Broadband19.03.2008

DoC’s telecoms cost benchmarking

The Department of Communications (DoC) recently selected Brazil, Chile, India, Malaysia, South Korea as part of their programme of action to benchmark telecommunications costs, quality, availability, accessibility and usage in South Africa.

The DoC said that the development of a Programme of Action to benchmark telecommunications costs in relation to comparable countries would ultimately utilize ‘the successful areas as a model for a universally successful South African system.’

Local broadband services

South Africa currently has around 1 Million broadband connections, made up of mainly Telkom’s ADSL service and Vodacom & MTN’s HSDPA offerings. This translates into a broadband penetration rate of around 2%.

The highest speed broadband service in South Africa is Telkom’s 4 Mbps ADSL service while local broadband subscribers typically have monthly usage limits ranging between 1 GB and 3 GB per month. On the wireless front HSDPA subscribers enjoy speeds of up to 3.6 Mbps while iBurst and MyWireless subscribers have maximum downlink speeds of 1 Mbps.

The majority of South Africa’s broadband connections are wireless, with Vodacom leading the way with over 350 000 connections.

International broadband figures

When it comes to broadband South Korea is a world leader and far ahead of most developing and even developed nations.

The other countries, which the DoC selected to benchmark South Africa’s telecoms services against, range significantly in both broadband services and Internet usage.

The following tables give a basic broadband comparison between South Africa and the other countries in the DoC’s basket.

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Basic Internet Stats
Country
Internet Users
Internet Penetration
Broadband Users
Broadband Penetration
South Korea 34120000 70.8% 2322577 30.7%
Brazil 42600000 22.9% 8100000 4%
Malaysia 13528200 47.8% 1100000 0.4%
Chile 4156000 25% 1323446 8.8%
India 97540000 7.5% 3240000 0.29%
South Africa 5100000 10.7% 950000 1.9%

 

Basic High End Broadband Service
Country
Speed
Usage Limit
Price (ZAR)
Cost/Mbps/GB
South Korea 100 Mbps Unlimited 320.00 0.03
Brazil 4 Mbps 50 GB 843.00 4.22
Malaysia 4 Mbps Unlimited 679.00 1.70
Chile 10 Mbps Unlimited 644.00 0.64
India 2 Mbps 20 GB 658.00 16.45
South Africa 4 Mbps 3 GB 665.90 55.50

 

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