KyWiFi LLC wrote:

> One provider's quote difference between 10Mbps and 20Mbps was $400.
> Is this typical, do fiber prices really drop off like this once you purchase
> more than 10Mbps?

>From the numbers I've seen, that's fairly common. Most of the cost is
fixed regardless; if you want, say, 10Mbps, they'll probably have to set
you up a DS3 circuit, which is capable of handling up to 45Mbps. Most
bandwidth providers have to go through a local telco to get the DS3, and
it'll cost them the same to have that circuit regardless of how much
it's being used. If you need more bandwidth, hey, the circuit's already
there, it's just a matter of turning up the "bandwidth" knob.

Since the extra bandwidth is cheap (as compared to the costs of the
actual circuit provisioning) it's to their benefit to sell you as much
bandwidth as they can, because they'll probably make more profit that way.

David Smith
WISPA Wireless List:



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