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Airtel Broadband Fair Usage Policy
- Thread starter igod
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mgcarley
Founder, Hayai Broadband
I doubt that the operators will be forced to change their plans.
Let's look at it from the business' perspective:
The plan you're on is xx mbit/s up to whatever your FUP is - as far as the ISP is concered, the assumption here is that you've chosen a plan suitable to your usage, so if you're a heavier user, you should have a plan with an FUP of 50GB and not one of 8GB.
The FUP is supposed to be a safety-net to prevent what seems to be termed as "bill shock", so if you decide to be a cheapskate and get the plan with the 8GB FUP instead of the 50GB FUP despite knowing that you're a heavier user, that's more your problem than theirs.
That's not how it works in real life - most of us hit 50GB without too much trouble, but it's how the plans are designed (and how they're advertised).
But then again, how does the ISP combat this issue? As I've described in other threads, "unlimited" plans are a farce and the "unlimited" business model is faulty - not to mentione that the economics of the situation prevents them from providing anything like 4mbit/s unlimited for Rs999.
Furthermore, Airtel is in the conundrum now that they have some high-price plans with data-caps of 100-200GB, and they're charging an arm and a leg for them, so if they introduce a plan with a 100GB cap for say Rs2000 and a 200GB cap for say Rs3000, then people would have virtually no reason to opt for the faster plan with a 200GB cap that costs Rs8000.
In my opinion, they could lower the price or further increase the data-caps on those plans to about 1TB and still kick out a profit, but, that profit margin % is a lot lower than now and the shareholders don't like that much.
ISPs have enough trouble getting people to pay much more than Rs1500 as it is, so if a plan with a 100GB FUP and 512k thereafter was introduced, the uptake could either be too much (causing speed issues with the service) or not enough (not enough % of users take up the plan because it would probably be priced as "too expensive").
From the consumer perspective:
The FUP's are, realistically, too low for a significant percentage of customers.
There aren't many options for FUPs above 50GB (with Airtel's standard plans as of now) which means users are forced to switch to another ISP if that ISP is available in their area or to switch to a plan which has no FUP - 256k unlimited.
The prices of plans with higher FUPs are often too expensive.
In conclusion:
The only difference the new legislation would make is that this can now no longer be called "broadband".
It may, however, encourage the option of either more 512k unlimited plans (which have basically disappeared from the market during 2010) and/or some operators may choose to introduce more options as far as speed is concerned - FUP of XX GB and then 256k thereafter (as you pay now), FUP of XX GB and then 512k thereafter (as you pay now + Rs200 or something)... it might be advertised as something like "double your after FUP speed for only Rs200" - but of course, I personally can only speculate on what other operators may choose to do.
As I continue to learn more about the industry basically every day, I get to play the role of cynic whilst still being positive towards what the future brings for myself, my company and Indian Broadband as a whole.
Let's look at it from the business' perspective:
The plan you're on is xx mbit/s up to whatever your FUP is - as far as the ISP is concered, the assumption here is that you've chosen a plan suitable to your usage, so if you're a heavier user, you should have a plan with an FUP of 50GB and not one of 8GB.
The FUP is supposed to be a safety-net to prevent what seems to be termed as "bill shock", so if you decide to be a cheapskate and get the plan with the 8GB FUP instead of the 50GB FUP despite knowing that you're a heavier user, that's more your problem than theirs.
That's not how it works in real life - most of us hit 50GB without too much trouble, but it's how the plans are designed (and how they're advertised).
But then again, how does the ISP combat this issue? As I've described in other threads, "unlimited" plans are a farce and the "unlimited" business model is faulty - not to mentione that the economics of the situation prevents them from providing anything like 4mbit/s unlimited for Rs999.
Furthermore, Airtel is in the conundrum now that they have some high-price plans with data-caps of 100-200GB, and they're charging an arm and a leg for them, so if they introduce a plan with a 100GB cap for say Rs2000 and a 200GB cap for say Rs3000, then people would have virtually no reason to opt for the faster plan with a 200GB cap that costs Rs8000.
In my opinion, they could lower the price or further increase the data-caps on those plans to about 1TB and still kick out a profit, but, that profit margin % is a lot lower than now and the shareholders don't like that much.
ISPs have enough trouble getting people to pay much more than Rs1500 as it is, so if a plan with a 100GB FUP and 512k thereafter was introduced, the uptake could either be too much (causing speed issues with the service) or not enough (not enough % of users take up the plan because it would probably be priced as "too expensive").
From the consumer perspective:
The FUP's are, realistically, too low for a significant percentage of customers.
There aren't many options for FUPs above 50GB (with Airtel's standard plans as of now) which means users are forced to switch to another ISP if that ISP is available in their area or to switch to a plan which has no FUP - 256k unlimited.
