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Vodacom, MTN must innovate more, say Fin24 users

Johannesburg - Some Fin24 users say Vodacom and MTN should do more to innovate in light of planned hearings into the regulation of over-the-top (OTT) services in South Africa.

Fin24 on Monday published a guest post by technology columnist Dewaldt van Wyk which called for mobile networks Vodacom and MTN to build their own innovative technologies to compete with services such as WhatsApp.

READ: Time for MTN and Vodacom to 'innovate or die'

The chief executive officers of Vodacom and MTN last year called for regulation of OTT services like WhatsApp. The CEOs said that these services, at this stage, don’t contribute financially to local mobile networks.

READ: Vodacom calls for OTT regulation & MTN targets 'free loading' WhatsApp

Subsequently, Parliament is scheduled to hold hearings into possible OTT regulation on January 26.

READ: WhatsApp faces possible regulation in South Africa

“The heyday of traditional communication services have passed and no amount of legislation can save technology companies that fail to innovate and have a blatant disregard for the requirements of their subscribers,” wrote van Wyk as he urged both MTN and Vodacom to rather innovate.

Both MTN and Vodacom have further explained their position on OTT in a recent Fin24 article.

In the meantime, Fin24 users have expressed displeasure with the companies.

Fin24 user Sfor wrote: “Hey wake up MTN and Vodacom. I already pay a heck of a lot in voice and data fees. I will easily change to Cell C . No problem. I have been with both Vodacom and MTN since cellular launched  in South  Africa.”

Fin24 user Dirk wrote: “They (Vodacom and MTN) should create their own ‘Whatsapp’  type platforms with reduced pricing to draw more customers. Even free services will definitely boost customer numbers!”

Fin24 user Conrad wrote that there are some parallels between local mobile networks and power utilities:

“Vodacom and MTN effectively own the ‘cable’ between the power station and the consumer.. and nobody really cares about that.  At least the power utilities have power stations !!

Given the above analogy, both MTN and Vodacom should look long and hard about service innovation...  especially those with a sizable barrier to entry. They should quit pointing fingers at the OTT operators who all deal with messaging in one form or another.

There are service opportunities possibly still out there, especially in the financial and education sector that possibly could be realised, but key to this, like your article states, is the understanding of their 60 odd million customer base.”

And lastly, Fin24 user Ian said he doesn’t see what the fuss is all about:

“I really see no point in WhatsApp or any other similar service. Why are people so pathetic that they need to connect with others all the time? If I want to talk to someone, I just call them. Simple.”

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