What do you guys think of that pricing?

I can get it from their New York DC a full 42U Rack and 100MBPS for $4k... worth it?


Opinions?

Wow, that's a great deal you are getting. I think they are worth it, I heard they provide good support and they have a great network.:)

Good deal!

What would you guys expect to pay for a full rack and 100mbps from peer1?

Originally posted by Mrdredd
What would you guys expect to pay for a full rack and 100mbps from peer1?

I always thought it would be around $6-7K for a full rack and 100mbps.

They must be running some kind of a special.

This is available to me as long as they have floor space available.

How much per GB per month?

Uh, a 100mbps feed is like 32,000GB

I dont think they sell per GB to individuals -- i dont know for sure though.

Actually more like 30,000GB, if you could push it full tilt all the time, which of course you can't, so it's evne less :)

Mrdredd,

I would love to find out who you are receiving your pricing from at Peer 1 Network. Our offering for a 100Meg connection plus a full cabinet is $5,750.00/mo not $4000.00/mo. I would appreciate you not posting false pricing on these boards. If you do require pricing from Peer1 please give me a call or send me an email off list.

Thanks,

Joe Cooper
Sales Manger
Peer 1 Network
New York
212-742-1245
jcooper@peer1.net

It is not false pricing, I actually can get it lower... $4k was an increase on the price I'd get it at.

Sounds odd that the sales manager from Peer1 does not beleive that price. Is a reseller cutting you a deal?

Mrdredd,

I am the sales manager here at Peer 1 Network for New York. I do not know where you are getting your pricing from because all pricing goes by my desk before it gets approved. I would check with the person that is offering you this deal to make sure it is real. It looks like someone is offering you something that they cannot deliver. I would hate to see you embarrass yourself by offering this pricing to someone and not be able to deliver on your promise.

Thanks,

Joe Cooper
Sales Manager
Peer 1 Network
New York
212-742-1244
jcooper@peer1.net

$5,750.00/mo

Even thats a pretty good deal. Comes out to like $115/MEG of actual usage.

The price is probably from a reseller ..

I get the feeling jcooper will be having a "meeting" with the sales staff today. :D

I doubt they'll sell that direct that cheap.

joe,

thanks for stepping in.

drhonk: i can confirm that no reseller would be able to offer anything to that effect either (without overselling that is). ie, i will gladly offer anyone 1U and 100Mbps for $4k =]

paul

Was that 1u and 100Mbps for $4K meant to be sarcasm?

mfjp,

me? sarcasm? never! in all seriousness though, that price can not be offered by a reseller without seriously overselling. that was my point.

paul

Got it!
I kinda have a feeling the thread starter is trying to sell the thing here.

it is a little hard to sell something you cant get, but then quite a few companies have made it into a business model, so i dunno =]

paul

Yep, If it's too good to be true, it probably is.

heh :o

Its unfortunate as this seems to be a trend particularly with peer1. I've had a few disputes with potential customers about the pricing of actual bandwidth. Being in TO and having links to peer1, we get ignorant customers (forgive the word, but it's true), who tell me we're getting ripped off, etc. They then continue to talk about how they'd rather go direct to peer1@NYC for $50/mbps, and that they could "get this at any location if they signed a 1 year".

I've had a few similar "baiting" type of offers from Peer1 in the past, sometimes at random, sometimes from my sales rep. They were quite tantilizing (not that much hah), but always had conditions (eg. you can't share that connect externally, or to any other cabinet, cabinets can only have x amount of power, it must be in one facility in the city only, cannot be a cross connect to our network, etc. etc.). Not that this is anything unusual, if the deal is too good to be true, expect there to be a (or some) catches somewhere :).

Well currently I am looking hard at co-location from Peer1, they aren't too expensive for the reliability that you get.

It's true. 100% uptime and I've never heard anything against them. I'd go with them if I wanted pure reliability.

exactly my point. no frills, no fluff, good people that take care of you and the network. highly recommended. we push quite a bit with them and could not be happier with our choice.

paul

Originally posted by UmBillyCord
Even thats a pretty good deal. Comes out to like $115/MEG of actual usage.

