• Latest
South Africa: Blue Label Telecoms Secures ICASA Approval For Cell C Licence Transfer

Fair Share: ACT Advocates For OTT Contributions To South African Network Infrastructure

February 24, 2025

Building Resilience Through Collaboration: BMA Webinar To Examine Partnerships In Audio-Visual Archive Risk Management

May 28, 2026
Bridging Broadcast And Digital – The Power Of On-Platform Strategies

Africa’s Broadcasters Chart A Bold Digital Future As 5th East African Broadcasters Convention Concludes In Nairobi, Kenya

May 28, 2026
Disney+ Expands In South Africa With The Launch Of ESPN Africa Channels

ESPN Africa Secures Exclusive Pay-TV Rights For 2026 NBA Finals Across Sub-Saharan Africa

May 28, 2026
YouTube Introduces New Tools To Assist Creators In Producing Content For Television

YouTube Enhances AI Labelling: New Measures For Detecting And Disclosing AI-Generated Content

May 28, 2026
Baby Lemmings Takes Centre Stage: A New Whimsical Preschool Spin-Off Launches On Cartoonito MENA

Baby Lemmings Takes Centre Stage: A New Whimsical Preschool Spin-Off Launches On Cartoonito MENA

May 28, 2026
Accelerating Universal Delivery Of Fully-Digital Broadcasting Services To All Nigerians

East Africa’s Premier Broadcast Industry Convention Opens In Nairobi With AI, Cloud And The Future Of African Media Firmly In Focus

May 27, 2026
Reuters Begins The Satellite-To-IP Migration: A New Foundation For Live News Distribution

Jordan Media City Partners With TVU Networks To Deploy Advanced IP Distribution Infrastructure

May 27, 2026
Day 1 Of Broadcasters Convention In Kampala – Delegates Calls For Rapid Digital Transformation And Ethical AI Use

South Africa’s National AI Policy: New Draft Set For Release In January 2027 Following Expert Review

May 27, 2026
Vuyo Nyembezi Appointed As SABC’s Group Executive For Technology, Paving The Way For Digital Transformation

Vuyo Nyembezi Appointed As SABC’s Group Executive For Technology, Paving The Way For Digital Transformation

May 27, 2026

Telecom Egypt And Huawei Launch Cutting-Edge Fibre-to-the-Room Service To Revolutionise Home Broadband

May 27, 2026
Jordan Media City Partners With TVU Networks To Deploy Advanced IP Distribution Infrastructure

Jordan Media City Partners With TVU Networks To Deploy Advanced IP Distribution Infrastructure

May 26, 2026
Radio: DRM Consortium Launches New Guidelines For Consumer Receivers

Funding And Impact In Community Radio – Strengthening The Grassroots Pipeline That Feeds The Industry

May 26, 2026
Thursday, May 28, 2026
Broadcast Media Africa
  • Home
  • News & Reports
  • Resources
  • Services
    • Promo: Spotlight Service
  • Events
  • Community
No Result
View All Result
BMA
  • Home
  • News & Reports
  • Resources
  • Services
    • Promo: Spotlight Service
  • Events
  • Community
BMA
Join BMA Network
No Result
View All Result
Home OTT & Streaming

Fair Share: ACT Advocates For OTT Contributions To South African Network Infrastructure

February 24, 2025
Reading Time: 3 mins read
A A

The Association for Communications and Technology (ACT) is advocating for significant streaming services like Netflix to contribute to the expenses associated with building and upgrading South African network infrastructure.

In August 2024, the ACT introduced the idea of “Fair Share” arrangements, which would require over-the-top (OTT) providers to assist in covering network costs within the country.

OTT typically refers to services such as Netflix, Disney+, Amazon Prime Video, and YouTube, which depend on telecommunication infrastructure.

MTN South Africa expressed its support for this debate, highlighting that OTT players disproportionately benefit from the investments made in network infrastructure. “While OTTs invest in undersea cables to facilitate traffic to our network, MTN allocates substantial capital to construct and maintain this infrastructure,” the company stated in a conversation with MyBroadband.

Similarly, Vodacom shared its insights, noting an increase in network traffic driven by the popularity of OTT services like Netflix. “Despite our significant investments, the demand for data has outpaced our capacity to invest sustainably,” Vodacom reported.

The company stressed that the digital divide is most pronounced in rural and underserved regions, calling for more investment in network access.

“It is widely recognised that platform providers contribute significantly to the traffic on operators’ networks,” Vodacom affirmed, mentioning the various efforts made by operators toward digital inclusion through social obligations and licensing fees.

Vodacom emphasised the importance of a collaborative approach between network operators and platform services to maintain and expand vital network infrastructure.

According to the ACT, the revenues generated by OTT providers are closely linked to their use of network services, putting them in competition with local service providers such as Cell C, MTN, Telkom, and Vodacom.

The ACT argued that OTT providers should contribute fairly to the costs of building, maintaining, and upgrading the infrastructure upon which their operations depend. This would ensure a more equitable distribution of costs and prevent network operators from bearing the financial burden alone.

To facilitate this, the ACT aims to create a regulatory framework supporting large and small network operators. Contributions from OTT services would enable network operators to consistently invest in infrastructure enhancements and expansions, leading to a healthier competitive environment.

The ACT pointed out that if network operators feel that OTT providers are not sharing their costs fairly, it might deter future investments in infrastructure needed to meet the growing demands of OTT services.

“Fair compensation is essential for encouraging ongoing investments in network development, resulting in improved connectivity and enhanced services for users,” stated the ACT.

Ideally, the actual contributions from OTT players would be determined through negotiations based on usage charges, with all agreements grounded in legal and commercial fairness while considering industry dynamics.

The organisation believes these proposed modifications will enhance service quality for end users in South Africa and advocates for a flexible, non-disruptive, and collaborative approach to developing an information society.

Achieving this vision will require clear regulations, innovative strategies, and close cooperation between regulators, OTT providers, and network infrastructure operators. “We aim to create a regulatory environment that is neutral to technology, treats similar services consistently, and promotes fair competition,” concluded the ACT.

Share Tweet Post Email
Tags: Association for Communications and Technology (ACT)FeaturedMTN South AfricaNetflixOTTStreamingVodacom
Share200Tweet125
Previous Post

Make yourself feel better by laughing at January’s best news bloopers

Next Post

Cameroon: Camtel’s Ambitious Initiative – Enhancing Network Quality And Transforming Digital Economy

Publisher
-
Benjamin Pius
Publisher
-
Benjamin Pius

 About us

Our goal is always to keep industry stakeholders abreast of opportunities in technology and service innovations that are and will shape Africa’s broadcasting and media industry via quality news, information, intelligence and insight .

 Contact us

+44 (0) 207 712 1526
info@broadcastingandmedia.com
BSP Communications Limited
Level 37, One Canada Square
Canary Wharf
London, E14 5AB, United Kingdom

No Result
View All Result
  • Home
  • News & Reports
  • Resources
  • Services
    • Promo: Spotlight Service
  • Events
  • Community
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Policy.