Author: Gugu Lourie

The rapid roll-out of more online food shopping capacity has helped South Africa’s retailer Woolworths report soaring sales over the lockdown period. The South African government has announced a national lockdown that requires the closure of non-essential businesses between 27 March 2020 and 16 April 2020 and has implemented various regulations and directives which have impacted the way Woolworths does business. The country is currently on lockdown at level 3. South Africa began easing restrictions at the beginning of May 2020. “Woolworths Food continued its positive momentum into the last nine weeks of H2, growing sales by 16.1%, as the…

MTN, Africa and the Middle East biggest mobile phone group, expects profits to surge in the first half, boosted by foreign exchange gains. The company said on Friday that its headline earnings per share (HEPS) will be at least 195 cents or 100% higher, representing HEPS of greater than 390 cents for the six months ended 30 June 2020, compared with HEPS of 195 cents in the previous year. HEPS is South Africa’s main profit gauge. The South African-based operator said HEPS benefited from non-operational items for the six months totalling 50 cents per share (June 2019: 55 cents negative…

The South African Social Security Agency (SASSA) has paid out more than R2.2 billion to applicants of the R350 COVID-19 grant. President Cyril Ramaphosa disclosed late on Thursday that the over 4.4 million people have now received the special COVID-19 grant, which assists those who are unemployed and do not receive other forms of support. “So far, an amount of R2.2 billion has been paid out to these recipients,” he explained. “There were delays in paying this amount but future payments will be made more quickly now that the necessary systems are in place. “As we announced, this grant will…

President Cyril Ramaphosa announced late on Thursday that all public schools will take a break for four weeks. “As South Africa approaches its peak of COVID-19 infections, we must take the cautious approach to prevent schools from becoming sites of transmission,” said Ramaphosa, adding that  more than 6,000 people had died of COVID-19, and 408,052 infections had been confirmed. Ramaphosa was speaking during an address to the nation on Thursday night. “Taking into account the views of the various stakeholders and expert bodies, Cabinet has decided that all public schools should take a break for the next four weeks.” This…

The South African Social Security Agency (SASSA) on Thursday promised to make double payments for the R350 COVID-19 grant. The agency said in a statement that it has started with double payments for outstanding June and July accounts for the R350 special relief grant. “This meant to avoid a situation where beneficiaries of the COVID-19 Social Relief of Distress grant have to make two trips to the Post Office and to eradicate the backlog of payments. The move was met with much appreciation and excitement on social media this morning,” the agency said. SASSA added that it also reconsidered applications made…

Vodacom – South Africa’s biggest mobile phone operator – announced on Thursday that its customer base was down by 9.9%, mainly driven by reduced gross connections in the prepaid segment during the period of restricted movement. The lockdown was imposed to curb the spread of the COVID-19 while giving the government time to prepare the healthcare system for the expected spike in virus infections. Lockdown Level 5 was introduced in South Africa on 26 March 2020 and now the country is in Level 3. Vodacom announced on Thursday announced its trading update for the quarter ended 30 June 2020. The company said…

A court case application by DG Murray Trust (DGMT) to compel mobile network operator MTN to zero-rate the local educational websites of public benefit organisations (PBOs) was withdrawn on Monday, with the trust saying the mobile phone operator is now fully compliant. The DG Murray Trust is a South African foundation committed to developing South Africa’s potential through public innovation and strategic investment. The trust is represented by Dunster Attorneys Inc, which has applied to the Western Cape High Court for the case to be heard on 3 August 2020. Also read: MTN Faces Legal Challenge Over Zero-Rating PBOs Websites…

Openserve – the wholesale connectivity division of Telkom – has disclosed reasons why it is discontinuing its copper-based broadband connectivity in South Africa. The South African telco first announced the transition from copper-based technology to wireless in 2015 noting that the migration would be done as a phased approach. Having successfully migrated over 96% of prepaid fixed-line customers, Telkom is now migrating postpaid fixed copper-based voice and/or DSL customers to fibre and wireless. Telkom today announced its financial results for the year ended 31 March 2020, which showed that fixed-line decline 29.3% to 1.6 million versus 2.2 million in the…

