Telkom ADSL speed increases and ISP pricing

I am a little confused by MWEB's statement ...


MWEB is also planning to introduce a new 2Mbps uncapped ADSL data-only product. “The price of that product is still to be confirmed but it will be more than the current 1Mbps pricing,” said Hershaw

what does this mean? are they only going to offer a Data-only package OR an all inclusive one too?

If they do offer the all inclusive package then i'll be cool with that cause they dropped their price down R100 last month for 1 meg uncapped so if they increase by R100 or less for the 2 meg uncapped then i'll be happy cause it will be what i was paying anyways before the price reduction, i just hope it's not more than that.
 
Data Only + Line Rental = All Inclusive

I don't think we get discount on our Mweb managed ADSL lines.

R289 (ADSL - Mweb) + R199 (Data - Mweb) = R488
 
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You'll be upgraded to 2meg at the same price.

Yes my line will now SYNC at 2meg for the same price, but I will still have a 1meg data package from my ISP, that will not be upgraded at the same price. The article clearly states that ISPs are planning on (or already are) introducing 2meg data packages at a higher price point.

So that means if, like me, you're currently on a 1meg uncapped product, you can choose to "downgrade" the line to just SYNC at 1meg and save money, OR you can keep your line as is and have it SYNC at the new 2meg speed and pay the same line rental price as before but stay on the 1meg package from you ISP (this would be silly), OR you can take advantage of the new 2meg line speed but would have to fork out more to the ISP.

Is my reasoning correct then?
 
Yes my line will now SYNC at 2meg for the same price, but I will still have a 1meg data package from my ISP, that will not be upgraded at the same price. The article clearly states that ISPs are planning on (or already are) introducing 2meg data packages at a higher price point.

So that means if, like me, you're currently on a 1meg uncapped product, you can choose to "downgrade" the line to just SYNC at 1meg and save money, OR you can keep your line as is and have it SYNC at the new 2meg speed and pay the same line rental price as before but stay on the 1meg package from you ISP (this would be silly), OR you can take advantage of the new 2meg line speed but would have to fork out more to the ISP.

Is my reasoning correct then?

That's mu understanding too. Now we have to wait to find out how much the 2meg uncapped data package will be.
 
I am seriously confused how is that a so called market leader in SA makes there 2MB uncapped R379 when Afrihosts 4mb uncapped is 379?? and they are still proud enough to shout it off the rooftops? Message to ISPs...if youre not INNOVATING....youre stagnating.
 
I am seriously confused how is that a so called market leader in SA makes there 2MB uncapped R379 when Afrihosts 4mb uncapped is 379?? and they are still proud enough to shout it off the rooftops? Message to ISPs...if youre not INNOVATING....youre stagnating.

You're confusing line+data with data only
 
TBH, it sounds like Mweb is struggling to pick a price point for 2meg and they're waiting to see what everyone else does. The ISP's must all be worried because they know people are expecting it to be cheap, but that's gonna be hard for them to do. (See the outrage on this thread already).
The fact is, Web Africa's pricing looks pretty reasonable to me, although we'll only be able to compare properly when the other ISP's announce prices. I don't think anyone's gonna be much less than that though.
 
I would be interested to see what the CPA has to say about this. If telkom don't give you an option to stick to 384kb and force and upgrade I doubt they will be able to charge you for it.

if they told me that I could keep my existing 384kb line, or have a 1 mb line for R10 extra a month, It would be a no brainer. I'm sure you could complain to the cpa, but be careful because you may just get what you ask for.
 
Wow, thats pretty unfair. We operate off very thin margins and always push to constantly improve and operate ever more efficiently, all while taking the customer-centric approach passing savings back wherever we can and putting the user experience at the forefront of our thinking. Us Web Africans work really hard and put our heart and soul into the service we provide!

If you've had a bad experience with us, I take this very seriously - could you PM me your customer code and/or give me some details so I can take a look pls?

I recently managed to get my eyes on a list of cost prices for data accounts (minus the ADSL circuits themselves) and I don't think ISP margins are very tight. And since ADSL tends to leverage data hosting services I really think the ISPs whine too much. And that the ISP business is waay profitable. Make no mistake I think the ADSL circuit costs are disgustingly expensive and nonsensical, but from what I've seen it's not the only part of the problem in SA.
 
I recently managed to get my eyes on a list of cost prices for data accounts (minus the ADSL circuits themselves) and I don't think ISP margins are very tight. And since ADSL tends to leverage data hosting services I really think the ISPs whine too much. And that the ISP business is waay profitable. Make no mistake I think the ADSL circuit costs are disgustingly expensive and nonsensical, but from what I've seen it's not the only part of the problem in SA.

Did it include stuff like helpdesk costs and IPC costs?
 
I recently managed to get my eyes on a list of cost prices for data accounts (minus the ADSL circuits themselves) and I don't think ISP margins are very tight. And since ADSL tends to leverage data hosting services I really think the ISPs whine too much. And that the ISP business is waay profitable. Make no mistake I think the ADSL circuit costs are disgustingly expensive and nonsensical, but from what I've seen it's not the only part of the problem in SA.

Do you have any idea how much a decent Cisco backbone router costs?
 
Do you have any idea how much a decent Cisco backbone router costs?

I suppose you are right. Somebody from the ISP community recently mentioned in an article that import duties should be relaxed on IT hardware. That seemed like a fair suggestion to me. However in as far as infrastructure and cost of service delivery is concerned I've read international debates on the subject and from what I understand the cost per GB of data delivered is somewhere between 1c and 2c (US).

And finally if IPC costs is a significant part of the problem then why haven't we seen a more pronounced decrease in cost on the high speed data bundles? I mean a 30% reduction in IPC costs has come and gone and I'm still paying exactly the same for my 4mbps data account.
 
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Oh how I wish for the day when we can just talk about one price for our broadband. Getting tired of this R*** for the ADSL data + R*** for the ADSL line + R*** for the analog line rental!

Absolutely agree with you.
 
My only problem is that I don't know when the 2Mbps upgrade will be implemented... R10? You can just barely buy a pie for that...
 
Before the 1mbps price decrease mweb charged R299 for their 1mbps data only. It only makes sense that the new 2mbps data only be priced at this point for it to be an increase in value from the product.
 
I'm still using the 8Gig capped 384Kbps line (no need for more really) for R145/m, but with this...

384Kbps data-only uncapped ADSL customers were migrated to a 1Mbps product as of 1 June. “At R199-00 per month this product is cheaper than our old 384Kbps product (which was R219-00 per month)
...I'll just upgrade to uncapped for the hell of it.
 
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