the spectrum.

    “Our question is whether an entity that is a subsidiary of another entity that already has access to spectrum will be allowed to bid.”

    The transfer of spectrum, either through sale or sub-lease is another gap in the ITA, Madyibi says. “If a company is successful in its bid, is it allowed to transfer that spectrum to an entity that did not bid, either through sale or sub-lease?”

    His concern is it will create the opportunity for successful bidders to sell the spectrum to other parties at exorbitant prices, he says.

    Madyibi says there is also uncertainty over how the auction will work. “We are not sure whether it will be a closed auction or not,” he says.

    “What is clear is that the auction will end when the highest bid is recorded, but does that mean that the highest bid becomes the price across all four licences, or will the other licensees then pay what they bid?”

    There’s also a risk that bidders will overpay for the spectrum, as happened in auctions for 3G spectrum in Europe. He says this will not happen if companies that already have spectrum are not allowed to participate.

    If the incumbent players are allowed to participate in the auction process, they will eliminate the chance of new entrants or smaller players acquiring spectrum, he says. “They will use this process to reinforce their positions of dominance … marginalising licensees that have not previously had any access to last-mile spectrum.”

    As a result, the market will continue to be “heavily tilted in favour of the incumbent operators”.

    “If the cost of acquiring the spectrum is too high, the smaller players do not stand a chance,” he says.  — Staff reporter, TechCentral

    • Subscribe to our free daily newsletter
    • Follow us on Twitter or on Facebook
    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Dimension Data Icasa Internet Solutions Siyabonga Madyibi
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleBroadcasters slam DOC over digital TV rethink
    Next Article iPhone 4 here in September

    Related Posts

    Malatsi opens door to 'some' partial privatisations of SOEs - communications minister Solly Malatsi

    Malatsi opens door to ‘some’ partial privatisations of SOEs

    13 May 2026
    Reinvest spectrum cash in ICT sector, industry urges

    Reinvest spectrum cash in ICT sector, industry urges

    10 May 2026
    South Africa's TikTok election is coming

    South Africa’s TikTok election is coming

    7 May 2026
    Company News
    Why online learning is the future of education - Mweb

    Why online learning is the future of education

    20 May 2026

    Best payment processing providers in Africa

    20 May 2026
    Network with industry leaders at Pan African DataCentres event

    Network with industry leaders at Pan African DataCentres event

    20 May 2026
    Opinion
    AI won't fix your culture - it will expose it - Jackie Kennedy

    AI won’t fix your culture – it will expose it

    19 May 2026
    Free calls, dead voice and Shameel Joosub's Spanish ghost - Duncan McLeod

    Free calls, dead voice and Shameel Joosub’s Spanish ghost

    22 April 2026
    The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

    The conflict of interest at the heart of PayShap’s slow adoption

    26 March 2026

    Subscribe to Updates

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

    Latest Posts
    South Africa is sleepwalking into another AI policy failure - Celeste Labuschagne

    South Africa is sleepwalking into another AI policy failure

    20 May 2026
    Eskom to go to market for 5.2GW of new nuclear within a year

    Eskom to go to market for 5.2GW of new nuclear within a year

    20 May 2026
    The Mythos hacking threat is looking overblown

    The Mythos hacking threat is looking overblown

    20 May 2026
    Inflation spikes higher - and the worst is still to come

    Inflation spikes higher – and the worst is still to come

    20 May 2026
    © 2009 - 2026 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}