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Why internet cost in Mexico is so high


pappysmarket

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because there is no competence here, only ONE person gets over telephone and internet: Mr Slim, he decides how much he wants to earn.... :013:

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So the implication from the article is that TelMex has either refused or fights the building of IXPs here, to artificially keep prices up. There is a real dichotomy here: I pay $599/mo and get 5+ Mbits service, and many people locally complain they have been promised yet don't get that level; meanwhile yesterday I had occasion to run speedtest on my girlfriend's system, and disovered she is getting the same 5+ Mbits service for $299/mo.

It was only a few years ago that we were getting .5 Mbits and glad of it... at least the speed keeps going up while the price stays the same. (Now, do I need to call TelMex and ask why I'm paying twice what my girlfriend is?)

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My brother in law pays twice as much for half the speed we get here. Took a while but we finally did get the promised level of service.

Unfortunately, TeleCable hasn't reached the necessary level of reliability to make it a real alternative. Interestingly, we had the same experience with cable internet in Albuquerque at first but eventually they got it right and we switched to cable internet there.

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anyway, the other cable/internet providers "rent" the infrastructure/optical fiber from Mr. Slim... :013:

Actually that is not true, the only thing other ISP's rent is the local loop, or the last mile, pretty much the same as in the U.S. In most major cities here in Mexico many do not have to pay Telmex as there are many other carriers, its only in the rural areas this happens.

Not only does this go for internet it also is the same for cell phone service, while most people use Telcel, telcel is way more expensive than iusacell or Movistar but people still continue to use Telcel.

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To the contrary, I tell my friends NOB that my less expensive phone and Internet service costs me $29 here. The same basic service in Phoenix was $44.95. So where's the beef?

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Sorry but $29 a month here for the basic Infinitum paquette vs. $45 for internet only N.O.B. doesn't strike me as a fair comparison. For that $29 a typical subscriber at Lakeside is getting 1.5.-2.5MB download speeds, regular service outages and phone call quality that's marginally better than two tin cans strung together. Up north you'd be getting reliable, crystal clear 5-10MB download speeds, fast enough upload speeds for clear Skype, Vonage, etc. and people who answer the phone and actually fix things on those rare occasions when there is an outage.

As the article the OP provided the link to makes clear, this is a real competitiveness issue for Mexico. Meanwhile, as southernguy pointed out, the local situation reflects our area's "rural" character, with far fewer (and more expensive, and less reliable) options than in nearby Guadalajara.

In the short term the hope seems to be that Telecable's service will continue to improve so as to give Telmex much-needed competition.

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I just have to say that, once established, I have no problems with my internet/phone service. I have had to wait a few days to re-establish service after a long absence, but once its working.... no problems. I watch TV and movies, use skype without any problems, no "noise" or sound quality problems on my phone. Does it have something to do with where you live? I know some neighbors had a heck of a time getting their phone line stabelized, but seem tobe happy now.

Anyway.... gotta say my internet/phone package is about the same cost as I pay NOB. I can't complain. The article is interesting, in any case.

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We're in Chapala Centro and our Telmex basic package is solid and reliable. It has been so for eight years, since we had it installed and an initial poor connection corrected. It was also just as reliable when we lived in Ajijic Centro, 2001-2004. I suspect that it may be less reliable in more 'remote' areas, newer fraccionamientos or in homes with less than solid internal wiring. The latter is not a Telmex problem; it is the homeowner's responsibility; as is the reliability of each handset in the home.

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Phone service here is just fine; quality if just fine. If it's not, you can't blame TelMex's standards; it's a fixable problem. At $299, I have a friend who's speed just got boosted to 5 Mbits. And that's not $29 dollars; that's under 23 bucks. Support is no problem at all, especially if you speak a little of the native tongue. Outages occur far less frequently on a good line than some posters are actually aware. Most outages are due, not to poor quality, but to a constant effort to upgrade the infrastructure.

I've been doing Internet testing and repair here for nine years, and after thousands of fixes, the situation is very clear. And in five years we've gone from .5 Mbits to at least 2 Mbits for the same price. I'd say that's pretty good progress. Having TeleCable ramp up isn't going to change anything: TelMex is facing lots of Internet competition around the country. We just don't see it because the competition isn't at lakeside yet.

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Not only does this go for internet it also is the same for cell phone service, while most people use Telcel, telcel is way more expensive than iusacell or Movistar but people still continue to use Telcel.
Most people lakeside actually use TelCel because Movistar doesn't have local numbers, whereas TelCel's are Guad numbers but do not have a roaming or long distance charge.
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Sorry but $29 a month here for the basic Infinitum paquette vs. $45 for internet only N.O.B. doesn't strike me as a fair comparison. For that $29 a typical subscriber at Lakeside is getting 1.5.-2.5MB download speeds, regular service outages and phone call quality that's marginally better than two tin cans strung together. Up north you'd be getting reliable, crystal clear 5-10MB download speeds, fast enough upload speeds for clear Skype, Vonage, etc. and people who answer the phone and actually fix things on those rare occasions when there is an outage.

As the article the OP provided the link to makes clear, this is a real competitiveness issue for Mexico. Meanwhile, as southernguy pointed out, the local situation reflects our area's "rural" character, with far fewer (and more expensive, and less reliable) options than in nearby Guadalajara.

In the short term the hope seems to be that Telecable's service will continue to improve so as to give Telmex much-needed competition.

Like the posters above me, I have no problems with my $389 phone/Internet package service for speed, Skype, downloading videos, MagicJack, and I think it went out once for 15 minutes in the 2+ years I've lived here in Chapala Centro. It could have something to do with where I live and my new internal wiring I installed when adding an addition last year, but I don't recall any problems with the old phone line either.
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From our own experience living in several areas over 2 years, plus talking witih many friends and other posts here one thing that's clear is just how "local" an issue ISP speed and reliability is in this area. Posters here and others we know in Ajijic and Chapala centro report few outages and steadily improved speeds, while we have friends west of Ajijic (and others in San Antonio, parts of Riberas and here in lower Chula Vista) who've had to throw in the towel on Telmex due to sub 1.5 MB download speeds and very frequent outages. We're getting by just fine for now with Telmex phone and Telecable internet. The Telmex installer himself told us that this area has yet to be upgraded and that no one is getting speeds above 2MG here regardless of the paquette they have (in fact he advised us to go to Telecable for better speeds!). I'm very happy to hear that others are getting what they're paying for from Telmex.

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