Are recent postpaid price increases by SA
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- Internet Access, Affordability And Use
Challenges: Increasing prices may be justified by higher electricity costs and a weak Rand, but may not improve the bottom line. Disgruntled contract subscribers may move to prepaid or simply buy data bundles in order to use Over-the-Top services such as Skype and WhatsApp for voice and text services. Trends: MTN’s revenue, OPEX and CAPEX have been in decline for the last three financial years. This raises the
question about what MTN’s strategy is. Increasing prices while investing less weakens its potential to compete and innovate.
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