Taiwan $30/Month Fiber is Slow

Chunghwa has about a million subscribers as they rapidly run fiber to almost every basement on the island. Instead of dragging fiber to each apartment, they are saving money by using the existing wiring and 100 megabit VDSL up to the apartment (Zyxel, Broadcom.) It's $72 for 5 meg upstream, 100 meg down, $38 for 2 up, 10 down, and a new offering, $30/month for 768K up, 3 meg down. The last is about the same price and speed as Chunghwa's ADSL offerings, but has far more possibilities for upgrades and IPTV. Chunghwa has almost 600,000 video customers. Chunghwa offers a $10 low end service (64K up, 256K down) with half a million subscribers. Under government prodding, most of these prices have just come down.

Once the fiber is in the basement, VDSL costs are about the same as ADSL costs, so the natural deployment of all new lines is FTTB + VDSL. The small additional equipment cost will be more than covered by the by customers who can instantly upgrade to higher speeds.

Chunghwa's total of 4.32M broadband subscribers is only up 2% in the last year, and is unlikely to climb much more. Written by Dave Burstein


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