Telkom ADSL pricing structure slated

Question, how much does Telkom pay Stucke (Up) for this drivel ... now if the copper line costs R300 (which I doubt as in most cases it's already there and capitalized in any case, not an expense), why must 4mbs subscribers pay nearly double that amount.
 
From the arguments tabled by Visser and Wilcocks it may seem that Telkom is stubbornly keeping prices artificially high and charging ‘double line rental’ through its ADSL access and analogue line rental charges, but ICASA councilor William Stucke said it is not as simple as it may seem.

Stucke said that a consumer actually pays for three portions and services from Telkom for any ADSL service: the physical copper line, a voice service and a data service. Stucke further pointed out that the true cost of providing a subscriber with a copper line is around R300 per month, well above the retail cost of R131 per line.

Were does Mr Stuck get his numbers from? Nonsense!
 
This means if I just get just a phone line, telkom runs at a R170 loss. This is drivel of the highest order from Mr Stucke.
 
Stucke further pointed out that the true cost of providing a subscriber with a copper line is around R300 per month, well above the retail cost of R131 per line.
Click to expand...

unsustainable :-P Telkom must also be using their marketing money to subsidize copper lines
 
That is why the SNO, aka NeoFAIL!, should get its act together and majorly cut prices and give people TRUE broadband--but, no, they are in bed with the devil-telkom and others--u-scracha-my-back-I-scracha-ur-back!
 
Stucke is well respected person, but I do not believe this R300.
1. If this was the case then that R10 a month rental for the poorer people would be running at a huge lost. That is definetly not the case.

2. Also what about the rest of the world ie UK where salaries is much higher do have these low prices.

3. If Telkom had this fixed cost they would have used this argument a long time ago.

4. Lastly telkom has made huge profits over the past few years. This would not have happened if they were running at a loss on 80% of their household installations.

So sorry Stucke, but please ask Telkom to provide you with accurate information.
 
My brother in the UK pays GBP30 (R339) per month.
for this he gets:
8 meg line
40gigs data
includes ISP charges
free calls within UK and certian countries in EU

And what do we get for double that? NOTHING
 
Obronie said:
Stucke is well respected person, but I do not believe this R300.
1. If this was the case then that R10 a month rental for the poorer people would be running at a huge lost. That is definetly not the case.

2. Also what about the rest of the world ie UK where salaries is much higher do have these low prices.

3. If Telkom had this fixed cost they would have used this argument a long time ago.

4. Lastly telkom has made huge profits over the past few years. This would not have happened if they were running at a loss on 80% of their household installations.

So sorry Stucke, but please ask Telkom to provide you with accurate information.
Click to expand...

I don't think the estimate is totally wrong, think of a typical IT infrastructure where you offer Windows/Exchange and file services to your users, expense your costs to each user... I'm at around R1098 per user per month and that's onsite. Telkom used to have a far greater infrastructure cost at around R1300 to provide a phone line, I'm suprise they managed the infrastructure cost down to R300.

Bear in mind that Telkom pays for exchanges and DSLAMS (not the install but maintenance and software upgrades, just look at how often the DSLAMS get maintenance), employee costs, rental of those properties with the exchanges in, leases for microwave high sites, maintenance costs from lightening strikes and water damage to the copper infrastructure, cable theft, insurance, maintenance on generators and batteries (your analogue phone still workd during load shedding didn't it?) and if you had power your DSL would have worked as well.

We already know that we pay through the nose for everything in this country, it's a little rich to thing that Telkom get's it easy... they rip us a new one at least partly because others do the same to them.

I'm certainly no proponent of Telkom, but they're probably the best of a really bad bunch and I could somewhat believe the maintenance costs (which are largely subsidised by phone calls of big business which typically spend 3 to 5k per provided phone line per month and provide plenty of incoming minutes)

What I would prefer them to do is actually stop cross-subsidising everything and just bill me for the actually cost so I can get the free phone calls (like in the US), but then again, I guess the cell networks would be charging me to receive calls on my cell phone (also ala USA)

D
 
Last edited:
damian24 said:
I'm certainly no proponent of Telkom, but they're probably the best of a really bad bunch and I could somewhat believe the maintenance costs (which are largely subsidised by phone calls of big business which typically spend 3 to 5k per provided phone line per month and provide plenty of incoming minutes)
D
Click to expand...

Where do you get this figure from? If I dropped 3 grand on my work phone a month I would get fired. Lol. Go get a job at a big corporate and spend 3 to 5 grand a month on calls and watch how long you last...
 
Question, why is an ICASA councilor defending Telkom? Was telkom officially represented at the debated at all?
 
Last edited:
pkid said:
Where do you get this figure from? If I dropped 3 grand on my work phone a month I would get fired. Lol. Go get a job at a big corporate and spend 3 to 5 grand a month on calls and watch how long you last...
Click to expand...

+1 :D
 
IF Neotel got their act together we would have all cancelled with thekom by now and they would be sitting with their FINGER up their ASSES.
 
You know the line prices for adsl is weird.
384kbps R152
512kbps R326
4mbps R413

I mean between 384 and the 512 the difference is R174. Speed difference 128kbps.
Between the 512 and the 4096 its R87. Speed difference 3584kbps.
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X