OPA ‘worried' about bandwidth tariffs

silversurfer

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ok... so i vote we give these guys a big thank u letter :) i bet there's a few myadsl members involved in here anyway :)

<i>OPA ‘worried' about bandwidth tariffs
BY RODNEY WEIDEMANN, ITWEB TELECOMS EDITOR
[Johannesburg, 17 August 2004] - In a strongly worded letter sent to the regulator and the Department of Communications, the Online Publishers' Association (OPA) has requested a meeting with government representatives to discuss ways of reducing the high cost of bandwidth in SA.

The OPA, which represents 16 of the country's top online publishers with a combined readership of around three million, is concerned about the high prices Telkom charges for local calls and Internet services.

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The letter has been directed to communications minister Ivy Matsepe-Casaburri, deputy communications minister Roy Padayachie, acting communications director-general, Phumelele Ntombela-Nzimande and chairman of the Independent Communications Authority of SA, Mandla Langa.

The OPA believes the high cost of calls is inhibiting business development and the growth of the Internet in SA, citing a World Wide Worx report which shows that SA had slipped from being among the top 20 most connected countries in the world to 34th position by January 2003.

According to the letter, businesses in SA are increasingly reliant on the Internet to conduct their daily business, but “Telkom's monopoly of the telecommunications sector has seen prices rise far beyond global trends in the western world”.

“These rising costs make it extremely expensive for companies to do business – negatively affecting business growth and the growth of the information and communications technology industry in this country,” the OPA says.

In illustrating its point, the organisation points out a CareerJunction case study, which shows that 500GB bandwidth availability in the UK from a particular ISP will cost R2 875 per month (using an exchange rate of R11.50 to the pound).

However, a similar service in SA, supplying only 200GB of bandwidth, would cost approximately R40 000 per month, or around 13 times as much as its European equivalent.

These prohibitive cost structures, says the OPA, affect all companies that rely on the Internet for business transactions, including such critical areas as banking, e-business, tourism and the travel industry.

“SA's call and Internet charges are clearly out of line with global trends, and failure to speedily address this problem will undoubtedly force many companies to move their business interests overseas, which will have a significant impact on the economy,” states the letter.

It also points out that although it is the Internet service providers that offer this service, it is Telkom SA that controls the pricing tariffs for bandwidth, and it is in these exorbitant pricing tariffs where the real cost issues lie.

The letter, signed by OPA chairman Russell Hanly, concludes with a request “that a representative of government revert back to the OPA on this urgent issue, in order to assist us in exploring ways to reduce these operating costs as soon as possible”.</i>
 
This is just even more support for MaD's and all of our cases. Good comparison as well that shows we are being ripped off.

My 2c worth... I think all of this negative press for Telkom will bring about some changes. People's eyes are being opened.
 
Great post! I hope the letter will open the eyes of those it is supposed to stir...

Cheers
Antowan

### What we need in South Africa is cheap 24/7, always on Internet for under R300 a month. ###
 
Could it be that Hellkom has sparked an awareness to our situation?

<b><hr noshade size="1"></b><font size="2"><font color="red"><b>You can take Telkom out of the Post Office but you can't take the Post Office out of Telkom.</b></font id="red"></font id="size2">
 
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote"> This is just even more support for MaD's case<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">

I think this is all of our case, not just MaD's. I find it both disapointing that for one, he gets a whole lot of credit for just starting a website of what everyone was saying all along. And also that he gets all the heat from Telkom while everyone now backs off.

Hellkom has sparked media awareness - But this has been a battle fought for many many years now - dont forget that.

- Colin Alston
colin at alston dot za dot org

"Getting traffic shaping right is easy and can be summed up in one word: Dont." -- George Barnett
 
Agreed! This fight is not new, but never before have we been more united. Never before have we been in a better position to kick some serious telco ass! MAD needs our support, but not only him, because I am of the opinion that he is not the only person who will be targeted by Telkom.

