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Is Internet Solutions moving against the
trend?
ADSL South Africa (Broadband South Africa), 21
December 2008
This is the question one can ask after it has become clear
earlier this month that Internet Solutions (IS) has increased their prices for Business ADSL, forcing IS resellers such as Web Africa and
Axxess to announce price increases of their uncapped ADSL services in January
2009.
Against the trend…
The cost of broadband Internet access to the consumer has been
declining over the past year in South Africa. In addition, it is widely expected that this cost will drop with up
to 80% when the undersea cable, SEACOM, becomes operational in September 2009. The trend is
clearly downwards in terms of the cost of broadband Internet access in South Africa, unlike the cost of food,
which is clearly on a rising trend. This is why it’s difficult to believe that Internet Solutions (IS) has
increased instead of lowering ADSL prices.
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