The Independent Communications Authority of SA (ICASA) must give all mobile operators the spectrum they need, said MTN SA CEO, Mteto Nyati.
In an interview with CNBC Africa last night, the newly appointed MTN boss said the quality of calls experienced by customers on the MTN network is linked directly to spectrum availability.
"We need more spectrum so that we can provide great network quality to our customers," he explained.
According to Dobek Pater, an analyst at Africa Analysis, Nyati could be referring to the so-called LTE spectrum - the low-frequency spectrum (700 + 800MHz) and spectrum in the 2.6GHz band.
"The so-called LTE spectrum will allow the MNOs to deploy LTE more efficiently and cost-effectively. The low-frequency spectrum is generally used to deploy an LTE network.
"In areas where there is traffic congestion, the 2.6GHz spectrum is used to offload traffic from the low-frequency network. Lower frequencies (for example, 800MHz) have better signal propagation, which provides advantages when deploying a network," said Pater.
Competition
Nyati also commented on the impact that Vodacom's R7 billion buyout deal of Neotel will have on MTN, especially on the issue of assets, such as spectrum.
Once the deal receives approval from communications regulator ICASA, Vodacom will gain access to Neotel's coveted spectrum and wide-ranging investment in telecoms infrastructure.
"We are for acquisitions, we encourage that, it's a normal part of doing business in our industry," Nyathi says.
"Our issue is not so much the acquisition that is taking place, but what that acquisition is going to be bringing in terms of the spectrum and levelling of the playing field in our space and that is our challenge," Nyati explained.
Under the conditions set by the Competition Commission, Vodacom cannot use Neotel's spectrum for two years and must commit to a R10 billion investment in fixed network, data and connectivity infrastructure within five years of the deal's approval.
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