Telstra unveils new broadband pricetag

Telstra has revealed its new broadband pricing plan, on the back of its move to clamp down on excessive downloading earlier in the year.

Following its June decision to cap -unlimited" downloads to three gigabytes, Telstra postponed its planned additional usage fee rollout scheduled for September following an uproar from the broadband community. Telstra said it was assessing feedback.

The new pricing can be accessed on Telstra's BigPond Web site, but ultimately the three gigabyte limit is now enforced with a fee for excess usage set at 18.9c per megabyte between 3GB and 5GB, and 17.5c per MB thereafter, as opposed to the initial 18.9c usage charge, regardless of excess usage, set down in June.

-If you use 4 gigabytes in one month, the fourth gigabyte will cost you AU$175 in additional charges, or around double what you paid for the first three," broadband community Web site Whirlpool pointed out.

Telstra will also introduce a 5GB plan and a 10GB plan with unlimited speed or Telstra BigPond cable and speeds of 1.5GB/256MB for Telstra BigPond ADSL. For ADSL users, the 5GB plan will cost AU$224.95 per month and the 10GB plan will set users back AU$429.95. Users subscribing to the 3GB plan will pay a AU$89 monthly fee.

The BigPond usage meter will also be upgraded.

"The main difference is that it will be active all the time and provide updates up to the last hour," Telstra spokesperson Stuart Gray told ZDNet Australia.

The new usage meter will also send automatic notification e-mails to assist users managing usage and costs.

The current usage meter has attracted a barrage of criticism from users who find it inadequate to effectively manage their accounts, however, Telstra said it was confident the new meter would work better. "We're confident it will [work better] and we do realise it's extremely important to have it working properly," Gray said.

Telstra maintains it's not "commercially viable" for it to provide a flat rate charge for all members when some are downloading very large amounts of data -- in many cases, greater than 20GB a month. "Telstra does not recoup the cost of providing the service in these circumstances," the telco behemoth said in an e-mail sent to users to layout the new prices.

"We believe the new pricing structure outlined above is an equitable solution for our members. Usage varies enormously from one broadband member to the next and to raise the monthly fee for all Freedom Plan members would see the majority of users subsidising the use of a small proportion of heavy users. Those members using less than 3GB will not be impacted by the changes, while members who wish to use more than 3GB per month can choose to do so and pay for that additional usage."

To reflect the changes, Telstra has revised its Terms and Conditions and Acceptable Use Policy.

Talkback 32 comments

    Looks like we're screwed again ...Anonymous -- 02/11/01

    Looks like we're screwed again. Why would you pay over $400 a month when in the U.S. people only pay $49.99 U.S. a month for a similar service with no download restrictions.

    This service is called DIRECTV DSL.
    Here are its features:

    Use of the DIRECTV DSL™ gateway at no additional cost
    Unlimited Surfing
    5 email accounts
    5 personal website addresses (URLS)
    Static IP address
    1-800 dial in access for when you travel
    (60 mins/month included; 10 cents/min. thereafter)
    24/7 technical support
    10 MB of server space for email
    10 MB of server space for Web pages

    And this is at the same 1500/256 kbps that Telscum is charging $400+ for.

    Where is the option to be limi ...Anonymous -- 02/11/01

    Where is the option to be limited to email and telstra.com after the magic, 3GB, 5GB or 10GB marks. They promised this option in July and now they have retracted the option and now charging for going over. What a joke! They can't do this, they need an option for families because people may go over 3GB without knowing it. The useless (usage) meter hasn't worked for 5 1/2 months and now suddenlly a new super usage meter, which will be updated daily. I don't think so. Telstra do everything to stuff around their customers and no one does anything about it.

    Well telstra we are now in the ...Anonymous -- 02/11/01

    Well telstra we are now in the internet third world. Why not keep it how it was and actually inforce the AUP to kick off the excessive users?

    I have the ADSL 1.5Mbps servic ...Peter Wilson -- 02/11/01

    I have the ADSL 1.5Mbps service... and all I can say is SLOWW!

    It's an extreamly RARE event that I actually achieve a 1.5Mbps download... mostly being limited to 256Mbps which I suspect is a combination of the ADSL and also the fact that "other" web sites don't deliver faster than 256 anyway! To top it all off - ADSL has crawled to almost a complete stop both within Australia and especially overseas recently. Nationally is ok, but I would not say fantanstic.

