South Africans are paying only slightly more for wireless internet services today than they did in 2022, with the Competition Commission’s first Cost of Living Report showing a modest 1% increase in wireless internet usage costs between 2022 and 2025.
The report, published yesterday, underscores how internet access has shifted from being a luxury to an essential service, on par with electricity and water.
According to the commission, the report aims to provide essential insights into the affordability of basic goods and services, allowing individuals and households to assess their financial capacity to sustain a reasonable standard of living.
It notes that this analysis plays a crucial role in identifying the economic pressures experienced by various socio-economic groups, particularly low-income households, in a time of fluctuating prices and growing inequality.
On internet usage costs, the Competition Commission says: “Access to internet is now considered an essential service similar to electricity and water supply, rather than a luxury item, due to its importance in the everyday lives of South Africans.
“It is, therefore, important that affordable, reliable internet access is available to all, including those living in remote areas.
The report builds on the commission’s 2019 Data Services Market Inquiry, which led to steep reductions in data prices across major operators.
The inquiry marked a turning point in South Africa’s digital landscape, forcing operators to slash data costs and paving the way for more affordable internet access.
According to the watchdog, the Independent Communications Authority of South Africa’s tariff analysis showed that in 2017/2018, Vodacom, MTN and Cell C each charged R149 for a 1GB bundle, while Telkom offered the same at R99.
It adds that following regulatory intervention, data costs fell significantly in 2020 and 2021 − with reductions of over 30% across most networks − before stabilising in subsequent years.
For the new cost of living assessment, the commission examined usage costs for both wired and wireless connections. Stats SA gathered the data monthly from Telkom and other operators, with records available from 2022 onwards.
Wireless internet − which includes mobile data and fixed wireless such as 5G LTE − showed only a 1% consumer price increase over the three-year period.
By contrast, wired internet services, such as fibre and ADSL, rose by 14%, with a sharp spike of 7.4% recorded between July and August 2022 due to certain fibre operators pricing above the market average.
The commission’s report highlights wide disparities in wired pricing, with 20/20 Mbps lines averaging R726 per month but some providers charging significantly more − including Cybersmart’s Vodacom offering at R1 139 (57% above average) and Cell C’s 50/50 Mbps on Vumatel at R1 099 (37% above average).
While wired costs have seen steady increases of 3%, 1% and 2% in 2023, 2024 and 2025, respectively, wireless costs have remained almost flat, helping consumers who rely on mobile connectivity as their primary form of access, it notes.
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