DERoestorf
Senior Member
- Joined
- Feb 17, 2014
- Messages
- 923
Hi PBcool,
Just need some info, currently subscribed to 20/20.
1) Why is the connection fees are different on different networks, talking specifically for Maboneng compared to Metro fibre? R1000 vs R500?
2) Also, why is there a subscription fees are different amongst different providers, I gather that the infrastructure providers might be charging different fees but i'm sure the ISP's like you guys should request for the Infrastructure providers to have same pricing across the board.
On your point 2, that would be seen as collusion, which is against the anti competitive laws in South Africa. The Fibre providers also have their own funding models, and time to recoup costs.
But it would not be fair to force them all to have the same price. Fibrehoods for example deploys fibre via overhead cables, meaning their costs to install fibre is nearly half that of companies who trench, ie Vuma and the likes. Fibrehoods maintenance however will probably be higher than companies who trench. So in the short term, they may be cheaper due to the initial capital needed for funding, but in the long run, they may become more expensive.