    My ADSL connection gets booted off about once a week, sometimes twice a week due to "technical difficulties" - which is ok, but I'd rather to be NEVER booted off. In all fairness Telstra are not charging me full price as a result, but I would prefer a FAST and cheap service in that order.

    This is an example of what Tel ...Anonymous -- 02/11/01

    This is an example of what Telstra will do to the wire based phone system if it is privatised following a Liberal win in the election. The ISP industry is essentially deregulated and there is minimal competion in the Broadband area, therefore Telstra can do and charge what the hell it pleases. Exactly what will happen when a privatised Telstra is given free reign over the local call system. And God help regional Australia, they will be reduced to signal fires.

    I have both telstra at optus, ...Andrew Craigie -- 02/11/01

    I have both telstra at optus, telstra at home and optus at my office. The 2 are so different in every way. Telstra make you pay for additional users, wthey cap you at 60kps, and they have a 3gb limit while Optus have only the Netstats AUP (which you can do 20gb a month wihout going over 9.0) and uncapped speed (I have had up to 600kps) and you don't have to pay for additional users. Telstra only let's you have 2 more user accounts on their "Freedom" (why it is named that, we'll never kow) and with Optus I can hook up as many computer as I like. I can have 3 computers downloading simultaniously at 150kps+ each while on telstra I can only get 3 computer at 60kps. I can't see how Telstra claim it's not commercially viable not to do what Optus does. I think they just want to line their pockets more. The only reason I have Telstra at home is that Optus isn't in my residential area. If they were, I'd tell Telstra where to go. If you want to see a funny story about Telstra that some clever guy has made, goto http://www.ziggythecablemodem.cjb.net. It's well worth the read.

    When will Telstra introduce c ...Anonymous -- 02/11/01

    When will Telstra introduce credit for those who don't use their 3Gb allowance. What about a black market for unused bytes. Oh look! The men in their white coats are here again.

    C'mon Optus, where are you when we need you.

    Bloody telstra are a law unto ...Anonymous -- 02/11/01

    Bloody telstra are a law unto themselves there is a lot of room between 20gb an 3gb surely the download limit of 3gb is the amount they came to simply to cash in on more dollars. I have never downloaded more than about 8gb (and I have been connected for more than 18 months because I have just come out of my contract period and so I am able to use the option of changes my isp unlike others) and yet I am now being penalised with the people who abuse the system witch after all they sold as an unlimited download.

    Once again Telstra demonstrate ...John Taylor -- 02/11/01

    Once again Telstra demonstrates an uncanny ability to hold back broadband Internet for Australian consumers. Telstra actively promotes high-bandwidth, content rich media whilst punishing customers for using it!

    When are they going to realise that they have already alienated their next generation of customers, teenagers? I have to use Big Pond cable at my address as there are no other suppliers, but rest assured Telstra the day will come when I move my custom elsewhere as I have already done with my business!

    once again no clue on behalf o ...Anonymous -- 02/11/01

    once again no clue on behalf of telstra (and i say this as a customer and employee..) i lodged my complaint this morning with bpa slaes/accounts i would wish that every other customer does this too if you wish to see the plans repealed or at least modified to a reasonable compromise. i personally will refuse to pay extra download charges in any month that has less than 100% perfect service. if i pay a premium i expect a premium service. downtime is not acceptable to premium service and so i shall not pay.. i dont consider my d/ls excessive (in fact i dont even have 3gb + free drive space currently) however, a few non mirrored linux distros and a viewing habit of streaming audio/video and 3gb is gone.. 5gb is reasonable 3gb is too damn small.

    I clicked on the link to the u ...Anonymous -- 02/11/01

    I clicked on the link to the usage meter in the email this morning, and got an error message (something about tunnelling). So how confident am I that it will be accurate? I assume that if their usage meter shows me using more that 3GB then I have no right of appeal, I'll just get charged the extra. And what if I am halfway through a large download and I get disconnected and have to start again?
    I have just switched 5 business mobiles to Optus, and will switch everything else when I can. I'm voting with my feet.

