If you were looking to get a 1 Gbps fibre optic broadband subscription in the past six months, the service provider you would have picked would probably be MyRepublic.

Using prices from the June 2014 PC Show, MyRepublic's 24-months 1 Gbps plan costs $49.99-per-month.

Their closest priced competitor at that time? M1 at $129-per-month and Viewqwest at $149.95-per-month.

StarHub and SingTel only had 500 mbps plans at $69.90-per-month and $59.95-per-month (it's actually $79.90-per-month but they gave six months worth of free subscription) respectively at that time.

M1 matches price with MyRepublic

M1 just announced that it would be giving a limited time offer for its 1 Gbps plan at $49-per-month. This is one-eighth of the $399-per-month M1 announced when it first launched 1 Gbps plans in January this year.

SingTel recently launched an 'unlimited fibre speed' plan that costs $69.90 a month. Unlimited is more like 800 Mbps though.

Is this a sign that consumers are ultimately price-sensitive?

There have been many complaints online about the slow roll-out of MyRepublic's fibre broadband after sign-ups, but that did not stop them from getting more subscribers - it may even be a sign of how popular that price point is.

Many of the more expensive plans by telcos offer value-added services, free or heavily discounted modems/routers or installation services, discounted mobile phone subscriptions, etc.

With M1 joining the fray of lowering prices, it is telling that weary consumers probably do not calculate all the value they derive from these add-ons and focus purely on the monthly subscription pricing.

But there will be 'hidden' costs

Does M1 dropping its subscription price translate to more value for consumers? Previously it provided a free wireless router for its pricier top-tier plan. It does not now.

For consumers to truly appreciate the speed of fibre optic broadband wirelessly in their houses, they would have to invest at least $250 for a router capable of sending wireless signals of that speed within a house.

Consumers may not factor that additional cost, or worse, they may buy a cheaper wireless router capable of speeds of only 450 mbps, throttling their own speeds.

And M1 has said that this monthly $49 plan is only a promotional price and limited time offer - prices could be adjusted after 24 months.

Still better than nothing after the football subscription and 4G VAS debacle

Competition is supposed to be beneficial to consumers and lower prices is the first step in the right direction. Consumers are still smarting from the sky-high prices to watch English football because of the bids put in by SingTel.

Similarly, consumers have long wondered why mobile phone subscriptions are so closely priced and raised they raised a collective eyebrow when SingTel and M1 mentioned that they were considering making their 4G services chargeable after StarHub announced that it was ending its free 4G VAS.

The telcos said that they differentiated themselves by the services they provide and the freebies they gave. It is common knowledge that it is more profitable to give 'value-added' services than giving outright price discounts.

With M1's move to lower subscription prices for fibre broadband, consumers can hope to see more telcos to follow suit.

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