{"id":53200,"date":"2014-02-17T14:27:58","date_gmt":"2014-02-17T12:27:58","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=53200"},"modified":"2014-02-17T14:27:58","modified_gmt":"2014-02-17T12:27:58","slug":"icasa-delay-saves-mtn-r286-million","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/mobile\/53200\/icasa-delay-saves-mtn-r286-million\/","title":{"rendered":"Icasa delay saves MTN R286 million"},"content":{"rendered":"<p>The Independent Communications Authority of South Africa (Icasa) said in a press statement on Friday, 14 February 2014 that it has decided to delay its call termination rate cuts by two months.<\/p>\n<p>The new call termination rates were set to kick in on 1 March 2014, but after MTN initiated court proceedings against Icasa on 12 February 2014 the regulator postponed the implementation date to 1 May 2014.<\/p>\n<p>Icasa said that it decided on the postponement so that the urgent application MTN lodged with the High Court could be heard on a less urgent basis.<\/p>\n<p>This two month delay can save MTN close to R300 million in potential interconnect revenue losses.<\/p>\n<p>In its court documents, MTN said that the new 2014 call termination rates will cost the company R142,931,363 in lost aggregated interconnect revenue per month.<\/p>\n<p>This means that the two month delay announced by Icasa will save MTN <strong>R285,862,726<\/strong>.<\/p>\n<p>Even if MTN\u2019s court battle with the regulator is unsuccessful, the two month delay caused by the legal challenge has already paid off handsomely for the mobile operator.<\/p>\n<div id=\"attachment_53201\" style=\"width: 372px\" class=\"wp-caption alignright\"><a  data-lightbox=\"post-image\" href=\"http:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2014\/02\/MTN-interconnect-revenue-losses.jpg\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-53201\" class=\"size-full wp-image-53201 \" alt=\"MTN interconnect revenue losses\" src=\"http:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2014\/02\/MTN-interconnect-revenue-losses.jpg\" width=\"362\" height=\"371\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2014\/02\/MTN-interconnect-revenue-losses.jpg 362w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2014\/02\/MTN-interconnect-revenue-losses-292x300.jpg 292w\" sizes=\"auto, (max-width: 362px) 100vw, 362px\" \/><\/a><p id=\"caption-attachment-53201\" class=\"wp-caption-text\">MTN interconnect revenue losses (from court papers)<\/p><\/div>\n<h3 class=\"my-4\">MTN not trying to keep prices high: Bulbulia<\/h3>\n<p>MTN SA CEO Zunaid Bulbulia said that their decision to take the legal route should not, in any way, be construed as an attempt to keep the costs of telecommunications high.<\/p>\n<p>MTN is of the view that the regulations do not meet these requirements and it has instituted legal proceedings against Icasa.<\/p>\n<p>MTN has asked the Court to review what has happened and to set aside those parts of the regulations which it finds are irregular.<\/p>\n<p>\u201cThere is a common goal in the industry to reduce costs and to promote fair competition. Both are good for our customers and for our business,\u201d said Bulbulia.<\/p>\n<p>\u201cMTN believes that the review proceedings which it has brought will ultimately assist Icasa and all the other role players in realising that goal in a proper and commercially sustainable way.\u201d<\/p>\n<h3 class=\"my-4\">More on termination rates<\/h3>\n<p><strong><a title=\"Permalink to Icasa postpones termination rate cuts\" href=\"http:\/\/businesstech.co.za\/news\/telecommunications\/53175\/icasa-postpones-termination-rate-cuts\/\" rel=\"bookmark\">Icasa postpones termination rate cuts<\/a><\/strong><\/p>\n<p><strong><a title=\"Permalink to MTN makes good on legal threats against Icasa\" href=\"http:\/\/businesstech.co.za\/news\/mobile\/53106\/mtn-makes-good-on-legal-threats-against-icasa\/\" rel=\"bookmark\">MTN makes good on legal threats against Icasa<\/a><\/strong><\/p>\n<p><strong><a title=\"Permalink to MTN calls for termination rate cuts to be scrapped\" href=\"http:\/\/businesstech.co.za\/news\/general\/52977\/mtn-calls-for-termination-rate-cuts-to-be-scrapped\/\" rel=\"bookmark\">MTN calls for termination rate cuts to be scrapped<\/a><\/strong><\/p>\n<p><a title=\"MTN, Vodacom sink on rate cuts\" href=\"http:\/\/businesstech.co.za\/news\/mobile\/52418\/mtn-vodacom-sink-on-rate-cuts\/\"><strong>MTN, Vodacom sink on rate cuts<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Icasa\u2019s decision to postpone its mobile termination rate cuts will mean save MTN R286 million in lost revenue<\/p>\n","protected":false},"author":10,"featured_media":53202,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[34],"tags":[26,36,28,6797],"class_list":["post-53200","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-mobile","tag-headline","tag-icasa","tag-mtn","tag-termination-rates"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/53200","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=53200"}],"version-history":[{"count":1,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/53200\/revisions"}],"predecessor-version":[{"id":53203,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/53200\/revisions\/53203"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/53202"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=53200"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=53200"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=53200"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}