A report in the Business Day, today said that, the price of international bandwidth in South Africa would plummet 80% when the Seacom undersea cable goes live on June 17 next year. This is great news for all in South Africa as internet costs are currently very high and hindering businesses from expanding and reaping the full benefits online media can offer to businesses today. It is reported that, the Seacom cable will cost as little as R267 a month per 1MB, compared to between R3500 and R11000 to use Telkom’s bandwidth on the existing Sat-3 cable, or a punishing R231000 for satellite connectivity. That is one big difference in prices!

Businesses will now be able to be online for as long as they want and not worry too much about how much it will cost them. Most businesses today in South Africa still look at their monthly cost of internet connectivity being a huge expense they can cut down on and thus missing out on opportunities of being online 24/7 and using a lot of bandwidth. The way it mostly works in South Africa today is that you are billed according to how much bandwidth you use a month and thus businesses restrict how much their employees can download on the internet. But with the proposed cost of bandwidth coming down considerably, businesses will now not have to worry too much about the cost and allow employees to be more productive for the business. Yes, some employees will now see this as a great opportunity to download movies and games for their personal use but if monitored and controlled properly businesses can now benefit from downloading large amounts of information that will benefit the company and take advantage of cheaper VOIP (Voice over IP) technology and video conferencing over the internet.

Our business, relies on being on the internet 24/7 and if the cost of that can be cut down by as much as 80% it would be great. Exciting times lie ahead once the new cable has been put in place and is operational.

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