    LIKE IT OR LUMP IT was THelstr ...Keith Styles -- 02/11/01

    LIKE IT OR LUMP IT was THelstras billing department reply to my lengthy phone complaint today. If you don't like it go somehwere else was the arrogant response I received. When I told them the ADSL service was abysmal and off line most of this week, I was told "You have received many credits this year. You are not going to receive ANY more". Having reminded the Billing Department lady that the credits already received were for past LOUSY performance & I believed additional credit should be given for last months poor service, I was told "YOU WILL NOT GET ANY MORE CREDITS". Last month we suffered "Slow response & repeated "no service at all" all thru the month.
    When I queried the new policy to charge for downloads over the 3Gig cap. I was told "YOU CAN OPT OUT OF YOUR CONTRACT IF YOU DON'T LIKE IT".Brilliant!!! where should I go? I was told go to another company or use 56K dialup.
    This is the 21st century, not the 19th!! I don't have a choice.
    THelstra has a monopoly in my street, 5Kms from the Melbourne CBD. No cable & no prospect of ever getting a cable or having a choice. The arrogant billing person told me, THELSTRA does not have a monopoly. HELLOOOOOO.
    ALL I WANT IS A RELIABLE SERVICE WHICH WILL PROVIDE ME WITH WHAT I PAY FOR, A 512Kbps UnCapped connection. I haven't had that since I contracted to this greedy monster last December.

    Hi, We in the country are stuc ...Bob Baillie -- 02/11/01

    Hi,
    We in the country are stuck with tha old Essentials plan where we have to pay $96 for around 500Mb. Wish we could download 3Gb for $89 Mth.
    But no way Telstra wants to make big bucks from the bush as per normal! Dam disgusting.
    I have repeatidly asked for an upgrade to larger download allowance. Telstra says it has already given a whopping 300Mb download alowance. Ph!

    Exerting Monopoly power Telstr ...Anonymous -- 02/11/01

    Exerting Monopoly power

    Telstra know that many users have no alternative for broadband. They are simply exterting their monopoly pricing power. Where's the ACCC?

    I am sick of telstra, there se ...Anonymous -- 02/11/01

    I am sick of telstra, there service, there palm offs from tech support, to call other companys as its not there fault

    a joke of a plan they proivide, and a service thats keeps slowing down and at times not working at all, (few days ago again)

    when will this crap end, why isn't the ACCC doing anything at all, what can we do to protest ?

    I will change to optus when i have a chance to do so

    In July I changed my fixed lin ...Anonymous -- 03/11/01

    In July I changed my fixed line phone, mobile phone away form Telstra. I was on cable and have gone back to dial-up.

    I will never use Telstra again for anything and that is not an empty promise.

    I will stay on dial-up until I can get unlimited broadband access for under $100 a month form someone other than Telstra.

    Even if Telstra would start offering that deal I would not accept it.

    Before I signed up for broadband I had called Telstra to have the AUP explained to me with very specific questions as the AUP was written in a meaningless way.

    I specifically pointed out that Optus allows the users to use up to ten times the average users downloads before one receives a warning, notifying the customer to reduce the downloads.

    I was told that Telstra would also allow users to download ten times the average.

    Well Telstra lied to me!

    I will never contract with the bunch of
    con-artists again.

    They lied to me before, why would they change their habit in the future?

    Legaly telstra has no leg to s ...Karl W -- 03/11/01

    Legaly telstra has no leg to stand on. The have no choice but to honor existing contracts defined by thier terms and conditions which specifically say nothing about changes to account download ammounts. To do so is tantamount to a breach of taut (breach of contract). If I get charged for a single MB I'll certainly be speaking to the ombudsman, fair claims tribunal, and no doubt the telco's legal department. But once the 18 month contract for unlimited access has expired then the telco has the rights to change its amount but not while in contract for a specifically defined amount (or non amount).

    I'll be buggered if I'm going to let telstra shaft me for a service that I waited for half a year for them to bring to my area.

    What joke... when I saw the li ...Anonymous -- 03/11/01

    What joke... when I saw the link to this article, i thought "Great! Telstra might have dropped its prices!"... how stupid of me! I can't believe that Telstra has actually upped them.

