On Tuesday 21 March 2006 14:36, Shane wrote:
On another mailing list I follow Orcon have been dragged through the mud over some of the new pricing arrangements, but its been pointed out (as you are also) that Orcon is only the first ISP to follow through on Telecoms changes. IOW other ISPs announcements will be in the same vein shortly and none of them can help it
-On Wednesday 15 March 2006 20:15, Wayne Kampjes wrote: -> >From: "Ian Batterbee" -> > In other words, If I download between 9 and 11GB in a month, I'll be -> > paying $10 more than I did previously. -> -> It's called "the law of averages", your problem is you are Joe Average -> or better. -> -> The ADSL "line" that Telecom supply has a sustained information rate of -> 25kbs which works out to a maximum download + upload capacity of 16gig -> per month. -> -> By lowering the usage limit to 4GB and then charging excess they are -> actually lowering the available/dedicated bandwidth that is being -> supplied to each user (within the price). -> -> So the actual "Sustained Information Rate" (i.e. the dedicated bandwidth -> you are paying for in the base price) is 25k * 4 / 16 or about 8k bits per -> second. -> -> So we have 8 kilobit per second "Broadband" for $1 per day, that should -> kick us up the OECD charts a bit :) -> -> What Telecom has actually done is raised the "average" price of -> Broadband but lowered the "minimum" cost. Claiming that they have -> lowered the price of Broadband is a bit rich because price comparisons -> are normally done with an average of prices. -> -> Under the old UBS pricing scheme if the average usage of each user -> started to increase (as it should/will do) then Telecom would not make -> any more money; the new scheme solves this issue, as you have found -> out. -> Intersesting reasoning. Those especially on higher speed plans have commented that they cannot justify the increased costs. It would seem that Ihug and others who have not yet signed up to the latest round of Telecom contracts have been given the green light by the Comerce Commission to seek out alternative deals even if they have to go with Telecom in the interim. Yay for open market ideals! Unfortunately Orcon have signed so may now be locked into their contractual commitment. This being the case, changes from them seem unlikely? -- You buttered your bread, now lie in it.