Stupid question (or is it)

[Shahbanue]

Would someone please enlighten me as to why some ISP's price their bandwidth on line speed & others do not. After all the disadvantage of a faster line is that you reach your cap sooner. You still use the same bandwidth but sooner.

 

[Freaksta]

no clue..

Only accounts that i nkow that are limiited are uncapped accounts

 

[xdsluser]

Capacity planning. ISP's pricing by speed normally have a IP Connect.

Theory
If 10 customers with 1024 connect they need a 1024 IP Connect costing R9000pm. or R900 pm for each customer.
If they had 10 customers on 512 they need a 512 IP Connect costing R500 per month or R500 per customer per month.
(Not real prices.. They also need certain local and international bandwidth pipes costing loads)

 

[Carlhead]

Other ISP's just bank on uses with slower lines downloading less of thier cap, thus increasing thier overall revenue.

Remember if a client is on a normal monthly 3GB account, any unused bandwidth represents profit to the ISP.