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kaila

join:2000-10-11
Lincolnshire, IL
reply to fifty nine

Re: Something has to give.

While it 'sucks' for ISP's that consumer bandwidth usage keeps trending upward, it has been doing that since the beginning and should hardly come as a surprise. And based on the average subscriber pricing and usage limits in Canada (US as well), they're either well prepared for the cost of upgrades or making a lot of mistakes with their money.

Singling out Comcast (as your example), their gross profits are 60% with net around 10%. Fairly standard for the industry and a pretty sweet money making model in light of the economy and .29% 1yr T-bills.
--
Jeff Howe
Jeff's Blog - »www.ostjournal.net


fifty nine

join:2002-09-25
Sussex, NJ
kudos:2
And nothing is wrong with them taking steps to maintain that profitability.