Voice deflation in South Africa – Why you should be paying lower rates than you did 10 years agoThursday, April 11th, 2019
Voice deflation in South Africa
Mobile and fixed call rates alike should be lower than they were ten years ago, due to voice deflation in South Africa.
The local regulator, Independent Communications Authority of South Africa (ICASA), began lowering interconnect fees several years ago. Interconnect fees are the rates at which Mobile and Fixed Network Providers charge each other for terminating calls on their networks.
Aligning Network Providers’ pricing ensured for a more competitive landscape, in an effort to reduce the cost of communication for South African consumers. ICASA’s intervention followed the historical trait of South Africa having some of the highest call rates in the world. However, this was not necessarily implemented across all Network Providers.
South Africa has essentially seen up to 90% decrease in interconnect termination costs over the last 10 years:
Interconnect mobile and fixed fee deflation over the last 10 years
What this means for you as a consumer
If the rate you are paying for your voice services has not reduced or declined in line with the interconnect cost decline, then it may be time to consider a new Voice Service Provider.
What to look out for when choosing a provider
To find out what Vox can offer you, visit our website at https://www.vox.co.za/voice to find out more.