ADSL price cuts and better value on the horizon

[entrepr]

Well done ICASA - a great step 1.

Next steps are to scrap the 384kpbs min product in favour of 1mbps so that the ISPs become more competitive around that point.

Then to offer bitstream and naked adsl so that true competition can flourish.

Telkom must actually expect to benefit from this reduction - they will increase market share of last-mile broadband and grow the overall market as entry becomes easier, upgrade speeds offer better value-for-money and pricing relative to 3G offers becomes more attractive.

 

[Dolby]

ADSL is composed of 4 parts - isn't it?

Line rental ; ADSL rental ; line speed and data?
So what get's the (up to) 30% reduction?

 

[dominic]

Um, sorry... I see an announcement from ICASA... but where is the proof that Telkom is actually doing this/going to do this???
I don't see any announcement from Telkom???

Hi Gary

This has been negotiated directly between ICASA and Telkom, there is no question of it not being implemented.

 

[Rocket-Boy]

I doubt we will see the 30% saving passed on directly. There was too much talk of "improving networks" etc which means you cant tangibly see where the money is going as a client.

 

[bekdik]

Hi Gary

This has been negotiated directly between ICASA and Telkom, there is no question of it not being implemented.

Unless it isn't

 

[Centronix]

Step 1 of... Many complete. Well done ICASA

 

[fvdbergh]

ADSL is composed of 4 parts - isn't it?

Line rental ; ADSL rental ; line speed and data?
So what get's the (up to) 30% reduction?

Typically only the data part, since the other three (two really, "ADSL rental" and "line speed" are the same thing) parts belong to Telkom.

So any real discounts will be on the order of 10% or less (for a 4Mb line + 10GB cap) passed on to the end user.

I would rather hope that the ISPs use the extra margin to reduce contention ratios on international bandwidth, or simply push up the caps a bit.

 

[Dolby]

Ah - thanks.

Thought 30% is a little too high off the total

 

[Randux]

Does this affect mobile networks?

 

[siraman]

I assume this will not affect mobile broadband prices, or will it?

 

[K3NS31]

I assume this will not affect mobile broadband prices, or will it?

Why wouldn't it? Where do you think Vodacom et al get their bandwidth?

 

[Chevron]

PLEASE ISPs. Don't drop prices. Rather gives better quality uncapped.

 

[Chevron]

Why wouldn't it? Where do you think Vodacom et al get their bandwidth?

Their bandwidth doesn't go over IPC. Only ADSL does.

 

[K3NS31]

Their bandwidth doesn't go over IPC. Only ADSL does.

What about the backhaul?

 

[siraman]

Why wouldn't it? Where do you think Vodacom et al get their bandwidth?

You tell me, I thought they had their own pipe i.e.self-provisioning(totally by-passing the Telkom network).Please do tell.

 

[K3NS31]

You tell me, I thought they had their own pipe i.e.self-provisioning(totally by-passing the Telkom network).Please do tell.

Nah, I thought they used Telkom to connect through to SEACOM or whoever. (AFAIK, the only way to totally bypass Telkom is satellite, which has it's own issues)

 

[JStrike]

Nah, I thought they used Telkom to connect through to SEACOM or whoever. (AFAIK, the only way to totally bypass Telkom is satellite, which has it's own issues)

Nope

 

[grim]

This won't affect mobile broadband as IPC is the component used by ISP's to connect into the Telkom ADSL network.

Backhaul links work differently and most of the bigger network run their own backhaul links to the undersea cables or they use DFA, Neotel, etc. depending on who provides the best value service to them.

 

[Creag]

Welcome Development! Now may the best ISP show us the best reduction!

I wannna see the 30% passed to me!

As MWEB said, perhaps some of this price cut should be left with Telkom to use constructively to upgrade and improve networks?

 

[guest2013-1]

April fools