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Cell C signs deal to develop 4G network in SA

February 1, 2010 • Mobile and Telecoms

Lars Reichelt, CEO Cell C

Cell C announced a R2,9 billion deal with Chinese company ZTE Corporation, to develop a 4G network in South Africa by the end of the year, writes Business Day.

Lars Reichelt, CEO Cell C, said that the network will offer download speeds of up to 21 MB per second or three times faster than the current service.

“This will bring high-quality wireless access to rural areas where it was previously unavailable”, said Reichelt, denying a completely shift towards wealthier users.

Using HSPA+ technology, the investment will allow Cell C to capitalize on the huge smartphone demand within the country and possibly gain more market share in the long run.

Currently, Cell C’s market share stays smaller than 15%, with competitors MTN and Vodacom sharing most of the mobile subscribers base.

Telkom, South Africa’s fixed-line operator and former monopoly in the ICT sector, is set to enter the mobile market this year and is in talks with Cell C, confirmed Reichelt.

According to analyst Arthur Goldstruck, a 4G network will face huge challenge in Africa, as even the existing 3G networks are not as persistent as they should be and thus few Africans enjoy high mobile connectivity speeds.

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7 Responses to Cell C signs deal to develop 4G network in SA

  1. UM&MU says:

    Cell C 4G!!!, Good, Only if it was R 200pm uncapped!

  2. bongz says:

    wow………cell c, on 4G, dats fantabulous news

  3. dJeXcT says:

    The Term 4G is being misunderstood as it is actually 4Gs meaning ” For great Support and Service.
    CellC is still very much an underdog in SA. I rate when the new hsdpa+ service is launched by them , they could make rates at least 60c per MB Like Vmobile.
    Everyone i know would dump Network 1 and 2 for that reason. My marketing strategy at least

  4. MONEYTALKS says:

    What for G ?? Wake up SA. This Cell C ceo would have been arrested, for mis representation of sorts, if he made these claims in the US or EU…for bullshitting the public !!! Simply put: 3G HSPA does NOT equal 4G. Pls someone ask him to explain it …

  5. theta6 says:

    People, Hello? HSPA protocol does 14 Mbit/s in the downlink and 5.8 Mbit/s in the uplink, where do they get 21Mb/s.HSPA gives importance/increased perfromance to pure voice traffic– carry on the voice monopoly–sure.
    Why not just have 4G(WiFi by the way , not HSPA+3G OR LTE!), uncapped pure Data,VoIp-Skype,BIS serives to smartphones, Eh? that 4G. This from a very credible scientific source: Many HSPA rollouts can be achieved by a software upgrade to existing 3G networks, giving HSPA a headstart over WiMax, which requires dedicated network infrastructure.——ah a fake, cheapskates, they can destroy their precious 3G cashcow/they dont have money for real 4G…………We all know WiMax will rule the world in the end.

  6. A REAL SOUTH AFRICAN says:

    WELL CELL C STRIKE’S AGAIN ,THEY SO CHEAP, THEY WOULD LIE ABOUT EVERY THING JUST TO GET U TO BUY WHAT THEY SELLING . .WHO DOES THIS REMIND YOUR OF? . WELL IF U HAVEN’T THOUGHT ABOUT IT YET . ITS THE CHINESE, THE CEO IS JUST A MIND LESS MONKEY WHO WOULD DO OR SAY ANY THING TO GET HIS PEANUTS . IF THIS 4 G NETWORK IS TRUE MAY THE GUD LORD FOR GIVE ME BUT IF ITS NOT TRUE THEN BELIEVE ME WHEN I SAY CELLC WILL LOSE 9 % OF IT’S MARKET SHARE.

  7. Pooven says:

    It’s HSPA+.The standard specifies speeds up tp 56Mbps. CellC will provide the 21.6Mbps option. Download speeds under normal conditions will obviously be a lot lower, around 7-8Mbps.

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