damian24
Senior Member
<ranting>
To anyone working for Telkom, my apologies (not), I just had to get this off my chest...
I was looking into costing of our leased lines using SAIX vs cost on ADSL (using you know who) and here's the skinny.
Max ADSL speed assumed at (512) translates to about 54kb/s at maximum.
Max Leased speed assumed at (448) which is about 56kb/s on lease lines.
Now cost on a leased is R14918 including the line the ADSL is 585 (477 + 107.54 line rental) ADSL accounts at 54 per GB (let's work on cost price)
Now some calculations :-
24 hour utilisation 31 days a month on both leased to the following)
realistic ADSL speed max (51kb/s) +- 130GB download / month
realistic leased speed (7.8kb/s / 64 kb of 54kb/s) +- 138GB download / month
costs :
ADSL (130GB traffic (54*130) + 585 line cost) = 7605
Lease line = 14918
Now for what you get with the lines :
Leased Lines
guaranteed local access
International is shared 4:1
Access to special services that repairs line in most cases in less than 4 hours
Equal up and download speeds
ADSL
best effort service due to 'nature' of ADSL
pay per GB
shared at leased 20:1
repair times are also best effort
uplink is tied down to 256
512kb/s is actually a 448kb/s line due to ATM overhead
port priorities.
Bearing in mind that 54 bucks/GB is cost the SP's and Telkom will put in a couple of bucks as markup.
huh? what am I missing, by these figures, if ADSL usage were at or near what leased line capacity is then ADSL is likely more profitable than leased line as Telkom must meet contention ratios on leased services thus downloading 130GB on your SAIX line won't be viewed as abuse as you payed for it.
Working on 20:1 ratio ADSL is a reduced service and should then be billed that way thus at most 1/20 of the price of a leased line or 745p/m with no capping and no port priorities. although telkom more likely run 50:1, how do I know this? at 20:1 telkom would need 1.5GB/s international, and they have sub 500Mb/s, so let's work on 50:1 instead.
This is just under 300 bucks, for Telkom to be able to work on the same bandwidth profit line with no capping and no priorities.
S**T we've really been ripped 'cause ADSL seems (technically at lest) more profitable than the dedicated internet bandwidth
Now if someone could fill me in again, how the hell can Telkom not reduce costs?
With the cost of leased lines, it is technically possible to resell ADSL access at a fraction of Telkoms price using Telkoms' infrastructure and still make money! Now if only Telkom would allow access to the ATM backbone and allow virtual circuits to SP's via ADSL.
</ranting>
Me.
To anyone working for Telkom, my apologies (not), I just had to get this off my chest...
I was looking into costing of our leased lines using SAIX vs cost on ADSL (using you know who) and here's the skinny.
Max ADSL speed assumed at (512) translates to about 54kb/s at maximum.
Max Leased speed assumed at (448) which is about 56kb/s on lease lines.
Now cost on a leased is R14918 including the line the ADSL is 585 (477 + 107.54 line rental) ADSL accounts at 54 per GB (let's work on cost price)
Now some calculations :-
24 hour utilisation 31 days a month on both leased to the following)
realistic ADSL speed max (51kb/s) +- 130GB download / month
realistic leased speed (7.8kb/s / 64 kb of 54kb/s) +- 138GB download / month
costs :
ADSL (130GB traffic (54*130) + 585 line cost) = 7605
Lease line = 14918
Now for what you get with the lines :
Leased Lines
guaranteed local access
International is shared 4:1
Access to special services that repairs line in most cases in less than 4 hours
Equal up and download speeds
ADSL
best effort service due to 'nature' of ADSL
pay per GB
shared at leased 20:1
repair times are also best effort
uplink is tied down to 256
512kb/s is actually a 448kb/s line due to ATM overhead
port priorities.
Bearing in mind that 54 bucks/GB is cost the SP's and Telkom will put in a couple of bucks as markup.
huh? what am I missing, by these figures, if ADSL usage were at or near what leased line capacity is then ADSL is likely more profitable than leased line as Telkom must meet contention ratios on leased services thus downloading 130GB on your SAIX line won't be viewed as abuse as you payed for it.
Working on 20:1 ratio ADSL is a reduced service and should then be billed that way thus at most 1/20 of the price of a leased line or 745p/m with no capping and no port priorities. although telkom more likely run 50:1, how do I know this? at 20:1 telkom would need 1.5GB/s international, and they have sub 500Mb/s, so let's work on 50:1 instead.
This is just under 300 bucks, for Telkom to be able to work on the same bandwidth profit line with no capping and no priorities.
S**T we've really been ripped 'cause ADSL seems (technically at lest) more profitable than the dedicated internet bandwidth
Now if someone could fill me in again, how the hell can Telkom not reduce costs?
With the cost of leased lines, it is technically possible to resell ADSL access at a fraction of Telkoms price using Telkoms' infrastructure and still make money! Now if only Telkom would allow access to the ATM backbone and allow virtual circuits to SP's via ADSL.
</ranting>
Me.
