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Vodacom and MTN have managed to frustrate the Independent Communications Authority of SA's efforts to increase competition in the mobile telecommunications market.
That's according to cellphone operator Cell C, which said more competition would have resulted in lower prices for consumers.
The company's acting CEO, Jose Dos Santos says uncertainty over termination rates will make it difficult for smaller operators to confirm their business plans, and also negatively impacts on the smaller operators' ability to bring down prices to ensure all South Africans have access to affordable communications.
The High Court in Johannesburg on Monday declared new call termination rates proposed by Icasa invalid and unlawful.
The court gave Icasa six months to amend its regulations.
Dos Santos however said the ruling was a step in a right direction and positive for consumers and the South African economy.
MTN and Vodacom had taken Icasa to court on an urgent basis to stop it from implementing a regulation on mobile termination rates.
These are the rates operators pay one another for calls to other networks.