Internet prices to drop

THIS week MWeb dropped the price of their uncapped 1Mbps ADSL internet subscription. Is this the start of more price decreases?

I have noticed that MWeb has left most of their other packages unchanged but only time will tell if this is a step to test the waters and to see if there is an increased uptake of the service.

With more and more undersea internet cables connecting South Africa with the rest of the world we will see major price decreases in the next two to three years.

A few years ago we saw major price decreases when the Seacom cable became active. The great news is that most of the cables that are in the process of being installed are quite a bit bigger than Seacom. This would mean that more data can be transferred through these cables.

All of this boils down to major price decreases and huge savings for users. Each time one of these cables go live we can be sure that some type of price decrease will follow.

The great news is that the prices of ADSL connections will continue to go down and I am sure that in a year or two we will see high speed uncapped ADSL connectivity for under R100. This will make possible the growth of many online services in South Africa.