The prices of plans with higher FUPs are often too expensive.
In conclusion:
The only difference the new legislation would make is that this can now no longer be called "broadband".
It may, however, encourage the option of either more 512k unlimited plans (which have basically disappeared from the market during 2010) and/or some operators may choose to introduce more options as far as speed is concerned - FUP of XX GB and then 256k thereafter (as you pay now), FUP of XX GB and then 512k thereafter (as you pay now + Rs200 or something)... it might be advertised as something like "double your after FUP speed for only Rs200" - but of course, I personally can only speculate on what other operators may choose to do.
As I continue to learn more about the industry basically every day, I get to play the role of cynic whilst still being positive towards what the future brings for myself, my company and Indian Broadband as a whole.
mehrotra.akash
Regular
@adminDoes your IPTV broadband connection get FUP'ed??
"double your after Fair Usage Policy speed for only Rs200"
That sounds like a promising idea to me, if giving more bandwidth otherwise is too expensive for the ISPs. I am on the 999/- 1mbps plan with a 15GB FUP right now, but if I could double that to 30GB for Rs 150-200 extra, I could certainly take it. Although it is too expensive IMO. What the ISPs should do is that they should charge almost the same amount that the extra bandwidth will cost them.
That sounds like a promising idea to me, if giving more bandwidth otherwise is too expensive for the ISPs. I am on the 999/- 1mbps plan with a 15GB FUP right now, but if I could double that to 30GB for Rs 150-200 extra, I could certainly take it. Although it is too expensive IMO. What the ISPs should do is that they should charge almost the same amount that the extra bandwidth will cost them.
i had rather have a system where i can customize my own package. set my speeds. set my minimum data transfer limits. and get a quote from the company 
---------- Post added at 01:05 PM ---------- Previous post was at 01:05 PM ----------
@admin
Does your IPTV broadband connection get FUP'ed??
from what i have seen not yet. but i am still on their older plan that cost me 1900 rupees.
---------- Post added at 01:05 PM ---------- Previous post was at 01:05 PM ----------
@admin
Does your IPTV broadband connection get FUP'ed??
from what i have seen not yet. but i am still on their older plan that cost me 1900 rupees.
D
Deleted member 13033
I pay 3k or more for 2MBps plan from airtel which does not auto reset the FUP every month on the start as Airtel tells you and FUP is gon in 1st week its self my avg dwnld is only 4GB a day or less and sometime no download...so their sys. of implementing FUP sukx nt to mention it doesn't make sence to put such a small cap of 100GB on more than 3K month plan.....now I guess only Hayai BB and similar co.s which probably offer more can save indian BB industry as BB here is coming to end before even starting properly...
mgcarley
Founder, Hayai Broadband
I pay 3k or more for 2MBps plan from airtel which does not auto reset the FUP every month on the start as Airtel tells you and FUP is gon in 1st week its self my avg dwnld is only 4GB a day or less and sometime no download...so their sys. of implementing FUP sukx nt to mention it doesn't make sence to put such a small cap of 100GB on more than 3K month plan.....
now I guess only Hayai BB and similar co.s which probably offer more can save indian BB industry as BB here is coming to end before even starting properly...
I agree. At that price level we'd be comfortable giving you the better part of 200GB on a data plan or 10mbit/s flat-rate (or maybe even 25).
now I guess only Hayai BB and similar co.s which probably offer more can save indian BB industry as BB here is coming to end before even starting properly...
I agree. At that price level we'd be comfortable giving you the better part of 200GB on a data plan or 10mbit/s flat-rate (or maybe even 25).
D
Deleted member 13033
I agree. At that price level we'd be comfortable giving you the better part of 200GB on a data plan or 10mbit/s flat-rate (or maybe even 25).
yar you make me jump with joy and take out the little kid in me everytime you post about your plans
but come on yar 2010 just went and 2011 is gonna start when are are u gonna get here in Delhi....
---------- Post added at 11:02 AM ---------- Previous post was at 10:22 AM ----------
quick update some members are reporting that Reliacne BB have introduced flat rate ultd plans without any FUP but I am not sure if I wanna shift to reliance yet and MTNL toh never had FUP from start...I think only TATA and Airtel are left now who are yet to remove their FUP....
yar you make me jump with joy and take out the little kid in me everytime you post about your plans
but come on yar 2010 just went and 2011 is gonna start when are are u gonna get here in Delhi....---------- Post added at 11:02 AM ---------- Previous post was at 10:22 AM ----------
quick update some members are reporting that Reliacne BB have introduced flat rate ultd plans without any FUP but I am not sure if I wanna shift to reliance yet
and MTNL toh never had FUP from start...I think only TATA and Airtel are left now who are yet to remove their FUP....