ADSL pricing

Messugga

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Sep 4, 2007
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So in essence the article states that we have to wait another two years for prices to start dropping. By then, I'm sure they would've thought of yet another excuse to keep prices up. The long and short of it is this: while companies can make ridiculous profits, they will continue to do so as it is the point of a company.
Africa is a cut-throat and selfish continent where personal enrichment is the priority, not, as it should be, the uplifting of society in general and while this situation remains, true, affordable broadband, will stay a dream.
 

CrzWaco

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Jul 21, 2008
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more like 4 years, 2 years to hold meetings about it and 2 more years for them to implement it.
 

battletoad

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Mar 10, 2009
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Said this before but will say it again, prices will come down if more people were given access to the adsl service. That economical bs they sprout can be blown out the water by referring to next gen console prices early in their lifecycle(they usually sell at a loss at first to increase user base before raking in astronomical profits later on). Iirc that article said South Korea has 40% penetration, i'd hazard that all the others in the top 10 would have higher than 5% penetration.

Govt has to step in because even with crime, violence and whatnot, not tackling true broadband penetration would be its biggest oversight in this day and age
 

grok

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Dec 20, 2007
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This is SO bull****. Are we expected to believe this after we've been told for years that the real reason is because of the high cost of international? Even Seacom touted 10% of current cost or 10x bandwidth for the same price. So are we expected to believe they didn't do their studies properly beforehand? Before spending all that money? This is greedy operators holding on to a monopolystic business model.

Staff writer articles have become untrustworthy.
 

BobJones

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May 29, 2006
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I take it then that Staff Writer thinks we're going to pay the setup costs again for a second one year period?
If that were the case, then why not do the calculation again using a much longer period?
Say over the five years that I've had a connection, and while he is at it why not use the 3GB(5GB) cap product?
This is marketing FUD. Another excuse by the operators to pad their bottom line instead of passing on the benefit of lower input cost.
Another major eye-blind is the LLU being "complex" issue. This is aimed at delaying the process as long as possible, so that this current pricing bull$hit story can be perpetuated.
If Neotel had access to the LL today, ADSL prices would probably drop about 60% overnight, mainly because they have access to much cheaper data and bandwidth and they can capitalize the exchange equipment.
 

kilobits

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Jan 18, 2007
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Nothing is going to change. Same old same old. Very devious and clever thought has been invested in the current system and charges. They will remain high and continue to do so... because the end-user allows it to be so.

It is just the way it works. The service is used and paid for by the end-user with much wailing and moaning... but it is still paid for.
Nothing changes... so why should it?

3G costs still absurdly high, much wailing, but people still use it... and it is still paid for.

As long as it is used and paid for, there is no motivation for the powers that be to reduce end-user costs.

Sun rises, sun sets, same old same old.
 

OverKill69

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May 12, 2008
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796
This article hasn't been thought through...

If you want to attribute "Cost of international bandwidth" to costs of ADSL as a whole... why are you including startup costs?

You'd incur those without ever needing international bandwidth!

what we want to see is HOW THE PRICE OF INTERNATIONAL BANDWIDTH EFFECTS WHAT ISPs ARE GOING TO CHARGE FOR BANDWIDTH.

That is the only relevance that bandwidth has and the only area in which the end user has A CHOICE!

You could have the same startup costs as mentioned in the article... but instead of a pathetic 1GB package... you CHOOSE the uncapped, unshaped option and then your startup costs pale in comparison to what you pay in monthly bandwidth charges!

Am I the only one who sees that the article is not relevant?
 

RVD

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Aug 8, 2009
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I think that the article is fair as it gives an overview of how the TOTAL cost for the end user is constituted. What telcom operators have done is to deliberately complicate and obfuscate the pricing models. When they are squeezed in one area (international bandwidth pricing), they simply increase another to ensure that they retain their profit margins.

Until there is genuine and fair competition, we will always still be ripped off!
 

Kawak

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Mar 14, 2007
Messages
486
there always seem to be some story they will conjure up to artificially inflate prices, here comes the real question, all these "actual cost of ownership" only applies to ADSL users, so why isn't neotel lowering their prices to one sixth which is what they have always been saying things should be???? with all the ADSL peering and crap, all the wimax providers should be doing something like that but they are not doing it.

As with LLU, still no concrete date, all we have is loads and loads of hot air with talk about how difficult it will be paving way to more crappy stories once they fail.

This is damn hopeless
 

jetlee

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Oct 31, 2006
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783
Articles like this really get me going .. all this hoopa about LLU and Telkom this and Telkom that... the REAL criminals here are Neotel.. they got a license to compete against Telkom under the premise that they would, then they sat on infrastructure roll out like a bunch of lazy a$$es knowing full well that no real competition to them or Telkom was in the pipeline..

Then they get Seacom capacity, have absolutely no need for the local loop .. and yet they STILL are more expensive than Telkom ....

Am I the only one here saying WTF.
 

Juice

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Sep 10, 2003
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Scary. Over 50% (25% + 29%) just for connectivity, including the comulsory line rental.

I just had a look at the Neotel web-site to see if their offerings have improved any since the last time I looked and I see it's pretty much the same thing over there. The lowest you can get is a NeoGo data card and 1.5Gb per month for R299, which is still way too much for what you are getting.

Hand the vaseline please.
 

schurtek

Senior Member
Joined
Apr 6, 2007
Messages
702
The impact of SEACOM has already seen Telkom and MWEB increase data usage allowances without an increase in price,
I just went and checked Telkom.co.za, Telkomsa.net, Dobroadband.co.za, Mweb.co.za and Lantic.net only to find no effect on their pricing or data bundles as a result of SEACOM. Everything is the same as it always was...

Except, Dobroadband are now using Winston in their marketing.
 
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