Why do data bundles expire in SA?

Why do data bundles expire in SA?

Have you ever bought a data bundle and expected to use it for some time, only to discover that it’s expired? Here’s the reason why this happens.

Cellphone in man hands
Cellphone in man hands / iStock

In South Africa, mobile data bundles expire due to the limited wireless capacity available to cellular networks. 

According to MTN SA CEO Charles Molapisi and Vodacom SA CEO Sitholizwe Mdlalose, this practice allows network operators to manage their finite resources effectively. 

When designing data bundles, operators consider the demand on their network and price their products accordingly.

Molapisi explained that network operators need to balance demand with capacity. If data bundles didn't expire, operators would need to overinvest in network infrastructure, leading to increased costs and potentially empty network capacity. 

This would ultimately result in higher prices for consumers, reports MyBroadband

Mdlalose added that data prices are set based on network dimensioning, taking into account the inputs needed to carry data. 

Longer validity data bundles are available but come at a higher cost. Shorter validity periods make data more affordable, with operators offering customised bundles to cater to different user needs.

Molapisi likened data bundles to bus tickets, where purchasing a ticket for a specific journey doesn't guarantee availability of the same seat at a later date. 

Similarly, Mdlalose compared data bundles to Gautrain tickets, which offer access to a service for a specific period. Both CEOs emphasised that buying data is not like buying a loaf of bread, but rather accessing a service with limited capacity.

By offering shorter validity periods, operators make data more accessible and affordable for consumers. This approach allows for more flexible pricing options, catering to different user needs and spending patterns. While some may find expiring data bundles annoying, it is a necessary mechanism for network operators to manage their resources effectively.

Data bundles expire in South Africa due to the limited capacity of cellular networks. Network operators price their products based on resource allocation, making data more affordable and accessible to consumers.

Stacey and J Sbu new show banner
East Coast Drive / ECR Images

HOW TO LISTEN TO EAST COAST RADIO

1.     Listen to East Coast Radio on the FM (frequency modulation) spectrum between 94 and 95 FM on your radio.

2.     Listen live to ECR by clicking here or download the ECR App (iOS/Android).

3.     Listen to East Coast Radio on the DStv audio bouquet, channel 836. 

4.     Switch to the audio bouquet on your Openview decoder and browse to channel 606.

5.     Listen to us on Amazon Alexa

Image courtesy of iStock

Have a similar story or something unique to share? Email us at [email protected], we would love to hear from you!

MORE ON EAST COAST RADIO


Show's Stories