Why fibre networks are increasing prices and line speeds in South Africa

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Christian Wirtz News

Fibre-To-The-Business (FTTB),Fibre-To-The-Home (FTTH),Headline

South African fibre network operators have been steadily increasing the minimum speeds they offer subscribers and either increased prices, or removed cheaper, lower-speed products.

South African fibre network operators have implemented forced speed upgrades and price increases because their costs have increased substantially in recent years.on the future of fibre earlier this year.

O’Donoghue said they were spending up to R1 million per month for armed security for staff, primarily in KwaZulu-Natal., known euphemistically as “business forums”, who demand that companies hire their members to perform 30% or more of construction work in their areas. Regarding offering speed increases rather than pure price hikes, O’Donoghue said fibre provides a huge amount of bandwidth, allowing fibre network operators to offer more value when they increase prices.Metrofibre chief commercial officer Christian Wirtz said that interest rates, which make repaying loans more expensive, were another cost driver.

The landgrab Silber referred to is a period during which South Africa’s FNOs all rushed to be first to roll out to neighbourhoods and drive connection rates as part of their initial viability modelling.

Fibre-To-The-Business (FTTB) Fibre-To-The-Home (FTTH) Headline Internet Service Providers Association Of South Af Link Africa Mark O’Donoghue Metrofibre Mike Silber Fibre

 

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