Leading VoIP operator Switch Telecom has announced another in a series of double digit rates reductions. Routinely milked by local operators, South African telecoms consumers are no doubt watching Switch Telecom's 20% average call rate reduction with interest. The prevailing interest rate in South Africa is 5.9%.

"Switch Telecom was launched with a commitment to real annual rates reductions that were more often than not significant, double digit reductions in call rates," commented Shannon Duffin, Switch Telecom Operations Director.

"South African telecoms consumers are tired of seeing paltry, single digit call rate relief year after year while the operators' input costs decline at a much faster rate. What's interesting is that despite much drum-beating by the traditional operators, consumers who haven't yet contracted with a VoIP provider find that their phone bills remain curiously resistant to downward pressures," said Ms Duffin.

Switch Telecom has implemented the vast majority of its cuts where they really matter. "National fixed and mobile destinations have been targeted for call reductions because that's where people are actually calling. We don't subscribe to the thinking that a 50% reduction in call rates to Kazakhstan coupled with a 10% reduction in call rates to your mom in the next suburb means that your operator has cut rates by an average of 30%," explained Ms Duffin.

She added that it was common for local VoIP operators to make a particular fuss about the fact that they offer free calls within their own network. "This is pure subterfuge. The savings that a typical VoIP customer can get from free on-net calls is usually marginal compared to the potential savings on mobile and national calls that have been reduced by 20%," she said.

Switch Telecom's new rates came into affect on 1 April 2013 for national and mobile calls and on 15 April 2013 for international calls. The new rates are transparently presented on www.switchtelecom.co.za. With regards to international rates, on average there has been a decrease in call charges while calling rates to some destinations have increased. Fixed monthly service fees on all Switch Telecom accounts remain unchanged.

Ms Duffin concluded by saying that there are never any nasty surprises in store for Switch Telecom clients. "A standard fixed-line rate applies no matter which fixed-line or VoIP operator you are calling, and no matter where in the country you are calling. In addition, a standard mobile rate applies whether you are calling MTN, Vodacom, Cell C or 8ta.

“Switch Telecom customers don't have to listen for porting tones and worry that there may be additional charges, they don't have to calculate physical distances when calling, and they don't have to worry about peak and off-peak call times. Our rates are fixed and easy to understand."