Your math is fuzzy. Thats a WHOLE lot cheaper then that. 5750 / 100 = $57.50 per Mbps. $4K seems really really too cheap. Nearly $50 per Mbps is about as cheap as I believe thay can go. Thats not including RackSpace.

jcooper

hello why are you so madd at Mrdredd what if its a true hehe have a coffe too much work not good for health did you know that?

Peer1 is TOP quality and we loveeeeeeee them so much!

100% uptime? YES :)

Good job guys, we love you ;)

Originally posted by westlife
jcooper

hello why are you so madd at Mrdredd what if its a true hehe have a coffe too much work not good for health did you know that?

Well many reasons... Obvious one is :

Since he is the Sales Manager he knows (quoting him) that he has never authorized such low prices.

very simple - peer1 list prices on high commits are excellent, primarily justified by their desire to go after the US market aggressively. prices mrdredd says he was quoted, on the other hand, are much too low and would undermine people's perception of peer1 as a stable company with a solid business model. we, for one, wouldnt touch a carrier lowballing to that extent (see HE).

paul

Originally posted by JeremyL
Your math is fuzzy. Thats a WHOLE lot cheaper then that. 5750 / 100 = $57.50 per Mbps. $4K seems really really too cheap. Nearly $50 per Mbps is about as cheap as I believe thay can go. Thats not including RackSpace.

I stated "actual" usage. If you can get more the a 50% usage out of a capped pipe doing hosting, then you know something I do not know. If someone sells a Meg for $100, you are basically paying $200 for actual use because you will hit your ceiling before you get to use all you pay for. Now if this were a busrtable pipe, then actual use would be $57.50.

I assure you, I understand math, just not spelling. :)

Originally posted by UmBillyCord
I stated "actual" usage. If you can get more the a 50% usage out of a capped pipe doing hosting, then you know something I do not know. If someone sells a Meg for $100, you are basically paying $200 for actual use because you will hit your ceiling before you get to use all you pay for. Now if this were a busrtable pipe, then actual use would be $57.50.

I assure you, I understand math, just not spelling. :)

You are correct there, but lets remember this would be a fully burstable pipe at 100mbit which would effectivly give you 75% usage of the pipe without any issues of overhead/packet-loss.

Originally posted by [eS]s.h.a.z.y
You are correct there, but lets remember this would be a fully burstable pipe at 100mbit which would effectivly give you 75% usage of the pipe without any issues of overhead/packet-loss.

It depends on what you feel comfortable with. if you are willing to push a 75 Meg average on a capped 100 Meg pipe, I think you limit yourself if a cusotmer(s) spikes. At the 1 GB pipe level, spikes are ripples. At 100 Meg level, they can be waves. :)

Originally posted by UmBillyCord
It depends on what you feel comfortable with. if you are willing to push a 75 Meg average on a capped 100 Meg pipe, I think you limit yourself if a cusotmer(s) spikes. At the 1 GB pipe level, spikes are ripples. At 100 Meg level, they can be waves. :)

Believe me, I have seen providers hit 850-900mb/sec on GIGe pipes and maintain it...

It is down to what you are confortable with.

Originally posted by [eS]s.h.a.z.y
It is down to what you are confortable with.

Translation: How much copper wire can I squeeze out of my penny today?

Wow ... I didnt expect these many replies... but I did get a quote, believe it or not, not for $4k, but $3k from someone who has racks and i believe a gige? at the NYC facility, shortly after this post though I was told it was no longer available.

I do not believe he browses WHT either, so dont go yell out scam as I've know him a long time.

(and I have not read much of the replies after page 1)

Originally posted by Mrdredd
Wow ... I didnt expect these many replies... but I did get a quote, believe it or not, not for $4k, but $3k from someone who has racks and i believe a gige? at the NYC facility, shortly after this post though I was told it was no longer available.

I do not believe he browses WHT either, so dont go yell out scam as I've know him a long time.

