More joining broadband battle

ADSL South Africa (Broadband South Africa), 6 March 2007

It’s as clear as daylight that MTN has started a broadband battle that will see pricing on wireless broadband offerings heading south sooner than expected. Sentech and iBurst have joined the battle and one can expect to see fierce fighting.

The battle erupted when MTN recently ‘dropped its 1 GB data bundle prices from R499-00 to R399-00, and added the bonus of a free Gigabyte of data to sweeten the deal’ (MTN slashed its broadband costs, MyADSL, 17 February 2007). Those price reductions effectively made MTN ‘the cheapest mobile data provider in the country’ (MTN slashed its broadband costs, MyADSL, 17 February 2007). While MTN’s efforts will be cemented in history as the first real effort in 2007 to lower the cost of broadband costs in South Africa, it’s clear that it might not retain the title of ‘Cheapest Mobile Data Provider in South Africa’ for much longer.

The above is especially true after Sentech has launched what can only be described as an all-out broadband assault effectively ‘making them the most affordable broadband provider in South Africa’ (Sentech launches cheapest broadband offerings in SA, MyADSL, 28 February 2007). Sentech’s attack came in the form of new broadband product offerings as well as an upgrade in ‘speed on all its offerings to 1 Mbps, placing them on par with most other broadband services available in South Africa’ (Sentech launches cheapest broadband offerings in SA, MyADSL, 28 February 2007).

To truly appreciate Sentech’s contribution one need to have a look at the comparison tables published by MyADSL in two separate articles recently. It’s clear that Sentech has taken off its gloves:

Table A

(See article titled: ‘MTN shakes up broadband market with new prices,’ published by MyADSL on the 19th of February 2007).

Pricing Comparison

*Please note that 1 GB = 1024 MB was used for this calculation

**Cell C and Virgin Mobile were not included as they do not have true broadband services.

Table B

(See article titled: ‘Sentech launches cheapest broadband offerings in SA,’ published by MyADSL on the 28th of February 2007).

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