{"id":8855,"date":"2012-04-09T11:06:22","date_gmt":"2012-04-09T09:06:22","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=8855"},"modified":"2013-04-12T12:39:57","modified_gmt":"2013-04-12T10:39:57","slug":"lower-adsl-ipc-rates-to-boost-isp-profitability","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/internet\/8855\/lower-adsl-ipc-rates-to-boost-isp-profitability\/","title":{"rendered":"Lower ADSL IPC rates to boost ISP profitability"},"content":{"rendered":"<p>The Independent Communications Authority of South Africa (<a title=\"Company Information\" href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php\/226385-ICASA\" target=\"_blank\">ICASA<\/a>) announced last week (30 March 2012) that wholesale ADSL IPConnect (IPC) prices will be dropped by 30% from 1 April 2012. The lower wholesale ADSL rates give Internet Service Providers (ISPs) more breathing room on pricing.<\/p>\n<p><a title=\"Company Information\" href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php\/226185-Cybersmart\" target=\"_blank\">Cybersmart<\/a> MD, <a title=\"Person Information\" href=\"http:\/\/mybroadband.co.za\/vb\/showthread.php\/278903-Laurie-Fialkov\" target=\"_blank\">Laurie Fialkov<\/a> said that the IPC price breaks are very welcome, as it makes the prices that the company currently has in the marketplace profitable. \u201cWithout the price breaks, the prices are just [breaking] even, with some of our products [making a loss],\u201d said Fialkov.<\/p>\n<p><a title=\"Mweb\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1817-Mweb\">Mweb<\/a> ISP CEO, <a title=\"Derek Hershaw\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1818-Derek-Hershaw\">Derek Hershaw<\/a> said that the company will use the IPC savings to boost its network capacity, and also cut the price on some of its products.<\/p>\n<p><a title=\"Altech Autopage\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1725-Altech\">Altech Autopage\u2019s<\/a> <a title=\"Wayne de Nobrega\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1819-Wayne-de-Nobrega\">Wayne de Nobrega<\/a> said that, although recent pricing in the market was already pre-empting the price drop, the price reduction of 30% will create some additional room for some price adjustments.<\/p>\n<p>\u201cYou will definitely see some additional products from ATC &#8211; first for the business market and then later for the consumer market,\u201d said de Nobrega.<\/p>\n<p><a title=\"Web Africa\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1820-Web-Africa\">Web Africa<\/a> CEO, <a title=\"Tim Wyatt-Gunning\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1821-Tim-Wyatt-Gunning\">Tim Wyatt-Gunning<\/a> said that that the IPC price should probably be halved, but 30% is a good start.<\/p>\n<p>\u201cSince IPC represents well over half of our entire network costs, it&#8217;s a meaningful drop, so, for once, thank you Telkom for helping us to get one step closer to our international peers,\u201d said Wyatt-Gunning.<\/p>\n<p><a title=\"Afrihost\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1822-Afrihost\">Afrihost<\/a> director, <a title=\"Greg Payne\" href=\"http:\/\/businesstech.co.za\/forum\/showthread.php\/1823-Greg-Payne\">Greg Payne<\/a> said that the ISP is very happy with the IPC reduction. \u201cIt is something we have been hoping would happen for a number of years,\u201d said Payne.<\/p>\n<p>\u201cThis will definitely have a positive impact on ADSL prices for consumers and businesses in South Africa. It also is positive for local ISPs, where they will be able to offer more exciting fixed-line services to compete with the latest mobile offerings,\u201d said Payne.<\/p>\n<p><strong>Related articles<\/strong><\/p>\n<p><a title=\"Telkom upgrading broadband speed and infrastructure\" href=\"http:\/\/businesstech.co.za\/news\/telecommunications\/8585\/telkom-upgrades-broadband-speed-and-infrastructure\/\" target=\"_blank\"><strong>Telkom upgrading broadband speed and infrastructure<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Telkom has cut their wholesale ADSL rates by 30%, giving Internet Service Providers more room to maneuver when it comes to product pricing<\/p>\n","protected":false},"author":2,"featured_media":8900,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9882],"tags":[79,1944,1949,2179,1946,26,36,38,65,1556,1928,953],"class_list":["post-8855","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-internet","tag-adsl","tag-afrihost","tag-altech-autopage","tag-derek-hershaw","tag-greg-payne","tag-headline","tag-icasa","tag-mweb","tag-telkom","tag-tim-wyatt-gunning","tag-wayne-de-nobrega","tag-web-africa"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/8855","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=8855"}],"version-history":[{"count":8,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/8855\/revisions"}],"predecessor-version":[{"id":9331,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/8855\/revisions\/9331"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/8900"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=8855"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=8855"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=8855"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}