internet providers

Greedy ISPs refusing to pass on savings

Matthew Hooton and a collection of greedy ISPs mounted a campaign to lower the core costs of broadband…labelling the higher prices a “Copper Tax”.

Now that prices have dropped those same ISPs, who were saying that consumers would pay higher prices, aren’t passing on those savings to consumers.

The whole campaign was a fraud and now it is revealed as such.

Hamish Fletcher reports:

Internet companies will enjoy a reduction in some of their wholesale costs in December but aren’t committed to passing on these savings directly to consumers then.

Cuts to what infrastructure company Chorus charges internet retailers like Vodafone and Orcon for some wholesale copper-line broadband services are due to come into effect on December 1.

While two different price changes made by the Commerce Commission will come in on that day, Chorus has requested a wider review of both sets of prices from the regulator.

Although it had been aiming to have both reviews completed by the time the new pricing came into force, the commission on Thursday said it now planned to have a draft decision on both sets of prices by December and a final decision in April.

This means the price change will be in effect for at least four months before any possible change the commission could make in its final rulings.

But while internet providers will enjoy some lower wholesale costs over this time, none are committing themselves to lower prices for customers straight away in December.

Maybe Chorus should employ Hooton to put the acid back on the ISPs, what a surprise they aren’t passing on the savings. ?? Read more »

Labour wants to tax ISPs, watch them tax you in return with higher charges

Labour continue to show what a bunch of muppets they are with their ICT policy that was inadvertently leaked to National showing they want to tax ISPs.

It shows their complete lack of business acumen. They are suggesting a tax on the entire internet via ISPs.

Any cost lumped onto a business like an ISP is simply going to be passed straight onto the customer leading to higher charges.

Telecom is bristling at the suggestion Labour could impose a “content levy” on internet providers.

Labour was left red-faced today after MP Clare Curran?s ideas on ICT policy were accidentally emailed to her National Party counterpart, Communications Minister Amy Adams.

These include imposing a revenue-based levy on telecommunications carriers to create a contestable fund to support the ?creation and accessible distribution of New Zealand digital content?.

Another suggestion is a ?digital bill of rights? policed by the Human Rights Commission that would ?guarantee a citizen privacy?.

Curran, who is associate communications and information technology spokeswoman and Labour?s spokeswoman on ?open government?, said the ideas titled ?ICT Policy Framework 2014? were sent to Adams? office this morning. She did not personally send the email, she said. ? Read more »

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