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Gbcue
Almost P.E.
Premium
join:2001-09-30
Santa Rosa, CA
kudos:8
Reviews:
·AT&T U-Verse

reply to fiberguy

Re: Simple solultion.

said by fiberguy:

If it were me, I'd simply get out of the modem rental business and have the customer purchase their own modems.
And lose out on the millions of dollars?
--
My Blog 2.0


baineschile
2600 ways to live
Premium
join:2008-05-10
Sterling Heights, MI

Its really not as profitable as you may think. The cost per modem, having to switch them out, and then losing ones that arent returned (or paid for) really cut into the profitability.


fiberguy
My views are my own.
Premium
join:2005-05-20
kudos:3

.. exactly..

For every modem out there especially in the first year, every time a truck is rolled, that modem is a loss. When ever the modem is installed for free, (which is usually always now a days) it's already upping the cost per modem. When ever there is a trouble call, it's a loss.. etc etc.

I do believe that they make money, not lose, in the greater picture, but really, probably not worth it. Modem rentals, if you ask me, are more of a convenience thing to the customer. Remote controls for cable boxes, now THAT is where the money is!


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