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

      Siemens is battling Big Tech for AI supremacy in factories

      24 June 2025

      Tesla shares soar after first robo-taxi rides hit the road

      24 June 2025

      ‘System offline’ scourge to end, says Schreiber – but industry must pay

      23 June 2025

      Why the spectrum gold rush may soon be over

      23 June 2025

      Tech stability key to getting South Africa off damaging financial grey list

      23 June 2025
    • World

      Mira Murati’s Thinking Machines hits $10-billion valuation

      24 June 2025

      Watch | Starship rocket explodes in setback to Musk’s Mars mission

      19 June 2025

      Trump Mobile dials into politics, profit and patriarchy

      17 June 2025

      Samsung plots health data hub to link users and doctors in real time

      17 June 2025

      Beijing’s chip champions blacklisted by Taiwan

      16 June 2025
    • In-depth

      Meta bets $72-billion on AI – and investors love it

      17 June 2025

      MultiChoice may unbundle SuperSport from DStv

      12 June 2025

      Grok promised bias-free chat. Then came the edits

      2 June 2025

      Digital fortress: We go inside JB5, Teraco’s giant new AI-ready data centre

      30 May 2025

      Sam Altman and Jony Ive’s big bet to out-Apple Apple

      22 May 2025
    • TCS

      TechCentral Nexus S0E3: Behind Takealot’s revenue surge

      23 June 2025

      TCS | South Africa’s Sociable wants to make social media social again

      23 June 2025

      TCS+ | AfriGIS’s Helen Hulett on how tech can help resolve South Africa’s water crisis

      18 June 2025

      TechCentral Nexus S0E2: South Africa’s digital battlefield

      16 June 2025

      TechCentral Nexus S0E1: Starlink, BEE and a new leader at Vodacom

      8 June 2025
    • Opinion

      South Africa pioneered drone laws a decade ago – now it must catch up

      17 June 2025

      AI and the future of ICT distribution

      16 June 2025

      Singapore soared – why can’t we? Lessons South Africa refuses to learn

      13 June 2025

      Beyond the box: why IT distribution depends on real partnerships

      2 June 2025

      South Africa’s next crisis? Being offline in an AI-driven world

      2 June 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
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Wipro
      • Workday
    • 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
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » Our prices will tumble when we get more spectrum: MTN

    Our prices will tumble when we get more spectrum: MTN

    By Duncan McLeod18 October 2018
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    MTN South Africa CEO Godfrey Motsa

    MTN South Africa’s data prices will tumble when it gets access to new radio frequency spectrum, CEO Godfrey Motsa told the Competition Commission in Pretoria on Thursday.

    Motsa, who was speaking at the commission’s inquiry into the data services market, said headline data prices will fall when communications regulator Icasa finally licenses access to new frequencies, which is expected to happen in the first quarter of 2019 after years of delay.

    “What I cannot tell you is by how much, because I also do not know. But I can guarantee the nation, I can guarantee everyone, that prices will go down when we get spectrum.”

    I can guarantee the nation, I can guarantee everyone, that prices will go down when we get spectrum

    He added that data prices are already falling, but with access to additional spectrum “they will go down faster, and we will be loved again”.

    “Not everyone in this country can afford data today. If we get spectrum, we’ll be able to drop prices, so we can increase the pool of people who can afford services,” Motsa said.

    The MTN CEO said the company will fight any proposed regulations that seek to “flatten” rates, whereby price differentials will be reduced or eliminated between different types of bundles and data usage plans.

    At the same presentation, MTN South Africa chief operations officer Enzo Scarcella said the company is able to offer lower prices to “vulnerable” consumers precisely because of this price differentiation. “On people who are wealthier, you are recovering for areas where you are spending capex that is not fully utilised… If you put a flat rate, you are essentially subsidising the better-off people.”

    Flat-rated

    Scarcella said if pricing if flat-rated or equalised for everyone, it will achieve the reverse of what regulators hope to do, and prices could rise.

    He said on MTN’s network, people in the lowest 80% of spenders get the lowest effective rates based on “private” (non-headline) and dynamic pricing.

    “The company prices by site based on usage. The higher the spare capacity, the lower the price,” Scarcella added. This effectively means that people not living in dense urban and wealthier areas pay less for MTN services. MTN is increasingly using machine learning and artificial intelligence to price “for a customer of one”.  — © 2018 NewsCentral Media



    Competition Commission Enzo Scarcella Godfrey Motsa MTN MTN South Africa top
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleSA ranked with war zones in spectrum allocation: MTN
    Next Article ‘Enduring’ mobile duopoly has harmed consumers: Telkom CEO

    Related Posts

    Listed: All the MVNOs in South Africa – 2025 edition

    19 June 2025

    MTN CEO edges Vodacom rival in pay stakes – but just barely

    18 June 2025

    TechCentral Nexus S0E2: South Africa’s digital battlefield

    16 June 2025
    Company News

    IoT connectivity management in South Africa – expert insights

    23 June 2025

    Let’s reimagine Joburg using the power of tech, data and AI

    23 June 2025

    Netstar doubles down on global markets while backing SA growth

    23 June 2025
    Opinion

    South Africa pioneered drone laws a decade ago – now it must catch up

    17 June 2025

    AI and the future of ICT distribution

    16 June 2025

    Singapore soared – why can’t we? Lessons South Africa refuses to learn

    13 June 2025

    Subscribe to Updates

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

    © 2009 - 2025 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.