Wiznet

[Ralph Doncaster]

On Mon, 13 Oct 2003, Kristofer Coward wrote:

> > > As far as I can tell, current market prices for residential DSL (if not
> > > also for business DSL) are too low to support the quality of customer
> > > service that Velocet provided[0] (pre-Wiznet).
> > [...]
> > > 0) eg. actually providing some degree of real Linux/Unix tech support
> >
> > That's news to me; we've been offering a full-service account for ages
> > @$34.49/mth.
[...]
> If you're making money on that front, I guess you've proven me wrong.

In the past I've even posted a back-of-the-napkin business case to c.i.h.
Here's the rough breakdown:
Bell ADSL loop; $20/mth * 1000 customers = $20K/mth
Bell 100BaseTx aggregation port; $1000/mth
20mbps of IP transit; $3000/mth (~1000 customers)
Office lease; $1000/mth
Total: $25K/mth
Revenue; $30/mth * 1000 customers = $30K/mth

Add some higher-margin business customers, some colo and web hosting and
you've got a very profitable business if you can keep your payroll costs
to a reasonable level.

-Ralph
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