dslreports logo
site
spacer

spacer
 
   
spc
story category
DSLExtreme Price Matches AT&T's DSL
Then tacks sneaky fee below the line to make up the difference
by Karl Bode 11:16AM Wednesday Nov 10 2010
Users in our DSLExtreme forum asked and apparently DSLExtreme listened -- the company has lowered the price of their DSL tiers to match an AT&T DSL price drop we reported on back in August. In fact, DSLExtreme took things a little lower than AT&T, and now offers their base 768/384 kbps introductory DSL tier at $13 if you sign a one year contract -- or $25 if you go month to month. The company's 1500/384 kbps service is now $15 with contract ($30 without), their 3000/512 kbps service is now $15 with contract ($35 without), and their 6000/768 kbps service is now $20 with contract ($40 without). It's likely DSLExtreme is working with razor thin pricing margins here, though it's not like a smaller U.S. ISP has a choice there. The company lost their ability to offer FTTH via FiOS when Verizon stopped striking wholesale FiOS deals earlier this year.

Update: A reader writes us to note that DSLExtreme compensates for this price match by charging users a $2.88 Supplier Surcharge Recovery fee which you'll find buried in your terms of service and below the line.

view:
topics flat nest 

ArrayList
netbus developer
Premium
join:2005-03-19
Evanston, IL

too bad

that this doesn't compete with much of anything in my community.

brian
Premium
join:2002-05-02
Lake Forest, CA

Re: too bad

...that it appears to not be available to existing customers.

DanielJ

@sbcglobal.net

Finally!!!

I finally stop giving the devil my money! I've been waiting to switch away from ATT for a LONG time
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: Finally!!!

lol. but you get to keep your POTS line. Resellers are NOT allowed to offer Dry-line products.

DanielJ

@sbcglobal.net

Re: Finally!!!

I know. That's unfortunate, but at least ATT will get less of my money.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: Finally!!!

no you still will give the most of what you pay DSLX. You just pay T indirectly.
dagg

join:2001-03-25
Galt, CA
is that something new within the last year?
the last ISP i worked for resold dry loop ATT. it may have changed which is why im asking but i can say for sure we sold them all the time.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: Finally!!!

nope ATT pulled it. 3rd party ISPs are NOT allowed to even touch dry loop. Don't ask DSLX though about this because nobody there will give you the correct answer.

Boricua
Premium
join:2002-01-26
Sacramuerto

Re: Finally!!!

It's too bad those frackers pulled it . Unfortunately, I have U-Verse (which is fine) but something like this would be better as I don't care much for TV. As for one of my roommates...
--
Illegal aliens have always been a problem in the United States. Ask any Indian. Robert Orben
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: Finally!!!

you can kill your U-Verse TV. You don't need it to get the "net. and if they won't place the order without the TV...after it's set up you call and cancel.

But T has the right after all. The ISPs had their chance to build out. especially the CLECs but they refused to. Instead they just wanted to leach the last mile for the entire life of their business. It's now coming back to bite them in the ass. The only real CLEC that has really even shown any improvement on that front is Sonic.net. They still use the lastmile but at least their working on building out their own network.
ed49

join:2005-07-27
Corryton, TN

Odd?

...that my location recently became U-Verse capable but I can't get DSL. Of course dialup is available!!!!

brian
Premium
join:2002-05-02
Lake Forest, CA

Re: Odd?

not odd. I believe it's fairly common actually.
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

Ho Hum

Ahem.

Nice to see them hard at work to keep their prices down.
But it would be equally nice if they would make their network perform consistently at claimed speeds, answer their phones in a timely manner, and handle their billing properly. Every DSLX account I've handled (and terminated) in the past five years had serious speed and billing issues. Billing issues were eventually resolved, using DSLR, but they were just plain irritating. Throughput issues never were.

Also, PLEASE update the scripts read on the radio ads. Having hosts claim they all have DSLX at home, for $12.95, its "blazingly fast", and the rest of us are idiots paying "$55? $60" begs credibility.

On a positive note, DSLX deserves acclaim for doing whatever it took to negotiate resale agreements for Verizon FIOS, even if they're no longer available. They weren't the first, but the most visible - and while I can imagine why that went away, it set a precedent that can be revisited.

Further, DSLX seems to have smoothed out the bumps in the road, for ordering Naked/Dry Loop/Standalone DSL from Verizon - at no surcharge.

