Technology

MTN increases contract fees

MTN has stated that the monthly subscription prices on its consumer cellular contracts would be increased by an average of 5.1% beginning April 1, 2023. The rises were prompted by a "challenging market environment placing pressure on the industry," according to the mobile network provider. “The impact of the inflationary environment has resulted in increased

MTN increases contract fees

MTN increases contract fees

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MTN has stated that the monthly subscription prices on its consumer cellular contracts would be increased by an average of 5.1% beginning April 1, 2023.

The rises were prompted by a “challenging market environment placing pressure on the industry,” according to the mobile network provider.

“The impact of the inflationary environment has resulted in increased input costs, driven by load-shedding and rising fuel usage, which have been further aggravated by ongoing battery theft and vandalism,” MTN stated.

The biggest increase on any package will be 7.4%.

“This mainly represents a R10 increase from R135 to R145 on our Mega XS price plans,” MTN said.

Voice call prices per minute have risen by an average of 4%, up to a maximum of 10 cents per minute.

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Out-of-bundle data and SMS charges, on the other hand, have been dropped to R0.25 per MB and R0.35 per message, respectively.

MTN stated that the rise will not effect contract payments for phones and other devices.

As a result, the overall contract price rise for individuals with included devices should be less than the 5.1% average.

MTN stated that customer care staff have notified consumers of the price plan changes.

Depending on the customer’s billing cycle, the exact date of the price rise may vary. All other MTN contract terms and conditions will remain unchanged.

Price and network performance must be balanced.

MTN South Africa consumer director Ernst Fonternel stated that the company was dedicated to keeping rises to a minimal and below inflation while providing consumers with great services.

“While these cost increases are unavoidable, we continue to invest in our network and battery rollout to ensure our customers enjoy the best connectivity in the country.”

“We remain committed to working with local authorities, communities and our partners to look for innovative solutions to tackle to the relentless theft and vandalism of our sites across the country, which continue to increase our spend on repair and security.”

MTN’s average per-MB effective rate has been decreased by more than 38% in the last three years, according to Fonternel.

Reporting for Business Tech Africa on the funding, tools and strategy shaping the continent's founders and SMEs.

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