|reply to N3OGH |
Re: Comcast and ATT worst offenders
said by N3OGH:That is an oversimplification.
Given the national data backbone is upgradable by switching out the gear at either end of the fiber runs
Changing out even just the interface cards is really, really....REALLY expensive.
Say you are a service provider with 5 or 6 40G links between two cities. Your capacity has filled up because of stuff like over the top video and cloud access that you make no money on - you didn't get new customers and you don't have a new product line to generate revenue - but you still have to upgrade your backbone because you have to provide a consistent level of service so you decide to upgrade the links to a have 100G capacity...so 5 or 6 100G transponders at each end at around $100k and you just spent about $1.2 million!...
But wait, that's not all!...
Those runs are too long to not have ILAs or Regens and you have to upgrade their interfaces too....let's call it an even $5million at this point to make the math simple....and that's just one leg...if you are a backbone provider you probably have dozens of those to upgrade at the same time.
Great business to be in where you have to spend millions just to satisfy the existing revenue you are pulling in and there isn't any new money to pay for it.
I am not suggesting that caps or price increases are something I want as a user but to not recognize that their is a very real economic challenge to overcome here is naive and one sided
You do these things to keep customers and retain the margin you have. Just because an ISP has built a network doesn't mean they can just sit around and print money.
I wish I could convince my employer that since I've completed what I consider enough projects that they now owe me a liftetime salary.
If anyone has a job like this or runs a business like this, please enlighten me.
I was flipping channels the other night and paused on the Weather Channel (mainly because the reporter was someone who I find very attractive). It was a program about a new kind of "sand bag" that uses (I think) the same moisture absorbing stuff that's in feminine hygiene products and diapers. When they get wet, they expand to many times their former size. Hundreds of bags can quickly be deployed without any back-breaking labor. You can either wait for the rising water to expand the bags or take a garden hose and "activate" the bags. I was dumbfounded how simple the idea is and how effective it is to enable folks to easily buy, transport and RAPIDLY deploy flood barriers. Someone is pure genius.
They also showed large tubes much like the ones that corral oil on water except the tubes were filled with water. Instant dam.
These are examples of why we just can't sit on our rears and print money. Things change and it's natural to invest in your business to make sure it keeps pace with what your customers demand. Isn't this business 101?