Herotel hikes prices

Herotel has informed its fibre customers that it will increase the prices of most services on 1 June 2023.

The fibre network operator is increasing the price of its 50 Mbps, 75 Mbps, and 100 Mbps products by between 7.15% and 10%.

“In April 2020, we introduced our new standard fibre products and for the past three years we have not made any price adjustments,” Herotel stated.

“Unfortunately, with ongoing load-shedding, inflation and occasional theft and vandalism, we have seen our costs increase beyond a point where we can absorb them.”

Herotel said its pricing adjustment only compensates for some of these increases.

“Our vision for South Africa is to have everyone connected to high quality and high-speed Internet,” stated Herotel.

“This is why we build networks that stretch from Cape Town in the South to Malamulele in the North.”

“Our aim is always to strike that perfect balance between a quality customer experience, high availability of services and low cost.”

Herotel’s adjusted prices that kick in on 1 June are summarised in the table below. It has not announced any change to its 200 Mbps package.

Herotel is not the only fibre operator to adjust its pricing this year.

Openserve, Metrofibre, Frogfoot, and Octotel have all announced changes to their packages and pricing, including controversial “forced upgrades” and penalties for downgrading.

This has resulted in backlash from Internet service providers (ISPs) that package and sell these open-access fibre network operators’ wholesale products.

In March, the ISP Association of South Africa (ISPA) issued a statement “cautioning” fibre operators against forcing fibre upgrades on consumers.

“While upgrades advertising ‘more for the same price’, for example, are indeed good news for most consumers, FNOs shouldn’t assume forced upgrades make sense for everyone,” the association said.

“In today’s challenging economic climate, not all consumers want (or need) a faster service,” ISPA said.

“Some consumers would prefer to experience the same speed service they previously enjoyed and to simply pay less for it.”

In addition to forced upgrades, some fibre network operators have implemented hefty penalty fees for downgrading from a faster fibre service to a slower one.

ISPA said this practice is unfair and hurts those consumers who are already under financial pressure.

“ISPA encourages all FNOs to consider the impact of forced upgrades on all their fibre consumers, not only on those consumers who can afford it,” it said.

“If an upgrade is going to be made automatically to any customer’s service, then there must be no charge levied if that customer does not want to take advantage of the forced upgrade and does not want to upgrade.”

Herotel told MyBroadband earlier this month that it does not levy any penalties on fibre customers who downgrade.

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