Vodacom hits back at rivals with 50c call rate

2014-05-02 12:00
Vodacom has upped the ante with a 50c call rate promotion. (Duncan Alfreds, News24)

Vodacom has upped the ante with a 50c call rate promotion. (Duncan Alfreds, News24)

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Cape Town - Vodacom has taken a bold move on call rates with an announcement of a lower per minute rate than both MTN and Cell C.

On Friday, the company announced a new promotional bundle of 50c per minute on its Chat for 20 offering which gives customers 20 voice minutes for R10.

The promotion runs until 14 July and is available for prepaid customers.

Vodacom pointed out that a maximum of seven Chat for 20 promotions may purchased per week and can be used until 23:59 on the day of purchase.

MTN recently announced a 79c per minute call rate was permanent and Cell C has long advertised its 99c per minute rate for customers.

Vodacom also announced a 79c per minute call rate with fewer restrictions for prepaid customers but said that the promotion would run until 14 July.

Mobile operators are engaged in a new price battle after the regulator demanded a reduction in MTRs or the rate that operators charge each other for calls that terminate on rival networks.

Icasa has insisted that these rates decline asymmetrically to advantage Cell C and Telkom Mobile.

MTN and Vodacom began legal proceedings, eventually causing Icasa or the Independent Communications Authority of South Africa, to backtrack from its position.

Research surveys in SA shows that particularly young people are abandoning voice calls in favour of data, and competition increases, it is expected that both voice and data costs will decline.

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