Cellular networks explain exorbitant data costs to Parliament

Cellular networks are answering questions in Parliament about their data costs, following a public outcry on charges being too high.

EWN reporter Ilze-Marie Le Roux says the Department of Telecommunications and Postal Services say it is the biggest market shareholders that determine the prices.

And Vodacom just came and said our market shares are big because we deliver the best service in the industry.

Ilze-Marie Le Roux, EWN reporter

In their presentation to Parliament, Vodacom spoke about capital investments and skill developments.

Le Roux says Vodacom also mentioned the 86% increase in data bundles sold between 2015- 2016.

MPs also questioned the relationship between Vodacom and Icasa.

Listen to EWN reporter Ilze-Marie Le Roux in Parliament and Telkom Spokesperson Jacquie O'Sullivan below for more information...

Telkom spokesperson Jacquie O'Sullivan says it is possible for networks to provide data at a reasonable cost. But the networks will have to consider the impact it will have on revenue.

Asked by Stephen Grootes how data expiration and charges is going to change, O'Sullivan said monitoring and tracking unused data is a massive liability for companies.

But I think in this conversation all those conversations should be in the table. But what we have looked at from our perspective, how do we real change the market, how do we disrupt it and do what is best for our consumer.

Jacquie O'Sullivan, Telkom spokesperson

Yesterday Parliament heard from those up in arms about the higher data costs. Touch Central CEO Tbo Touch and Cliff Central founder Gareth Cliff addressed Parliament’s Telecommunications and Postal Services Portfolio Committee.

Telecommunications Department has requested that the Independent Communications Authority of South Africa (Icasa) investigate the matter.


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