SA’s telecommunications operators have welcomed the implementation of the next phase in the allocation of high-demand spectrum by the Independent Communication Authority of SA as a positive step to a future of lower data costs and capital expenditure. Icasa surprised industry by kicking off the 5G licensing process as well as publishing detailed proposals on how five bands of new 4G spectrum will be licensed.
Local operators have long held the view that new spectrum will allow for the lowering of mobile data prices. As spectrum has not been allocated in more than a decade, operators have had to spend a lot of capital repurposing existing spectrum. They have had to extend network coverage to offer new and faster services such as 3G and 4G, the cost of which has largely been borne by consumers.
approach to licensing of high-demand spectrum. “This will also provide transparency to the market prior to the publication of the Invitation to Apply and a greater understanding of the process and rationale applied in the licensing approach adopted by Icasa,” saidCell C echoed the sentiment, but said it noted that Icasa had included the 3.5GHz band which was excluded in communications minister Stella Ndabeni-Abrahams’s policy directive issued in July 2019.
“We look forward to the ITA process which is the next step in inviting bids for the various spectrum bands. Cell C supports Icasa’s efforts in speeding up the deployment of high-demand spectrum for next generation technologies,” the operator said. he award of new spectrum remains a vital part of reducing input costs and reducing data prices in SA. Lengthy delays in completing digital migration and allocating 4G spectrum have curbed the pace at which data prices could have fallen.
Earlier in 2019, the Competition Commission accused local operators of overcharging consumers for mobile data, penalising those with lower incomes the most. Operators typically charge more for data services in SA than they do in other markets where they operate, according to the provisional findings of the ongoing data services market inquiry.
Source: News Formal (newsformal.com)
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