The price for fast Internet connection

Is RM149 a month for 5-megabits per second (Mbps) a steal or pricey?

It comes with free voice calls, some TV channels and other stuff. That is UniFi, Telekom Malaysia Bhd’s latest offering in high speed broadband (HSBB).

In the fast lane of broadband, speed is king. Without speeds of 5-50Mbps, and capacity, don’t call it HSBB.

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Your waiting time to surf and download with 5Mbps is lower than 1Mbps. It is as though you are driving a Mercedes sports at top speed. If you want faster speed, say 10Mbps, pay RM199 a month and you may feel you are at the wheel of a Ferrari or Porsche.

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  • Ashraf

    Thats good, utilizing copper based DSL to it's limits. TM would be wise to follow suit for areas not served by UniFi.

    Though in retrospect, max upload speed on SingNet's package is 1Mbps while TM's is still 10Mbps (so they say). Advantage of FTTH tech yes? Aside from video conferencing, this could encourage the use of distributed computing or residential “servers”, perhaps.

  • LEDfreak

    Let's do a comparison which will rile the “you tak suka, you keluar dari Malaysia” folks up:

    TMNet HSBB
    - 10Mbps, 90GB (Suspended temporarily)
    - Voice Line
    - HyppTV IPTV
    - 24 months contract
    - all three for RM 199 p/m

    SingNet DSL
    -10 Mbps, unlimited
    - Voice line
    - MiO TV IPTV
    - 24 months contract
    - all three for SGD 56.90 (RM 137 p/m)

    Singtel could offer Unifi's “New possibilities of the digital era” with plain copper wires (DSL). TM is only able to offer all these with an upgrade to “fibre optics”. See something amiss here?

  • http://malaysianwireless.com/ Kugan

    Wow, Singtel's offer not bad!
    Sent from my BlackBerry® smartphone

  • Ashraf

    Hopefully Streamyx packages would be cheaper! If not, go for wireless.. at least competition will drive prices down.

    • ThePacik

      Thank goodness it is not cheaper. Already there are too many Cheap Mobile Internet. Time to put a stop to all this. The Internet is evil and addictive. Listen to pacik. http://www.thepacik.com, join our movement to put a stop to this all.

  • http://budak-kom.blogspot.com/ ge7

    agaknay berapa orang sahaja yang mampu membayar sebanyak itu. ramai dari kita yang berpendapatan RM 500 n ke bawah. sape sanggup bayar 1/3 dari gaji untuk internet..TM sangat melampau

  • LEDfreak

    When we compare to Singapore, it's even sadder. They earn more than us, yet their Internet is cheaper than ours. Macam mana tu?

    • Fikir

      kenapa nak compare dgn singapore? jauh sgt perbezaan dgn Malaysia. mereka tak payah tanam tiang dan tarik kabel. lepas tu kawasan kecil jer…

  • LEDfreak

    I dunno dude, but I suppose for general users such as myself 1Mbps upload is good enough. Especially at that price.

  • mafiz

    Copper DSL has its limit according to distance from nearest node. I think for country like Singapore or Korea (Seoul), population density is not really a problem to provide that kind of speed. Perhaps for Malaysia, we could still get 10Mb on DSL but to very selected areas. Besides, Singaporean telcos I think owns far more international bandwidth as a regional hub and thus, able to pass the benefits of economies of scale to their citizens.

    As for pricing, I think UniFi prices could be more attractive addressing affordability. 3 price points is very easy to market and communicate to the mass, but does it really satisfy individual needs? It should be more customised in terms of pricing and value.

  • Chai

    and…i think MioTV content is moreeeeeeee than HyppTV lo…

  • Ashraf

    While I agree wireless prices here are still inflated, I think its a little difficult to compare to Singapore vis-a-vis. It is easier to split existing cells to cater more population than to install dedicated 3G BTS's for relatively sparsely populated areas to ensure sufficient coverage. That could factor in why SingTel's ARPU is almost double than Maxis these days (though this is probably worth a seperate discussion).

