{"id":8900,"date":"2009-07-22T16:50:00","date_gmt":"2009-07-22T14:50:00","guid":{"rendered":""},"modified":"2009-07-22T16:50:00","modified_gmt":"2009-07-22T14:50:00","slug":"25-adsl-price-cut","status":"publish","type":"post","link":"https:\/\/mybroadband.co.za\/news\/adsl\/8900-25-adsl-price-cut.html","title":{"rendered":"25% ADSL price cut"},"content":{"rendered":"<p>Pre-empting the price drops the market is likely to see when the Seacom cable is completed before the end of this month, WirelessG has announced a substantial decrease in the rate it charges for prepaid <strong><a href=\"http:\/\/mybroadband.co.za\/news\/Broadband\/8607.html\">ADSL data access via its G-Connect<\/a><\/strong> converged Internet access solution.<\/p>\n<p>The price drop sees prepaid ADSL access rates decrease from 6.5c per MB to 4.9c per MB and during its happy-hour (between 5pm and 8pm daily) decrease to 4.5c per Mb from 4.7c per MB.<\/p>\n<p>&ldquo;That&rsquo;s a 25% decrease over our previous normal rate,&rdquo; says WirelessG CEO, Carel van der Merwe, &ldquo;and a move that we believe will lead the charge in price reductions on local Internet access.&rdquo;<\/p>\n<p>Van der Merwe says this move also makes WirelessG&rsquo;s ADSL offering the most cost effective in the market at present.<\/p>\n<p>&ldquo;We have no doubt that our competitors will follow suit shortly,&rdquo; van der Merwe says, &ldquo;but the main challenge they will face in offering similar price reductions lies in the fact that we have not had to rely on Seacom&rsquo;s impact.<\/p>\n<p>&ldquo;G-Connect is a product that was designed in the recession of the South African market and is therefore particularly cognizant of the challenges its customers are facing in terms of cash-flow and financial strain.<\/p>\n<p>&ldquo;The competitive pricing we were able to bring to bear on the market resulted from us automating the bandwidth provisioning and running of our service &ndash; and what customers are seeing now is the fine tuning of that model.<\/p>\n<p>&ldquo;We will undoubtedly be capable of bringing even more cost effective pricing to bear on the market the moment Seacom is part of the equation all related costs are known,&rdquo; he says.<\/p>\n<p>Van der Merwe says customers also need to be realistic about the impact Seacom will have on Internet pricing in South Africa.<\/p>\n<p>&ldquo;While the existence of this cable and service providers&rsquo; ability to buy access from a different provider will undoubtedly result in cost savings, we need to remember that International bandwidth is only part of the cost equation.<\/p>\n<p>&ldquo;As such, if service providers experience a 1% decrease in the cost of international bandwidth it&rsquo;s unreasonable for customers to expect the end-cost to be lowered by the same margin.<\/p>\n<p>&ldquo;I do think Seacom will have a positive impact on the market,&rdquo; he says, &ldquo;but it will not be the cure-all. For really amazing cost reductions, service providers will have to re-engineer their business processes and look for efficiencies they&rsquo;re not currently exploiting.<\/p>\n<p>&ldquo;We&rsquo;re extremely proud of the fact that we&rsquo;ve been able to, as a new kid on the block, pioneer the way forward with excellent pricing,&rdquo; he concludes.<\/p>\n<p><strong><a href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php?t=183426\">ADSL price cut from Wireless G<\/a><\/strong> &#8211; comments and discussion<\/p>\n","protected":false},"excerpt":{"rendered":"<p>WirelessG drops ADSL pricing by 25% ahead of Seacom\u2019s go-live<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-8900","post","type-post","status-publish","format-standard","hentry","category-adsl"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/8900"}],"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=8900"}],"version-history":[{"count":0,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/8900\/revisions"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=8900"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=8900"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=8900"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}