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Forums » Fight Brews Over FCC's Plan For Smut-Free National Wireless » Free WiFi would look like this
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Savvy 5 year olds? »
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bbenso1

join:2004-11-28
Baltimore, MD

Re: Free WiFi would look like this

said by Matt See Profile :

said by bbenso1 See Profile :

said by TKJunkMail See Profile :

So what M2Z is asking for is FREE spectrum so they can sell their 3 mbps tier at $30/mo that can show porn.
Not FREE. M2Z would pay the government 5% of their revenue. So instead of getting one payment up front the government would be getting recurring revenue as long as the company stays in business.
Yes free. If they don't make money (or use creative accounting to hide it) they don't pay the Government a dime.
Incorrect. 5% of REVENUE, not 5% of PROFIT. If they bring in $1 million and have operating costs of $2 million they would still owe the government 5% of that $1 million even though they actually made no money.

So, the only way that the government would see no money from this deal would be if M2Z had absolutely zero income. If that were the case I can guarantee that the company wouldn't be around for long and then the government would get their spectrum back.
permalink · 2008-08-13 14:09:41 · Print · Reply to this

Matt
Take me down to the paradise city
Premium
join:2003-07-20
Jamestown, NC
·North State Commun..

Re: Free WiFi would look like this

said by bbenso1 See Profile :

Incorrect. 5% of REVENUE, not 5% of PROFIT. If they bring in $1 million and have operating costs of $2 million they would still owe the government 5% of that $1 million even though they actually made no money.

So, the only way that the government would see no money from this deal would be if M2Z had absolutely zero income. If that were the case I can guarantee that the company wouldn't be around for long and then the government would get their spectrum back.
Did you read the filing? This only applies to their "Premium Offering" subscription service. And they "may" offer it. It doesn't say they HAVE to. They can plaster the free service ads or any number of creative schemes to make money that is exempt and never offer a premium service.
permalink · 2008-08-13 14:25:50 · Print · Reply to this
Forums » Fight Brews Over FCC's Plan For Smut-Free National WirelessSavvy 5 year olds? »
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