I stand corrected, fair enough Matt, but wow. That's pretty rich monthly rates and an especially rich ARPU.
Patrick -----Original Message----- From: Matt Liotta [mailto:[EMAIL PROTECTED] Sent: Tuesday, May 30, 2006 3:56 PM To: WISPA General List Subject: Re: [WISPA] This is HUGE! Again, pointing to CBeyonds numbers it is clear that their average customer is not buying big TDM pipes or fiber-based services. Their starting package is $495 per month, which is just a single T1, while their next package up --which is priced higher than their ARPU-- is $895, which is just two T1s. That's 17,000 high ARPU customers delivering services that technologically are easy for WISPs. There are operators on this list that will sell a customer 3 megs or more of service for less than $495 per month. I'm not saying there isn't a market for low ARPU customers, but the scale required to make any real money seems like quite a challenge. -Matt Patrick Leary wrote: >Any operator with some decent residential mix would be drooling to have a >$100 ARPU Matt. No matter what technology is being used, that makes for an >excellent ROI. Those CLECs you mention are also likely providing fiber and >big TDM pipes as a primary focus. > >Patrick Leary >AVP Marketing >Alvarion, Inc. >o: 650.314.2628 >c: 760.580.0080 >Vonage: 650.641.1243 > >-----Original Message----- >From: Matt Liotta [mailto:[EMAIL PROTECTED] >Sent: Tuesday, May 30, 2006 2:52 PM >To: WISPA General List >Subject: Re: [WISPA] This is HUGE! > >Not sure why the number of customers is even important when the quality >of customers can vary so wildly. I run into WISPs regularly whose ARPU >is barely above $100. At 1000 customers an ARPU of $100 is only $1.2M >per year. That's a lot of radios and a lot of customers for very little >revenue. Compare this to CBeyond, which is an Atlanta-based CLEC that in >recent time went public. Today they have about 17,000 customers, but >their ARPU is $761. With just 1000 customers, an ARPU of $761 would be >worth $9.1M. Or to look at it a different way, with 17,000 customers an >ARPU of $100 would only be $20.4M compared with the $155.2M they pull in >now. > >A WISP would be wise to raise their ARPU as opposed to the number of >customers. > >-Matt > >Charles Wu wrote: > > > >>>30% of what number Charles? >>> >>> >>> >>> >>At the last show, 500+ attended representing about 350ish operators >>Of these, about 40% responded >> >>Unfortunately, we have a confidentiality agreement with our survey >>respondents, so I cannot list names >> >> >> >> >> >>>How many WISPs said they have over 1,000 CPE. I can only think of about 20 >>> >>> >>> >>> >>with that high a number. >> >>A recent Tim Saunders article in BBW World alone that showed about 40+ >>Wireless Network Operators w/ 1,000+ CPE (and there are a lot more that Tim >>missed) >> >>Keep in mind, the majority of these operators no longer actively >> >> >participate > > >>in these list-servs, most of em are busy out in the field installing >>customers / running their businesses =) >> >>Did you know that in Sedona, AZ alone (middle of no-where in Northern AZ >>mountains), w/ a total population of ~15k, there are 2 Operators w/ 1,000+ >>CPE? (and there's also cable and DSL competition in town too) >> >>Even at the end of my equipment distribution days (late 2004), I had at >>least 50 customers whom I'd been working with over the years who had >>purchased over 1,000 CPE from me...I know for sure that most of these guys >>are still operating and in business >> >>If you think about it, 1,000 isn't all that much -- take a look at the >>numbers >> >>If you've been a WISP since 2001, and you've been steadily buying CPE / >>installing 20 net new customers (minus churn, etc) / month (~ 1 install / >>working day / month), in over 5 years time (e.g., today in 2006), you'd >> >> >have > > >>1,200 customers >> >>Nowadays, w/ $150-$200 turn-key WISP CPE pricing (Motorola, Tranzeo, >>Trango), it's hard to even buy CPE in anything smaller than a 20-pack >> >>-Charles >> >>P.S. -- now another interesting statistics is the "top-end" of the >>license-exempt operator market -- although a lot of people nowadays have >>over 1,000 CPE installed, ALMOST NONE have been able to successfully scale >>beyond the 10,000 CPE level -- still trying to figure that one out... >> >> >>------------------------------------------- >>CWLab >>Technology Architects >>http://www.cwlab.com >> >> >> >>-----Original Message----- >>From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On >>Behalf Of Patrick Leary >>Sent: Tuesday, May 30, 2006 3:35 PM >>To: 'WISPA General List' >>Subject: RE: [WISPA] This is HUGE! >> >> >>Patrick >> >>-----Original Message----- >>From: Charles Wu [mailto:[EMAIL PROTECTED] >>Sent: Tuesday, May 30, 2006 1:34 PM >>To: 'WISPA General List' >>Subject: RE: [WISPA] This is HUGE! >> >>Some interesting statistics -- 30% of the WISPs who attended our last WiNOG >>"claimed" on their surveys they had been in the wireless business for more >>than 5 years and had more than 1k wireless CPE deployed in the field >> >>Less than 10% of them claimed to be "pure-play" license-exempt fixed >>wireless providers >> >>This is why we call them Wi- "NOGs" instead of "ISPs" nowadays >> >>Don't forget, a lot of rural telcos / CLECs / ILECs (e.g., the "enemy") >> >> >have > > >>gotten into license-exempt fixed wireless... >> >>-Charles >> >>P.S. - I heard a rumor that the current UL market leader, Motorola Canopy >>sold close to $100 million in gear last year alone >> >>------------------------------------------- >>CWLab >>Technology Architects >>http://www.cwlab.com >> >> >> >>-----Original Message----- >>From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On >>Behalf Of Jack Unger >>Sent: Tuesday, May 30, 2006 1:46 PM >>To: WISPA General List >>Subject: Re: [WISPA] This is HUGE! >> >> >> >>Hopefully, the 8% (6,000,000) figure includes ONLY end-users who use >>wireless broadband to get to/from their home and NOT the end-users who >>have a copper/fiber-based (cable/telco) broadband connection to their >>home and then use a Wi-Fi router/access point that provides the "final >>50-ft" connection wirelessly. >> >>There's so much sloppy and innacurate "journalism" these days that I >>need reassurance that the article means what it appears to be saying. >> >>If there are 6,000,000 end-users and if there are 5000 WISPs then each >>WISP would, on average, have 1,200 subscribers. I'm not sure that this >>passes the "sniff" test. >> jack >> >> >>John Scrivner wrote: >> >> >> >> >> >>>Check this out from the Pew report. It appears that fixed wireless is >>>much >>>bigger than what even I thought. According to this report 8% of all >>> >>> >>> >>> >>broadband >> >> >> >> >>>connections in the US are delivered via fixed broadband wireless. That >>> >>> >>> >>> >>means you >> >> >> >> >>>guys! Woo Hoo! >>>Scriv >>> >>> >>> >>> >>> >>> >>> >> >> >> >> > > > -- WISPA Wireless List: [email protected] Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ **************************************************************************** ******** This footnote confirms that this email message has been scanned by PineApp Mail-SeCure for the presence of malicious code, vandals & computer viruses. **************************************************************************** ******** **************************************************************************** ******** This footnote confirms that this email message has been scanned by PineApp Mail-SeCure for the presence of malicious code, vandals & computer viruses. **************************************************************************** ******** -- WISPA Wireless List: [email protected] Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
