ADSL prices too low?

Not saying it is simple, simply saying that ISP's cannot expect business plans that worked two years ago to work today. The ones that are complaining are the that aren't adapting.
 
I see what he is getting at and I also agree that it is not the customers problem.
The industry as a whole has to change, starting with telkom but the ISP's also need a rethink.
The Internet was designed as a network that has no single point of failure but it was never implemented as such in South Africa, due to Telkom greed, and now the ISP's are used to having to pay for their own redundancys.
MWeb again is ahead of the pack in this regard by trying to force that ISP's to Peer with each other.
When we have several International Links, Several local backbones and local ISP's that peer with each other, redundancy will be a non issue.
But at the moment ISP's and Telkom are trying to extract extra Profit by charging for Peering, something that to the best of my knowledge only happens in South Africa.
I feel for the smaller ISP's but I have no sympathy for the larger ones.
They have milked the market for years and are now bemoaning the demise of an over milked cash cow.
As Tharaxis correctly points out, it is time that the Larger ISP's worked together, not to Price fix, but to put pressure on Telkom and to Peer with each other, openly to the advantage of the Consumer.
In the end we will all win, but only when the Industry as a whole has a Paradigm shift.
 
Last edited:
AcidRaZor said:
Typical South African businessman mentality... "I won't change so start your own business if you think you can do it better"

I'm sorry but I actually learn from others. I just don't go blindly flailing my arms trying to fight for my piece of the pie unlike most people out there. And why the **** would I want to compare myself with other 3rd world countries when South Africa is the only "3rd world" currency in the Top 10 "most traded" currencies in the world?

T1? Did you visit America in the 1990's? Sounds like it. And like I said, adapt or die... technology evolved. So should you.
Click to expand...

Best post I have ever ****ing read!!
 
who care who startd the war etc- the point is- internet access is too expensive in SA. Telkom is still making billions by overcharging us- some people here say that they are not overcharging but due to the comparitively low number of ADSL subscribers and the fact that they are all spread out- Telkom has no alternative.
bulls**t!- if telkom made all local calls free & did away with ADSL line rental- millions more households will sign up for adsl.
and i dont know exactly how much money the other main ISP's in SA make but it looks as though they want to make the same amount of money Telkom is making and dont want to reduce their prices or tolerate any sort of competition with lower prices.
they all like to talk about how much the cost of adsl in SA has reduced over the past 5 years- but it s still too expensive!
so one can just imagine how much money they were making
greedy bast***s!

im just waiting for someone to say" but you guys dont undestand.....is the reason that the prices cant be reduced anymore."
its too expensive and it cannot be justified! period!
 
Last edited:
msmoorad said:
who care who startd the war etc- the point is- internet access is too expensive in SA. Telkom is still making billions by overcharging us- some people here say that they are not overcharging but due to the comparitively low number of ADSL subscribers and the fact that they are all spread out- Telkom has no alternative.
bulls**t!- if telkom made all local calls free & did away with ADSL line rental- millions more households will sign up for adsl.
and i dont know exactly how much money the other main ISP's in SA make but it looks as though they want to make the same amount of money Telkom is making and dont want to reduce their prices or tolerate any sort of competition with lower prices.
they all like to talk about how much the cost of adsl in SA has reduced over the past 5 years- but it s still too expensive!
so one can just imagine how much money they were making
greedy bast***s!

im just waiting for someone to say" but you guys dont undestand.....is the reason that the prices cant be reduced anymore."
its too expensive and it cannot be justified! period!
Click to expand...

Amen! *Nodding*
 
The Ripper

:D Let Telkom die as they have always ripped us off, and they still ripping us off, if others can drop prices and survive why cant Telkom. Line charges on adsl lines what **** is that. There qaullity has also deteriated.:mad:
 
Will South Africa buck international trends?

I would love to peek into Rudi's crystal ball because the trend internationally is that uncapped is out and usage-based is in.

Read here:
"FCC Chief Backs Usage-Based Broadband Pricing" Wall Street Journal 2 December 2010
http://online.wsj.com/article/SB10001424052748704594804575648043301403732.html

You see what happened was when the Internet was small and ISPs grew big peer-to-peer wasn't an issue and everyone didn't expect to stream movies and the like. Now the Internet has grown up and peer-to-peer and streaming is a major issue. Networks are struggling to keep up because there simply isn't enough capacity for every tom dick and harry to share his or her files and watch TV on the Internet.

