Telstra raises Net toll

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.

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Talkback 9 comments

  1. Telstra and their useless staff hit again... useless_staff@telstra.com -- 22/01/02

    Telstra and their useless staff hit again...

  2. Anyone wanting to find out how to win an unpopularity contest hands down should contact the board of Telstra , and ask for the chief A$$hole.....I take that back , they will all scratch their heads and wonder "is that for me"...creating confusio Dean -- 22/01/02

    Anyone wanting to find out how to win an unpopularity contest hands down should contact the board of Telstra , and ask for the chief A$$hole.....I take that back , they will all scratch their heads and wonder "is that for me"...creating confusion amongst the lot of them.

  3. SO TELSTRA HAS OUTLASTED IT MOBILE PHONE COMPETITORS AND NOW IS THE FIRST AND LAST ONE STANDING IN THE BROADBAND MARKETPLACE. IF THIS IS NOT A MONOPOLY WHAT IS? TELSTA IS OK, ITS THE THE ANIMAL AT THE TOP OF THE HEAP I'D LIKE TO MEET SOMEWH Anonymous -- 22/01/02

    SO TELSTRA HAS OUTLASTED IT MOBILE PHONE COMPETITORS AND NOW IS THE FIRST AND LAST ONE STANDING IN THE BROADBAND MARKETPLACE.
    IF THIS IS NOT A MONOPOLY WHAT IS?
    TELSTA IS OK, ITS THE THE ANIMAL AT THE
    TOP OF THE HEAP I'D LIKE TO MEET SOMEWHERE DARK.
    WHAT IS HIS NAME?

  4. T(H)ELSTRA IS A GREEDY,AGGRESSIVE MONOPOLY. When it is incapable of providing a reliable service (Broadband),it raises prices to cover its total incompetance. No other business organisation could do that & get away with it. Once again T(H)ELSTRA Keith Styles -- 23/01/02

    T(H)ELSTRA IS A GREEDY,AGGRESSIVE MONOPOLY. When it is incapable of providing a reliable service (Broadband),it raises prices to cover its total incompetance. No other business organisation could do that & get away with it.
    Once again T(H)ELSTRA has demonstrated its total lack of understanding "100% of nothing is NOTHING". That is what will happen to its Broadband service. That is perhaps what
    T(H)ELSTRA management is aiming at ?
    Anyone who has the option of an alternate provider should desert this s(T)inking ship. I don't, unfortunately, so I like many have to suffer the totally incompetent maddness of our countries largest monopoly.

  5. Well I guess this is gonna be a hot issue....up there with the "Banks". I tried Big Pond dialup initially for the reason that due to financial embarrasment at the time, it was the only way I could connect to the net with no cash upfront. After e Chris Johnson -- 24/01/02

    Well I guess this is gonna be a hot issue....up there with the "Banks". I tried Big Pond dialup initially for the reason that due to financial embarrasment at the time, it was the only way I could connect to the net with no cash upfront. After enduring constant disconnects during the "Free trial month" period, I terminated it, and found a small provider in Perth at $5 a month less, No download limit(I busted the Telstra limit after 2 weeks!)and I virtually have an "Always connected" service, no contract to sign AND no upfront connection costs. I have succesfully managed to dissuade a few of my friends from Joining "Big Pond" after pointing out the obvious limitations, and getting others to transfer to a local provider. I concede that unlike BT in the UK, Telstra does at least keep up with technology, and our ACCC watchdog has a bigger stick than its UK counterpart Oftel, but like many others, I feel that a closer eye has to be kept on Telstra. They clearly are pricing themselves out of the market (even with ADSL) as there are many smaller providers local to me who provide better service at a more realistic (read affordable) price whom I will continue to recommend until I see "Value for money" in Telstras tariffs.......Mmmm..... waiting, waiting

  6. Howard government behind it all... Do you think this could be a conspiracy? The Howard government is behind all these price hikes, so it can **** off the Australian public enough to make us want them to sell off Telstra, in the hope that things will Anonymous -- 26/01/02

    Howard government behind it all...
    Do you think this could be a conspiracy? The Howard government is behind all these price hikes, so it can **** off the Australian public enough to make us want them to sell off Telstra, in the hope that things will get better after it's sold off? This is the only logical reason why I think Telstra would be doing this. 'Cause seriously, no one can be so dumb as to think they can make money and keep consumers happy by putting prices up once every couple of months.

  7. So Telstra is raising the price on a crappy service, further beating up the "small guy" and making it easy and cheap for the "big guy", not bothering to fix any of the existing problems with their network - and people wonder why small S.Kuhn -- 04/02/02

    So Telstra is raising the price on a crappy service, further beating up the "small guy" and making it easy and cheap for the "big guy", not bothering to fix any of the existing problems with their network - and people wonder why small businesses are dying in Australia? Maybe it's because the "small guy" bears the brunt of the costs all the time and eventually can't pay it.

    What happens when there is nothing left but "big guys" and the "small guy" has gotten offline and out of business? Is that the "Australian Way"?

    Sounds like commercial slavery being sold on a silver platter; but candied over to make it sweet for us "small guys".

  8. Telstra owns Austar as well, and again without direct debit there will be extra costs involved as a penalty, they then increase their prices which they just take by direct debit, if one attempts to ring (dont} to inquire, we have a choice of an hour on ho Anonymous -- 25/02/02

    Telstra owns Austar as well, and again without direct debit there will be extra costs involved as a penalty, they then increase their prices which they just take by direct debit, if one attempts to ring (dont} to inquire, we have a choice of an hour on hold or email which no reply will ever come. They blame everything on the increase of the gst and its costs. I know of no increases in the gst . Does anyone knoe that the gst has gone up again?..MT

  9. I just want to let all people who are considering going to XiS know that they should think again. I signed up for their service and have yet to see anything more then 6 months down the track. They have taken more then $800 from me and they are uncontactab Greg Solon -- 05/08/02

    I just want to let all people who are considering going to XiS know that they should think again. I signed up for their service and have yet to see anything more then 6 months down the track. They have taken more then $800 from me and they are uncontactable, by phone or email. I strongly believe that it's a scam and I doubt that I'll see my $800 again. If anyone reading this can suggest any action for me to take, I would be glad to hear it - please email me if you have advice: g_solon@hotmail.com - thanks.

    I was looking for a cheap broadband provider and I lose $800 - it's a seriously big blow to my finances and I'll have to sacrifice somethings to make ends meet - it's really been very disappointing.

    Greg

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