Telecommunications in South Africa

5G Cell Tower in Johannesburg

Telecommunications infrastructure in South Africa provides modern and efficient service to urban areas, including cellular and internet services. The Independent Communications Authority of South Africa (ICASA) is the watchdog of the telecommunications in the country.[1]

In 1997, Telkom, the South African telecommunications parastatal, was partly privatised and entered into a strategic equity partnership with a consortium of two companies, including SBC, a U.S. telecommunications company. In exchange for exclusivity (a monopoly) to provide certain services for 5 years, Telkom assumed an obligation to facilitate network modernisation and expansion into the unserved areas.[2]

A Second Network Operator was to be licensed to compete with Telkom across its spectrum of services in 2002, although this license was only officially handed over in late 2005 and has recently begun operating under the name, Neotel.[3]

South Africa has four licensed mobile operators: MTN, Vodacom (majority owned by the UK’s Vodafone), Cell C (75% owned by Saudi Oger, an international telecommunications holdings firm), and 8ta, a subsidiary of Telkom. In 2012, mobile penetration was estimated at more than 10%, one of the highest rates in the world.[4] In 2019, mobile penetration reached 95%.[5]

Mobile market in South Africa is controlled by four cellular providers: Vodacom, MTN, Cell C, Telkom (Mobile), which is run by Telkom,[6][7] With Vodacom and MTN controlling the 75% of the market share, ICASA considers that mobile brand services are highly concentrated in the country.[8] a new provider, Rain launched in 2018 providing majority data only services to consumers.

  1. ^ "Independent Communications Authority of South Africa (ICASA) - Overview". nationalgovernment.co.za. Retrieved 12 March 2021.
  2. ^ Cauvin, Henri E. (2 November 2001). "Privatization Snag in South Africa". The New York Times. ISSN 0362-4331. Retrieved 4 December 2021.
  3. ^ Hoernig, Steffen (June 2008). "Tariff-Mediated Network Externalities: Is Regulatory Intervention Any Good?".
  4. ^ Mafika (23 November 2012). "South Africa's telecommunications". Brand South Africa. Retrieved 3 May 2019.
  5. ^ McCrocklin, Shannon (26 February 2021). "Mobile Penetration in South Africa". GeoPoll. Retrieved 12 March 2021.
  6. ^ "SA mobile subscribers in 2017: Vodacom vs MTN vs Cell C vs Telkom". Retrieved 15 November 2017.
  7. ^ "Vodacom vs MTN vs Cell C vs Telkom – Mobile subscriber numbers". Retrieved 15 November 2017.
  8. ^ Macleod, Duncan. "Icasa wants to intervene in the mobile broadband market - TechCentral". techcentral.co.za. Retrieved 12 March 2021.