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ICASA stuns mobile operators

Posted on Apr 16 in News-Publicby Press OfficerPrint

Staff writer MyBB & Sapa | 15 April, 2010

Its back to the drawing board for Vodacom, MTN and Cell C after ICASA suggests aggressive wholesale mobile call termination rate cuts

The Independent Communications Authority of SA (ICASA) surprised mobile operators on Thursday by suggesting significant price cuts to current mobile and fixed line interconnect rates.

ICASA proposed a three-year glide-path for both mobile and fixed service licensees.

Mobile interconnect rates, currently set at R0.89 per minute, were proposed to be reduced to R0.65 from July 2010 and further reduced to R0.40 from July 2012.

Furthermore ICASA proposed that fixed interconnect rates be reduced to R0.15 from July 2010 and further reduced to R0.10 from July 2012.

ICASA said in a statement that a key aspect of regulating interconnect rates was that the benefits filtered down to end-users.

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