ADSL South Africa - One Price ADSL Broadband

Click here for a full list of factors to consider when getting ADSL Broadband.

In this section of ADSL South Africa (Broadband South Africa) our focus will be on One Price ADSL Broadband in South Africa. We shall not go into all of the details here but you will have a pretty good idea of what One Price ADSL Broadband is.

One Price ADSL Broadband refers to an ADSL Broadband service where the subscriber pays one bill instead of separate bills for the same ADSL Broadband service. The amount you pay is the total cost to have ADSL Broadband. This service is also referred to as a single price ADSL Broadband service, a single bill ADSL Broadband service, a combined price ADSL Broadband service, a single-cost ADSL Broadband service, an all-in-one ADSL Broadband service, a combined ADSL Broadband service, a single ADSL Broadband account service, etc. Do not worry if you don’t understand all of it yet…

To better understand One Price ADSL Broadband, we first need to look at the traditional or conventional way of getting ADSL Broadband in South Africa and then at the relatively new or alternative way of getting ADSL Broadband in South Africa. To make things easier, let's assume for a second that Telkom is the only ADSL fixed-line provider in South Africa.

Ok, first the traditional or old-fashioned way…

The Traditional Way

The traditional pricing structure prescribes that the ADSL consumer has to purchase three separate components:

• Standard Analogue Line 

• ADSL Access Portion 

• ADSL Broadband Service Provider  (ADSL ISP) portion 

‘The first two services must be purchased from Telkom while the third part can be purchased from a variety of ISP’s’ (Why a Single-Cost ADSL service, MyADSL, 20 June 2006).

In other words, under the traditional system one has to buy both the standard analogue line and ADSL access portion from Telkom and the ADSL Broadband Provider (ADSL ISP) portion from the ISP of your choice (which may include TelkomInternet).

Under the traditional system you basically sit with two separate bills: One coming from Telkom and one coming from your preferred ISP (excluded TelkomInternet).

Under the traditional system you can only go for a single ADSL Broadband account solution if you choose TelkomInternet as your preferred ISP (Internet Service Provider). At great cost though, because it’s no secret that TelkomInternet is not the cheapest ISP around. Meaning that if you prefer them as your ISP, under the traditional system, chances are good that you’re going to overpay for something you could have got much cheaper elsewhere.

Now let’s look at the new or alternative way of getting ADSL Broadband…

One Price ADSL Broadband

The defining feature of the One Price ADSL Broadband system is that you only pay one bill to get ADSL Broadband and not separate bills like under the traditional system.

‘This new model gives ISPs the ability to provide customers with a single bill for their ADSL service, something service providers have been hankering after for a long time’ (Combined ADSL offerings start to see the light, savings in store for consumers, MyADSL, 17 April 2007).

In other words, you get a single bill for your ADSL Broadband service.

Advantages and Disadvantages

While true One Price ADSL Broadband is not yet available in South Africa (except from Telkom) because of Telkom that prefers to play hardball, we’re nonetheless moving towards the acceptance of a much better ADSL Broadband pricing model…

The truth is that we shall never see a true One Price ADSL Broadband service while Telkom acts as a wholesaler (the selling of goods to merchants; usually in large quantities for resale to consumers – WordWeb) as well as a retailer (the selling of goods to consumers; usually in small quantities and not for resale – WordWeb).

Why is Telkom playing hardball? Because it’s ‘…better to ensure that you keep control over the full fixed line broadband market than to force every client to purchase at least one component from you…’ (Why a Single-Cost ADSL service, MyADSL, 20 June 2006).

Nonetheless, let’s look at the advantages and disadvantages of One Price ADSL Broadband from the ADSL Broadband consumer’s perspective:

Advantages of One Price ADSL Broadband

• One Bill – There’s no inconvenience as associated with the paying of separate bills, because the subscriber gets only one bill to pay for the entire ADSL Broadband service. 

• Easier Price Comparisons – It makes price comparisons of ADSL Broadband packages/offerings easier, because the subscriber doesn't need to look at the prices of  separate components. It makes it much easier to compare ‘apples with apples.’ 

• Fault Resolution – ‘If a customer uses an ISP other than TelkomInternet it is often out of the hands of the independent ISP to assist with the problem. If the problem lies on Telkom’s side the ISP’s hands are tied and it is virtually impossible to provide good customer service’ (Why a Single-Cost ADSL service, MyADSL, 20 June 2006). This is not the case with One Price ADSL Broadband. 

In other words, the subscriber doesn't need to deal directly with Telkom.

• Better Packed Offerings – ADSL Broadband Service Providers have more control over the components of the ADSL Broadband service and can therefore offer subscribers better packed ADSL Broadband offerings.  

• Etc. 

Disadvantages of One Price ADSL Broadband

Sorry, but we can’t think of any disadvantages from the ADSL Broadband subscriber’s perspective.

What about installation and support?

Your preferred ISP will handle most of the installation and support...

‘Telkom’s involvement in installations will effectively be isolated to the allocation of the DSLAM port. What this means in practice is that Telkom technicians are not dispatched to a customer to do ADSL-related installations or first-level ADSL support’ (All-in-one ADSL price here within weeks, MyADSL, 30 March 2007).

In other words, you don’t have to wait ages on Telkom technicians to come and do the ADSL line installation. Your preferred ISP will sort it out for you.

Will the new pricing model replace the old one in its totality soon?

No, not while Telkom is still calling most of the shots.