SEACOM pricing – how much does it really cost

Let me be the first to say that I think it is exemplary of SEACOM to release its pricing in the public domain. It certainly brings about competition in SA and lowers the cost of international bandwidth, but it is also needed to explain the pricing in more detail to avoid unrealistic expectations.
 
Nice to see some serious analysis of costs. However putting it all together the article should put a great more emphasis and breakdown on this:

Providers purchasing bandwidth from SEACOM will also have to pay for their access link to carry traffic from the Neotel/SEACOM data centre to their own point-of-presence (PoP), and cater for local IP transit (which can cost in the region of R 5 000 per Mbps per month) if they want to provision broadband services.
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This cost is 60%-70% of the total per Mbps! All the other stuff the article goes on about is minor. This is clearly the pricing bottleneck. More explanation of this crazy cost is needed.
 
doesnt make any difference to the home user, Seacon was only installed purely to have Hidef coverage, we would not of got any cables if we did not get the world cup and visa versa
 
And this is why ISPs are always keen to tie you into long term contracts. When they are spending those kinds of cash as a 5 year investment they want to have some guarantees that they will still have customers next year. If you want to take advantage of the better pricing... expect contracts :D
 
Sigh. Although I suppose in 20 years time R770 million will be what we are paying for a car so over 20 years I suppose it is not that bad...
 
so once more telkom is to blame. erm sorry telkom is still to blame
 
Tns said:
so once more telkom is to blame. erm sorry telkom is still to blame
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Relative to this article; how?

From Seacom to providers' PoP can totally bypass Telkom's network.

From ISP to consumer - that's another matter...
 
Good article but more is required so that we can see how we the consumer are being ripped off. What I would like to see is how all of that translate into what it will cost the consumer to have uncap, 1mbps internet access and not the 384kbps nor the 512kbps crap.
 
rpm said:
Let me be the first to say that I think it is exemplary of SEACOM to release its pricing in the public domain. It certainly brings about competition in SA and lowers the cost of international bandwidth, but it is also needed to explain the pricing in more detail to avoid unrealistic expectations.
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Telkom could learn a thing or two here about being open.
 
i think what we also have to remember now is that local links are still expensive and so are the ISP interconnection fees (which are ridiculous). Telkom must still be fully bypassed on that front and ISP's who still charge connection fee's should be embarrassed.
 
pkid said:
Sigh. Although I suppose in 20 years time R770 million will be what we are paying for a car so over 20 years I suppose it is not that bad...
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Good point

The question though, is how many companies have bought 10 gig portions?
 
Suveer Rhamdani, commercial manager at SEACOM, says that significant price cuts occurred in the South African telecoms market long before SEACOM even landed – purely due to the looming threat of competition.
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Uh.. they did? When? Where?

EDIT: Just to avoid confusion, I'm talking about us, the end user not ISPs etc.
 
Fudzy said:
Uh.. they did? When? Where?

EDIT: Just to avoid confusion, I'm talking about us, the end user not ISPs etc.
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That is exactly the point!!!! When will the ISPs pass on these savings?
 
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