DStv Internet pricing has a big problem

MultiChoice’s newly launched DStv Internet has a problem – it is more expensive than many existing fixed-LTE and 5G products from mobile networks in South Africa.

The pay-TV broadcaster launched its new product on Tuesday, saying it was diversifying its offering in an ongoing evolution from a traditional video entertainment business.

DStv Internet is a fixed wireless service that operates on MTN’s network, with three capped LTE mobile data packages to choose from.

These can be purchased on either a SIM-only month-to-month basis or a 24-month contract with a router.

However, our comparisons have shown it would be cheaper to buy fixed-LTE packages directly from MTN.

All of the operator’s packages with the same or more data were cheaper than DStv Internet.

The SIM-only offer on the 25GB + 25GB package, for example, cost R199 from DStv Internet, while MTN charges the same amount for its MyMTN Home Wi-Fi 50GB + 50GB product.

The 110GB + 110GB option from DStv Internet comes in at R479 for a SIM-only package, while MTN charges R399.

The difference becomes even more noticeable at the higher end, with the 220GB + 220GB offer costing R779 from DStv Internet, while MTN advertises a 250GB + 250GB product for R599.

Similar mobile data offers from Cell C and Rain were also cheaper.

The table below compares prices of DStv Internet with capped fixed-LTE packages from MTN and Cell C, and 5G uncapped packages from Rain.

The one advantage of the SIM-only offers on DStv Internet is that they are available on a month-to-month basis.

However, you have to purchase one of two routers to use this offer, which will cost you either R1,300 or R1,800.

MTN’s fixed-LTE also requires certain routers, but in its case, there are nine models available.

According to MyBroadband’s testing, Cell C’s Home Connecta Flexi packages work in any LTE device, even a smartphone, so you won’t have to spend extra on a router.

In addition, Cell C’s packages are available on prepaid, so there is no long-term commitment.

Rain only offers its 5G packages with free-to-use routers, but these can be taken out on a month-to-month basis and returned once the product is cancelled.

Bundles

Combining a DStv subscription and DStv Internet package is where the product shows a better value proposition.

For example, pairing the 25GB DStv Internet product with a DStv Premium subscription will cost you R949, compared to the R1,098 you would pay if you opted for a Cell C Home Connecta Flexi Prepaid SIM with a router.

Combining the 110GB DStv Internet product with a DStv Premium subscription will cost you R1,179, compared to the R1,328 you would pay if you opted for a MyMTN Home Wi-Fi package with the same data and a router.

There were no 220GB packages available to compare it to, although it should be noted the price difference between the bundled DStv Internet option with 220GB and DStv Premium + MyMTN Home Wi-Fi 250GB was small.

If you are a DStv subscriber and don’t have an uncapped fibre or 5G package available, DStv Internet may be a good option for you, provided you are willing to enter into a 24-month contract.

However, we could not sign up for these new bundles using an existing DStv Premium account via the online portal, so it’s not clear how these bundles can be accessed.

The table below shows how the bundled options compare with paying for a DStv Premium subscription and alternative fixed-LTE packages purchased separately.

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