R2 per megabyte is all but dead | Moneyweb

It’s surprising that the country’s major mobile operators haven’t trumpeted the death of R2 per megabyte (MB) charges for out-of-bundle data. That pricing – a staple of the industry since Vodacom’s launch of 3G services in 2004 – has practically disappeared.

Vodacom, with over 50% market share in South Africa, has reduced out-of-bundle rates on prepaid packages by 25% to R1.50/MB. On contract, this has dropped even further to R1. It says, in its annual report, that “further price decreases are planned for this year”.

An internal Vodacom pricing document suggests that the R1 per MB rate on contract will drop to R3 per 5MB later in 2017. It is important to note that this differs from a straight 66c/MB. Rather, customers will seemingly be allocated mini-bundles of 5MB at R3 each in an out-of-bundle scenario. It remains to be seen exactly how Vodacom will implement this (and explain it to customers).

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R2 per megabyte is all but dead – Moneyweb.