    Does Telstra honesstly believe anyone would pay $425 a month for 10GB??? I wouldn't pay $89.95...

    Oversea's Broadband is as common and as cheap as Dial-Up is over here... why has it taken so long for us to adopt this technology??? and why should we have to mortgage our houses to pay for it???

    The root of the problem is that we only have two companies offering this service... it's very difficult for a smaller companies to offer competitive pricing plans when they are operating of the Infarstructure of Telstra and Optus...

    These prices haven't dropped very much since they've been introduced (they've gone up as far as i can tell)... i'm starting to wonder just how much they are paying the ACCC.

    <clap> <clap> < ...Anonymous -- 03/11/01

    <clap> <clap> <clap>

    Congratulations Telstra!

    You are definately the best at screwing over your customers!

    1.
    How can the ACCC think that Telstra does not have a monopoly and is not anti-competitive in the Broadband market? That is a joke in itself!

    Especially when you consider that there are a lot of ADSL users that don't have much choice in what Broadband products they use.

    I do not have access to cable or satellite. I live in a townhouse!

    2.
    Will Telstra be refunding the difference to those users. So for every 33.7 MB below the 3gb cap that I use they can give me back $1. After all they expect me to pay for each Mb above 3Gb. Isn't it only fair that I charge them for every Mb below 3Gb?

    3.
    I do not really get near the 3Gb limit as it stands at the moment, but that is not to say that wont change in the future. I work in the IT industry and am continually needing to download large patches for customers, etc. I may now be charging my customers a lot more for this service and let them know why they are being charged for it as well. I don't think Telstra's legal eagles have thought of the possible lawsuit they could have on their hands if I were to loose even one customer as a result of this, loss of future earnings and all.

    Not much of a 'Freedom' Plan now is it? All I can say is my contract has now run out so I am free to leave at any time. And believe you me, if these other companies do offer ADSL, I wil be jumping ship quicker than you can say "Telstra Sucks!"

    Telstra you are F**ked.

    The new Telstra conditions wil ...Anonymous -- 03/11/01

    The new Telstra conditions will bring some fairness into BPBC pricing.
    As an ordinary shareholder in Telstra Corp'n, I am disappointed by sections of the community who continually want to suck it dry.
    I long for the day when Australians seek to build better businesses, rather than adopt the child-like "gimme more" than we, regrettably, are accustomed to hearing from narrow-interest folk.
    (I pay the same prices as everyone else, so I get no special benefits as a shareholder.)

    I don't know what you lot are ...Ziggy -- 03/11/01

    I don't know what you lot are complaining about! 3 Gig should be plenty of download for all you Plebs'.

    Just pay your bills and keep quite.

    The Zig

    Looks like i made the right ch ...Anonymous -- 04/11/01

    Looks like i made the right choice. I left telstra the second this pricing thing turned sour. i just think it will be funny when they have no one left.

    I hope Telstra's share price c ...Anonymous -- 04/11/01

    I hope Telstra's share price colapses and all the mercenaries who have stollen our public infrastructure will get their return on crime they deserve.

    I also notice that broadband is not only unlimited in the US, Canada, Singapore, Japan, Korea, some providers in Europe, it is also cheaper.

    Australia gained nothing by selling Telstra, the sale is merely a conversion of an asset form infrastructure into cash.

    It is only a conversion of an asset.

    Australia did not gain anything by selling Telstra apart form high broadband prices.

    Of course I can understand mercenaries greed and their justification for their ill-gotten gains.

    Understanding and condoning are not the same.

    Well that screams financial bi ...Karl W -- 04/11/01

    Well that screams financial bias.

    How can some people justify a billing system which favours wealthy individuals over people with less disposable incomes. A bloke taking home 250K as opposed to someone who has 30K. both of which download about the same and some times go over the limits who do you think will be penalised more.

    Fair go telstra and all those whingers concerned that were not going to get a good dividen from our shares.

    Whats next? when the telco goes private will we be billed by time spent using thier lines? One can only assume that this is the current logic towards Telstra's pricing structure, if you take in consideration of fiscal bias.

    Money grabing thieves, how can ...Anonymous -- 05/11/01

    Money grabing thieves, how can they get away with offering 18 month contracts and then they don't deliver.

