SA Expected Telecoms Prices 2016

Due to the weak rand, Internet Solutions have had to increase some of their prices. In this article we cover what other South African telecommunications companies are doing.

ADSLvBroadbandxInternet Solutions has informed subscribers that maintaining existing prices for connectivity and cloud services in 2016 is not sustainable.  The company claimed that the devaluation of the rand against leading currencies as well as inflation impacts on its input costs has considerably impacted the business.

Heres what other South Africa telecoms operators had to say;

Vodacom: Due to the fact that Vodacom is part of the Vodafone family, it gives the company the ability to absorb the impact of the weekend currency. However, Vodacom said it is impacted by the volatility of the rand because it procures network equipment and handsets from abroad.

Cell C: Said that the  weakening rand has a widespread effect on business and consumers although they do not plan on any price increases at this time and that its Epic products offer rates which remain unchanged for two years.

Telkom: Telkom stated that the economic operating environment has deteriorated which has been driven by lower commodity prices and a weakening rand. The outlook remains challenging on the back of lower growth expectations, higher interest rates, and rising inflation. They said that they prioritized their capital expenditure program to focus on the growth areas of LTE and fibre.

MTN: … No Comment

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