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

      Musk rails against South Africa’s ‘racist laws’ in fiery interview

      20 May 2025

      Ramaphosa orders corruption probe at Sita

      20 May 2025

      South Africa rethinks BEE rules to unlock Starlink deal

      20 May 2025

      Rising subscription costs creeping up on household finances

      20 May 2025

      South Africa’s Sim card ‘washing machine’

      20 May 2025
    • World

      Microsoft pushes for industry standards in AI agent collaboration

      19 May 2025

      Microsoft to lay off 3% of workforce in organisation-wide cuts

      14 May 2025

      AI-voiced audiobooks are coming to Audible

      13 May 2025

      Apple turns to AI to tackle iPhone battery woes

      13 May 2025

      Vodafone CFO to step down

      7 May 2025
    • In-depth

      South Africa unveils big state digital reform programme

      12 May 2025

      Is this the end of Google Search as we know it?

      12 May 2025

      Social media’s Big Tobacco moment is coming

      13 April 2025

      This is Europe’s shot to emerge from Silicon Valley’s shadow

      10 April 2025

      Microsoft turns 50

      4 April 2025
    • TCS

      Meet the CIO | Schalk Visser on Cell C’s big tech pivot

      13 May 2025

      TCS | Kiaan Pillay on fintech start-up Stitch and its R1-billion funding round

      7 May 2025

      TCS+ | Switchcom and Huawei eKit: networking made easy for SMEs

      6 May 2025

      TCS | How Covid sparked a corporate tug-of-war over Adapt IT

      30 April 2025

      TCS+ | Inside MTN’s big brand overhaul

      11 April 2025
    • Opinion

      Solar panic? The truth about SSEG, fines and municipal rules

      14 April 2025

      Data protection must be crypto industry’s top priority

      9 April 2025

      ICT distributors must embrace innovation or risk irrelevance

      9 April 2025

      South Africa unprepared for deepfake chaos

      3 April 2025

      Google: South African media plan threatens investment

      3 April 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • 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
      • SkyWire
      • Solid8 Technologies
      • 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
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » Why Cell C signed a new roaming deal with Vodacom

    Why Cell C signed a new roaming deal with Vodacom

    By Duncan McLeod14 January 2021
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Cell C CEO Douglas Craigie Stevenson

    There’s nothing unusual about Cell C’s decision to migrate its contract and mobile broadband customers to Vodacom’s radio access network – it’s all part the company’s new strategy.

    That’s according to CEO Douglas Craigie Stevenson, who said in an exclusive interview with TechCentral on Thursday that the company plans to use both the Vodacom and MTN networks to provide cellular services to its customer base.

    He confirmed that Cell C recently concluded an “expanded roaming agreement” with Vodacom. This deal was signed last month and comes after the company trumpeted a similar agreement earlier in 2020 with MTN, which many in the market had assumed was some sort of exclusive arrangement.

    The decision to shut down its own RAN and buy services instead from MTN – and now Vodacom – has already slashed Cell C’s capital expenditure

    Not so, said Craigie Stevenson, adding that “exclusivity” in the local telecommunications sector is a “swear word”.

    “There is nothing extraordinary” about the new pact with Vodacom, he said. “It is exactly in line with our strategic intent.”

    The new roaming agreement is for 3G and 4G services; under the old deal, which expired in November, Cell C could access only 2G and 3G bearers through Vodacom, Craigie Stevenson said.

    Virtual RAN

    He emphasised that Cell C is not migrating customers to Vodacom, but is moving them to a new radio access network (RAN). What this means, in practice, is that Cell C contract customers are moving to a Cell C-controlled “virtual RAN” provided by Vodacom on Vodacom’s network. Prepaid customers, meanwhile, are being migrated to MTN’s network over a three-year time horizon.

    “It’s not like we are getting rid of subscribers because we can’t cope. We have had a phenomenally good year,” Craigie Stevenson said of the financial year ended 31 December 2020. “We will deliver a strong set of results.”

    Cell C’s head office in Woodmead, Johannesburg

    The decision to shut down its own physical RAN and buy services instead from MTN – and now Vodacom – has already slashed Cell C’s capital expenditure, he said. And the business is growing its subscriber base and winning back customers despite the capex cut.

    Craigie Stevenson said Cell C’s agreements with both MTN and Vodacom give the company the capacity to negotiate when buying wholesale services. “It gives us the best pricing and it gives us a competitive advantage without draining our balance sheet and our funding.”

    He said Cell C will entertain a similar arrangement with the planned wholesale open-access network (Woan) when it is eventually launched. (The Woan, a brainchild of the government but which will be privately owned, is meant to provide wholesale access to mobile infrastructure to other licensed carriers, encouraging competition in telecoms services.)

    The recent retrenchments programme has now been concluded. Almost 1 200 employees were impacted by the process

    On the long-delayed planned recapitalisation of Cell C, Craigie Stevenson said a deal is not only “on track” but should be announced soon.

    He said the recent retrenchments programme has now been concluded. Almost 1 200 employees were impacted by the process, leaving a headcount of 1 338. About 250 staff are being reskilled for new positions in the areas of digital marketing, “technopreneurship” and data science.

    A rationalisation of Cell C retail stores is still ongoing as part of an 18-month process that will see roughly half, or about 130, of its stores closed permanently. To date, it has closed 56.  — © 2021 NewsCentral Media



    Cell C Douglas Craigie Stevenson MTN MTN South Africa top Vodacom Vodacom South Africa
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleSamsung Galaxy S21 series launched into a shifting mobile market
    Next Article Dimension Data puts Mweb up for sale

    Related Posts

    South Africa’s Sim card ‘washing machine’

    20 May 2025

    Capitec’s next big move in mobile

    19 May 2025

    Vodacom’s new target: 260 million subscribers by 2030

    19 May 2025
    Company News

    What you need to know about TCL’s stunning new C6K QD-Mini LED TV series

    21 May 2025

    CFOs don’t need superpowers, just the right tools – enter SynergERP

    21 May 2025

    SA partner marketers call for skills investment despite rising budgets

    21 May 2025
    Opinion

    Solar panic? The truth about SSEG, fines and municipal rules

    14 April 2025

    Data protection must be crypto industry’s top priority

    9 April 2025

    ICT distributors must embrace innovation or risk irrelevance

    9 April 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.