    Malaysia is probably in a flux when it comes to mobile telecommunications. Pakistan and India have more developed telecom infrastructure fueled by population demand. However, with the case of Pakistan at least, advanced networks and Internet are still behind Malaysia. We keep on trying to introduce technology to keep up with the competition, yet we do this prematurely while stretching resources to maintain existing networks. Trying to progress sustainably is the key for a win-win situation for everyone.

  • Ashraf

    Not really the best source, but TM claims landing sites are open for others: http://www.tm.com.my/about-tm/media-centre/pres…

    What the more probably scenario is that being a monopoly in other segments allowed TM to invest heavily in those landing sites compared to others. Perhaps its possible for small telcos to band together for the sake of common interests?

    Regarding last mile infrastructure, it is also up for grabs (see Kugan's article here: http://www.malaysianwireless.com/2010/02/time-d…). Again, costs seems to be the prohibitive factor.

    It is quite easy to point the finger at the incumbent, but I feel other telcos have the ability to provide alternatives given some sort of cooperation (since they all have common interests).

    Or we could go with South Korea's method with strong government policy =)

  • LEDfreak

    Wireless packages here also hidup segan mati tak mau one. Stingy data, woozy performance, skyhigh prices.

    Again, I have to bring in Singtel for comparison. Singtel BBoM (Broadband on Mobile – 3G/HSDPA) – 1Mbps, 30GB data allocation, for a mere SGD 22.42. Makes you wanna cry (for blood!)

    As for Streamyx, I think I read somewhere they're maintaining prices as they are, except for the 4Mbps package, which went down by RM 20 from RM 160 p/m.

  • LEDfreak

    You have a point, but I still think comparison with Singapore is the only way to go forward. Too many times we allow our tel cos to sit on their tush comparing ourselves with Zimbabwe, Ghana and Hungary. At the current comfort level, we will not notice when these nations surpass us one day (South Korea, which in 1975 was even poorer than us then, is a classic example).

    I think it's been mentioned somewhere before, the reason our Internet access costs a bomb is because the landing sites are all controlled by TM. Is this observation still valid? If it is, then it's a really sad case because the cost is driven up by Telekom, not helped in the least by the fact that it already has virtual sole control over the last mile infrastructure. Singapore's liberated I have been told (landing sites and last mile access control).

  • Ashraf

    Lets hope some companies introduce some disruptive technologies. “Low” cost Wimax started out well, though ran out of steam.

    What do you think of satellite communications coupled with Wimax ground stations? With private launch vehicles entering the market, it seems less prohibitive than before.

  • LEDfreak

    Those statements from Telekom are akin to saying you have the freedom to stick your tongue in the power socket. It still does not explain however, why the situation in Singapore is different, as far as landing sites and LLU uptake are concerned. Oh wait, you just did. Costs! I wonder why? :-)

    Strong government policy, with Telekom? You're surely more optimistic than I am :-)

  • LEDfreak

    I thought it was Malaysia all along that wanted to be THE hub for Asian Internet. This has been bandied about since the first days of MSC. Wonder what happened :-D I forgot the distance sensitive nature of DSL, but all the same, I think it's the obscenity of having to pay an arm and two legs for substandard service that most people cannot stomach. Hence, I concur with you on the pricing -I think most Malaysians don't mind just using 1Mbps, as long as it does not cost a bomb. The Internet is no longer a luxury, but somehow this fact seemed to have bypassed TM and our policy makers.

  • mafiz

    Same as Singapore Airlines, in telecommunications, they own most of capacities in this region. Why can't other telcos seek access to Singapore landing sites if TM is a monopoly here?

  • LEDfreak

    That reeks of “if you tak suka, you keluar”, doesn't it? :-P

    And so we're doomed and supposed to accept it as it is, is it? Sad, really. I wouldn't feel too much insulted if we haven't been bragging about becoming the IT hub of Asia, possibilities of the digital era, bla bla bla.