MTN has hit back at DG Murray Trust’s bid to ‘force’ the mobile phone group to zero-rate the local educational websites of public benefit organisations (PBOs). DG Murray Trust’s claims that its court bid follows three months of engagement with the three largest network operators (Vodacom, MTN and Telkom Mobile) urging them to zero-rate these sites as a matter of urgency to ensure that the poorest 50% of children have some access to educational resources during the lockdown and over the next few months. The trust also claims that Telkom and Vodacom have zero-rated PBOs websites but MTN is refusing…

MTN South Africa will face a legal challenge over its failure to follow its main rivals Vodacom and Telkom to zero-rate the local educational websites of public benefit organisations. The DG Murray Trust has launched a court application to compel mobile network operator MTN to zero-rate the local educational websites of public benefit organisations. The DG Murray Trust is a South African foundation committed to developing South Africa’s potential through public innovation and strategic investment. The trust is represented by Dunster Attorneys Inc, which has applied to the Western Cape High Court for the case to be heard on 3…

Crosscall has announced new smartphones, targeting South Africa’s agricultural and mining industries. A French specialist in outdoor mobile technology is bringing several of its new core smartphone range – four in total – to South Africa. Smartphones and accessories are available at Vodacom and MTN and via other channels. For more sales outlets click here. The company says while the new CORE range was designed primarily for professionals and thought out according to the specific uses of the various vertical business lines, it was essential that it could also satisfy the most demanding everyday users. Extremely versatile, the CORE range…

Wyzetalk, a global employee experience company that offers a mobile-first digital solution, has turned to Sinazo Sibisi to help large organisations improve communication, unleash innovation, and boost business performance as it embarks on a global expansion drive. South African-founded Wyzetalk, headquartered in The Netherlands is targeting expansion into the rest of Africa and other new markets. Sibisi has recently been appointed as Wyzetalk’s managing director of Africa, Canada, and Australia. Her role is to oversee Wyzetalk’s current business in South Africa as well as spearhead the expansion of its footprint across Africa and other new markets. With over 30 years…

Samsung has just published a white paper to discuss its vision for 6G connectivity. The white paper is titled ‘6G – The Next Hyper-Connected Experience for All’ claims that 6G technology could enable you to replicate yourself.  “With the help of advanced sensors, AI, and communication technologies, it will be possible to replicate physical entities, including people, devices, objects, systems, and even places, in a virtual world,” Samsung notes.  The company further explained that this digital replica of a physical entity is called a digital twin.  “In a 6G environment, through digital twins, users will be able to explore and…

The South African Social Security Agency (SASSA) on Thursday promised to speed up the payments for the R350 COVID-19 grant. The agency has disclosed that 85% of the UIF cases previously deemed not to be qualifying for the R350 COVID-19 grant qualify.  Unemployed South Africans who qualify to receive the grant are frustrated by the slow pace of approvals and payments made by SASSA. SASSA informed R350 COVID-19 grant applicants on Twitter today that applicants must be patient as the agency is about to finalise the payment backlog. Please note that SASSA is experiencing high application volumes. You’ll recieve outcome on your application in due…

South Africa’s AuthGate – an enabler for digital payment – is planning to expand into The Netherlands and Belgium. The FinTech startup founded in January 2018 sees significant opportunities in Europe. Sameer Jooma, who recently joined the board of AuthGate in 2020 as a non-executive director, says the company was registered in the Netherlands in 2019. “We see a significant opportunity in Europe with Open Banking initiatives like PSD2 (European regulation for electronic payment services) and have partnered with several payment processors to offer localised mobile payment acceptance solutions,” says Jooma. “Our products have been well received and we already…

South Africa’s AuthGate – an enabler for digital payment – is seeking to raise capital. The self-funded startup seems to have found a winning formula and is preparing for its first capital raise. “AuthGate has been completely self-funded (undisclosed amount) up until this point and we are preparing for our first capital raise,” says Sameer Jooma, who joined the board of AuthGate this year as a non-executive director. The founders of the Centurion-based startup are Francois Rautenbach, Johan Roux, Nico Taljaard and Stephen Adam. While working together in digital and mobile payments, the founders identified various gaps in the market.…

South Africa has its first online unaccredited and dedicated ‘dagga university’ which has been launched by Cheeba Africa. The Cape Town-based company sells various cannabis products. According to market intelligence and strategic consultancy firm Prohibition Partner, the legal cannabis industry in Africa is predicted to be worth more than $7.1 billion annually by 2023 and South Africa’s domestic market for cannabis and related products to be worth R27 billion ($2 Billion) by 2023. Cannabis has the potential to have a significant positive impact on our economy, facilitating large scale job creation and assisting poor disadvantaged communities with making a living…

