Times of India on Fair Usage Policy

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mobile companies were operating at a loss when the price war was on after the new players like uninor and docomo arrived and shook the market. now that things have settled down, airtel increased their prices. and a lot of other companies followed them. there is no such price war in the broadband market. every single plan is apparently massively profitable for the few companies that have a nationwide or wide presence. indian mobile market is very very mature today. indian broadband market is still an infant in comparison. metro cities have like 7-8 options when it comes to mobile services. but no one would have as many ISP options anywhere in the country.
 
there lies the problem. if majority of your users end up consuming more, you are going to make a loss. and this is where these companies thought about fair usage policies because a noticeable number of users were becoming loss making.

the concept i support today is such that the company has simply no excuse not to offer plans like these. because every customer pays for what he use and he remains profitable for the company. no complications. no worries about FUPs in the future. and as bandwidth prices goes down, the charges for the services goes down and not up.

+1 in a nutshell. Some ISPs have priced themselves in to a corner so much so that I would suggest the higher plan users are subsidizing the lower plan users.

Mobile phone market has proven you wrong

6 months back I was paying 1p/6sec , now i am paying 1p/sec
GPRS was Rs48/month 1GB
now its Rs48/3weeks

Missed call service was free, now its Rs7/month
I guess its the same story with all operators

Bandwidth prices HAVE dropped sharply, but part of the reason for recent tariff hikes that *I* could figure out would be that operators simply weren't charging enough at 0.5p/sec or 1p/sec or anything. Moreover, most have had things like 3G spectrum to pay for, which comes with more expensive towers, more backhaul, and so on. Those things ain't cheap, ya know, and even if the tariffs have been hiked by a few percent here and there (even if they were hiked by 50%), India still has the cheapest mobile tariffs in the world.

It makes me sick when I have to go back to my country where we still pay well above Rs15/min (some providers charge up to Rs35/min on prepaid), no per second billing, and SMSes cost around Rs7 each (although most people who do SMSes buy packs of like 2,500 per month for around Rs300), data costs a minimum of Rs600/GB. And before we make monetary comparisons, in terms of income percentage spent on mobile service it's still significantly cheaper here.

mobile companies were operating at a loss when the price war was on after the new players like uninor and docomo arrived and shook the market.

now that things have settled down, airtel increased their prices. and a lot of other companies followed them.

there is no such price war in the broadband market. every single plan is apparently massively profitable for the few companies that have a nationwide or wide presence.

indian mobile market is very very mature today. indian broadband market is still an infant in comparison.

metro cities have like 7-8 options when it comes to mobile services. but no one would have as many ISP options anywhere in the country.

These "averages" seem rather interesting Light Reading Cable - IP & Convergence - Suddenlink Goes Live With Metered Broadband - Telecom News AnalysisI fully agree about the broadband market, and I think that half the issue is that there is no LLU. If LLU were to happen, then ISPs don't have to each have their own cables. And as such, they're all forced to compete on the same platform on the same infrastructure. ISPs that suck lose customers, ISPs that rock gain customers, ISPs that do the best marketing gain even more customers.
 
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go to times of india mumbai edition -- epaper -- page 19 -- second half page is this article
 
aww. man. boring interview. :(
 


However, most ISPs argue that FUP limits are generous and don’t affect most users. But most member of www.broadbandforum.co – a community where internet users discuss connectivity options – disagree
Sushubh Mittal, who runs the forum said: “Nowadays everything is going digital. The web is no longer used only to read the news or write mails. People are buying games and movies on it. For example, consider Steam. Almost all PC gamers use it to buy games online. Now if somebody wants to buy a new game, he will have to download nearly 22GB data. And it is just one game.”
“A few YouTube videos, a couple of downloads here and there, and an hour or two of internet gaming every day is enough to exhaust the 5GB limit in less than 15 days,” said Manish Chowdhary, a sales executive and a member of the forum.
Chowdhary spends Rs 999 every month for a 1Mbps unlimited internet connection from MTNL.
“This is one of the few internet connections that remain FUP-free,” he says. “The speed is not great and MTNL’s customer service is horrible, but I don’t think I have any other option.”
Mittal, however, concedes that given the availability of bandwidth in India, it may be difficult for ISPs to offer truly unlimited connections at a high speed.
“But even then, the prices of bandwidth need to come down. Operators can’t charge Re 1 for each MB after the data limit is reached when they are buying 1GB bandwidth from international players at Rs 5,” he said.
 
aww. man. boring interview. :(
Sushubh, it may be boring, but still its clear that users use this forum for any decision they take... Seems users of this forum are champ and of high quality.
 
or maybe we are the only accessible bunch of people with opinions. :)

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this piece does not exist in gurgaon edition of TOI so i cannot even show it to dad. :P
 
you can show it on epaper... you can also print it !!
 

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