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houkouonchi

join:2002-07-22
Ontario, CA
Reviews:
·Verizon FiOS

reply to sk1939

Re: Cable has to recoup costs of lost TV subscribers

said by sk1939:

That argument is completely pointless.

Transport for this area costs $4000 a month for a Gig of transport. That came gig can host 667 DSL users at 1.5 mbps. At 21.95 or so for DSL, that's $14,640 a month - $4000 for transport = a monthly profit of $10,000. Support, billing, and customer service for 600 users can be quite comfortably paid for by that, and these numbers assume no over-subscription which DSL and more so cable, are notorious for.

Actually it would host a lot more than 667 DSL users. Transit is over-subscribed by pretty much all ISPs. I would guess 1 gig of transport would be enough for more like 5000 or more 1.5 megabit DSL customers.
--
Two 35/35 FIOS connections bonded to 70/70

prairiesky

join:2008-12-08
canada
kudos:2

actually i think it's closer to 1 gig connection supports around 5000, 5 mbit customers. It's long been proven, over and over that transit isn't the issue. If you wanted you could go get a 1 gig connection for $1000 in some locations. The problem isn't transit, it's transport. It's getting that connection to where you want it, that's expensive.


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