Technology14.03.2006

TelkomInternet confirms new ADSL capping policy

But many TelkomInternet clients are in the dark as to exactly what this new policy encompasses.

TelkomInternet cleared up some uncertainty regarding their new capping policy, specifically when it comes to their 2 GB and 4 GB unshaped options.

Many TelkomInternet 3 GB ADSL customers have enjoyed the freedom of surpassing their usage limit without being capped immediately, but some doubt prevailed regarding their 2 GB and Unshaped offerings.

Rikus Matthyser, head of marketing for TelkomInternet, said that all their products, including their 2 GB and 4 GB Unshaped ADSL accounts, are capped using a monthly threshold system.

According to Matthyser this system allows TelkomInternet to ‘pass on’ unused bandwidth to their high-end customers.

Telkom has recently come under fire for possible uncompetitive behaviour in the ADSL arena, but Matthyser disputed this point.

He said that, as a large ISP, they have the advantage of managing a large ‘bandwidth pool’ which gives them the freedom to create a more flexible capping policy.

Others are less convinced, and Internet Solutions’ CEO Angus MacRobert has recently called for a split of Telkom’s wholesale and retail divisions.

ISPA has also made its feelings known regarding this contentious issue, saying that “Telkom is using its dominant market position to take business away from other ISPs.”

Currently TelkomInternet is dominating the ADSL retail market, and smaller ISP’s will find it hard to compete with them considering their more relaxed capping policies.

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