TelkomInternet’s new ‘relaxed’ capping policy
With the new capping policy from TelkomInternet there will be a monthly threshold which will determine whether a user will be capped or not.
This threshold is not a set value and will vary from month to month depending on the overall usage from their total user base.
During a quiet month like December, for example, the threshold will be higher than during a busier month like March.
Rikus Matthyser, TelkomInternet head of marketing, pointed out that this new system aims to pass the maximum benefit of shared bandwidth on to the end user. He made it clear that the capping threshold will never be lower than the actual monthly allowance, but that it can be much higher during quiet months.
Some users have indicated that they were still able to surf locally after being capped, but Matthyser said that they definitely hard cap users after the monthly threshold is reached.
When a user has been capped they have the option of purchasing a new username-password to continue utilizing their ADSL connection.
TelkomInternet’s new ‘relaxed’ capping policy is likely to cause a stir in the ADSL ISP market.
With a large enough user base it is possible to make ‘unused’ bandwidth available to end users, but this will directly influence their profit margins and ISP’s might be reluctant to relinquish that additional revenue.
The generally small profit margin on ADSL accounts will make it virtually impossible for smaller ISP’s to compete against TelkomInternet with their new capping policy.
While it is understandable that some ISP’s are not entirely happy with TelkomInternet, many of their customers are enjoying the less rigid capping approach.
It is now also likely that many users who have moved to smaller ISP’s that offered low cost 30G accounts before November will migrate back to TelkomInternet with the hope of more freedom regarding their ADSL usage.
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