Just a question

Flame

Senior Member
Joined
Nov 11, 2005
Messages
976
Reaction score
0
Can someone tell me why does telkom or any other provider in the world charge more for a faster adsl line?

I mean, my 384 use same wire, same modem , same exchange..and all than a 12mb guy.

So why pay more? Why not sell just data, the 384 guy will just download slower on hes, and the fast 12mb guy will run out quick and buy more...

I dont know bout u lot, but i cant see why pay a lot more...384 can be free...512 R150...12mb* R300-500..
 
was just a quistion why pay more for the same line other people pay less for..
 
It's quite simple actually. Telkom exchanges are linked together. They are/used to be linked using single ATM nodes, at 155Mbps. Hypothetical numbers here, to illustrate. If they have 10Mbps ADSL links, they can have roughly 16 users on the link. (Not really true, due to oversell ratios), but we'll use it for this hypothetical scenario. However if it was 1Mbps users, they could have 155 users on the link. Cost to operate one link is R10 000. So for 16 users, it costs Telskum R625 to operate, per user, however, divided amongst 155 users, it works out at R65 per user. Thus they have lower per user costs to recover. So they charge less.

I have no idea what the real figures are when it comes to the link speeds, or the costs to run them, or the number of ADSL users covered by one link, but either way, this should illustrate the reason quite clearly.
 
It's quite simple actually. Telkom exchanges are linked together. They are/used to be linked using single ATM nodes, at 155Mbps. Hypothetical numbers here, to illustrate. If they have 10Mbps ADSL links, they can have roughly 16 users on the link. (Not really true, due to oversell ratios), but we'll use it for this hypothetical scenario. However if it was 1Mbps users, they could have 155 users on the link. Cost to operate one link is R10 000. So for 16 users, it costs Telskum R625 to operate, per user, however, divided amongst 155 users, it works out at R65 per user. Thus they have lower per user costs to recover. So they charge less.

makes sense
 
Top
Sign up to the MyBroadband newsletter
X