Cell C’s CEO Exposes the Cartel: How MTN and Vodacom Ruined the Mobile Industry
Cell C’s CEO, Jorge Mendes, has finally spoken out about the elephant in the room: the cartel-like behavior of MTN and Vodacom, which has crippled the mobile industry and given consumers a raw deal. In an explosive interview, Mendes revealed that the two giants deliberately jacked up call termination rates just before Cell C entered the market in 2001, leaving the new operator at a significant disadvantage.
"This is not a conspiracy theory," Mendes said. "It’s a fact. They knew that if they could make it impossible for Cell C to compete, they could maintain their stranglehold on the market. And they’ve been doing it ever since."
Mendes, a former Vodacom executive, should know. He spent 23 years at the company before leaving in 2023. During that time, he witnessed firsthand the machinations of the industry’s big players.
"Call termination rates were essentially zero before Cell C entered the market," Mendes said. "But as soon as we launched, those rates skyrocketed. It was like they were trying to strangle us at birth."
The consequences have been devastating. Cell C has struggled to compete, and the industry as a whole has suffered from a lack of innovation and competition. Consumers have been left with limited choices and higher prices.
But Mendes is not just pointing fingers. He’s proposing a solution: asymmetry in call termination rates, where smaller operators like Cell C are allowed to charge larger operators more to carry calls on their networks. It’s a radical idea, but one that could finally level the playing field.
"I’m not asking for special treatment," Mendes said. "I’m asking for a fair shot. If we can’t compete on a level playing field, then what’s the point of even trying?"
The industry’s big players are unlikely to go quietly into the night. They’ll fight tooth and nail to maintain their dominance. But Mendes is undeterred.
"We’re not going to give up," he said. "We’re going to keep fighting for what’s right. Because if we don’t, who will?"
The Fight for Fairness Begins
Will Cell C’s CEO succeed in his quest for a fairer mobile industry? Only time will tell. But one thing is certain: the status quo is unsustainable. It’s time for a change.
