Yahoo ADSL has competitors worried, according to todays Japanese Nikkei newspaper. The price leading $18 a month rate has forced the Sony competitive offering (SCN) to drop its price to $25, and depressed their IPO 15% below origianl issue price.
Softbank, which is a majority owner of Yahoo in Japan admits basic ADSL is unprofitable, but hopes to make money back on ADSL modem sales and rentals, and possibly premium content.
Nikkei reports that the Yahoo ADSL price will push already struggling DSL providers deeply into the red, and if other revenue does not materialize along with the subscription fee as they hope, the new service could "shatter the financial base" of Softbank.
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Softbank, which is a majority owner of Yahoo in Japan admits basic ADSL is unprofitable, but hopes to make money back on ADSL modem sales and rentals, and possibly premium content.
Nikkei reports that the Yahoo ADSL price will push already struggling DSL providers deeply into the red, and if other revenue does not materialize along with the subscription fee as they hope, the new service could "shatter the financial base" of Softbank.
Link
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