Broadband30.10.2008

Telkom versus Vodacom, MTN

Telkom recently unveiled its mobile broadband offering under the product name "Do 3G on the Move". This is a fixed-mobile service where users gain access to the Internet with a 3G modem or USB dongle and a computer

This service is similar to Vodacom and MTN’s HSDPA offerings, but does not allow tower handover – and therefore full mobility – as is the case with data offerings from the mobile providers.

Devices

New Telkom Do 3G on the Move subscribers can choose between either a Huawei E220 dongle, priced at R1 539, or a Huawei E960 Gateway which costs R2 821.50.

Telkom’s network supports both HSDPA and HSUPA, but neither the Huawei E220 nor the Huawei E960 supports HSUPA which means that Telkom’s fixed-mobile data users will not enjoy the benefits of the higher upload speeds.

It is not clear why Telkom did not opt for the newer Huawei E272 or the Huawei B970 wireless gateway which both support HSUPA. Unless incorrect or outdated information is contained on the Telkom website this may be a decision which can harm them among high-end consumers looking for maximum speeds.

Pricing Comparison

When it comes to pricing Telkom is slightly cheaper than Vodacom and MTN for in-bundle rates, with a typical saving of between 10% and 25% when compared with the cellular providers.

Telkom is however 75% cheaper than both Vodacom and MTN when it comes to out of bundle rates for 2GB data packages and below. 

This lower per-MB out-of-bundle rate from Telkom may attract current Vodacom and MTN HSDPA users who often exceed their monthly data limit and have to face high bills for out-of-bundle data usage charged at R1.20 per MB.

The following tables provide a summary of Telkom’s HSDPA pricing when compared with that of Vodacom and MTN.

Month-to-month data bundles
 
Telkom
Vodacom/MTN
Bundle Size Bundle price In-bundle rate Out of bundle (per MB) Bundle price In-bundle rate Out of bundle (per MB)
500 MB 149.00 0.30 0.30 189.00 R 0.38 R 1.20
1 GB 219.00 0.21 0.30 289.00 R 0.28 R 1.20
2 GB 349.00 0.17 0.30 389.00 R 0.19 R 1.20
3 GB 489.00 0.16 0.30 589.00* R 0.19 R 1.00
10 GB 1499.00 0.15 0.30 1989.00* R 0.19 R 1.00
  *Only available from Vodacom

Contract data bundle rate (with Huawei E220)
 
Telkom
Vodacom/MTN
Bundle size Bundle Price Out of bundle Bundle price Out of bundle
500 MB 227.33 0.30 249.00 1.20
1 GB 297.33 0.30 349.00 1.20
2 GB 427.33 0.30 449.00 1.20
3 GB 567.33 0.30 649.00* 1.00
10 GB 1577.33 0.30 2049.00* 1.00

HSDPA pricing discussion

 

 

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