The South African broadband environment has become very competitive in recent years, with several fibre and wireless providers rolling out networks.
The latest entrant is Rain, which is offering wholesale access to its LTE-A network to Internet service providers.
MWEB and Webafrica launched LTE products on Rain’s network recently, which compete against DSL and fibre-to-the-home services.
Pricing for the new Rain products start at R599 for a 55GB service, and increases to R999 for a 120GB service.
The R999 price tag for the “high-end” Rain product is not surprising. Since broadband was launched in South Africa, R1,000 was seen by companies as the default price to charge for their flagship products.
Telkom’s first ADSL service, for example, was a 512kbps service with a 3GB ISP account and cost R968.
Vodacom’s first 2GB mobile broadband service, launched in December 2004, cost subscribers R1,198. This price was reduced to R998 a few months later.
The table below details what R1,000 currently buys broadband subscribers in South Africa.
|Broadband Products in SA|
|Service Provider||Technology||Speed||Data Allowance||Monthly price|
|Vodacom Broadband Connect||Wireless||4Mbps||20GB||R977|