Cell C disagrees with the proposed 19% interconnect rate cut that Vodacom and MTN have agreed to, saying it offers no significant change to the current regime.

"Cell C maintains its position on a once-off reduction of 40% in the peak interconnection rate and a flat-rate of 75 cents, as this is common practice in 22 of 28 countries in the European Union," says Lars P Reichelt, CEO of Cell C.
"This international best practice leads to more competitive pricing and it is only through competition that retail rates will go down.
"In addition, and as supported by the study conducted by the European Union in 2007, mobile termination rate asymmetry is the best way to ensure a levelled playing field and again to increase competition.
"Cell C is therefore proposing that Vodacom and MTN pay the smaller operators a mobile termination rate of 75 cents per minute while the smaller operators, including Cell C, pay Vodacom and MTN a rate of 65 cents.
"Cell C is very willing to enter into dialogue with its competitors, provided that Vodacom and MTN agree and are willing to put forward proposals that will not keep the current status quo."