nasadude
join:2001-10-05
Rockville, MD
 ·Comcast
| reply to pnh102
Re: Take The Hint
question: how long does a clec need to become profitable enough to do it's own plant build out? a clec isn't necessarily going to get the same consideration and forbearance that the incumbent got for doing their build out.
I know clecs in Japan and France have been successful enough to build their own plant, but I believe they had several years to get big enough/profitable enough to get to this point.
No matter how clear the handwriting on the wall (ie, FCC granting forbearance in the near future), if a CLEC hasn't been profitable enough or gotten big enough they aren't going to be able to afford a build out. |
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pnh102
Reptiles Are Cuddly And Pretty
Premium
join:2002-05-02
Mount Airy, MD
| said by nasadude  :question: how long does a clec need to become profitable enough to do it's own plant build out? a clec isn't necessarily going to get the same consideration and forbearance that the incumbent got for doing their build out. I would think that building one's own physical plant isn't something you should do after you are profitable. I see it more as an expense you incur in order to sustain profitability.
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This isn't fair! I was only supposed to hate just ONE presidential candidate! |
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wifi4milez
Big Russ, 1918 to 2008. Rest in Peace
join:2004-08-07
New York, NY
 ·Sprint Mobile Broa..
·RoadRunner Cable
 ·BroadVoice
| reply to nasadude
said by nasadude :I know clecs in Japan and France have been successful enough to build their own plant, but I believe they had several years to get big enough/profitable enough to get to this point. Unless my math is wrong, the 1996 Telecom Act was 12 years ago.......
Plenty of time in my opinion to come up with a solid business plan that doesnt involve the incumbent. In all honesty, back in the late 90's when every CLEC had a stock price over $100 would probably have been a good time to invest in physical plant.
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If history teaches us anything, it teaches that simple-minded appeasement or wishful thinking about our adversaries is folly.
-Ronald Reagan-
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SHABAZZ
join:2008-07-13
Seattle, WA
| reply to pnh102
First, a company needs funds to build. So to achieve this you will have to be profitable or born wealthy.
Second, if you think you will be able to get venture capital investment when your competition is “Bell” you must have never been in business. |
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