There is no such thing as net neutrality and it's a stupid business model to group low business type traffic with high usage peer-to-peer users that might take up 20x more of the pipe. The fact of the matter is traffic differs and consumers and downloaders (especially in SA) refuse to accept this.

If the International trend is towards usage-based services, and if South Africa has not even an inch of bandwidth compared to the rest of the world, how on earth are we going to sustain the uncapped model?
 
i just saw this article: http://www.euractiv.com/en/infosociety/kroes-threatens-crackdown-telecoms-prices-news-500206
i wonder what would happen if European countries had to pay what we pay, get the speeds we get and be capped like us?
there would probably be riots in major cities!
Just imagine- they are light years ahead of us- and they still want the prices to be reduced & speeds increased-we sadly can only dream of catching up with them.
not to say that our telecomms providers cant do- they dont want to because it will mean a big drop in profits.
 
The trend internationally is also to have FAR faster connections thus making the "high" usage levels dwarf ours in comparison.

http://iknowrusty.com/2010/03/comcast-finally-launches-a-usage-meter-for-250gb-cap/

Comcast is quite famous for being a big US uncapped internet provider,with services up to 50mbps,12 16 and 22 being their lower speed options

Work that out for a second,50mbps,how much could you download in a month on a "uncapped" offering? So yes fine they are tightening the strings with 250gig caps which covers 99% of their user base - this is also DOUBLE the amount I have done on my busiest month downloading on my imba 4mbps.

Using an international example to show a "trend" to capped offerings when the cap is higher than most of our country's downloading community average is a farce
 
PsyWulf said:
The trend internationally is also to have FAR faster connections thus making the "high" usage levels dwarf ours in comparison.

http://iknowrusty.com/2010/03/comcast-finally-launches-a-usage-meter-for-250gb-cap/

Comcast is quite famous for being a big US uncapped internet provider,with services up to 50mbps,12 16 and 22 being their lower speed options

Work that out for a second,50mbps,how much could you download in a month on a "uncapped" offering? So yes fine they are tightening the strings with 250gig caps which covers 99% of their user base - this is also DOUBLE the amount I have done on my busiest month downloading on my imba 4mbps.

Using an international example to show a "trend" to capped offerings when the cap is higher than most of our country's downloading community average is a farce
Click to expand...

I like his last sentence "I think I really need to start downloading my content in a FULL HD quality when I can, instead of streaming it, and try to see if that will make a budge on the meter. With this tool, I will continue to see how I trend, but thanks Comcast for coming up with this tool fashionably late. We shall see how it goes from here!"

Comast start off with 99% of customers using well below the 250Gig cap (their own words) and publish a meter so that 100% of users will increase usage to get the full 250Gig per month :)
I think they are making a mistake that could backfire badly, rather let the normal users continue and just give the Excessive users a nudge occasionally.
 
eugenevdm said:
... how on earth are we going to sustain the uncapped model?
Click to expand...

How on earth will ISP's convince potential customers not to go for MWeb's uncapped offering? Calling it unsustainable ain't gonna cut it I'm afraid. As long as a service like this exists people will buy it. We've been dying to get our hands on a better internet experience for years. You want our business? Champion our cause like MWeb have. Setup a streaming service, lay fibre to our door, get a WOW server on South African soil, just do something out of the ordinary. ISP's who aren't happy with this offering should go cry at Rudi's doorstep - not ours.
 
bekdik said:
Please list all ISP's who offer uncapped BUSINESS class service at R20 per Gig.
Click to expand...
I would not know about small or medium business, but our business pays for guaranteed throughput at guaranteed rate and not per Gb.

My personal opinion is that my total home bill for ADSL (capped or uncapped) is still too high. Whether it is due to my network rental or ISP costs is irrelevant to me as an end-user; all I want is reliable home ADSL at decent price.
 
Statements like these by Cybersmart MD Laurie Fialkov doesn't worry me much because competition will sort out the troubles to all. The ISPs who cannot keep up will fall away. New ones will be born in their place and so forth... We are much better off today than we were three years ago.
 
antowan said:
Statements like these by Cybersmart MD Laurie Fialkov doesn't worry me much because competition will sort out the troubles to all. The ISPs who cannot keep up will fall away. New ones will be born in their place and so forth... We are much better off today than we were three years ago.
Click to expand...

I agree, and will even shorten those three years to 18 months (at least!).
 
or course Laurie Fialkov will say what he is saying cause he is getting less money now, you're an idiot sir.
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X