Vodacom and MTN must drop mobile data prices significantly, failing which the Competition Commission will consider prosecuting the two companies.
Browsing: Cell C
Cell C’s creditors aren’t giving up on a takeover offer from rival Telkom, which South Africa’s third largest mobile network operator rejected last week.
Shares of Vodacom Group and MTN Group slumped after South Africa’s two biggest mobile phone companies were ordered to step up efforts to lower data prices within the next two months or face prosecution.
Communications regulator Icasa has said there is insufficient competition in aspects of the delivery of mobile broadband in South Africa.
Telkom has withdrawn a cautionary notice to shareholders about its proposed acquisition of Cell C after the board of the mobile operator spurned its approaches.
Cell C is pulling the plug on Black, its ill-fated video-on-demand platform in which it invested well north of R1-billion since its launch just two years ago.
Communications regulator Icasa said on Tuesday that it will probe the just-signed expanded roaming agreement between MTN South Africa and Cell C.
Telkom on Tuesday rubbished talk among some JSE traders that it is planning a hostile bid for Cell C.
Telkom said that it expects that the “parties involved” will have considered the newly announced, much-expanded roaming agreement between Cell C and MTN South Africa “in the context of the discussions with Telkom”.
Cell C’s expanded roaming agreement with MTN South Africa, which was signed at the weekend, “adheres to all applicable legal and regulatory requirements”, the companies said.