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
      Eskom fixed the fleet and the customers left

      Eskom fixed the fleet and the customers left

      7 August 2026
      DStv chops channels as Canal+ leans harder on sport

      DStv chops channels as Canal+ leans harder on sport

      7 August 2026
      Starlink LEO rival gaining momentum

      Starlink LEO rival gaining momentum

      7 August 2026
      ByteDance goes big - very big - on AI

      ByteDance goes big – very big – on AI

      7 August 2026
      ICT is becoming the centre of gravity at Reunert - Anthonie de Beer and Rob Godlonton

      ICT is becoming the centre of gravity at Reunert

      6 August 2026
    • World
      Meta AI will now tell parents if their teen is in crisis

      Meta AI will now tell parents if their teen is in crisis

      17 July 2026
      IBM shares crash 25% as AI upends software spending - Arvind Krishna

      IBM shares crash 25% as AI upends software spending

      15 July 2026
      Jony Ive's first OpenAI device: an AI smart speaker - Jony Ive and Sam Altman

      Jony Ive’s first OpenAI device: an AI smart speaker

      15 July 2026
      Stripe, Advent in talks to buy PayPal for $53-billion

      Stripe, Advent in talks to buy PayPal for $53-billion

      15 July 2026
      Memory crisis sends smartphone market into steep decline

      Memory crisis sends smartphone market into steep decline

      13 July 2026
    • In-depth
      The plan to stop AI from breaking the world - 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
      Every plug-in hybrid on sale in South Africa, ranked by price - Lamborghini Temerario

      Every plug-in hybrid on sale in South Africa, ranked by price

      7 June 2026
      What Wi-Fi 8 will mean for wireless networks

      What Wi-Fi 8 will mean for wireless networks

      1 June 2026
    • TCS
      TCS+ | Specops' Darren James on continuous trust in an AI world

      TCS+ | Specops’ Darren James on continuous trust in an AI world

      7 August 2026
      TCS+ | How AI is turning hardware into a subscription service - Shane van der Merwe Merchant West

      TCS+ | How AI is turning hardware into a subscription service

      6 August 2026
      TCS+ | Why South African workers must become supervisors of digital labour - Accelera Digital Group Cliff de Wit

      TCS+ | Why South African workers must become supervisors of digital labour

      31 July 2026
      TCS | Rapid deployment rules can't work without municipalities: ACT - Nomvuyiso Batyi

      TCS | Icasa’s rules skip the real bottleneck: ACT

      30 July 2026
      TCS+ | iStore Business on why Apple makes sense for SMEs - Sudesh Pillay and Tamia Nontsikelelo

      TCS+ | iStore Business on why Apple makes sense for SMEs

      30 July 2026
    • Opinion
      The author, Jannie van Zyl

      Selling vapour is corporate suicide in slow motion

      16 July 2026
      Brazil's online gambling crackdown is a lesson for South Africa

      How Amazon outmanoeuvred Starlink in South Africa

      15 July 2026
      The Popia problem with agentic AI - Herman Haasbroek

      The Popia problem with agentic AI

      14 July 2026
      The author, Fanie van Rooyen

      South Africa can still catch the AI wave – here’s how

      7 July 2026
      The author, Fanie van Rooyen

      The AI utopia South Africa can’t afford

      1 July 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
      • 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 » 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

    Icasa promises business as usual through strike

    Icasa promises business as usual through strike

    5 August 2026
    Starlink wants to be your next mobile operator

    Starlink wants to be your next mobile operator

    5 August 2026
    South Africa's AI policy collapse shows up in World Bank report

    South Africa’s AI policy collapse shows up in World Bank report

    4 August 2026
    Company News
    African Bank signs on as GEC+Africa 2026 partner

    African Bank signs on as GEC+Africa 2026 partner

    7 August 2026
    What a cloud review reveals about how a company actually runs - LSD Open

    What a cloud review reveals about how a company actually runs

    6 August 2026
    Manufacturing from a garage is now a realistic business plan - MaxLaser

    Manufacturing from a garage is now a realistic business plan

    6 August 2026
    Opinion
    The author, Jannie van Zyl

    Selling vapour is corporate suicide in slow motion

    16 July 2026
    Brazil's online gambling crackdown is a lesson for South Africa

    How Amazon outmanoeuvred Starlink in South Africa

    15 July 2026
    The Popia problem with agentic AI - Herman Haasbroek

    The Popia problem with agentic AI

    14 July 2026

    Subscribe to Updates

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

    Latest Posts
    Eskom fixed the fleet and the customers left

    Eskom fixed the fleet and the customers left

    7 August 2026
    DStv chops channels as Canal+ leans harder on sport

    DStv chops channels as Canal+ leans harder on sport

    7 August 2026
    TCS+ | Specops' Darren James on continuous trust in an AI world

    TCS+ | Specops’ Darren James on continuous trust in an AI world

    7 August 2026
    Starlink LEO rival gaining momentum

    Starlink LEO rival gaining momentum

    7 August 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}