Characteristics of the market structure where telkom operated before the emergence of the big three
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Telecommunications infrastructure in South Africa provides modern and efficient service to urban areas, including cellular and internet services. In 1997, Telkom, the South African telecommunications parastatal, was partly privatised and entered into a strategic equity partnership with a consortium of two companies, including SBC, a U.S. telecommunications company. In exchange for exclusivity (a monopoly) to provide certain services for 5 years, Telkom assumed an obligation to facilitate network modernisation and expansion into the unserved areas[citation needed].
Suburban communication towers in Pretoria
A Second Network Operator was to be licensed to compete with Telkom across its spectrum of services in 2002, although this license was only officially handed over in late 2005 and has recently begun operating under the name, Neotel[citation needed]. South Africa has four licensed mobile operators: MTN, Vodacom (majority owned by the UK’s Vodafone), Cell C (75% owned by Saudi Oger, an international telecommunications holdings firm), and 8ta, a subsidiary of Telkom. Mobile penetration is estimated at more than 10%, one of the highest rates in the world.[1] The five cellular providers are Vodacom, MTN, Cell C, Telkom (Mobile), which is run by Telkom,[2][3] and from early 2018 Rain (Pty) Lt
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