Telkom allegations

[Roman4604]

There were agreements between Telkom and the ISP`s. I know a couple of ISP owners who have them.

True, that where Telkom shot themselves in the foot, but refer to my 1st post ... their motivation was damage control (prolifiration of uncapped usage).

 

[krycor]

well this brings to the fore interesting info vs ISP's who try and appear like white knights. Anyways i was thinking wtf is up with prices being so mucked up whereby 30GB is cheaper than 3GB(on a per gig basis) and wondering why the hell the isp's did't just sell 3GB's for real cheap... so the reason is they were ripping both consumer and provider off. nice job.

Ok mebbe i am a bit harsh on them but really now, don't get me wrong i don't like the price of things but a rip off is a rip off, and this was not a case of robin hood.

So no as a result of this we have hard capping. Great stuff!! lets move futher back to the stoneage although i reckon the reason for hard cap is also partly cause intercompany telecoms is suddenly alot cheaper via voip + 192k and a 3GB acc(remember 4 concurrent.. ie 3- 4 branches could survive on one they don't wan't access to international anyways ) compared to the national call rate, that and basically free local content / monitoring etc yah so now local bandwidth is suddenly expensive too.

hrm SNO better provide it cheap cause i get the feeling they wanna rip us off too and claim better service. oh well atleast the cricket team is doing well yay well while i can still watch them on public tv cause we all know when they travel we won't be watching it on sabc/e tv.. btw whats that local sports ticker site ?

 

[Gnome]

Exactly ... why do you think none of the larger reputible ISPs sold 30Gig accounts ... its called ethics.

Roman you don't really think Telkom were completely oblivous to the fact that they were keeping users in the uncapped pool? Ofcourse they realised that these isp's were cheating, and they didn't have a care in the world for oh about 6 months already!!
The thing is they didn't stop it immediatly, and there HAD to be a reason, if you say that they stood down to the isp because they couldn't prove it or because they believed their lies then I say you are GRAVELY mistaken because Telkom didn't even stand down to IACASA why would they stand down to a mere smalltime ISP?(why do think only DOTCO had the balls to sue Telkom, they stand to lose alot of money from this court case)

And the reason larger ISP didn't sell these accounts, I can only speculate but my geuss would be that they were already making a bundle (aka mweb) and thought that why should they get on Telkom's bad side for users whom obviously don't know any better. These ISP's make money simply because they rip their userbase off whom don't know anybetter, their adverts and 'great reputation' is what is keeping them afloat. Infact I would bet that they welcome the November 1 change, should bring more R's into their businesses.(They are offering great R145 rand 1gig accounts,who could resist?)

/rant

EDIT:

why the hell the isp's did't just sell 3GB's for real cheap... so the reason is they were ripping both consumer and provider off. nice job.

Well said, and very valid point!

 

[Roman4604]

Ofcourse they realised that these isp's were cheating, and they didn't have a care in the world for oh about 6 months already!!
The thing is they didn't stop it immediatly, and there HAD to be a reason

It is my belief Telkom were in a bind .... because of the way their network/service was architected, they couldn't prove the 'abuse'. Now you cant just change that overnight.

Since they we dealing with such a small portion of their base, they probably thought on balance of risk, lets temporarily settle on 30Gigs while we re-archtitect the network/service (i.e. per Gig with hardcaps).

Hopefully Dec 5 will shed some light.

And the reason larger ISP didn't sell these accounts, I can only speculate but my geuss would be that they were already making a bundle (aka mweb)

The price of a wholesale SAIX account pre Nov 1 has always been R167 ex. VAT (no matter whether 3 or 30 Gigs). So look at what the non-30Gig ISPs sold for and compare that to the R500+ that the 30Gig ones sold for. That will tell you who was raking in the cash.

If you understand the wholesale costs involved, then you can see why some ISPs could discount 30Gig accounts down to R199 (and still make a few bob profit)