Typically when one thinks of South African business, the word “monopoly” comes to mind. This is because pretty much everything in SA is monopolised, this includes ISPs and mobile telecom companies.
I could go into a lot of detail here, but what this essentially means is that large corporate companies in SA dictate the market. The price of SA Internet is amongst the most expensive in the world, and the reliability of the services offered pretty much stinks. To make matters worse, almost all South African Internet packages are capped. Some as low as 1GB, to a South African 20GB a month is a generous helping.
Here are some calculations to help put things in perspective. Here is a quick comparison between Czech Republic and South African Internet.
CZ – UPC 10Mbps connection – no cap, monthly fee = R250.00 (500 crowns), no phone line needed for this service, it’s cable.
Now lets compare this to SAs Leading ISP:
South Africa, MWEB 4Mbps connection – 4GB cap, monthly fee = R847 (this includes phone line rental) , after cap is reached each 1mb will cost 25c.
Czech Max Download 1 month = 3214.08 GBs or 3.2TB cost = R250
South African Max Download 1 month = 1270.08 GBs or 1.27TB cost = R316500.00
That means you could buy a new luxury car every month or travel around the world 3 or 4 times every month for the price of that internet connection, now so slow, no longer offerred in most cities in Europe.