Your analysis of broadband/DSL is flawed in one respect. Yes it most
likely can handle 10 channels (so lets say $10/mo/channel) but those 10
channels still have to connect to a provider which has to get them to
the PSTN.

Most likely the provider is using a PRI to do this and unless they have
some super-special deal they are costing around $35/mo. So now, even at
cost the charge per line is $10 + $35/mo.

Its an ugly economic reality that everyone has to buy their lines at
full retail unless you are a CLEC.

I see only 3 ways out of this:

1) peering takes a significant bite out of PRI usage allowing much
higher ratios of customers to PRI channels.

2) smaller VoIP providers can become CLECs.

3) LECs or CLECs start offering SIP trunking at much lower costs than
PRIs

All of these are highly unlikely in the short term but rest assured that
in my role at the CAVP I'm working hard to accomplish all of these
things.

John Lange

On Thu, 2006-07-27 at 15:50 -0400, Henry Coleman [VoIP-PBX.ca] wrote:
> Having spent many hours crunching the numbers a T1 is only economic with 
> over 12 lines
> but if you look at the problem from a bandwidth vs channel point of view 
> the DSL or cable looks
> pretty good, especially if you can use both at the same time and load share.
> The math goes something like this: T1 23 =1 channels for a total of 1.55 
> Mbs - cost $700 per month
> A DSL and Cable broadband (with load balancing) 1.6 Mbs upstream (2x 
> 800kbs) - cost $100 per month
> This assumes that all 23 channels are being used at the same time which 
> of course is unlikely.
> As a rule of "thumb" 23 channels would support 50 to 75 extensions
> Being conservative,  a good DSL  or Cable Broadband  connection  should 
> be able to handle 10  simulatanious calls
> which would support 20 to 35 business extensions. - cost $50 per month  
> +  DID 
> 10 analog lines will cost  $450 per month.
> For me, this is a "no-brainer" --  
>  
> 
> 
> John Lange wrote:
> 
> >But thats over $100 per line not including DIDs.
> >
> >So are you going to go to a client and say; "here is this new phone
> >system. And BTW if you buy our system your line charges are going to be
> >doubled compared to if you choose our competition."
> >
> >Fractional PRIs are not economical for anything less than 15 channels
> >and that still leaves a huge gap between 5-60 users (assuming a 4:1
> >users to lines ratio).
> >
> >John
> >
> >On Thu, 2006-07-27 at 14:16 -0400, Justin Sweeney wrote:
> >  
> >
> >> I ordered a Bell PRI and only enabled 5 channels. Works great and is
> >>a bit cheaper than a full span. So much better to avoid the hassel I
> >>think (all the reliability and features of digital) About $600 per
> >>month I think.
> >>
> >>    
> >>
> >
> >
> >
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