  • mafiz

    That's the problem. We introduce technology to keep up with competition! I think technology and resources should compliment each other for efficiency and cost effectiveness. Today we're seeing multiple technology providers fighting for the same pie and not expanding it.

  • mafiz

    I think we’ve always argued about costing. So we seek alternative technologies as a vehicle for competition to drive costs down. I really feel it’s not a cost issue here. It’s in the retail pricing. Maintaining high profit margin and creating shareholders value is their main mantra. They forget that shareholder value is a function of customer’s satisfaction and value creation. Therefore, when it comes to retail pricing, it must address needs, affordability and has to reflect the outcome or value.

    If they’re customer centric enough and not infra centric, they could match the right technology/supply, at the right time and to the right customers/demand. The problem with our retail pricing today is it is based on the underlying infrastructure costs. To me prices should be based on the value it intends to create. Cost doesn’t determine price. Why? Because price determines demand, utilization and ultimately unit costs. What determines price? VALUE. So it’s the other way round really. The industry has to embrace this value based pricing to fully realize the economies of IP network. Otherwise, they’ll just keep on commoditizing the industry.

  • kentwan

    LOL …. “In the fast lane of broadband, speed is king. Without speeds of 5-50Mbps, and capacity, don’t call it HSBB. “

  • http://budak-kom.blogspot.com/ gie7

    sori bro…ceo tm dengan sombonya berkata ia takkan menjadi rendah kerana kononnya nak orang abik unifi…..hahahahha…

  • Vincent

    Yes, TM said its open for landing site for all telco… but bear in mind, open doesn't mean cheap rate also… TM charge a bomb!!!! I have experience inter-connect with TM, TM change connection fee is the same price for a LL to Singapore… TM is monopoly!!!! Thats why Malaysians suffer….

  • will

    singtel’s got unlimited, tmnet’s 90GB… what the heck???!!!

  • Zaman_cam

    but u fail to mention

    2gb mail unifi n singtel 30mbs only
    10cent/min to mobile/free call to fix line unifi but singtel only 15%discount on v019
    mio tv iptv singtel only 15 free movie per month and must pay for others content with 10%discount n unifi iptv 21channel n vod its free
    unifi dynamic ip n singtel static ip

  • Mdfarizal

    Bro , copper cable capable for short distance as Singapore city but for malaysia we need fibre optic for high speed transmission over long distance.

  • LEDFreak

    Ello brudder,

    1) 2GB UniFi v 30MB Singtel webmail. Who uses ISP email these days? It’s hardly a selling point with any ISP around the world these days. It probably was in the 1990s, the era that TM still seems to be stuck in.
    2) Your face value comparison of voice call rates between TM and Singtel is laughable. Do you even know the pittance that SingTel charges for voice calls? A fixed-to-mobile call with Singtel is charged only 10 cents for FOUR minutes.
    3) IPTV: UniFi is also starting to charge for IPTV content come 1 September 2010. Google it.
    4) One of the main gripes of bandwidth-savvy Internet users in MAlaysia is how expensive static IP connection is. A lot of users, dedicated bandwidth users will want static IP. I fail to see how this is a bad point on SingTel.

    You forgot to mention SingTel even throws in mobile broadband access, with free modem, and 30GB data limit. How does UniFi top that?

    Even on price point alone, UniFi fails miserably. Period.

  • LEDFreak

    If fiber optic is the end-and-be-all solution for lack of coverage due to distance, you’d think the whole country would have had access to UniFi by now.

    Oh, heard of Singapore’s “OpenNet”? Google it!

  • padi hijau

    its a really an interesting discussion. im working for tm sub, yet i think TM could do better for unifi pricing, jeopardizing the purpose of broadband to general population. People like to compare M’sia wif S’pore, for me i like to compare us to UK, i paid only 5pound to have more than 1 Mbps DL, in a month, unlimited usage using T-mobile (2010). That is dead cheap for a standard living much much higher than us. Come on TM, think about the goods you could do to the nation!