They're also getting better, with their annoying Verizon-esq "Digital Subscriber Cost Adjustment Fee" or whatever they call it
- $2.88/line on Verizon lines. Their reps are quoting the out-the-door-total-cost without hesitation.
OHN

join:2003-02-05
Appleton, WI
kudos:1

Re: Ho Hum

I have not had any billing issues or problems with speed. I have the 6000/608 package and get just that. There have been maybe one or two times I have had connection issues in the past five years as well. I cannot speak for phone support as I have rarely had to call. I just wish they would give these prices to exsisting customers as well.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
they charge the same free for ATT customers and claim its a federal tax they're required to charge. Although when you question why no other ISPs are charging it they call you a liar and tell you that you have no clue what you're talking about and then it becomes an ATT charge that they're allowed to pass on to you. The fee becomes the right to give you service. More like making extra profit.

As far as slim profit margins. I hardly doubt that at all. DSLX is owned by a HUGE wholesale company that as very low prices to start off with. they just think that the public is stupid and will pay more with DSLX than going somewhere else. Especially when they treat the public like idiots when it comes to their prices.
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink

Re: Ho Hum

said by hottboiinnc:

they charge the same free for ATT customers and claim its a federal tax they're required to charge. Although when you question why no other ISPs are charging it they call you a liar and tell you that you have no clue what you're talking about and then it becomes an ATT charge that they're allowed to pass on to you. The fee becomes the right to give you service. More like making extra profit.

As far as slim profit margins. I hardly doubt that at all. DSLX is owned by a HUGE wholesale company that as very low prices to start off with. they just think that the public is stupid and will pay more with DSLX than going somewhere else. Especially when they treat the public like idiots when it comes to their prices.
I'm not here to defend DSLX, but before line-sharing went away, most ISPs were paying about 80% of their retail charge just to rent your copper pair from ASI.

On that $12.95+2.88, after overhead, I'd be surprised if they're making two bucks. Margins are indeed, quite slim.

I'm ok with them making a profit, a substantial one if they can.
But I'd rather they were "honest" and published total prices, not asterisked ones like airline tickets.

I suspect though, that the majority of consumers need bragging rights, as in "I only pay $12.95 a month for my 10 Megabit service" [for the first two months of a 24-month contract], or "I only paid $99 for my Netbook at Radio Shack" [with a 24-month 3G contract at $59.95/month+tax] or "I got a free phone!" ...
and thus, advertisers are forced to be deceptive to get the masses.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: Ho Hum

DSLX does NOT publish the actual price of the Internet. Instead they do hide the tax until you are ready to sign up. So yes it is a below the line charge- just like regular Telco fees. Also the overhead fee is NOT charged to DSLX. In fact if you call ATT up and inquire about reselling/wholesaling their DSL and ask about the fees they'll tell you they don't charge the USF. NOBODY does except DSLX. They're parent company doesn't even charge it's wholesale customers. Talk about someone double dipping in the bank.

DSLX is just another regular ISP that will bite the dust soon if they don't get off T's network and build out their own. But that will never come. So when T is busy building out more U-Verse networks DSLX loses more and more.

And actually yes. I do get my cell phones free. NONE of them come from the actual Carriers so I don't have to worry about them. I still have a full contract but my plan doesn't subsidize my phone.

zoom314

join:2005-11-21
Yermo, CA
Reviews:
·DSL EXTREME
·Time Warner Cable

Re: Ho Hum

said by hottboiinnc:

DSLX does NOT publish the actual price of the Internet. Instead they do hide the tax until you are ready to sign up. So yes it is a below the line charge- just like regular Telco fees. Also the overhead fee is NOT charged to DSLX. In fact if you call ATT up and inquire about reselling/wholesaling their DSL and ask about the fees they'll tell you they don't charge the USF. NOBODY does except DSLX. They're parent company doesn't even charge it's wholesale customers. Talk about someone double dipping in the bank.

DSLX is just another regular ISP that will bite the dust soon if they don't get off T's network and build out their own. But that will never come. So when T is busy building out more U-Verse networks DSLX loses more and more.

And actually yes. I do get my cell phones free. NONE of them come from the actual Carriers so I don't have to worry about them. I still have a full contract but my plan doesn't subsidize my phone.
And If You have Dry Loop DSL Extreme will on New Contracts tack on an extra $5 a month too.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: Ho Hum

yah but only on VZ/Fairpoint/Frontier accounts. NOT on ATT. As ATT won't let the ISPs onto that network anymore.
elray

join:2000-12-16
Santa Monica, CA
Reviews:
·Time Warner Cable
·EarthLink
said by hottboiinnc:

DSLX does NOT publish the actual price of the Internet. Instead they do hide the tax until you are ready to sign up. So yes it is a below the line charge- just like regular Telco fees. Also the overhead fee is NOT charged to DSLX. In fact if you call ATT up and inquire about reselling/wholesaling their DSL and ask about the fees they'll tell you they don't charge the USF. NOBODY does except DSLX. They're parent company doesn't even charge it's wholesale customers. Talk about someone double dipping in the bank.
Sorry, I didn't say they published it. But you're right, they should instead of burying it somewhere in a contract page.

