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View Full Version : why bandwith is expensive ?


kaskus
10-18-2001, 10:59 AM
why bandwith transfer is very expensive ?
Do they pay per Giga Transfer for the T1/OC3 connection ?
I thought that is unlimited like DSL/Cable.

Synergy
10-18-2001, 11:01 AM
DSL is not unlimited......

I've burnt 68 GB of Bandwidth on file transfering and my provider cut me off. I believe DSL companies pay per GB bandwidth as well....... $50 a month and they probally play the numbers game where everyone just surf the web ;)

kaskus
10-18-2001, 11:06 AM
hmmm.. intresting.. i never know that

jolly
10-19-2001, 02:14 AM
Originally posted by ******
why bandwith transfer is very expensive ?
Do they pay per Giga Transfer for the T1/OC3 connection ?
I thought that is unlimited like DSL/Cable.

Nothing is free :D
It depeneds from where you buy the bandwith?

teck
10-19-2001, 10:13 AM
Please keep this post on topic and share why you think bandwidth costs so much. The off-topic posts have been removed.

Angel78
10-19-2001, 11:13 AM
Because BIG companies that provide us with "bandwidht" set high prices long ago and people get used to it. And payed the price named without trying to hm get on Strike or something like that. The other main aspekt is hmmm that there are a lot of middle-people between me as a consumer and lets say one of the "producers" ( is there a place where bandwidht is produced :)) and all they ask for their provisions..etc same thing as with all other ( Fabric price + 10 transport +20 ...+30...etc and on the end it costs 5-10 times more than it should cost)

smartbackups
10-19-2001, 11:20 AM
No, it is just a poor business model that allows people to see bandwidth for cheap. Same thing for dialup, webhosting, colocation, etc. Playing the numbers game or overselling is very chancy and too many companies to count have gone out of business as a result. Granted some overbuilt their fortresses (NOCs) in hopes to get more sales. But no matter what, real estate, equipment (just figure our what two cisco 75XX routers will cost you) and your most expensive resource people will cost you each month. I for one would rather have 10 customer pay $100 a month rather than 100 at $10 a month. I can deliver much better customer service to my 10 premium customers. one day the sanity will have to return, once 60% of the industry goes out of business. BTW we are buying hosting customers. :)