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  • Free Internet access debate continues as Absa responds to M-Web

Free Internet access debate continues as Absa responds to M-Web

By Jason Norwood-Young, Contributor
Johannesburg, 16 May 2001

Absa Bank has responded to M-Web`s press release in a carefully worded release of its own. Absa claims that "many of the statements [in M-Web`s press release] are incorrect and the public has a right to know the facts".

In its release, Absa reassures the public that "free, unlimited Internet access is here to stay and Absa is fully committed to providing it".

In response to allegations in M-Web`s statement that Absa is misleading the public, Absa responds: "We have not misled the public regarding free Internet access; it is very clear to the South African public that 'free` means free from ISP subscriptions as charged by M-Web. [M-Web CEO Antonie Roux] has confused two distinct business models in the UK and has therefore confused the South African public with his press statement."

Absa says two examples cited by Roux in his statement to the press - that of AOL and Freeserve - still offer free Internet, although they do not subsidise telephone costs under this model.

"Both Freeserve and Affinity offer the end-user a choice of Internet models - either the inclusive access and telephony or a free access service. Due to the nature of the telephony market in SA, Affinity Internet (and Absa) are only able at this moment in time to offer the free access model. Free ISPs do indeed dominate the market in the UK."

The Absa statement suggests that Roux is "confusing both the two business models and the South African public".

"Absa has put its brand name on the line, so to speak, and is fully committed to providing quality unlimited free Internet access to all South Africans," states the release.

"We have an intensely researched business model. Our doors are open should anyone wish to understand it more clearly," comments Louis von Zeuner, Absa`s executive director in charge of customer services.

Absa says it has achieved a subscription base of 170 000 users in the last four months.

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