[1st-mile-nm] Bandwidth - How Much is Enough?

[Gary Gomes]

Richard,

I replied to the post because it bore the same heading as an article
published last week that gave some "challenging" statistics on users'
satisfaction with current service levels (high) and their unwillingness to
pay any significant premium ($10.00 per month)for higher bandwidth service.

In order to justify capital investment for FTTP in the presence of
established Telco and Cable competitors, these "challenges" need to be
addressed.

Gary
-----Original Message-----
From: Richard Lowenberg [mailto:rl at 1st-mile.com] 
Sent: Wednesday, July 02, 2008 4:30 PM
To: Gary Gomes
Cc: 1st-mile-nm at crank.dcn.davis.ca.us
Subject: RE: [1st-mile-nm] Bandwidth - How Much is Enough?

You are absolutely correct, Gary.
The issue of bandwidth demand and provision cannot be separated from pricing
structures.  I simply posted the article to note the growing 
applications-based
(HD media) needs for greater bandwidth, than most providers presently
consider
offering.  Opening high-bandwidth networks to competitive services
provision,
is part of the solution to reduce pricing to subscribers.
Richard


Quoting Gary Gomes <ggomes at soundviewnet.com>:

> I must be missing something; while I am a strong FTTP proponent, I cannot
> fathom any value in a statement of "demand" that has no "cost" associated
> with the resource.
>
> "Putting aside the costs required to supply bandwidth and the prices
> consumers are willing to pay..."
>
> The demand for many things is very, very large if there is no cost of
> acquisition and consumption.
>
> Gary
>

-- 
Richard Lowenberg
1st-Mile Institute
P.O. Box 8001, Santa Fe, NM 87504
505-989-9110;   505-603-5200 cell
rl at 1st-mile.com  www.1st-mile.com

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