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

John Brown john at citylinkfiber.com
Wed Jul 2 15:51:10 PDT 2008


two ways of improving the balance sheet.

increase revenue

decrease costs

I hate to say it but, IMHO, many of the providers out there today like
to quote inflated costs to the regulatory world to help support rates.
Maybe I just don't get it and will learn someday that its the right way
to do it ;)

much of the inflated costs could also be attrib'd to sloppier practices
and not running as tight of a ship as possible......


John Brown, CTO
CityLink Fiber Holdings, Inc.
Albuquerque's first FTTH provider


Gary Gomes wrote:
> 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
>>
> 



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