{"id":32275,"date":"2023-08-20T17:16:04","date_gmt":"2023-08-20T17:16:04","guid":{"rendered":"https:\/\/www.africa-press.net\/eswatini\/?p=32275"},"modified":"2023-08-20T16:30:24","modified_gmt":"2023-08-20T16:30:24","slug":"netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom","title":{"rendered":"Netflix, Others to Pay Fair Rates for Internet Use to MTN and Vodacom"},"content":{"rendered":"

Africa-Press – Eswatini. <\/strong><\/span>South Africa\u2019s biggest mobile operators, Vodacom and MTN, want streamers like Netflix and other big internet companies to pay them for carrying often-huge volumes of data traffic over their networks.<\/b><\/p>\n

The concept, known as \u201cfair share\u201d or \u201cfair play\u201d, has caught the attention of regulatory bodies globally, especially in Europe. The argument telecommunications operators make is that they spend large chunks of their revenue developing infrastructure that \u201cover the top\u201d (OTT) service providers like Netflix benefit from \u201cdisproportionately\u201d.<\/p>\n

\u201cWe support the policy direction,\u201d MTN Group CEO Ralph Mupita said in response to a question from TechCentral this week.<\/p>\n

\u201cThe OTTs will say we help you (the operators) invest in subsea cables and all that, but the reality is they are not putting 18% of their service revenue into capex like we are. They maybe put in 0.5%. They are getting a disproportionate benefit,\u201d Mupita said.<\/p>\n

Vodacom Group CEO Shameel Joosub expressed a similar sentiment in a recent interview with TechCentral.<\/p>\n

\u201cThe OTT fair play discussion centres on [the idea] that these guys (OTT companies) have destroyed the revenue of telecoms operators, but we have to build all the infrastructure,\u201d Joosub said. \u201cFair play says you can use the network, but you have to pay for it. 5G is a disaster in Europe because the telcos are not making money anymore,\u201d Joosub said.<\/p>\n

The concern from the operators is in response to shrinking profit margins: mobile telecoms companies are under pressure to increase their infrastructure spend while providing more value to customers at lower cost.<\/p>\n

\u2018Fair share\u2019<\/b><\/p>\n

Dominic Cull, regulatory advisor for the Internet Service Providers\u2019 Association (Ispa) told TechCentral that the association does not have an official position on fair play.<\/p>\n

But speaking in his personal capacity, he said the argument that big internet companies are not contributing their fair share towards infrastructure development is on shaky ground given that Google and Meta Platforms, for example, have invested significantly in undersea cables around Africa.<\/p>\n

Cull also mentioned investment in fibre and data centres as significant contributions by some of the big technology companies. But the investment argument is only part of the story.<\/p>\n

\u201cIt is a nuanced debate,\u201d Cull said. \u201cAs a starting point for ISPs, there is a little bit of resistance [to supporting the telecoms providers] because that (fair share) is not what they have done in the past. OTT is just another word for competition and consumers benefit from that.\u201d<\/p>\n

Cull\u2019s comments suggest the \u201cfair share\u201d debate in South Africa does not differ meaningfully from what\u2019s happening in Europe. A report from the Body of European Regulators for Electronic Communications (Berec) shows that ISPs in the region were generally not in favour of fair share either.<\/p>\n

\u201cThere is a concern that direct compensation from large content and application providers to large ISPs could endanger the principle of net neutrality and lead to a competitive distortion that puts smaller and medium-sized ISPs at a disadvantage.\u201d<\/p>\n

Berec also rebuffed the idea that large internet companies are not paying their fair share.<\/p>\n

\u201cThere is no evidence of \u2018free-riding\u2019 along the value chain. ISPs\u2019 customers buy internet connectivity and pay for sending and receiving traffic. Costs for deploying and upgrading the access networks are typically covered by payments from ISPs\u2019 customers,\u201d said Berec.<\/p>\n

For More News And Analysis About Eswatini<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Eswatini. South Africa\u2019s biggest mobile operators, Vodacom and MTN, want streamers like Netflix and other big internet companies to pay them for carrying often-huge volumes of data traffic over their networks. The concept, known as \u201cfair share\u201d or \u201cfair play\u201d, has caught the attention of regulatory bodies globally, especially in Europe. The argument […]<\/p>\n","protected":false},"author":84,"featured_media":32274,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,9],"tags":[234,248,249],"class_list":["post-32275","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-miscellaneous","tag-africa-press","tag-africa-press-eswatini","tag-eswatini"],"yoast_head":"\nNetflix, Others to Pay Fair Rates for Internet Use to MTN and Vodacom - Eswatini<\/title>\n<meta name=\"description\" content=\"South Africa\u2019s biggest mobile operators, Vodacom and MTN, want streamers like Netflix and other big internet companie ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Netflix, Others to Pay Fair Rates for Internet Use to MTN and Vodacom\" \/>\n<meta property=\"og:description\" content=\"South Africa\u2019s biggest mobile operators, Vodacom and MTN, want streamers like Netflix and other big internet companie ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom\" \/>\n<meta property=\"og:site_name\" content=\"Eswatini\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2023-08-20T17:16:04+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/eswatini\/sites\/33\/2023\/08\/sm_1692536249.259519.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"720\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/eswatini\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"Netflix, Others to Pay Fair Rates for Internet Use to MTN and Vodacom\",\"datePublished\":\"2023-08-20T17:16:04+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom\"},\"wordCount\":568,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/eswatini\/sites\/33\/2023\/08\/sm_1692536249.259519.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-Eswatini\",\"Eswatini\"],\"articleSection\":[\"all news\",\"miscellaneous\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom\",\"url\":\"https:\/\/www.africa-press.net\/eswatini\/all-news\/netflix-others-to-pay-fair-rates-for-internet-use-to-mtn-and-vodacom\",\"name\":\"Netflix, Others to Pay Fair Rates for Internet Use to MTN and Vodacom - 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