Two months after launching a number of “multi-gig” fibre broadband services in Singapore, ViewQwest has now streamlined everything into one single 10Gbps plan on the cheap.
Instead of 3Gbps and 5Gbps offerings, the Internet service provider will sell just the fastest 10Gbps option available to homes today at a cut-throat price of S$38.75 a month.
That’s significant because it’s just under the S$40 or so that most Singapore households pay for common 1Gbps plans that have been a mainstay for more than a decade since fibre broadband first arrived in the country.
Key to this was the government’s announcement in February of a S$100 million fund to help telecom operators upgrade their network equipment to offer 10Gbps services to homes. Now, if you’re a telco, you don’t want to be left with slower offerings.
ViewQwest is not the first to undercut the crucial S$40 mark that has stayed consistent for years – Simba, more known for its mobile plans, already has a 10Gbps plan at a ridiculously low price of about S$30 a month.
However, ViewQwest has been round the block longer as a fibre broadband player. As it likes to remind consumers now, it was the first to push the 1Gbps option as homes here were starting to connect to speeds of 100Mbps on fibre previously.
So, its price cut coming just shortly after its initial “multi-gig” offerings is a sign that the market is being shaken up again after years of stability.
In comparison, Singtel sells its 10Gbps plans with add-ons like pay-TV services for S$79 a month. StarHub offers 10Gbps at S$69.95 while MyRepublic sells it for S$54.99.
Both StarHub and MyRepublic offer slower “multi-gig” plans, such as 3Gbps and 5Gbps offerings, but they now cost more than the 10Gbps option from ViewQwest.
All these rival telcos will have a tougher time selling to consumers unless they also cut their prices in the coming weeks and months.
If they don’t, they could see users jumping ship, as has happened with cheaper mobile plans offered by virtual operators in recent years.
And with fibre broadband, there are fewer inconsistencies such as coverage issues with mobile networks. As long as it provides fast connection for homes – and 10Gbps is more than most homes will need for a few years – many users will be happy to pay less.
For consumers, the competition is a good thing. Most won’t need the speed and probably don’t have the home networking gear to really maximise its usage, but for now, the road appears paved for cheaper 10Gbps offerings and more people to jump on the faster bandwagon.
In January this year, we asked if it was time to upgrade to 10Gbps fibre broadband, just as the competition was heating up.
Now, with 10Gbps costing less than 1Gbps, it’s hard to argue against the faster service. It’s like a faster PC for less, even if you don’t use all that horsepower.
Next is to get homes ready for a real upgrade in experience. And then, the content will come, whether it’s 100GB game downloads, always-on 4K video conferencing or some app we have yet to discover.
