Milking early adopters again!

[tsjones]

What will it take for these guys to adopt a new business model? They are first to market with the competitors at least months behind. Do these guys not realise that they have the oppurtunity to capture a huge part of the market? If they do not price it to sell, the oppurtunity will pass them by. 2005 will see a prolifiration of wireless providers and 3G will become just another player. If anybody from Vodacom is reading this, please take note: at the current prices you will get a few business users signing up daily, if you price at below R200/GB you will get thousands of users a day, and below R100/GB will get you EVERYBODY!! Let your beancounters make the calculations and come up with a better business model. Remember: you have a very small window of oppurtunity here, use it to benefit both you and your customers.

[bb_matt]

I don't believe that these greedy corps are interested in "thinking people" - they would rather fleece the morons with more money than sense.

There is also the fact of our tiny market share - in South Africa, it will be a decade or more before telecomms companies can offer equivalent prices for services enjoyed in first world countries - economies of scale.

Having said that, they are most definately way off bat with the pricing, but South Africa appears to be full of idiots willing to pay premium prices just to have "the next best thing"

I'm really hoping the launch is a MASSIVE flop and that vodacom/vodafone loose HUGE bucks in the process, maybe that will make them re-think the incredibly over-inflated costs for what is, to all intents and purposes, now old technology.

It's almost like when the "new" South Africa started and we had international bands flooding into the country guaranteed to make loads of bucks, because we had been starved of international acts due to sanctions.

Now the telcomms companies are doing the same.

Greedy ****3rs.

They may make thier money in the short turn (which is probably all they are after), but in the long term picture, they will fail.

They will fail because the people that count, the IT geeks, will make it thier mission to inform the un-informed just how badly we are been ripped a new one.

[Strobemeister]

It would b nice to wake up one morning and find a new comms technology being priced within the ordinary man's reach.
Our country seems to be gripped with this idea of exclusivity. Its like its already been decided that there's no money to be made by offering an affordable product which'll be snapped up by the masses. Instead, lets try to get the top 10% signed up, plus a generous helping of the uninformed, that'll get things going.
Another overpriced white elephant dropping a massive turd in SA.

[bb_matt]

I really can't see it working - the cost is just too exorbitant.
Most middle income earners won't be able to afford it, the aspiring middle income earners can't even dream of paying such an insane cost, which leaves just the upper income earners and of course, big business.

It essentially widens the digital divide.

I would imagine they are hoping to rake in the bucks from large companies with employees always on the move. I can imagine the company accountants viewing Joe Soaps 3G bill for a month, after he went over his 1gig cap in 10 days and racked up an additional 1000meg at a cost of R10 000 - somehow, I don't think it's going to work.

http://www.vodacom.co.za/packages/3g/tariffs.aspx

It makes me so very angry that South Africa gets taken for a ride by these corporate criminals. Here we have the perfect chance in our country to try to at least bridge a portion of the digital divide by making a service affordable for aspiring middle-income earners, yet once again, the chance is squandered by greed.

[reech]

All said and done though 3g tariffs are expensive anywhere - nobody should have entertained notions of 3g as a viable option to adsl or other broadband technologies in the first place.

[alchamy]

Vodacoms marketing is typical of South African companies, we will give you video calls at the same rate as normal calls. Everyone says WOW what a deal. The reality.....

You need to pay R600 for 1gig of data before you can make the calls. Then they charge for a call which should actually come off your data. IE they make the average idiot of a consumer think that they are getting one hell of a deal when they are getting ripped off twice on the same "great" deal

[mc721221]

I suppose they just want to see a return on their 1.3 billion rand investment

[aborg]

We need to informed those that don't want to be informed. The truth should be spread, I specially like bb_mats comments. But yeah there is a lot of people out there these days with money to burn for image...look at the way a simple cellphone is bloated by marketing. Who would've thought. I hate technology for the sake of technology it must add REAL value without ripping everyone off.
Did anyone try this yet...hehe just like to know the max speeds reliability etc?

[nexushub]

3G is simply not a contender when talking about adsl / broadband. I am assuming that they are aiming more towards the cell/pda user then the desktop movie downloader I would stick with IBurst as the best priced option for now. Although I would not rush out and sign any 24 month contracts! There are bound to be loads of other providers poping up in the months to come. ---watch this space---

[Chris]

Guys I would just like to know if you have any comparative 3G UK pricing. I'm aware that it didn't take off in the UK either pretty much like it will be here.

I'm not sure who does a 3G service in the UK but is it Hutchinson?

[Perdition]

I agree with nexushub. While it would have been nice if 3G were viable competition to the other offerings it will just never be. The cellular networks have always targetted their data packages towards business users and it is unlikely that model will change anytime soon.

[Razer0]

Guys I would just like to know if you have any comparative 3G UK pricing. I'm aware that it didn't take off in the UK either pretty much like it will be here.

I'm not sure who does a 3G service in the UK but is it Hutchinson?

maybe its vodafone?

[Perdition]

Well they've just dished out over a billion on this lemon so they probably want to reach as many people as possible including yuppies with more cash than sense. Wireless Internet is the new buzz word and all players will ride the advertising whore wagon for all it's worth until people catch on

[Gooku]

At this stage ,any new competitor is welcome . lack of competition is the main reason broadband services are over-priced.When there are 10 competitors trying to "WIN" customers from each other,the tide will turn in our favour(as long as the consumer play smart )

iBurst & Vodacom 3G are Welcome.

[bb_matt]

I'm feeling optimistic today - must be the festive season and having finally completed my Xmas shopping ! - (fighting my way thru the queues at woolies was not fun)

My optimism tells me that the current high price of internet connectivity in South Africa is not sustainable, my reasoning could be entirely dodgy, suspect, wrong, crazy, silly seasonish, but screw it, two simple reasons that rip-off broadband prices can't last forever :-

1. Business will start to suffer. Because we compete in an increasingly global market, any country getting left behind in the telecomms field is in for trouble.

2. Saturation. Eventually, the higher income group will be saturated with high cost broadband access. That leaves no more room for growth. The only way to grow from there is to lower the cost to make if affordable for lower income groups.

Like I said, I'm feeling optimistic today !

Maybe tommorrow, I'll be back to "Bah Humbug !"