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
      Liquid dodges debt crunch - at a hefty price - Hardy Pemhiwa

      Liquid dodges debt crunch – at a hefty price

      21 April 2026
      Microsoft slashes Xbox Game Pass prices in big strategy shift

      Microsoft slashes Xbox Game Pass prices in big strategy shift

      21 April 2026
      Naspers stalwart Steve Pacak passes away

      Naspers stalwart Steve Pacak passes away

      21 April 2026
      Why AI chatbots are a legal liability waiting to happen - Ahmore Burger-Smidt

      Why AI chatbots are a legal liability waiting to happen

      21 April 2026
      South African tech juniors squeezed as AI reshapes hiring

      South African tech juniors squeezed as AI reshapes hiring

      21 April 2026
    • World
      More organic compounds detected on Mars - Nasa Curiosity rover

      More organic compounds detected on Mars

      21 April 2026
      Adobe bets on AI agents to fend off cheaper rivals

      Adobe bets on AI agents to fend off cheaper rivals

      16 April 2026
      Google poised to lose ad crown to Meta

      Google poised to lose ad crown to Meta

      14 April 2026
      Grand Theft Data - hackers hit Rockstar Games - Grand Theft Auto

      Grand Theft Data – hackers hit Rockstar Games

      14 April 2026
      UK PM Keir Starmer declares war on doomscrolling

      UK PM Keir Starmer declares war on doomscrolling

      13 April 2026
    • In-depth
      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
      The R18-billion tech giant hiding in plain sight - 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
      Sentech is in dire straits

      Sentech is in dire straits

      10 February 2026
    • TCS

      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
      TCS | Donovan Marsh on AI and the future of filmmaking

      TCS | Donovan Marsh on AI and the future of filmmaking

      7 April 2026
      TCS+ | Vodacom Business moves to crack the SME tech gap - Andrew Fulton, Sannesh Beharie

      TCS+ | Vodacom Business moves to crack the SME tech gap

      7 April 2026
      TCS | MTN's Divysh Joshi on the strategy behind Pi - Divyesh Joshi

      TCS | MTN’s Divyesh Joshi on the strategy behind Pi

      1 April 2026
    • Opinion
      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
      Hold the doom: the case for a South African comeback - Duncan McLeod

      Apple just dropped a bomb on the Windows world

      5 March 2026
      R230-million in the bag for Endeavor's third Harvest Fund - Alison Collier

      VC’s centre of gravity is shifting – and South Africa is in the frame

      3 March 2026
      Hold the doom: the case for a South African comeback - Duncan McLeod

      Hold the doom: the case for a South African comeback

      26 February 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
      • 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 » A » Orange attacks ‘anticompetitive’ SA operators

    Orange attacks ‘anticompetitive’ SA operators

    By Duncan McLeod21 August 2013
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Sébastien Crozier
    Sébastien Crozier

    Orange, the giant French telecommunications operator that wants to launch a full-service mobile virtual network operator (MVNO) in South Africa, has accused some of the country’s mobile operators — specifically naming Vodacom and Telkom Mobile — of behaving anticompetitively by engaging in activity that is outlawed in Europe.

    Sébastien Crozier, who heads Orange Horizons, the Orange subsidiary tasked with expanding the operator’s presence in new markets like South Africa, tells TechCentral that the Independent Communications Authority of South Africa (Icasa) should not tolerate local operators offering on-network calls that are below the wholesale call termination rate.

    This practice — where operators charge less for calls between numbers on their own network than the wholesale and regulated cost of carrying a call onto another network — is forbidden across Europe and even in some other countries in Africa because it constitutes “unfair competition”, Crozier says.

    Telkom Mobile recently introduced the Sim-Sonke prepaid calling plan, offering consumers on-network calls of just 29c/minute, or 11c/minute below the 40c/minute wholesale termination rate.

    Vodacom, meanwhile, last year launched a prepaid calling plan in terms of which on-network calls are billed only for the first three minutes — at R1,20/minute — with the next 57 minutes free. That means an effective on-net call rate of as little as 6c/minute, or 34c/minute less than the termination rate.

    Any operator that engages in this practice, no matter its size, is engaged in anticompetitive behaviour, Crozier says.

    He also criticises the dynamic tariffing plans offered in South Africa — both MTN and Vodacom offer these to their prepaid customers based on network load, time of day and the location of the caller — saying they also sometimes offer an effective call rate that is lower than the termination rate.

