Regulation of Interception and Provision of Communications Related Information Act Amendment Bill (“RICA”) 30/05/06

Interception and Monitoring: Introduction Intent to allow monitoring of individuals using cellphones in terms of a judges directive But also Customers must provide their details to use a cellphone Business Impact Retrospective, so will cover all customers (Not only new customers) Effect on Industry of collecting over 20m prepaid customer’s details within 12 months - have to find a quick and efficient way to register customers within regulatory requirements Sale of SIM cards will potentially decrease depending upon difficulty of process – detrimental on impact on government’s universal access programme. Development of solutions to facilitate monitoring and interception

Issues Issue 1 Capturing the MSISDN (“Cellphone Number”) as opposed to information about the SIM Card Issue 2 Capturing of Handset Information (“ IMEI number”) Issue 3 Detail of customer information to be captured Issue 4 Period of registration for customers

Capturing the MSISDN (“Cellphone Number”) as opposed to information about the SIM Card The dilemma The proposed section 40(1)(b) requires the particulars of the SIM card to be recorded and stored MTN’s view The MSISDN is the information that is required to be registered: Every MTN subscriber has a unique MSISDN (“The Cell phone Number example 083…”) The SIM information is already known to MTN when the MSISDN is registered on the network SIM cards may change, but the MSISDN remains the same Implication for LEA’s The MSISDN alone ensures that information about the subscriber and SIM card is available Implication for Subscribers The subscriber will not be required to remove the SIM card from the phone during the registration process

Capturing of Handset Information (The IMEI number) The dilemma The Bill requires MTN to register the IMEI number for all handsets to be activated. This means that all handsets probably need to be blacklisted prior to registration and use MTN’s view The IMEI number is currently available for every subscriber that is on our network – registration of the cell phone not necessary Implication for LEA’s MTN is currently able to provide the information to the LEA’s without the necessity of the registration of handsets Implication for Subscribers Once again, the subscriber will not be required to remove the battery of the phone or find historical documentation stating this number

Detail of customer information to be captured The dilemma The Bill requires MTN to capture extensive information, which might not be available to subscribers especially in the informal channels MTN’s view Section 40(2)(c) be amended to provide for the capturing of the first name, last name and one address of the subscriber as can be effected by the technology already developed Implications for LEA’s It should be noted that apart from the first name, last name, ID number and MSISDN, MTN cannot verify the additional required information Additional information, if provided to the LEA’s, may not be accurate or be of the required quality Implications for Subscribers Less information to be captured: An easier registration process which requires less time and effort for the subscriber Will deliver more accurate information to the LEA’s

Period of registration for customers The dilemma MTN does not have adequate time to deploy the full contingency of registration channels and registration officers by 30 June 2006 A registration period of 12 months is not practical: +/- 9000 subscribers to be registered by hour lessons from FICA / gun licences – 5 years is reasonable for such registration MTN’s view Sufficient time is required for the effective implementation of subscriber registration Implications By providing more time to register: larger percentage of subscribers will register Subscribers in the disadvantaged areas will not be prejudiced Enhanced registration process = greater efficiency

Pre-paid Subscriber Registration – New and Historic Subscribers Registration of new subscribers acquired through the informal distribution networks: Starter Pack    Operator Databases   or or  The customer purchases a starter pack from any informal distributor.  The customer can insert the SIM in a phone to make emergency calls only. All other incoming and outgoing calls will be barred by the operator. Customers can then register through any of the registration mechanisms, but in the informal sector, will more than likely make use of the appointed Registration Officers. Registration will occur as displayed above for current and new pre-paid subscribers in the informal distribution channels.  After receipt of required customer details, MTN unlocks the MSISDN for full network use.

Handset Information provided by MSISDN (No handset registration required).

nk you Thank you Thank you Thank You Thank you Thank you