by TINTSWALO BALOYI
JOHANNESBURG, (CAJ News) – TELKOM has entered South Africa’s lucrative mobile virtual network operator (MVNO) market.
This is through a partnership with an unnamed mobile virtual network enabler (MVNE) platform provider said to have a proven record in the market.
Signing the MVNE platform agreement will enable Telkom to meet the regulator’s requirements while identifying on-boarding multiple MVNOs to strengthen its competitive position in the MVNO market.
The Independent Communications Authority of South Africa (ICASA) requires mobile network operators like Telkom to support at least three black-owned MVNOs as part of their spectrum licence conditions.
“Our expansion into the MVNO market aligns with our anchor brand purpose to seamlessly connect every South African and to enable and assist brands to create value for their existing and new customers irrespective of the industry in which they operate,” said Lunga Siyo, Telkom Chief Executive Officer: Consumer and Small Business.
South Africa’s MVNO market is expanding rapidly, with banks, insurance firms, and major retailers driving competition in the sector.
Since the sector’s inception in 2006, it has experienced steady growth, with subscriber numbers increasing by 51 percent year-on-year by the end of 2023, reaching 4,3 million users.
This growth is driven by consumer affinity, particularly to financial services providers, retailers and niche brands.
“The MVNO market is an exciting space, and we are eager to bring our network capabilities and infrastructure to enable and support new entrants,” Siyo said.
– CAJ News