(and I have not read much of the replies after page 1)

Well then you're really not getting a quote from peer1, you're getting a quote from some other organization. A little misrepresenting to indicate thats from Peer1, when it's not.

I never said I got the quote direct from peer1, i stated the bandwidth the quote was for, and the datacenter it was located in.

hmm, why would it be that it is no longer available, hmm... maybe because it was never available in the first place?

paul

I love the massive conspiracy theories here.

Supposing for a minute that Mrdredd did "lie" about this... Why does it matter? He asked if it'd be a good deal. No different than me saying "If I buy a Mercedes for $10,000, is it a good deal?"

If this were the advertising forum and he offered this, people would be justified in jumping over him. But in this case, it seems that he got an offer for a good deal, came here to ask if it was, indeed, a good deal, and had about 30 posts suggesting he was somehow trying to defraud us by asking a question.

I won't rule out that he's lying, but I must say... There's not a thing to gain from it. He's not offering anything. I think it's just opportunity cost -- if I'm paying for a GigE but only using 300 Mbps of it, if I sold you 100 Mbps for $1, I'm $1 richer -- you can't build a business on it, but if you have excess bandwidth, even if you sell for less than you bought it, it's to your benefit to get _some_ money for it.

Not quite sure why people are outraged? :confused:

I think because the image it lays out of Peer1 is that of a cheapie provider. It degrades the "seen value" of peer1 by anyone who reads this thread, and anyone who uses their bandwidth. This is the kind of thread that [ignorant] customers reference back on and say "why am I paying you $300/mbps for peer1 bandwidth when you can get it for $40/mbps".

I agree that it is a bad image when one of your customers sells it cheaper than you sell your product, but legally you cant do anything about it. To set a rate your customers can sell at is illegal. If a provider tries to pressure you talk to an attorney and show them that you will push back.

Instead of trying to set prices you should explain to customers and prospects that if they make the same commit they will get the lower price. If they would like to go to your reseller it is still a sale for you because it means your customer is selling more space, power and bandwidth. The one exception that we all hate to see is when a customer is having financial problems and sells below their cost just to cover their current bill. Now they have dug a deeper hole and advertised a price that is unrealistic. If that was the case on this post I totally understand the reason they tried to squash it, but to do that is illegal.

If you are looking to resell be open with the provider about what you are planning on doing. Some will support your plans while others will see it as competition. Also remember that the datacenters have seen many companies come in and go under. They can offer insite on how you can avoid the same.

Two things:

1. To resell below your cost due to financial burdens is illegal? Where/when did that law come from, as thats a new one :D, i think you mis-phrased that somehow.

2. The beef I had (and I think most others had) is not the fact of the price, it was the fact it was being represented as an offering or quote from Peer1 (read the first thread only) not from a reseller.

1. No, I didnt mean that selling below cost is illegal. I said it is something we all hate to see. I was saying that it is usually good when a customer makes a sale, the one exception being when they did it below cost. We are on the same page on this. My only point was that it is illegal to tell customers what rate they can resell at.

I would guess this is why another company has offered aggressive pricing on 100Mpbs and 1Gps connections but does not allow any other cross-connects to the cabinet or more power. That is a pretty good idea on how to legally avoid your customers cutting the rate.

2. This has always been a sore point for a lot of people. At what point is it not Carrier X bandwidth? For example, if you are in our facility and we use Level 3 for bandwidth, do you have Level3 bandwidth, or is it Colo4 Bandwidth? I think the most honest way to say it is "We utilize the Colo4-Dallas facility and bandwidth," but we all know that is not what people do. Especially on WHT. The question could probably start a huge thread here.

I re-read the first post. He was saying he could get in for that price and asking if it was worth it. It spurred a lot of people to make conclusions. Maybe that was the intention.

Again, we are on the same page here. I get frustrated by this also, but it is the nature of the beast. It sounds like that pressure was exerted on the provider and steps were taken. When someone makes a post here it is usually going to come out who the provider is so you might as well start off by advertising it. The fact that the reseller was never named does take away from the credibility of the offer.