By Tim Wijkman-van Aalst
Jun 07, 2023 at 07:00 Update: 7 minutes ago
The four largest internet providers in the Netherlands have announced or implemented significant price increases since the beginning of this year. Despite the significant price increases, according to experts, there is no question of grab inflation. In fact, the profits of internet providers are under pressure.
At Ziggo, the rates will increase by 8.5 percent from 1 July. Last week KPN announced a price increase of 6.4 percent with a maximum of 4 euros per month. T-Mobile increased its prices by 8.6 percent at the beginning of this year and Delta prices will increase by 2.00 to 3.50 euros on July 1.
Because internet providers charge higher prices, the turnover of these companies will increase in the near future. But according to telecom analyst Tim Poulus of Telecompaper, there is absolutely no question of grab inflation. Grab inflation is a political term for companies that raise their prices so much that they can make more profit.
“The costs of the internet providers are rising even faster,” says Poulus. “As a result, even less profit remains below the line.”
Internet providers spend a lot of money on energy. But personnel costs are also rising sharply. Due to the high inflation, employees are asking for more salary. Poulus: “KPN, for example, increases its prices by the same percentage that the staff has received in salary.”
Switch or take a critical look at your subscription
The Consumers’ Association has also received no signals that internet providers are raising their prices unreasonably. “But price increases may make it interesting to switch to another provider,” says spokesman Babs van der Staak.
In addition to the four major internet providers, there are also several smaller players. They often offer cheaper subscriptions. “To prevent you from having to pay more, you can also take a critical look at the extra options you purchase,” suggests Van der Staak. For example, you can lower your internet speed or cancel packages with extra TV channels.
It can be profitable to switch regularly anyway. Internet and telecom companies usually only adjust inflation for existing customers. They often lure new customers with attractive discounts, making them cheaper than people who have been customers for a longer period of time.