Why does the service cost more than it would in the US or EU?
These bullet points hopefully can highlight the differences between local economy mobile/ISP providers and our services:
- One of the biggest cost of providing Internet service is the upstream cost of dedicated Internet. In the US and EU we pay as little as $0.18/Mbps, whereas in the Middle East (not counting SATCOM which is even pricier) we’ve paid as much as $220.00/Mbps. This significantly higher cost of dedicated bandwidth impacts the cost of the service we provide.
- Babtel contributes 10% of gross sales back to the military for morale funds.
- Another difference is we give the customers freedom to choose their daily/weekly/monthly plan from a variety of services available and the ability to change this as they go without tying customers to a long term contract (as most operators require).
- There is significantly increased difficulty and complication when working on bases and remote locations for HR, logistics, and security; which translates to a higher overall operational cost.
- We have a small population of users sharing internet subscriptions, a very well defined and limited customer base. Additionally, a valid subscription from Babtel enables access on any Babtel network (domiciles, common areas and other bases covered by Babtel). Note that data caps are set to account for customers sharing internet subscriptions.
- However, despite the smaller population and other points mentioned we are within 15% of the local market prices on our internet services, while offering the highest quality equipment and personal that are certified and continually trained to ensure the best possible customer service and support.
- Finally, Babtel is an AAFES concessionaire, hence our services and prices are within AAFES business model and regulations.