MTN
Mobile service operator MTN has announced it will increase the monthly subscription fees on its consumer cellular contracts. REUTERS/Siphiwe Sibeko

Home » MTN to hike contract prices: Here’s how much you’ll pay

MTN to hike contract prices: Here’s how much you’ll pay

MTN has announced that it will hike its consumer price plan subscription fees by an average of 5.1% “as a challenging market environment continues to place pressure on the industry”. The increased price plan will come into effect on 1 April 2023. The highest actual subscription fee increase will be 7.4%, according to My Broadband. MTN […]

By Garrin Lambley
23-02-23 20:15
in Business
MTN
Mobile service operator MTN has announced it will increase the monthly subscription fees on its consumer cellular contracts. REUTERS/Siphiwe Sibeko

MTN has announced that it will hike its consumer price plan subscription fees by an average of 5.1% “as a challenging market environment continues to place pressure on the industry”.

The increased price plan will come into effect on 1 April 2023.

The highest actual subscription fee increase will be 7.4%, according to My Broadband.

MTN CITES ‘INFLATIONARY ENVIRONMENT’ AS REASON

The mobile network operator aimed to justify the contract price hikes in a statement issued on 23 February, saying:

“The impact of the inflationary environment has resulted in increased input costs, driven by load-shedding and rising fuel usage, which have been further aggravated by ongoing battery theft and vandalism.”

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Massive MTN data outage on Tuesday
The precise date of the price increase may vary depending on the MTN customer’s billing cycle. Images: Stock/ Canva

PRICE HIKE BREAKDOWN AND WHAT TO KNOW

  • “This [maximum 7.4% increase] mainly represents a R10 increase from R135 to R145 on our Mega XS price plans,” MTN said.
  • Voice call rates per minute have been increased by an average of 4% — or a maximum of 10 cents per minute.
  • On the flip side, out-of-bundle data and SMS rates have been reduced to R0.25 per MB and R0.35 per message, respectively.
  • MTN said that the increase would not affect instalments on handsets and other devices as part of contract deals.
  • That means the overall contract price increase for those with bundled devices should be lower than the average of 5.1%.
  • The precise date of the price increase may vary depending on the customer’s billing cycle. All other terms and conditions on MTN contracts will remain the same.

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MTN: SECURITY SOLUTIONS AND BATTERY ROLLOUT

“While these cost increases are unavoidable, we continue to invest in our network and battery rollout to ensure our customers enjoy the best connectivity in the country,” MTN SA Chief Consumer Officer Ernst Fonternel was quoted as saying by BizCommunity.

“We remain committed to working with local authorities, communities and our partners to look for innovative solutions to tackle the relentless theft and vandalism of our sites across the country, which continue to increase our spend on repair and security,” Fonternel concluded.

Tags: cellphone contract MTN Vodacom