{"id":47468,"date":"2012-04-21T00:07:12","date_gmt":"2012-04-20T22:07:12","guid":{"rendered":"http:\/\/mybroadband.co.za\/news\/?p=47468"},"modified":"2012-04-21T00:08:51","modified_gmt":"2012-04-20T22:08:51","slug":"free-adsl-data-and-isps-making-money","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/adsl\/47468-free-adsl-data-and-isps-making-money.html","title":{"rendered":"Free ADSL data and ISPs making money"},"content":{"rendered":"

FNB<\/a> Connect announced this week that it will be increasing the free monthly ADSL<\/a> data to 5GB per user from Tuesday, 8 May 2012.<\/p>\n

FNB is however not the only company offering free ADSL data bundles to consumers. Many Internet Service Providers (ISPs) including Afrihost<\/a>, Vox Telecom<\/a> and Cybersmart<\/a> are providing free ADSL data to their customers.<\/p>\n

FNB\u2019s strategy is clearly to add value to their high-end banking clients by \u201cmaking access to the internet and online banking platforms, either free or more affordable\u201d.<\/p>\n

Selling ADSL data at a profit is however the core business of many ISPs, raising the question of what the business model is behind the decision to give accounts away for free.<\/p>\n

Vox Telecom<\/a> CEO Douglas Reed<\/a> explained that the idea behind their free ADSL data product is to provide a variety of value-added Internet services, for which one requires a broad section of the market to have access to the Internet.<\/p>\n

Reed said that their strategy of providing free ADSL data is working well to achieve their goals.<\/p>\n

Cybersmart<\/a> MD Laurie Fialkov<\/a> said that the “freemium” model is a well known internet strategy. \u201cYou give something free in the hope that you can sell the customer the premium product at a fee,\u201d explained Fialkov.<\/p>\n

Fialkov said that their model is based on customers purchasing an ADSL access line from them, which creates a viable business model for the company.<\/p>\n

Related articles<\/strong><\/p>\n

Lower ADSL IPC rates to boost ISP profitability<\/strong><\/a><\/p>\n

Expect ADSL price cuts and better value<\/strong><\/a><\/p>\n

ADSL IPC price cuts<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Many service providers are offering free ADSL accounts to consumers, raising the question of whether it is a good business decision<\/p>\n","protected":false},"author":2,"featured_media":26675,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[71,10538,1425,35,4358,49],"class_list":["post-47468","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-adsl","tag-adsl-2","tag-cybermart","tag-douglas-reed","tag-headline","tag-laurie-fialkov","tag-vox-telecom"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/47468"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=47468"}],"version-history":[{"count":1,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/47468\/revisions"}],"predecessor-version":[{"id":47818,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/47468\/revisions\/47818"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/26675"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=47468"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=47468"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=47468"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}