FEEDS |

Vodacom results will 'be hurt by Rica'

Nov 8, 2009 9:57 PM | By ZWELI MOKGATA

Vodacom's financial performance will take a knock from the Regulation of Interception of Communications and Provision of Communication-Related Information Act, analysts say.


Current Font Size:

Photograph by: MARIANNE SCHWANKHART

Related Articles

Vodacom announces the interim results today for its first full six months after its unbundling from Telkom.

Analysts predicted that the mobile operator would take a knock in subscriber numbers and revenue due to Rica, which MTN cited as a contributor to its fall in subscriber numbers.

Between June and September MTN lost almost 5%, or 750 000, of its SA subscribers.

Spiwe Chireka, ICT analyst at Frost & Sullivan, said Vodacom would shed subscribers "or at best remain stagnant" due to consumers' reluctance to comply with Rica.

She said: "Vodacom's markets in South Africa and the Democratic Republic of Congo will be depressed, but for different reasons. In the DRC, Vodacom has been losing market share to new entrant Tigo Telecoms."

She said out of the other markets Mozambique and Tanzania would deliver a positive net result, while Swaziland and Lesotho were too small to be significant.

Dobek Pater, Africa Analysis director, said Vodacom would be less affected by Rica than MTN.

 Loading...

 or  to comment

Comments

Nov 9 2009 08:45:28 AM
Xhamela
user name
I would rather not posses a cellphone than comply with this privacy invasion!

This is a crazy law, In a country that has its president in his office by virtue of cellphone recordings.

With Moe Shaik in the intelligence, as private citizens we are in danger with this RICA nonsense.
Nov 9 2009 11:49:43 AM
august rain
user name
Viva RICA!

Its good to remove criminals from the network.

And render stolen cell phones useless.

This article is proof that the cell phone companies are making a fortune from crime.


Today's Topics