A large part of the Netherlands is now connected to the fiber-optic network for internet, television, and telephone service. However, that doesn’t mean everyone actually uses fiber-optic internet. One reason many people give for this is that they still find the price to be quite high. In addition, the price of fiber-optic service isn’t the same everywhere. There are clear regional price differences. But where do these price differences actually come from?
Why is fiber-optic internet more expensive in certain regions?
Fiber-optic internet can be significantly more expensive or, conversely, cheaper in one region than in another. This is because the price of a subscription depends on the fiber-optic cable that has been installed to your home. Or, more precisely, it depends on the company that installed the cable. If the cable is from Open Dutch Fiber or DELTA Fiber, the fiber optic subscriptions you can sign up for are often cheaper than if the fiber optic cables were installed by a provider like KPN. That difference can even amount to as much as 10 euros more or less per month.
You can even see differences from one neighborhood to another
Price differences aren’t just seen by region, but sometimes even by neighborhood. After all, fiber-optic service providers don’t have agreements about who offers service in which region. It’s possible that one neighborhood has cables from KPN, while the neighborhood next door has cables from Open Dutch Fiber. KPN states that the reason for this price difference lies in the installation costs. KPN lays fiber-optic cables throughout the country, not just in urban areas. In urban areas, installing fiber-optic networks goes very smoothly and quickly because everything is closer together. In rural areas, installation takes much longer, which means the provider incurs higher costs. In rural areas, homes are farther apart, so more digging is required during installation. Fiber optic service is therefore often more expensive if you live in a more remote area.
Price differences by region are nothing new
Price differences for fiber-optic internet are particularly noticeable now because they can vary by neighborhood, but regional differences in internet plans have existed for years. Twenty years ago, there were already price differences in local cable TV networks when viewed by region. Whether fiber optics is more expensive or cheaper depends on various factors, including installation costs. But the technology behind the network and the fiber optic service a provider offers also influence the price. Smaller providers install their fiber optic networks on a “point-to-point” basis. This means that every home is connected to a network node via its own fiber-optic cable. In other words, every home has its own connection to the network. While this setup is more expensive to install, the network offers greater flexibility in use.
Conclusion
There are indeed price differences between fiber-optic plans depending on the region and sometimes even the neighborhood. Whether fiber-optic service is more expensive or cheaper in your neighborhood depends on the provider that installed the fiber-optic cables. Some providers have higher installation costs than others, and the price is also determined by the fiber-optic technologies and services the provider offers. Price differences are therefore unavoidable at this time.