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Php50k for 10Mbps: true cost of a guaranteed DSL speed

We wanted to get an upgrade to our office DSL last week so I asked for a quotation and was a bit surprised when I was looking for a 10Mbps line with 1.5Mbps minimum guaranteed speed.

If you’re a long-time residential DSL user, you’d be familiar with the usual broadband prices.

Yugatech 728x90 Reno7 Series

I subscribe to a 3Mbps line at home for Php1,995 a month (although I only get something in the range of 1Mbps) but there’s no guarantee what for a minimum speed. The highest residential DSL from PLDT is a 10Mbps line for only Php4,000 a month which they’ve been offering since November of last year.

But if you runa business, that’s a different thing altogether. This is where the ISP will give you a guaranteed minimum speed (more commonly know as CIR or committed information rate).

Here’s what’s a business-type DSL subscription would look like.

So when your typical residential plan of 10Mbps costs just Php4,000 a month, that 10Mbps does not have any guaranteed minimum speed.

If you convert that 10Mbps to a business plan, then you get a minimum guaranteed speed of 1.5Mbps. The minimum guarantee acts like a dedicated bandwidth. The price you have to pay for that — Php50,000.

Imagine, the next time you want to open an internet cafe, be prepared to shell out those numbers on the chart above. That’s probably the reason almost all net cafes around only have up to 4Mbps in their network.

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Avatar for Abe Olandres

Abe is the founder and Editor-in-Chief of YugaTech with over 20 years of experience in the technology industry. He is one of the pioneers of blogging in the country and considered by many as the Father of Tech Blogging in the Philippines. He is also a technology consultant, a tech columnist with several national publications, resource speaker and mentor/advisor to several start-up companies.

64 Responses

  1. Avatar for Roldan Roldan says:

    Plus they keep on selling the term “Megabytes”. While what you really get is “Megabits”. Megabits is way way more slower when it comes to transfer rates. 3 Megabytes will yield a 350kbps transfer rate at home.

    These people are vicious evil lords of the underworld of business. Die b@#$%ches!

  2. Avatar for ryan ryan says:

    Mga sir, may info ba kayo about sa PLDT i-Gate? Lalo na price?

  3. Avatar for Thor Thor says:

    “grabe naman. sa canada internet $100 for 100mbps” or about Php 42,200

    samantalang dito 10mbps …. or 1,182 Canadian Dollars!!! WHAT A RIP OFF!!!!!!!!!

  4. Avatar for Hey Hey says:

    For me, PLDTDSL is much better than any ISP here sa PH. Walang capping kasi. Unlike other ISP providers. Imagine, manood ka ng 2movie sa isang araw via stream or DL ng 2 movies, after downloading, makakaexperience ka na lang ng 30% speed ng plan na inavail nyo. Pagminalas ka pa, monthly ang capping. 25GB/month? Anong magagawa mo dun? Kung nareach mo na cap mo by 15th ng month, 15+ days ka pa mag susuffer ng 30% speed? Hindi nalang. :)

  5. Avatar for Johnson Johnson says:

    this is totally a rip off. ugh.

  6. Avatar for Karl Martin Karl Martin says:

    Definitely the cost is the reason why most of the internet cafe in the Philippines choose to have a speed of 4mbps.On the other hand the first thing to do in order to avail a high speed internet make sure to check factors that you have more control on like spyware on your computer,malfunctioning or incorrectly configured wired or wireless customer routers; and older customer computers lacking sufficient processing power or memory.Failure of any of this may be the cause of slow DSL speed. [ dsl speed guide (dot) com ]

  7. Avatar for Filbook Filbook says:

    50k for 1.5mbps???? WOW!

    let’s not delude ourselves. We’ll only get “CIR speeds” 90% of the time.

    If you don’t have this guy’s money then you’re screwed.

  8. Avatar for default default says:

    i suggest getting fiber line, wificity is cheap. we have 8gb dedicated for 50k to 60k.

  9. Avatar for ceegii63 ceegii63 says:

    bakit ganun sir we also have the 3mbps and P1995 plan and speedtests usually show 2-3mbps

  10. Avatar for akosibatman akosibatman says:

    i am a former pldt sales guy…please don’t subscribe to the power packages. i have several clients that are still having problem with the power pack A,B,C packages. so based from experience wag nalang. instead get the leased line package from PLDT SME called the I-Gate. costs the same around 50k although it is charged via USD currency. yan ang sure na dedicated connection only for you. I have seen the installations…power pack a,b,c still has a shared network. just sharing mga sir…:)

  11. Avatar for jessicanCo jessicanCo says:

    hahahaahah… grabe naman. sa canada internet $100 for 100mbps… $50k mahal!!! …internet company sa pilipinas sobrang gago!.. monopoly.

  12. Avatar for Iyan Sommerset Iyan Sommerset says:

    In theory, if you’re paying 50k a month for 10Mbps business, why not get 10 connections of the 4k a month-residential and stick that in a load-balancing appliance/router?

    You can mix-and-match providers so downtimes aren’t too all-encompassing.

    • Avatar for Ben Ben says:

      Because you don’t get better support, static IP addresses and rebates if downtime occurs. Plus, corporate Internet is always separated from consumer Internet.

    • Avatar for Iyan Sommerset Iyan Sommerset says:

      I highly doubt all those are worth an additional 46000php though.

  13. Avatar for radioactive_balut radioactive_balut says:

    I once canvassed for this kind of connection for a mission critical application that requires a dedicated data transfer rate and high uptime. Mga ganyan talaga pumapalo ang price ng dedicated lines nila. Guaranteed service availability of 363.5+ days ang binabayaran ng mahal dyan.

  14. Avatar for Amiboshi Amiboshi says:

    I worked for a big local bank for 2 years, and this is typical pricing for dedicated lines. Aside from the minimum CIR, there is also a minimum uptime that the telcos must maintain. Most of the time it around 98%-99% let’s say for a month. If they can’t keep it like that you can demand for a refund for the downtime, depending on the agreement. Also, there is a escalation process in which the telcos will respond if downtime occurs. Normally residential DSL have sloppy support, but business or dedicated DSL are different.

    • Avatar for Ramon Ramon says:

      That actually makes sense…higher cost for better/guaranteed services

      sana nga lng itaas nila standard ng service nila, right now, I think they’re satisfied as long as more or less half of their customers are satisfied…won’t care for the other half unless it becomes a big issue =/

    • Avatar for David David says:

      @Ramon

      And it’s also possible PLDT et al charge businesses higher as a way to “subsidize” costs and/or prices for residential users. Just tossing this possibility, although others surely don’t like it anyway.

    • Avatar for Ben Ben says:

      The more you pay, the better service you’ll receive. It’s the same across the world for any service in IT.

      To give you a better idea on how Corporate DSL is better than Consumer DSL, first and foremost, Corporate Internet (not just DSL) has a different network than Consumer DSL. Second, tech support is different, that’s why you call to a different number with Corporate Internet. Third, SLA is better with Corporate, usually 8 hours for DSL and 4 hours for T1 lines and above. Consumer DSL takes 1-2 days for a field dispatch. And finally, bandwidth, delay and uptime has an SLA, which corporate accounts get a rebate if it’s violated.

  15. Avatar for guest guest says:

    pareparehas lang sila mapaGlobe/smart/pldt/sun. walang stable connection sa DSL at sablay na scripted na customer service.

  16. Avatar for R2 R2 says:

    Business As Usual. :)

  17. Avatar for meh meh says:

    This is a failure of the government to regulate these companies. This hurts businesses , who wants to pay that each month? In thailand they have cheap fast high speed internet. In the philippines, the internet hardly works, why?

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