I was specifically referring to the sales reps I talked to, all of whom were very forthcoming. I would never place an order through a web page - better to check the competency and attitude of folks who answer the phone and get an email confirmation of the order. Besides, web pre-qual is notoriously inaccurate.

They are not, however, the only ISP that applies a USF-like charge. If AT&T isn't charging it, that's great, but irrelevant for us. At least in SoCal, AT&T DSL has been so pathetic for so long, it simply isn't worthy of consideration. DSLX isn't great - but it is markedly better than T.
said by hottboiinnc:

DSLX is just another regular ISP that will bite the dust soon if they don't get off T's network and build out their own.
I agree that DSLX' business model could be in jeopardy - but I doubt wholesale line-sharing contracts will go away - VZ/T needs to maintain the claim that there is competition, even if some here consider copper a 2nd-class option. Copper may never catch up to cable and fiber speeds, but with VDSL2 and beyond, it will be fast enough for the majority of consumers.
33358088
Premium
join:2008-09-23
kudos:2

fraggin rip off it is

768Kbit 12.95 times ten = 7.68 megabit price 129.50

NOW go compare....
THAT kiddies is how you find out if your getting a good deal....but don't let me tell ya go figure it for yourselves

brian
Premium
join:2002-05-02
Lake Forest, CA

Re: fraggin rip off it is

you should take an accounting class to learn about fixed vs variable costs.

DanielJ

@sbcglobal.net

DSLreports peeople please read

»articles.latimes.com/2010/nov/05···20101105

KrK
Heavy Artillery For The Little Guy
Premium
join:2000-01-17
Tulsa, OK

Re: DSLreports peeople please read

This is the plan. Continue to take away all legal options to fighting them, leaving anything you do to be illegal and therefore you're the criminal.

Basically they are fighting to make opposing them a crime in itself.

Due to Corporate abuse it's time for some really strong Consumer Protection laws.
--
"Fascism should more properly be called corporatism because it is the merger of state and corporate power." -- Benito Mussolini

Mizzat
Will post for thumbs
Premium
join:2003-05-03
Atlanta, GA
kudos:1
»AT&T Supreme Court Case Could Cripple Your Legal Rights
--
-M
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: DSLreports peeople please read

nothing new. All the companies have tired this. Just not ATT. So why point blame just on them. Sprint was known to do it, VZW, Comcast, Sprint. It's a fact of the business world.

Mizzat
Will post for thumbs
Premium
join:2003-05-03
Atlanta, GA
kudos:1

Re: DSLreports peeople please read

Was just pointing out to the poster that DSL Reports already did a blog on it...
--
-M
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Supplier Charge Recovery

This charge has always been there. It's nothing never new for DSLX. They claim its a charge from ATT. But it's actually not. Just a charge they make up. Another company that's gone down hill and will keep going. This is why people do not change ISPs and always stay with who they signed up with.
Chair

join:2002-04-08
San Francisco, CA

sigh

I would like EACH and every DSLExtreme basher to please go to this link and READ it:
»www.att.com/gen/sub-apps/bill-gl···ermid=76

Specifically:

AT&T Communications Inc.:
This charge was instituted in 1984 to cover the costs of a portion of the local phone network. The FCC caps the maximum price that a company may charge for this. This is not a government charge or tax.

By the way, if you guys wonder how long a DSLExtreme's bill is:
3000-6000/768Kbps DSL Service on _______for 11/01/2010 to 12/01/2010 $32.95
Supplier Surcharge Recovery Fee for 11/01/2010 to 12/01/2010 $2.88

TWO lines.

Guess how many lines it is for a comparable AT&T Bill? About 10.

By the way, AT&T charges 4.XX for their charge, so technically, you're still paying less for DSLExtreme.

Oh, and before someone attempts to say that this is for their "telephone service", nope. This is a line charge on a bill specifically for the DSL through AT&T.
djweis

join:2006-04-02
West Des Moines, IA

Re: sigh

That's the subscriber line charge, a different fee that should be charged on dialtone services. Our local monopoly doesn't charge for that on standalone DSL lines and we don't either.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
T doesn't have that on my bill.. And they don't take it on anyone elses bill.

Supplier Surcharge is for phone. NOT for DSL. NO other ISP charges these. Not even the small local mom and pops.
djkevy

join:2000-10-23
Skokie, IL

29.95

The $19.95 deal for 6000/768Kbps with a 12 Month contract jumped to $29.95 after I pre-qualified. So much for the deal.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH

Re: 29.95

prices are low as. Didn't say they were always that low. but i love how DSLX will quote T prices on their page as main pricing for "as low as" but then when you show you're a VZ area you're prices jump sky high.