The Fake Broadband Price War

from the it-doesn't-really-exist dept

One of the favorite lines trotted out by the telcos and their think tanks concerning the lack of competition in the telco world is that there obviously is competition, otherwise how would you explain the fact that DSL prices keep getting cheaper. The problem is that this is false. While it's true that many DSL providers now offer introductory, time-limited, promotional pricing, the price can go up quite a bit once the promotion ends. Not only that, but since they refuse to offer you DSL without a phone line, you're going to end up paying a lot more than the promotional rate no matter what. When someone from a think tank made the claim recently that DSL prices are now only $18/month, I asked to see the $18 bill. Not surprisingly, there was no response -- because such a bill doesn't exist. Once the forced bundles come in and the various fees, you're talking much higher prices. Now, there's a new study that gives actual numbers noting there is no real price war in broadband. The true price of DSL remains around $35 -- just slightly lower than cable broadband. Don't let the introductory prices, hidden fees and required bundles fool you. There isn't enough competition in the broadband space -- which is just the way the telcos and the FCC like it.

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  1. identicon
    tired of waiting, 11 Jul 2006 @ 1:41pm

    contract

    I have had DSL with SBC for several years @$19/m, with bare bones service about $24/m (includes taxes and fed fee's) Long Distance is another $2/month +.10 a min. (no charge for no long distance).

    After the name changed to ATT they started to play rought, this year at the end of my contract they bumped my dsl up to $34 withouth notice, I have paperless billing and they say they mailed a notice not the stated billing address, but the service address...

    It seems DSL month to month here is $34 and when you go on 1 year contract it's knocked down to like $17.

    In typical cardealer fashion they bill $34/month and then show a $17 discount, instead of just $17/month.

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