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Cell C says it’s now a strong, capital-light challenger, following recapitalisations and turnarounds

30th May 2025

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

     

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Following years of recapitalisations and turnaround strategies, Cell C believes it has emerged as a strong, capital-light challenger – leaner, smarter and more agile than ever before.

Marking a new chapter, the company has pulled out of its downward spiral and now stands on a solid foundation, backed by a fresh momentum and “bold ambitions”.

The ambitions include cementing its role in the telecommunications sector as the “network of networks” and a “home” for mobile virtual network operators (MVNOs), while also expanding beyond mobile into enterprise, Internet of Things (IoT) and broadband, says Cell C CEO Jorge Mendes.

Over the past few years, Cell C has been revamping its business for agility and long-term sustainability, transforming into a brand- refreshed, modern, digital-first telecommunications player, with an enriched, aligned, energetic and optimistic internal corporate culture and deeper partnerships.

“[It has been] critically important to show up in a refreshed way, but not just to be different, but rather to really be transparent and honest, to be an ally to all of those that we serve, to partner deeply and to put customers at the centre of everything that we are doing.”

A deliberate choice was made to effectively swap capital expenditure for operational expenditure, and to no longer build out its own physical radio access network in favour of a virtual one, which provides broader coverage by increasing its access to base stations from 5 000 to about 28 000.

“It is a choice we have made to compete very favourably with the other network operators, with our own core, our own billing systems and our own spectrum, [but with a virtual network],” he continues, noting that Cell C now partners more deeply with network infrastructure providers to prioritise performance, flexibility and digital innovation – without the burden of legacy infrastructure ownership.

This capital-light approach, along with a concerted focus on network improvement and technological innovation, has yielded positive results.

“The shift towards a virtualised network has allowed us to move faster, innovate smarter and focus on what truly matters – giving customers a reliable, quality connection when and where they need it,” adds Cell C CTO Schalk Visser.

“It is not about who owns the towers; it is about how well the network performs in the moments that matter to our users.”

In addition to reinforcing its value perception and growing and monetising its base, Cell C has also undertaken a complete overhaul of its product portfolio and market propositions.

“A lot of work has been done to ensure that our products are what customers really want,” says Mendes.

Having made significant progress on its strategic roadmap, the group has set its sights on profitable growth and renewed market confidence, underpinned by strong financial performance, future-ready infrastructure and visionary leadership.

Aligned with this, Cell C is delivering a flexible MVNO platform, supported by a full turnkey model and deep integration, to unlock a scalable growth engine for banks, retailers and digital brands seeking to enter mobile, with plans to accelerate growth over the next few years.

“We are deliberate and intentional about our MVNO business. We believe it is a massive opportunity it in the market.”

Further, Cell C aims to set a new standard for voice quality and innovation, following the first VoLTE call on Africa’s cloud-native platform through AWS. It also plans to launch its 5G offerings within the next two to three months and is intensifying its postpaid strategy to reclaim full control of its contract customer base and improve average revenue per user and service integration.

Edited by Martin Zhuwakinyu
Creamer Media Senior Deputy Editor

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