    The ACCC and the TIO are certainly a joke.

    Telstra shareholders are in it with Telstra together!

    Who are the accomplices/shareholders going to blame when their shares drop due to Telstra's ethical or lack their of conduct?

    Are they going to blame the customers!

    For Alan Weeks That's a bit hy ...Anonymous -- 05/11/01

    For Alan Weeks

    That's a bit hypocritical isn't it!

    It's the 'narrow intrest' Telstra shareholders sucking dry the poor users for their 'gimme more' share prices.

    Being a better buisness is important but that is not only shown in a better profit margin. Particually when the company is still publically owned and has service obligations.

    Telstra constantly neglects those areas, mostly regional Australia, but also the Broadband community, which are not as profitable for the cash cows of the city copper and cellular networks, or the maintenance of expensive coporate subscribed broadband contracts.

    All for the sake of it's 'narrow intrest' shareholders.

    the math is crazy: on the 3G p ...Anonymous -- 05/11/01

    the math is crazy: on the 3G plan, the cost is about $25 p/G but on the 5Gplan, that cost balloons to about $75 pG. same with the ADSL plans and their delivery service is far inferior (not that the cable service delivery has been so stellar...).

    how can we "join the broadband revolution" without being financially irresponsible?

    Totally obscene pricing and do ...Anonymous -- 08/11/01

    Totally obscene pricing and download limits. This is nothing short of highway robbery. I cannot for the life of me understand why anyone would pay such an exorbitant amount of money for a service that isn't even up to scratch. I live in the Latrobe Valley, and there doesn't seem to be any hope of getting broadband out here in the next 100 years. But even if it was, there is no way I would get it at these disgusting prices and under these terms.

    Totally obscene pricing and do ...Anonymous -- 08/11/01

    Totally obscene pricing and download limits. This is nothing short of highway robbery. I cannot for the life of me understand why anyone would pay such an exorbitant amount of money for a service that isn't even up to scratch. I live in the Latrobe Valley, and there doesn't seem to be any hope of getting broadband out here in the next 100 years. But even if it was, there is no way I would get it at these disgusting prices and under these terms.

    No hope for broadband in this ...Anonymous -- 08/11/01

    No hope for broadband in this country if buffoonery of this nature continues. My opinion of Telstra was already low. This whole situtation simply increases my hatred for a company that has absolutely no idea how to operate fairly and equitably.

    Telstra Ripoff peter smith -- 11/11/08

    You and your shareholders can shove it as far as I am concerned. This is nothing else but extortion. Stuff you and your share holders. As you have now breached your contract with me I am going to immediately change to another provider for landline, Internet and mobile accounts. I have always felt you were overpriced as an internet provider.
    This is my history with telstra:- first internet account at this address failed as the main junction inspection pit for my area of street continually filled with water until my internet totally failed. After three months of banging my head against the wall trying to communicate with the iron curtain of telstra operaters via countless phone calls, buck passing and red tape all this time still not being able to access my adsl account, with sheer frustration I closed all my accounts with them, and guess what, they charged me with breach of contract and tried to extort more money out of me through debt collectors. After 18 months of no Internet and being totally pee-ed off I finally found a complaints number in sydney in the yellow pages. When I stated my case in writing I finally get an apology and cosequently they wooed me back from optus with cash and rate bribes, and foolishly I fell for it. Only after a few months they raised the rates of my adsl account, then sucked me in to paying all accounts via the net without passing any portion of the cost savings of the cost savings to the user, and now this deception of raising charges. This was your last chance with me Telstra you are totally one way and unpatriotic. absolutely pee-ed off.
    Bairnsdale. ps:- come on government where you ???????

    HA HA HA Some people can be dumb -- 11/11/08 (in reply to #320116004)

    Love it
    18 months without internet
    Replying to a 7 year old story
    internet plans have not increased in pricing in quite a few years
    Didn't you get hit with exit fees when you left optus?
    There is no mandatory internet payment system!
    and finally
    Finding a number in the yellow pages so you can put your complaint in writing.

    Absolutely brilliant!

Add your opinion

Latest Videos

Sponsored content

Power Centre - Content from our premier sponsors

Blogs

Tags

Back to top

Featured