Reuters | Cape Town | Updated: 09-03-2021 17:06 IST | Created: 09-03-2021 16:33 IST
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South Africa's telecoms regulator ICASA said on Tuesday it will appeal a court order restraining it from proceeding with an auction of radio frequency spectrum licenses, needed to lower data costs, expand 4G capacity and roll out new 5G technology. On Monday, High Court Judge Selby Baqwa passed an order prohibiting the regulator from going ahead with the auction pending a hearing on contentions raised by operator Telkom and broadcaster e.tv.
Monday's ruling is a major blow to the industry, especially mobile operators MTN and Vodacom, who have been forced to re-purpose their existing allocations of 2G and 3G spectrum to deploy new 4G technology in the absence of new licenses. MTN said it was reviewing the decision while Vodacom called the development "negative."