ADSL cost breakdown: where to cut prices

Fishzn

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Jan 27, 2007
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That this Telkom ADSL stranglehold is still going on is absolutely shocking! They are an absolute pathetic excuse for a professional and ethical corporate institution!

The cost breakdown is not surprising really - we've all known for some time now that they're the ones taking the biggest slice of the pie - we'd probably still be stuck in the dark ages without uncapped if Mweb(Naspers) didn't decide to make the market a bit more competitive!
 

MickeyD

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Oct 4, 2010
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That this Telkom ADSL stranglehold is still going on is absolutely shocking! They are an absolute pathetic excuse for a professional and ethical corporate institution!

The cost breakdown is not surprising really - we've all known for some time now that they're the ones taking the biggest slice of the pie - we'd probably still be stuck in the dark ages without uncapped if Mweb(Naspers) didn't decide to make the market a bit more competitive!
If it was so profitable why have the other network operators and/or ISPs (including neotel) not started rolling out their own ADSL networks?
 

defcomk

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Oct 16, 2007
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If it was so profitable why have the other network operators and/or ISPs (including neotel) not started rolling out their own ADSL networks?
It would cost them more than they would gain we would probably benefit us but not them.< Cable Theft(Fibre too SMH) my guess
 

deweyzeph

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No mention of local loop unbundling? The ultimate solution would be for ISPs to be able to completely bypass Telkom's IPC and install their own network terminating equipment in Telkom's exchanges and have 100% access to the copper loop.
 

abandonallhope

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If it was so profitable why have the other network operators and/or ISPs (including neotel) not started rolling out their own ADSL networks?
Good grief mickeyd, don't post stupid questions like these on a monday morning !

The reasons are plenty, but one is all too obvious to miss : They are not getting tax money to fund such a roll out.

Also, you do not seem to have any idea what an unbelievably immense project it would be to just cover the CPT metropolis ?
 
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The Trutherizer

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Well I'd be happy if they set up an open exchange near me and I would pay for a fiber line to it and give all service providers equal access to it.

From the cost breakdown it is clear that the data costs are only about 8 percent of the total cost of ADSL. Since I pay nearly R1000 a month for my internet I'm sure that I'd be able to recoup my investment in a year or two.

Am I allowed such an option? Or does government regulation prevent it?
 

Vrotappel

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If it was so profitable why have the other network operators and/or ISPs (including neotel) not started rolling out their own ADSL networks?
Regulatory uncertainty. Nobody is going to invest billions whilst LLU is imminent.
 

MickeyD

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Yes, do you have anything interesting to say ?

Like what you understand in the term "ADSL network" ?
Let's get back to the taxes before describing the network.

Exactly how did our taxes pay for the last mile network? Go back to the mid-80's and see whether Telkom (and the T part in P&T) was a nett receiver or nett contributor to the national treasury. When P&T split did the T part get the network for free or did they have to pay for it (plus subsidise the loss-making P part for a period of time)?

We were provided with a service and we had to pay for it. That we paid through our backsides for a sub-standard service is a different matter.
 

DJ...

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Also, you do not seem to have any idea what an unbelievably immense project it would be to just cover the CPT metropolis ?
In MickeyD, you're talking to one of the few people in this country who actually does understand this...

If it was so profitable why have the other network operators and/or ISPs (including neotel) not started rolling out their own ADSL networks?
The LLU carrot and stick? If I was Telkom I'd simply wait for such an immense Capex spend to take place and then open up the last mile, making their infrastructure somewhat redundant. Or is this too simplistic an analysis?
 
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