The ruling is a setback for top mobile operators MTN and Vodacom<\/a>, which are seeking to expand 4G capacity and to roll out 5G technology.
It also undermines South African President Cyril Ramaphosa's efforts to accelerate the economy by attracting new investment in the sector and creating jobs. He has cited the spectrum auction<\/a> as an important economic lever for the country's growth.
Chairman of the Independent Communications Authority of South Africa (ICASA) Keabetswe Modimoeng said the regulator was dismayed by the court's decision but remained resolute that the licensing process shall in due course be finalised.
\"It is our considered view that the best option is to exhaust all possible legal avenues at our disposal, including appeals so to ensure that this sensitive licensing process is not only defined by industry players but also by the public interest,\" Modimoeng said.
The court order further delays a process expected to begin this month.
High court Judge Selby Baqwa said on Monday the order was in place pending a hearing on contentions raised by operator Telkom and broadcaster e.tv, although no reason was given for the order.
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