Telkom drops ADSL and data prices further

Franna said:
This is good news according to me. The SNO will hopefully start soon. And the only way for them to get customers is to undercut Telkom. So with every price reduction from Telkom the SNO will have to ask even less for their offering. In the end this will start a price war to see who can get the biggest client base.
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Well from what I've heard data prices should be much more favourable from the SNO.. just watch WISP's pop up all over the place..
 
Dominic Rooney said:
And their top-offering in August will be 1Mbps @ R600/month - see how they avoided the price of the 1Mbps service in their announcement because they know how expensive it will be.
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If they had any decency they'd unilaterally bump everyone up a level and abolish the 192 offering. Does any other country actually offer 192?
 
bwana said:
If they had any decency they'd unilaterally bump everyone up a level and abolish the 192 offering.
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Yes but the word sense has never been part of Telscum's dictionary :D
 
Dominic Rooney said:
Yes but the word sense has never been part of Telscum's dictionary :D
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It is if you spell it $ence.
 
Franna said:
This is good news according to me. The SNO will hopefully start soon. And the only way for them to get customers is to undercut Telkom. So with every price reduction from Telkom the SNO will have to ask even less for their offering. In the end this will start a price war to see who can get the biggest client base.
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Urg the problem is the chances of this happening are very low IMO.. Look at the cellular business, the vehicle industry, etc. Most things all cost the same in this country, NO ONE is competitve here :(
 
no-one is competitive because as consumers we are suckers. If we ganged up like we have here, just imagine what we could achieve? In the UK people started to book their cars from Europe because the UK market was so expensive by comparison. suddenly UK car prices "adjusted" themselves miraculously. We could do the same here.
 
mbs said:
This price reduction is merely a corrective mechanism in the face of public outrage to the punitive pricing of the past, and an endeavour to soften the continued blows they're facing. I would've been more impressed and convinced of their endeavours to "contributing to reducing the cost of doing business in South Africa", if their announcement had been accompanied by (1) a committment to increase the complement of their field staff to handle rollouts caused by increased demand (as opposed to their continuing retrenchments), and (2) removal of the punitive 'downgrade charge', which is not technically justified at all, but merely a marketing (read: profit) maintenance mechanism. Corporate cretins!
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I totally agree :).
MaD said:
This is probably the only country in the world where a business DSL line costs the same as a residential DSL line.
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Don't you mean business cheaper than home?

The cost of BusinessDSL512 to businesses that are VAT Registered is, as of 2005-08-01:
~R418.42 per month

Whereas residential customers will be paying R477.00 per month since they cannot legally claim back VAT.
bb_matt said:
What we need to bolster this into actual good news, as opposed to a watered down offering, is the announcement that Telkom will drop their ISP fees as well as rental !

If they dropped this by R50 across the board, then we're talking progress !
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You mean the wholesale price that Telkomonopoly charges ISPs to resell TIPA accounts? AFAIK the Telkomonopoly wholesale 3GB account price is R190.00, so that means reducing the wholesale price to R140.00...somehow I think the ISPs will want to keep that R50.00...
EdRobinson said:
According to my calculations, ADSL will be value for money in a couple of years time... but wait a minute... by then it will be old and slow.... there goes the value...
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ADSL is already old and slow - Telkomonopoly have no interest in keeping pace with technology the rest of the world is using...
munwaal said:
While I agree with the sentiment on this forum that the pricing is still rediculously high, I'm saving R200 a month from the time I had my 512k line installed. What we need, in light of the local capping debacle, is for telkom to up the cap size from 3 gigs to 10 gigs across the board. While it's still not in line with international standards, it would be a very good step in the right direction.
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munwaal, I agree that you will be saving some money, but really we cannot endorse this overcharging-reduction as good news since it is still blatant profiteering in the face of zero competition, we have to keep moaning & complaining until Telkomonopoly gets castrated by ICASA. About the 10GB cap, make that 30GB standard for everyone - isn't Telkomonopoly's standard argument that most people never even use all of their 3GB? - if so, most will not be using 30GB, so Telkomonopoly will still be saving on bandwidth...:D
 
ic said:
Don't you mean business cheaper than home?

The cost of BusinessDSL512 to businesses that are VAT Registered is, as of 2005-08-01:
~R418.42 per month

Whereas residential customers will be paying R477.00 per month since they cannot legally claim back VAT.
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Yeah.. WTF is up with that, are they smoking the bad stuff??
 
I dunno about internationally, but here in the grips of the tyranical Telkomonopoly-Rexa-sore-are-us, residential customers pay less for ordinary analogue line rental and other services available on residential accounts.

IMO residential customers should not be paying more than businesses for ADSL512, and perhaps we need to make a stink about this...?

The other thing I feel strongly about, is that businesses [like micro-sized SMMEs] can only apply for ADSL512 and nothing cheaper that might suite their needs if they just need it for email & don't need a lot of speed...
 
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Residential customers do not pay more : An individual can register for and claim back VAT on his business expenses.

At the hearings I argued that it is cheaper to serve businesses (more centralized) and the cap means they rarely get significantly more MBs for their buck. So the fact that Hellkom can discriminate is just one indication that they do not face stiff competition.
 
nicroets said:
Residential customers do not pay more : An individual can register for and claim back VAT on his business expenses.
...
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Most individuals will not qualify for voluntary VAT registration, unless they are running their own businesses and can show compliance with the registration requirements that SARS imposes.
 
In my Opinion this is a reaction to the Imminent Arrival of the SNO, and the shake-up that will follow. (Attempting to Lock in as many customers as possible)

Signed up for ADSL Yesterday. (Living in the Sticks, I think the SNO will only get here in a Years Time) Specified a Month to Mont Contract with NO Modem/Router (will be purchasing Netgear DG384 Wireless Version)

However telkom are sharks. They Printout a sign-Up form for their System which automatically assumes a 24Month Contract. They have to Cross out the 24Month Contract Heading on the First Page but do not Cancel the Second Page Terms and Conditions .I Quote

The Bundled offering is subject to a 24Month agreement whereby you will be penalised should you terminate your subscription before a Period of 24 months has lapsed as per the terms and conditions available on this website, www.telkom.co.za/adsl/terms1.jsp

I manually Cancelled the above and received a disappointed look from the Counter Clerk. Be careful as I have heard that telkom staff get a commission if they get people to Sign 24Month Contracts
 
Thanks Toby ... a clear warning and something i shall certainly pass on to my old man if we ever do go for adsl. Sort of thing one might just let slip by in the excitement of the moment heheh.

WretchedToad :D
 
Is Telkom able to restructure itself in the event of proper competition arriving? All we've seen is Telkom releasing different packages and trying to balance it so that they still make the same amount if not more profit. What if they suddenly have to lower prices and can't pay for lots of their staff?
 
YAPOC said:
What if they suddenly have to lower prices and can't pay for lots of their staff?
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Then they will have a good excuse for firing the people they want to get rid of anyway.. anything works in their favour.

They want to fire over 4,000 people still, so getting rid of them would be but great for telkom to keep profits nice n plump.
 
Does anyone have any contacts close to the SNO - me wants information - even a name

I was just thinking - imagine the fact that Telkom are ripping us off gets onto the M&G front page? MaD better up his bandwith allowance ....
 
mailed transtel last week and no response yet about SNO contacts. Will let you know if i get an answer.
 
mccrack said:
mailed transtel last week and no response yet about SNO contacts. Will let you know if i get an answer.
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Contact the boys and girls at CUASA - they are mostly SNO players.
 
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