Data windfall for Vodacom

Vodacom's first-quarter revenue rose 4.3% as customers used more data outside its domestic market.

Sales rose to R18.3-billion in the three months to the end of June, the company said yesterday.

Data revenue leapt 23% to R3.6-billion as active customers for the service rose 37% to 25.3-million.

Vodacom, 65% owned by Vodafone, is expanding its Internet and data services while adding small-to-medium-sized business customers to offset falling voice sales in South Africa, which are being squeezed by cuts in rates it can charge for ending calls on its network.

South African sales rose 2% to R14.8-billion in the quarter even as a cut to mobile termination rates decreased incoming voice revenue by 44%. Vodacom is seeking approval from the communications regulator to acquire Internet provider Neotel to expand its fibre network. International mobile data revenue rose 51% to R636-million and the company's total active customers rose 16% to 59.6million.