Hello,
What they told you about 'i-choice modem' is inaccurate.
I-choice does provide you with a modem, but what you pay for is to use the i-choice platform, not the modem. In fact you can replace the i-choice modem with your own, and you will still need to pay i-choice the exact same amount every month.
For 1Mbit connection with i-choice+cytanet you will need to pay €20.13 + €13.23 every month. (plus €16.02 for the phone line, but most probably you are already paying that)
Please see the "Cost scenarios" at our i-choice page:
http://www.cyprusbroadband.net/i-choice.html