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Home arrow News arrow Flow to increase rates in July


Flow to increase rates in July PDF Print E-mail
Written by jamaicaobserver.com   
Monday, 18 June 2007
Internet service provider and cable operator, Flow, plans to increase rates to its broadband customers come next month, when charges will go up by as much as 17 per cent.

The telecommunications firm, owned by billionaire Michael Lee Chin's Columbus Communications, will, effective July 1, up rates across its four internet products to adjust for devaluation against the US dollar.

In a letter to customers, the telecom noted that "as a result of the steady decline in the Jamaican dollar, Flow's operating costs have significantly increased over the past year.  "Consequently, we are revising our unlimited package rates effective July 1, 2007," said the letter.

The new rate for Flow's 'Rock' product, an unlimited broadband access service with download speed of four Megabits per second (Mbps), will be $2,100 per month, up 17 per cent from $1,800 a month, before tax.  The company's 'Rave' product, with unlimited six Mbps download speed, will increase by 14.4 per cent to a pre-tax charge of $2,800 a month.

To offset against the increase in price the firm has decided to increase internet speeds "to ensure that we continue to offer the best value for (money)."  Rock will be increased from four Mbps download speed and 512 kilobits per second (Kbps) upload speed, to five Mbps down and 768 Kbps up - a 25 per cent increase down and 50 per cent increase up respectively.

Rave's download and upload speeds will be increased by 33 per cent to eight Mbps and one Mbps, respectively.  The firm has a significant amount of bandwidth available, enabling it to increase speeds offered to its customers.  Less than half of the 10 Gigabits per second (Gbps) bandwidth capability already "lit up", or activated, is being used by existing customers.

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