Telstra raises Net toll - News - Communications

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This story was printed from ZDNet Australia.
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Telstra raises Net toll

By Rachel Lebihan, ZDNet Australia
January 22, 2002
URL: http://www.zdnet.com.au/news/communications/soa/Telstra-raises-Net-toll/0,130061791,120263071,00.htm

Serving customers a double blow, Telstra plans to winch-up its broadband Internet pricetag, hot on the heels of its recent mobile phone price rates that has left the ACCC investigating anti-competitive claims.

Following the pressure of leaked pricing details and a myriad of press reports over the last few days, Telstra said it will officially announce details of its latest price hike today, ahead of its scheduled February 1 release date.

In documents shown to ZDNet Australia, the telco giant seems to be slinging the shots at its residential ADSL customers under its new pricing regime, with increased monthly fees and no sign of the speed restrictions that cable users will now benefit from.

A 3GB residential ADSL plan will now cost customers AU$111.45 a month compared to AU$105.50 and slimmed down excessive usage charges will offer little consolation to customers who are still reeling from the implementation of such charges just six months ago when the telco heavyweight capped what it had previously marketed as an -unlimited" service.

Although a 3GB cable plan will soar from AU$67 a month to AU$87.95, the highest hike in pricing under the new scheme, cable remains the cheaper option and in a move that appears an effort to make cable more appealing than ADSL all cable plans will see speed restrictions lifted.

Existing 5GB and 10GB residential plans will remain, with excessive usage charges falling to 12.9 cents per MB after 5GB and 11.9 cents after 10GB.

Telstra is introducing a 1GB residential plan but has pulled a loyalty contract of AU$5 for those customers that have outlasted their contract.

Whereas residential customers appear punished under the new pricing program the dominant telco's business customers will reap the rewards of deflated price. For a lesser fee, business customers will also be flattered with higher speeds, improved download usage and a lesser excessive usage charges.

According to broadband community Web site Whirlpool, Telstra's underlying motive is to -ignore the messy residential broadband arena, and focus on business customers".

-Considering the superior values available from companies like Netspace and XiS, residential BigPond users who are no longer on their contract should seriously consider changing their ISP," a message posted on the Whirlpool site went on to say.

Reports also indicate that Telstra is set to slap its dial-up Internet customers with increased fees.