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Cape Town - Fin24 users have rejected MTN's idea of paying extra to access over the top (OTT) services such as WhatsApp.
MTN chief executive Mteto Nyati told Fin24 that the Independent Communication Authority of South Africa (Icasa) should investigate OTT operators such as WhatsApp.
Nyati believes that these operators do not contribute to the capital expenditure of mobile networks.
"You have to regulate them because clearly they’re making a huge amount of revenue on top of the infrastructure that the operators have paid for. Somehow they (OTT) have to contribute toward the building of this infrastructure,” Nyati argued.
Nyati's comments echoed that of his predecessor, former MTN SA CEO Ahmad Farroukh.
Last year, Farroukh told local technology news publication TechCentral that MTN does not want invest in networks while OTT providers get a "free ride".
Fin24 user Trevor compared the proposal to charge extra for the likes of WhatsApp to that of the controversial e-tolls project along Gauteng's national highways.
“MTN is sounding more like government and e-tolls.
“We the consumer already pay for the service providers to provide a service, the fact that OTT providers provide a service which obviously the likes of MTN are not able to through a lack of vision, should not now force the OTT to pay for this.
“The 'road is built, taxes are paid', why toll OTT?
“MTN, try this, provide customers with a similar product that will draw even more revenue through data usage, drop your data rates which in SA is stupidly high, same goes for Vodacom and make SMS obsolete.”
Fin24 user Sachin said that WhatsApp has become the default communication platform.
“WhatsApp is now the communication platform because of easy access and it’s the cheapest form of communication locally and internationally.
“After reading this article I can clearly see that MTN wants to piggyback off an application that has proven to be successful.
“MTN is in a financial pickle and looking to milk other companies now. If it’s not WhatsApp, it will be someone else.
“MTN needs to cut senior management unbelievable salaries into half and reduce prices and charges to be a competitor in the telecommunications industry.
“This industry is highly regulated and I doubt anything will change in the future regarding WhatsApp’s position.”
Data is too expensive, argued Fin24 user Alistair.
“Operators are already charging users ridiculous rates for data. How can they complain when OTT providers help them sell more bandwidth? Nobody wants to pay more for anything.”
Fin24 user Magda took the position that mobile subscribers should be allowed to use their data as they see fit.
“Why would I start paying for an app that I use my data for, that I am paying for - and I like using, just because MTN wants to make money out of it? Typical - if something works somebody else wants to come and scoop off the top. By the way, I am with Vodacom.”
Meanwhile, Fin24 user Johan echoed Magda.
“I will not pay MTN anything for WhatsApp on my smartphone, because I am already paying high prices for my data on the cellphone which the network operator gets. They provide a service for data, and I pay it. What I do with my data is none of their concern."
Network operators should have innovated by building their own apps, asserted Fin24 user Carel.
“The cell providers in SA had more than enough time to develop in-house apps to rival WeChat, WhatsApp and BBM, charge a fee and still profit. Yet they decided to keep on profiting from huge SMS costs, now I would say that was penny wise and pound foolish.
“But I doubt these providers care enough about the end user but more about the bottom line to consider this. It is only recently that Vodacom launched the app to manage your account and as a mixed contract user I have to say it’s still useless. For this reason I am glad they never developed a messenger app.
“Should this come under review it will put all apps that are replacing old technology (yet utilising existing infrastructure) under review.
“I would be interested to see the comparisons readers can come up with. All in all this is just sour grapes.”
