Why such a big difference in fiber packages?

K

KillerX

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Out of curiosity I have been comparing alot of FTTH offerings from various different providers. It seems to me that the cell companies - Vodacom, MTN and Telkom all offer capped packages at fairly high prices. Uncapped packages are available, but are even more expensive.

Why is it that many other fiber providers are able to offer uncapped products at so much less?

For example, I'm on CISP / TTConnect 50/50 uncapped for R899
Vodacom equivalent is 40/40 uncapped for R1599!!

Do the cell providers operate their own backbones, and not make use of the likes of Dark Fiber Africa? Are they not leasing bandwidth and peering at the same centers? Are the cell companies keeping their fiber prices artificially high to not erode their wireless data revenue?
 
Sinbad

Sinbad

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Looney said:
Lol, but no one in their right mind would choose them over cheaper options, so they don't get any subscribers. Stupid.
Click to expand...

You'd be surprised.
A lot of the more naive, less tech savvy people in our suburb have signed up for the name they have heard of, rather than a service based on quality and price. Or, the price gives a perceived quality, incorrectly.
 
Looney

Looney

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Nov 18, 2009
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5,346
Sinbad said:
You'd be surprised.
A lot of the more naive, less tech savvy people in our suburb have signed up for the name they have heard of, rather than a service based on quality and price. Or, the price gives a perceived quality, incorrectly.
Click to expand...

True, a lot of less tech savvy people out there throwing money down the drain.
 
Mike Hoxbig

Mike Hoxbig

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Apr 25, 2010
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43,328
Looney said:
Lol, but no one in their right mind would choose them over cheaper options, so they don't get any subscribers. Stupid.
Click to expand...
Depends on coverage too, some people may have no other option for fibre...
 
Anthro

Anthro

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3,560
KillerX said:
Out of curiosity I have been comparing alot of FTTH offerings from various different providers. It seems to me that the cell companies - Vodacom, MTN and Telkom all offer capped packages at fairly high prices. Uncapped packages are available, but are even more expensive.

Why is it that many other fiber providers are able to offer uncapped products at so much less?

For example, I'm on CISP / TTConnect 50/50 uncapped for R899
Vodacom equivalent is 40/40 uncapped for R1599!!

Do the cell providers operate their own backbones, and not make use of the likes of Dark Fiber Africa? Are they not leasing bandwidth and peering at the same centers? Are the cell companies keeping their fiber prices artificially high to not erode their wireless data revenue?
Click to expand...

Business model is key.
I am getting 200/200 uncapped for R899
 
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