Afrihost’s wholesale ADSL play

Afrihost is considering getting their own IPConnect service (Telkom’s wholesale ADSL service), but the decision to build their own ADSL network rests on the pricing and service levels they receive from their current upstream provider, Internet Solutions.

Afrihost currently uses Internet Solutions as a wholesale partner to provide capped and uncapped ADSL products aimed at the consumer market.

Afrihost’s acquisition of Axxess means that they have a large enough user-base to justify their own IPConnect service, but according to Afrihost director, Greg Payne, the decision to build their own ADSL network will not be made lightly.

Payne told MyBroadband BusinessTech that the recent 30% reduction in IPConnect rates makes it an attractive option for them, but they would always weigh it up against the value they receive from Internet Solutions. “They have been very good so far,” said Payne.

“We look at [getting our own IPC] on an ongoing basis, but to date, we have had great pricing and performance from Internet Solutions. At the end of the day, we would choose the option that benefits our clients,” said Payne.

Afrihost’s main competitors – including MWEB, Web Africa and Cybersmart – are all running their own ADSL networks using Telkom’s IPC service.

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