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MWeb unveils multi-play bundle

By Christelle du Toit, ITWeb senior journalist
Johannesburg, 27 Nov 2007

MWeb has entered the multi-play environment in SA by offering a bundle of Internet access, DSTV access and voice over Internet Protocol (VOIP) services.

This week, MWeb Home GM Natalie Thayer announced that the ISP would provide customers with a bundle of 1G Internet access, DSTV`s premium bouquet, as well as a broadband talk subscription for R599 per month, for 12 months, and R699 for the remainder of a 24-month contract.

"The multi-play offering is in line with MWeb`s vision of creating ease-of-use for customers, by offering choice in a converged media world," says Thayer, who maintains that customers can save R1 400 per year by using the product bundling option.

"This forms part of our overall strategy to offer subscribers one point of contact by bundling digital entertainment and Internet access," she says.

As part of the offering, MWeb will introduce reduced prices on MultiChoice PVR recorders, as well as free WiFi ADSL modems and cordless VOIP phones.

MWeb will be the sole service provider of the package, with customers receiving one consolidated invoice at the end of each month.

Makes sense

BMI-T senior analyst Richard Hurst confirms that the trend "all over Europe" is to offer a package of television, Internet, and VOIP services for about R500 a month. He says this trend was bound to move to SA as well, as "it has been a long time in the offing".

"Customers in the high-end of the market will be happy to grab the product, and if MWeb can move some of its existing subscribers over to the bundle they will see even greater take-up," Hurst predicts.

He adds that other ISPs are bound to follow in MWeb`s footsteps and offer similar services. "The consumer-focused ISPs will definitely jump on the bandwagon."

Furthermore, he says, the bundling makes good sense for MultiChoice as it has traditionally had a close relationship with MWeb and would be building on this foundation by partnering with the ISP in this way.

Related story:
MWeb taps telecoms market

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