The Information Communication Technology Union (ICTU) has secured a temporary reprieve from retrenchment at Cell C. The union is demanding that Cell C withdraw the retrenchment notice to workers. ICTU is an affiliate of the South African Federation of Trade Unions (SAFTU), which is led by Zwelinzima Vavi. The union is the sole worker representative at Cell C. Today, ICTU started retrenchment consultations with CellC with a morale-boosting temporary victory. “The CCMA Commissioner ruled that the proceedings are irregular and would need to make further ruling on whether current Sec 189 process should proceed or not,” ICTU spokesperson, Thabang Mothelo said.…

As more and more transactions are performed digitally, less paper and coin money is needed – signalling the eventual disappearance of cash. This is a worldwide phenomenon that will only accelerate in the aftermath of the COVID-19 pandemic. “By creating the mechanism for touchless digital payments to be accepted by e-commerce players in the physical world, by merchants and by unmanned terminals we are well-positioned to address the needs of a changing payment landscape,” says Sameer Jooma, a non-executive director on the board of AuthGate. Jooma tells TechFinancials, in an exclusive interview that AuthGate is poised to be the next…

Two insiders on Wednesday told TechFinancials that Chinese investors are calling the shots at embattled mobile phone operator Cell C, which is in the process of retrenching its workforce. Notices of retrenchment show that the troubled telco is facing significant liquidity constraints. For more read: Debt-Ridden Cell C Serves Retrenchment Notices to 2500 Employees The notice seen by TechFinancials details the reasons for the retrenchments. It states that Cell C has consistently under-performed and has losses of about R33 billion over the years. This includes losses of R4.2 billion in 2019 and R7.3 billion in 2018. The company says it is currently facing significant…

TeleMasters is on a buying spree as the company has acquired three companies in about a month. The JSE listed company announced today that it has acquired a 100% shareholding in two local ICT companies. The company has acquired 100% of specialist networking systems integrator PerfectWorx Consulting, and specialist wholesale voice platform provider Contineo Virtual Communications, pending regulatory approval. PerfectWorx Consulting, launched in 2007, is a networking systems integrator specialising in next-generation IP technologies. The company is currently stepping up its partnerships and is expected to deliver growth. Contineo Virtual Communications is a provider of wholesale cloud communications in South…

The South African Social Security Agency (SASSA) announced on Tuesday it has paid 2,5 million people their R350 Social Relief Grant. “More than two and a half million applicants have already been paid so far from over 3.2 million who applied for the COVID-19 grant,” the agency said in a statement. “Updating the UIF database has brought such a relief to us and the affected beneficiaries, the numbers will rise daily until we have paid all deserving individuals who were previously declined”, said Totsie Memela SASSA CEO. She added that SASSA is working with the Department of  Social Development to finalise…

The South African Social Security Agency (SASSA) has promised to review the number of declined R350 COVID-19 Grant applications. SASSA said in a statement that it has taken a decision to relook declined COVID-19 grant applications and get to the bottom of the reasons for rejection. The high numbers involved raised questions and SASSA decided that it would be wise to reconsider these before subjecting them to an appeal process, which comes at a cost and resultant delays, given the urgency to pay out the grant during these trying times for poor people impacted negatively by the national shutdown, said…

Naspers, the South African-based tech and media giant – which owns global tech investor Prosus, seems to be better prepared to bear the impact of coronavirus. Late on Monday, Naspers informed investors that it closed its financial year on 31 March 2020 with more than $8.3 billion (R144 billion) of cash and cash equivalents (including short-term cash investments), net of $3.5 billion (R61 billion) of interest-bearing debt (excluding capitalised lease liabilities). The company has an undrawn $2.5 billion (R43 billion) revolving credit facility. Therefore, the company has a solid net cash position of $4.8 billion (R83 billion). The group said…

The consumer of today has been prompted by the COVID-19 pandemic to spend as little time as possible at a grocery shop or to find a way to shop without leaving home. So, having your grocery sent right to your doorstep is a brilliant option for those who are not willing to risk a trip to the shops. Admittedly, the online market is robust and difficult to crack. Fears of coronavirus have resulted in a surge in demand for grocery delivery. As the virus spreads, on-demand grocery delivery services in South Africa are seeing remarkable growth. Existing players are overwhelmed…