Vodacom is advertising a hard-capped broadband service as uncapped, which is against the Internet Service Providers Association\u2019s \u201cGuidelines and Recommendations on Broadband Terminology\u201d.<\/p>\n
It offers three \u201cHome Internet LTE Uncapped\u201d packages with speeds of up to 10Mbps, 20Mbps, and 30Mbps.<\/p>\n
Vodacom informed its subscribers that effective from 15 February 2023, \u201call new and existing uncapped Home Internet customers will be subject to a hard lock\u201d.<\/p>\n
Once the soft cap fair use policy (FUP) has been reached, as per the respective price plan, a subscriber\u2019s service is interrupted unless they buy more data.<\/p>\n
\u201cTo continue data usage, customers should purchase a 100GB or 200GB bundle,\u201d Vodacom said.<\/p>\n
The ISPA guidelines define this type of service as \u201chard-capped Internet access\u201d.<\/p>\n
It defines four types of broadband services:<\/p>\n
Vodacom continues to promote the service as \u201cHome Internet LTE Uncapped\u201d even though it is a hard-capped product.<\/p>\n
Vodacom argues that the vast majority of customers won\u2019t reach the hard cap, which means it is \u201ceffectively providing an uncapped service\u201d.<\/p>\n
This argument has no substance and does not satisfy the ISPA requirement to call a broadband service uncapped.<\/p>\n
Although Vodacom is not an ISPA member despite being one of the largest ISPs in the country, its misuse of the term \u201cuncapped\u201d will create unnecessary confusion in the market.<\/p>\n
ISPA itself also states that members are not required to use the broadband categories as defined in its guidelines.<\/p>\n
To not encroach on the domain of the Advertising Regulatory Board (then the Advertising Standards Authority), ISPA didn\u2019t force its definitions on marketing material.<\/p>\n
\u201cISPA wishes to emphasise that the above characterisation is intended as a guide to understanding broad categories,\u201d it states.<\/p>\n
\u201cIt does not mean that the use of [these] terms\u2026 in marketing material should be interpreted in accordance with this section.\u201d<\/p>\n
However, as a market leader, if Vodacom\u2019s abuse of the term gains traction, it will lose all meaning, and other ISPs will have to find another word for their uncapped products.<\/p>\n
MyBroadband contacted Vodacom for comment and asked if it thinks ISPA\u2019s terminology guidelines are sensible.<\/p>\n
\u201cWe are currently reviewing our position on the matter and will provide an update in due course,\u201d a Vodacom spokesperson told MyBroadband.<\/p>\n
\u201cAs matters stand, we can confirm that no customer has been hard locked as yet, given that the terms and conditions were to be effective from 15 February.\u201d<\/p>\n
Vodacom confirmed that it is not an ISPA member, but that Vodacom Business has applied to join the association.<\/p>\n
MyBroadband also contacted ISPA for comment, confirming that it received a membership application from Vodacom Business.<\/p>\n
Regarding Vodacom\u2019s use of \u201cuncapped\u201d to describe its hard-capped product, ISPA said companies should make any restrictions on their services clear before customers sign up.<\/p>\n
\u201cISPA has repeatedly stressed the importance of making any restrictions clear to a customer up-front,\u201d a spokesperson told MyBroadband.<\/p>\n
\u201cIf a service has an Acceptable Use Policy, this must be obvious to the customer when signing up for that service.\u201d<\/p>\n
On whether its exemption for marketing material would apply to Vodacom\u2019s use of the term \u201cuncapped\u201d for its hard-capped product, ISPA explained that a separate part of its Code of Conduct applies.<\/p>\n
\u201cISPA\u2019s Code of Conduct includes requirements that [\u2026] members convey information about their services clearly and accurately to customers and potential customers,\u201d the spokesperson said.<\/p>\n
\u201cComplaints from consumers that members are in breach of any of the requirements of the Code are reviewed by independent adjudicators who impose remedies and\/or sanctions, as appropriate.\u201d<\/p>\n