    “Of course, it doesn’t mean you can’t do promotions. Every market does that, but to have it as an official offer, we think that’s a problem. The competition authorities should look at that.”

    At the same time, Crozier has again called on Icasa to develop a firm set of regulations to support the entry into the market of MVNOs. South Africa has only one MVNO, in the form of Virgin Mobile, which has managed to grab only a tiny slice of the mobile market.

    Countries across Europe and several in Africa have “strong regulations” that give MVNOs powerful rights in securing access to the networks of infrastructure operators. Such regulations are wholly absent in South Africa, Crozier says, and this makes it “very difficult” to provide innovative products and for MVNOs to have full ownership of the customer.

    He says another example of what he believes is anticompetitive behaviour in the South African market is the fact that some operators charge lower retail data rates than the wholesale rates they offer third parties to resell their products. “If you have a wholesale price higher than the retail price, how can you compete?”

    Crozier also believes that termination rates at 40c/minute are “absolutely very high”, saying that despite steep cuts over the past four years — from a high of R1,25/minute in peak calling times — the rate is still two to three times higher than in Europe.

    “It’s a real problem for MVNOs to enter the market. MVNOs can bring innovation and competition, but what we want is fair competition,” he says. “We are surprised because in some areas, like banking, South Africa is very advanced. On the telecoms side, South Africa is behind when you compare it even to certain countries in Africa — I’m not even talking about Europe.”

    He adds that the South African mobile market is “insufficiently competitive” and that having effective regulation for MVNOs encourages investment, leads to economic growth, reduces prices for consumers and creates jobs.

    “There is simply not enough competition and the consumer pays a very high price for voice calls and use of data is not going to develop because of a lack of innovation,” he says. “Players that want to offer content [over the data networks] are not able to come into the market because the wholesale prices are not capped [by Icasa], so it’s a commercial agreement each time.”

    Crozier says Orange has ruled out buying a mobile operator in South Africa for the short and medium term. However, he says the company is eager to offer new services and products to consumers here and is exploring the possibility of working with a consortium, which he doesn’t name, to build an extensive access network based on Wi-Fi technology.

    “There is a lack of Wi-Fi in this country,” he says. “We could be involved in the next few months in a consortium to launch Wi-Fi. It’s not an acquisition, but an investment to be a player in the Wi-Fi area.”  — (c) 2013 NewsCentral Media

    • See also: Orange ups ante with Nashua deal
    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Icasa MTN Orange Orange Horizons Sébastien Crozier Telkom Mobile Virgin Mobile Vodacom
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleOperators clash at Icasa hearing
    Next Article ZATS: Ep 271 – ‘BlackBuried?’

    Related Posts

    Specialists leave mobile operators behind on home internet - Vox

    Specialists leave mobile operators behind on home internet

    20 April 2026
    Icasa's infrastructure database plan raises national security alarm

    Icasa’s infrastructure database plan raises national security alarm

    15 April 2026
    Draft AI policy: South Africa 'too dependent' on US, China

    Draft AI policy: South Africa ‘too dependent’ on US, China

    15 April 2026
    Company News
    Why retail's future is digital - but still physical - NEC XON

    Why the future of retail is digital – but still physical

    21 April 2026
    Africa's AI dream needs bricks and gigawatts - Gary Galolo, head of technology, media, and telecommunications and digital infrastructure finance at Nedbank CIB

    Africa’s AI dream needs bricks and gigawatts

    21 April 2026
    Fibre: the backbone of South Africa's digital health ecosystem - Mweb

    Fibre: the backbone of South Africa’s digital health ecosystem

    16 April 2026
    Opinion
    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
    Hold the doom: the case for a South African comeback - Duncan McLeod

    Apple just dropped a bomb on the Windows world

    5 March 2026

    Subscribe to Updates

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

    Latest Posts
    Liquid dodges debt crunch - at a hefty price - Hardy Pemhiwa

    Liquid dodges debt crunch – at a hefty price

    21 April 2026
    Microsoft slashes Xbox Game Pass prices in big strategy shift

    Microsoft slashes Xbox Game Pass prices in big strategy shift

    21 April 2026
    Naspers stalwart Steve Pacak passes away

    Naspers stalwart Steve Pacak passes away

    21 April 2026
    Why AI chatbots are a legal liability waiting to happen - Ahmore Burger-Smidt

    Why AI chatbots are a legal liability waiting to happen

    21 April 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}