SEACOM’s effect will take time

SA-Gateway said:
Hi All,

I would just like to add my 2c worth, from an ISP's side. As things currently stand, the smallest chunk of capacity an ISP can buy is a STM-1 (155Mbs) for +-R37 mil. Now, I do not know how much money you guys think us small ISP's make, but that is a rather large chunk of money.

Now even if we could purchase a STM-1, the problem lies with the few big companies in SA that can afford to buy a STM-4 (622Mbs) for R120mil. The STM-4 provides a huge saving over the STM-1, and anybody who purchased an STM-1 will be out priced in the marked by the big companies. And that is where the problem lies, a couple of big companies can control the pricing again.

We are currently looking at forming a consortium of small ISP's to purchase a STM-4, and with that we can have proper competition.
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Thank you for your valuable input.
 
alt21 said:
Is that R37m and R120m the new SEACOM pricing? and if so is that suppose 2 b the 90% discounted prices :s
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You purchase the capacity upfront for a 20 year period.

R37mil / 240 months / 155Mbs = R994 per Mbs per month

R120mil / 240 months / 622Mbs = R803 per Mbs per month

Also note that this is without purchasing upstream bandwidth.
 
SA-Gateway said:
We are currently looking at forming a consortium of small ISP's to purchase a STM-4, and with that we can have proper competition.
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How many ISP's are going to share that 600Mb/s (effective payload) as it does not sound like much to go around.
 
At the end of the day people like web africa, axis and so forth will by bandwidth, so in turn in just takes ONE of them to start selling cheaper and everyone else will have to follow suit.

I for one think the prices of internet are expensive, but they are ok, my only problem is the amount of banwidth you get, so hopefully with this cable we'll have much hire caps and for me thats what really matters.
The preice will over all decrease over time, networks will get better and cheaper.

250rand wireless and a 10gig cap(or higher) sounds great
 
ponder said:
How many ISP's are going to share that 600Mb/s (effective payload) as it does not sound like much to go around.
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Currently SAT 3 is only 120Mbps or is it 120 MBps, think its the first one.

So if thats OKish right now, the 1.24Tbps is a huge leap.
 
@ foX2delta - I agree. I don't mind paying R650-odd for internet (currently what I pay for a 3GB cap, line and 4Mb DSL rental), but paying line rental twice and a ****ty 3GB cap? I find that ridiculous.

Up the cap to 30GBs at least and I'll start feeling better about it. Every month I chow that 3GB cap :mad:
 
Rouxenator said:
Heh Heh ! And when I first told people this was going to happen they told me I should stop being such a dooms day proffit and not be so pesimistic.

The prices will go UP not DOWN. Seacom needs to show some ROI and this has been a huge investment they made so they will want some serious returns on it.

Telkom loves Seacom because with Seacoms increased prices they can push up theirs as well.

Take a look around at how many people pays for ADSL and DSTV because it is all they have. Seacom knows the SA consumer will go with what ever they can get so their is no reason for them to offer lower prices. The SA consumer will pay whatever we want cause we have what they want.
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SEACOM is a wholesaler, not a retailer. Their prices are fixed and they have no bearing on what SA companies decide to charge after purchasing SEACOM's fixed price international bandwidth.

Let's try not bash the people who are actually supplying cheaper access, instead of the companies who are taking that cheaper bandwidth and screwing the local populous.
 
seacom bulls**t

i dont know why these journalists/analysts/experts prostitute themselves by reporting this sort of stuff.
they are trying to prepare us to accept that they (the ISP's together with Telkom) want to keep the prices high and we can forget about Seacom making a difference in terms of a reasonable decrease in prices.

i sincerelt think a few big-shots at the big ISP's need to be threatened with assassination, then they will come to their senses.
 
msmoorad said:
i dont know why these journalists/analysts/experts prostitute themselves by reporting this sort of stuff.
they are trying to prepare us to accept that they (the ISP's together with Telkom) want to keep the prices high and we can forget about Seacom making a difference in terms of a reasonable decrease in prices.

i sincerelt think a few big-shots at the big ISP's need to be threatened with assassination, then they will come to their senses.
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I appreciate SA-Gateways input. msmoorad delivers a very good point. How and when is this cycle of abuse going to stop. It just keeps going on and on. Its this rich few at the top that need to come to their senses.
 
Blame their shareholders; always demanding higher and higher returns...
 
foX2delta said:
Currently SAT 3 is only 120Mbps or is it 120 MBps, think its the first one.
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120Gb/s

Logic dictates that the cable can handle more than that by simply adding some more lamdas (wavelenghts). They already have DWDM equipment deployed on the cable wich, depending on the physical cable characteristics, could yield 1.6Tb/s
 
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IRG said:
ag p.ss off - I'm white and take offence to that statement. Everybody is paying the same on ISP's, black, white, indian, coloured .... jeez wtf, go back under your rock please.
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humm

You must be verry highly strung. I Ment: If the goverment decides to get off their asses and do something that could lead to progress

I sincerely doubt they would regard the Telecoms as a priority. Especially since they own Telkom and make billions in profit from it
When there are enough blacks who use internet(their opions actually matter) there might be change in attitude. Otherwise its Poep en Betaal as usualy
 
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Seacom Marketing Campaign

Just received their newsletter, Issue 5 - May 2009, where they introduce their print marketing campaign.

The slogan is:
What are you waiting for?
for a cheaper & faster broadband experience SEACOM
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Only time will tell.
 
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