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| reply to dynodb
Re: LOL said by dynodb:Nulty has projected profitability for the network in its fifth year of operation, if 49 percent of the households in the 22 towns subscribe... ROFLMAO. Did April Fools Day come late this year? In 2006 Verizon predicted that FiOS will generate positive operating income by 2009, as a result of declining operational costs as well as growing revenues. The company expects to invest $18 billion in net capital from 2004 through 2010 in deploying the fiber network and attracting up to 7 million FiOS Internet customers and up to 4 million FiOS TV customers by the end of 2010. This was predicted to be 20-25% penetration
I heard they spent a bit more than that but even including any operational copper reduction benefit (which Vermont does not have), the profitability is unclear with their build stopping and current 3.8 million total FiOS Internet customers and 3.2 million total FiOS TV customers. |
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 Gami00 join:2010-03-11 Mississauga, ON | it really depends on the area..
they release FIOS in mature markets with lots of ppl, and some places with equal competition from cable. Cable in-turn offered Doc3 spds to compete with it.
this fiber is being laid out in a neglected area, which doesn't seem to have any plans for upgrades considering the major player in this area is basically dead.
with the above in mind, the Nulty dudes projections have a high chance of being true. The only way for him to lose would be if the big players spent money in the infrastructure of the same area.
Which by all current account, they're not gonna do, |
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 | reply to devnuller If anyone decided to build out broadband to my neighborhood they would get close to 100% of the customers because we're all stuck with dialup or dialup plus (satellite internet). It makes good sense to hit the rural areas. No competition! |
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 Sammer join:2005-12-22 Canonsburg, PA | reply to devnuller said by devnuller:The company expects to invest $18 billion in net capital from 2004 through 2010 in deploying the fiber network and attracting up to 7 million FiOS Internet customers and up to 4 million FiOS TV customers by the end of 2010. This was predicted to be 20-25% penetration Their current penetration where FiOS is available is about 29% and they are losing a much higher number of landlines in other areas. The completion date in some of the largest cities where Verizon has already committed to FiOS and committed capital is more like 2014 than 2010. Time is money a significant amount of advertising is wasted on those who can't get FiOS service even if they want it. |
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