espaeth
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| reply to Jerm
Re: Very Interesting ...
said by Jerm  :So much for cable and their whining/caps. Thats about $0.012 (or 1.2 cents) per GB of transfer when I do the math (@$4/mbps fully utilized). Keep in mind that pricing is only valid in a Cogent meet-me facility -- you have to pay to get your own circuit to their handoff.
I've been going through the pricing exercise of getting OC192 connectivity between our data centers in Minneapolis, MN and Trumbull, CT. From the 511 building downtown (carrier neutral facility in Minneapolis) to a carrier neutral facility in Hartford, CT I can get 2 x OC192 circuits for $5k/mo each.
The carrier tail circuits, however, are about $20-35k/mo on the Minneapolis side (depending on private fiber or LEC circuit) and $25-45k/mo on the CT side for each circuit from Hartford to Trumbull.
They can sell cheap connectivity from major city to major city because the fiber is already in place, there's lots of it, and on top of it all they can "colorize" into DWDM bundles and get up to 64 connections on a single fiber pair pretty cheaply. It's getting the connections from these places of mass aggregation out to your location that drives up the costs. |
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Jerm
join:2000-04-10
Richland, WA
1 edit | said by espaeth Keep in mind that pricing is only valid in a Cogent meet-me facility -- you have to pay to get your own circuit to their handoff.
...
It's getting the connections from these places of mass aggregation out to your location that drives up the costs.
:
Yep you're right about the Cogent facility part, but in my area for example I know my Cable Co has their own regional fiber network. Then they have one massive telco circuit to Seattle where they hit the peers (and other one to Portland for backup).
You can't tell me that one or two telco circuits just upped the price per GB 125X from $0.012 to $1.50 ... |
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patcat88
join:2002-04-05
Jamaica, NY
| reply to espaeth
said by espaeth :The carrier tail circuits, however, are about $20-35k/mo on the Minneapolis side (depending on private fiber or LEC circuit) and $25-45k/mo on the CT side for each circuit from Hartford to Trumbull. So how does FIOS, let alone copper POTS exist? $20K-$40K is the installation cost, not the monthly fee. Telcos laugh all the way to the bank with outrageous business customer prices since they know there is no way around them. |
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Dogfather
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Laguna Hills, CA
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| said by patcat88 :said by espaeth :The carrier tail circuits, however, are about $20-35k/mo on the Minneapolis side (depending on private fiber or LEC circuit) and $25-45k/mo on the CT side for each circuit from Hartford to Trumbull. So how does FIOS, let alone copper POTS exist? $20K-$40K is the installation cost, not the monthly fee. Telcos laugh all the way to the bank with outrageous business customer prices since they know there is no way around them. Exactly...why do they charge business what they do? 'Cause they can. It's what the market will bear. |
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espaeth
Digital Plumber
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| reply to Jerm
said by Jerm :Yep you're right about the Cogent facility part, but in my area for example I know my Cable Co has their own regional fiber network. Then they have one massive telco circuit to Seattle where they hit the peers (and other one to Portland for backup). You can't tell me that one or two telco circuits just upped the price per GB 125X from $0.012 to $1.50 ... So what do you suppose it costs to operate your own regional fiber network?
Before you say that's a fixed buildout cost, don't forget about the people that are employed specifically to maintain that regional network. |
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Dogfather
Premium
join:2007-12-26
Laguna Hills, CA | A beeeeeelion dollars. |
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nukscull
@rr.com | reply to espaeth
But, but, but doesn't it run on magic beams? You just "activate the lasers" and it all knows what to do by itself? There's no silly upkeep or maintenance contracts, or anything like that! |
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