We must fight the fight and keep our act as clean and honorable as possible. There is a time and a place for everything and it is time the government listens to what we have to say!

Telkom will try to weather the storm. It will do the old go slow dance, but we need to push it and push it and push it until it all comes down!

MAD, RPM and everybody (fighting the good cause) in the public eye needs our support. They are the guys that keeps BIG BROTHER focussed on us. USE IT!

Cheers
Antowan


### What we need in South Africa is cheap 24/7, always on Internet for under R300 a month. ###
 
Yeah, my apologies for leaving out all the other important people in this whole broadband saga. I was just at the moment of my post thinking of MaD specifically with him being sued by Telkom and all. And currently it seems that the whole Telkom vs Hellkom saga are just bringing a whole lot of negative press Telkom's way.

Point taken and original Post Edited!
 
Isn't it amazing? Just a coupla months ago i was moaning about a lack of exposure of these issues to the general public. Now its everywhere. These guys are their own worst enemies. Laying off 1000's after disgustingly high profits and 48mil bonusses to management, the david v goliath scenario with hellkom.
Their public relations dept must be a real fun place 2 b right now, lol.
Keep it up Telscum, we love it.

Telkom - South Africa's Handbrake to progress.
 
lol, yup... i vaguely recall telkom mr smith dewd... calling myadsl a minority... well.. this lil minority imho started a little ground swell that has grown to what is going on all over the media right now. congratz ppl.

Telkom coulda avoided this all by listening to myadsl in the begining.

Hope the "5million" in damages have been worth it.
 
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote">Telkom coulda avoided this all by listening to myadsl in the begining.<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">

Perhaps it might come across as pressure now, but Telkom has had ample time to address ADSL issues in SA. As I have stated in other threads and with all due repsect to MyADSL's efforts with ICASA. How much of what we said penetrated these peoples skulls and in the process did they ever wish to rectify the situation. Broken promises of meetings with RPM for one. But the most infuriating thing of them all was the half hearted effort of a Reply to ICASA by Telkom. Anyone reading the reply can quite clearly see that the reply was drafted at the last minute, was vague, generalised and didn't address the issues at hand that were supposed to be laid out in <b>point format</b> dealing with each individual issue raised by MyADSL. This was specifically requested by ICASA.

At any stage of the game, Telkom can come forward and talk to us. Why don't they do so? IMO the Board of Telkom should sanction a constructive process of resolving the issues. It is clear that the average employee like White cannot do so. Has he got the authority to do so and is he suitably qualified to offer piecemeal mediation?

<b><hr noshade size="1"></b><font size="2"><font color="red"><b>You can take Telkom out of the Post Office but you can't take the Post Office out of Telkom.</b></font id="red"></font id="size2">
 
BTTB - you are quite right. My take on it is they just don't give a toss. Time and time again TelScum have ignonred ICASA rulings, proving ICASA is just as useless a regulator that SATRA was. It actually just p*sses me right off - the whole bloody situation:
1) Dr Ivy at the helm of the Ministry of Telecommunications - what a bloody oaf, need I say more...
2) ICASA - the SA spineless, toothless, focusless and incompetant regulator...
3) and then TelScum - the greedy corporate monopoly...

What this country needs is a completely deregulated telco market - but I guess we are going to have to wait untill those that make the decisions are either dead or have left the country with bribe money...
 
I agree with you ASF. This is really a pathetic situation.

Look at where the UK and the US and many, many other countries are today regarding broadband and they've been at it for a little while (+/- 10 years). Most of them made the right moves (deregulation, etc..) Here in SA it would seem that the people that can do something about it doesn't give a crap - or it takes them 20 years to make up their minds and by that time South Africa has gone in into a telecomunications dark age.
 
I dont agree with you ASF. Purily insulting our comincations regulation body will not win their support.

- Colin Alston
colin at alston dot za dot org

"Getting traffic shaping right is easy and can be summed up in one word: Dont." -- George Barnett
 
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