Dtox
Active Member
I recently read one of John's posts with the following link:
http://www.pcworld.com/news/article/0%2Caid%2C114424%2C00.asp
and this one paragraph caught my eye:
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote">Neotec wants a system like NextNet's to deliver affordable broadband service without the need for laying wires, with a goal of charging the equivalent of $20 per month, Frauendorf says. DSL currently is available in parts of Brazil for about $30 per month, he adds. Brazil is expected to have 3.2 million broadband users by 2006, and winning just 10 percent of them would be worth it, he says.
<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">
It just made me realise once again what an absolute rip off the prices are that we are being charged by Telkom and now also Sentech.
Wireless services is supposed to be cheaper than copper [
!]
Lets look at it objectively: at the aprox R1400 sentech charges for their 512 option, i could buy 2 extra ADSL accounts from tekom and end up at the same price... this would give me 9 Gig (i would usually not hit a 9 gig mark in a month)
With this High price you are now also expected to sign a contract[!]
This coupled with the Bad international ping times their service provides.
Look i am not pro Telkom by any means, i just feel that Sentech had a golden oppertunity to totally corner this market, sure their product has its faults but if it was competatively priced and did not try and trap you in a contract most users would have accepted the bad with the good.
I really beleive Sentechs Marketing department screwed up on this and it will cost them dearly. I get the impression that this was seen as a risky project and they are trying to show ROI of 1 year.
They are using the 3 gig cap as their major selling point and beleive it to be a significant enough factor that they could even up their prices.
Partly i think that comments on this forum also gave them the idea that they could get away with it. They were bargaining that anti Telkom sentiment would be their major selling point. But now that push comes to shove.. i think they are perplexed as to why not more people are jumping for ther "exceptional" product.
Well i for one dont think their product is exceptional and it is definately not competatively priced.
I think their product is worth about R800 a month for the 512 option without the 24 month contract. If that had been their entry product into this market they would definately have grabbed market share
And as soon as they have recovered their ROI they could lower prices even further to international standards (damit even if our badwidth cost 4 times the normal price, that would in the example of Brazil only be $80 = R560 a month)
It is a real pity that Sentech could not deliver on all the expectations that was built up, I for one will just bite the Telkom bullet for another year or so(no use of swapping one bad service for the next) and hopefully we will have some more options by then [V]
http://www.pcworld.com/news/article/0%2Caid%2C114424%2C00.asp
and this one paragraph caught my eye:
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica" id="quote">quote:<hr height="1" noshade id="quote">Neotec wants a system like NextNet's to deliver affordable broadband service without the need for laying wires, with a goal of charging the equivalent of $20 per month, Frauendorf says. DSL currently is available in parts of Brazil for about $30 per month, he adds. Brazil is expected to have 3.2 million broadband users by 2006, and winning just 10 percent of them would be worth it, he says.
<hr height="1" noshade id="quote"></blockquote id="quote"></font id="quote">
It just made me realise once again what an absolute rip off the prices are that we are being charged by Telkom and now also Sentech.
Wireless services is supposed to be cheaper than copper [
!]Lets look at it objectively: at the aprox R1400 sentech charges for their 512 option, i could buy 2 extra ADSL accounts from tekom and end up at the same price... this would give me 9 Gig (i would usually not hit a 9 gig mark in a month)
With this High price you are now also expected to sign a contract[
!]This coupled with the Bad international ping times their service provides.
Look i am not pro Telkom by any means, i just feel that Sentech had a golden oppertunity to totally corner this market, sure their product has its faults but if it was competatively priced and did not try and trap you in a contract most users would have accepted the bad with the good.
I really beleive Sentechs Marketing department screwed up on this and it will cost them dearly. I get the impression that this was seen as a risky project and they are trying to show ROI of 1 year.
They are using the 3 gig cap as their major selling point and beleive it to be a significant enough factor that they could even up their prices.
Partly i think that comments on this forum also gave them the idea that they could get away with it. They were bargaining that anti Telkom sentiment would be their major selling point. But now that push comes to shove.. i think they are perplexed as to why not more people are jumping for ther "exceptional" product.
Well i for one dont think their product is exceptional and it is definately not competatively priced.
I think their product is worth about R800 a month for the 512 option without the 24 month contract. If that had been their entry product into this market they would definately have grabbed market share
And as soon as they have recovered their ROI they could lower prices even further to international standards (damit even if our badwidth cost 4 times the normal price, that would in the example of Brazil only be $80 = R560 a month)
It is a real pity that Sentech could not deliver on all the expectations that was built up, I for one will just bite the Telkom bullet for another year or so(no use of swapping one bad service for the next) and hopefully we will have some more options by then [V]
