SA’s Telkom to slash rates next week

South African Internet provider Telkom is reducing the cost of its uncapped fixed-line broadband by up to 40 percent as it looks to undercut its competitors.

The company, which is part-owned by the South African government, announced the reduction this week, and it will come into effect on Friday, February 1.

A Telkom statement said: “Customers can look forward to price reductions of up to 40% for consumer uncapped products and up to 35% for business uncapped products depending on the relevant package.”

The biggest cuts in fees are for the higher-speed connections where a 4Mbit/s uncapped service will cost R369 (US$41) a month, down from R699. A 10Mbit/s line will be R699 a month, rather than R1,399.

The “Do” uncapped 1Mbit/s package has come down to R199 a month from R219.

HumanIPO reported earlier this month that Telkom was removing the “hard cap” on its ADSL services, meaning customers could continue browsing even after reaching their agreed limit.

MWeb, Telkom’s main competitor, has been seriously undercut by provider, meaning a potential price war.

HumanIPO also reported earlier this month that South Africa was an expensive place to access the Internet, being ranked 58 out of 64 in a cost survey carried out by Ookla.

Posted in: Internet

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