SA network providers concerned by Tribunal blocking R13bn Maziv acquisition by Vodacom

THE Association of Communications and Technology (ACT) has raised concerns about the impact of the Competition Tribunal blocking Vodacom Group from acquiring a 30% to 40% stake in fibre company Maziv for R13.2 billion.

- YOGASHEN PILLAY

The ACT which represents leading network operators including MTN, Vodacom, Telkom, and Rain - on Friday said it believed the deal would have had a huge impact on Small, Medium and Micro Enterprises (SMMEs).

In March, the Competition Tribunal prohibited the acquisition, which would have created the largest fibre company in South Africa, citing significant anti-competitive effects that outweighed limited public interest benefits.

The Tribunal found that the deal would harm competition in mobile and fibre services, affecting millions of South African consumers that would increasingly in the future be making use of data/internet services.