Seacom - Expected Prices?

Gosh reading that old article again is quite an eye opener considering what is now being said. What has changed??


It should be noted that this is a full bandwidth solution from a local point of presence, typically Johannesburg, to an international destination like London. There is hence no additional local bandwidth cost over and above the international rates. Onward bandwidth arrangements have also been finalized Herlihy said.
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I think they just generate hype & interest to leech more cash from their appropriate investors. To have more people on board when it's complete.........

Basically my thought as sad as it is.....

Why would bandwidth prices come down before the end of 2010, if greed is the moral of a company. From my perception this is the motive for many of them.

With so much foreign currency coming into the country in 2010, please tell me why would the companies that have a strangle hold on SA's internet cost/penetration give up these foreign coins.

Most of the tourists/passers-by will think everything is so cheap. Which 90% of them do think they are kings on their vacation, I'm going off track but good luck to those who are coming to SA for the 1st time.....you better have your GPS fully updated :erm:
 
Basically each one of them have the power to almost put the other out of commission by dropping their prices & ensuring they have a high ranking (educated) support system.

At this point, I and many other would go for the best price & give that company a chance to succeed rather than the subliminal names of SA's broadband :cool:
 
Engage with Seacom

Hi, I've been following your discussions regarding the Seacom cable for the past month and some of you raise some interesting points. Though I'm not at liberty to comment further on the BW pricing issue, as Seacom has no influence on how ISPs and carriries choose to release the capacity purchased from us. I would like to extend an invitation to you all to come and engage with us on the Seacom Blog that has been launched.
 
hi seacom.

I have a question regarding the pricing that has been released in the media of < R1000 per Mbps per month. Is the pricing really from the POP in Midrand in Johannesburg to London?

The reason I ask is because other people have said this pricing does not include the charge or links from Mtunzini to JHB which could add a huge margin on top of the international cost.

If the costing really is from Midrand, then ISPs are in for a huge riot when they don't reduce pricing drastically. If they can sell local bandwidth at less than R12 a GB, then this should already include connecting customers to the Midrand POP. So international would cost only the extra portion charged by SEACOM.

Am I missing something here?
 
OK what am I missing here and why don't I get it :d

R 267-00 per Mbps per month - I mean just to check FB will cost you R1068?? :sick: Obviously this cant be the case, so how does it work?
 
Grimspoon said:
OK what am I missing here and why don't I get it :d

R 267-00 per Mbps per month - I mean just to check FB will cost you R1068?? :sick: Obviously this cant be the case, so how does it work?
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Bwahahaha wtf are u smoking dude? :confused: :confused:
 
Guys .. chillax.
This is the steps an ISP must take when using Seacom:

1. Purchase a slice of the Seacom pie from point to point (e.g. From South Africa to France). This is the cost you are mentioning above.
2. Negotiate with an ISP in France to get internet from that ISP. This also has a cost, and it is the cost you are not mentioning.
3. Then the network from the Seacom landing point to the ISP base must be paid for.
4. Then add all the usual business costs.

Now you have a more complete picture.

Obviously Seacom can negotiate on the local ISP's behalf, and can provide discounts to other landing points and such. But ... I don't think that the Seacom pricing includes the actual internet cost. That must still be purchased from the other side of the cable separately.
 
Gaz{M} said:
hi seacom.

I have a question regarding the pricing that has been released in the media of < R1000 per Mbps per month. Is the pricing really from the POP in Midrand in Johannesburg to London?

The reason I ask is because other people have said this pricing does not include the charge or links from Mtunzini to JHB which could add a huge margin on top of the international cost.

If the costing really is from Midrand, then ISPs are in for a huge riot when they don't reduce pricing drastically. If they can sell local bandwidth at less than R12 a GB, then this should already include connecting customers to the Midrand POP. So international would cost only the extra portion charged by SEACOM.

Am I missing something here?
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Thats what i am curious about, at that price everyone can become wisp's and kill adsl, 3g/hsdpa, iburst, etc instantly. Surely there must be a catch.
 
krycor said:
Thats what i am curious about, at that price everyone can become wisp's and kill adsl, 3g/hsdpa, iburst, etc instantly. Surely there must be a catch.
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That is only the rental portion of the throughput.

I am on 4 mbps ADSL, so if my ISP wants to provide me with that speed they will have to rent 4 of those throughputs just for me. Then they still have to charge me for actual Gigs used. so it becomes hellishly expensive per user. The ISPs make their money though because they sign up multiple users for each mbps of throughput. The users then contend for that mbps. That is what gives you your contention ratio... how many users are competing for each mbps of throughput?

Look at it this way. That rental you saw is for a pipe that is 100 cm wide. You still have to pay for all the water that goes through that pipe as well. But the pipe is restricted to only allowing so much water through at a time. The ISP signs up 100 users to get water from that pipe but they can actually only each get 1 liter per second.
 
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