View Single Post
Old 11-04-2006, 08:46   #16
Stuart
-
 
Stuart's Avatar
 
Join Date: Jun 2003
Location: Somewhere
Services: Virgin for TV and Internet, BT for phone
Posts: 26,546
Stuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver bling
Stuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver blingStuart has a lot of silver bling
Re: [Merged] Car Phone Warehouse BB

Quote:
Originally Posted by bmxbandit
Quote:
Originally Posted by James Henry
Because without the lighter users paying more than they need to to subsidise the heavier ones the packages get prohibitively expensive. That's the problem.
that's not a problem - that's supply and demand.

sure, there should be sensibly priced higher tiers too, but i don't see how you can argue that heavy users shouldn't have to pay their share.
The problem is that what most people's idea of sensibly priced and what actually is sensible pricing for the ISP (ie, still profitable) are two totally different beasts.

If the new service takes a significant number of NTL's lower tier customers, then NTL would have to raise prices for the higher tier customers to compensate. This could mean (theoretically) the higher tier prices going back up to £50, or even further. I don't know the exact figures (even that £50 is a guess), but I do know that NTL do take a significant loss on the higher tiers, to keep the price where it is.
Stuart is offline   Reply With Quote