  gatorkram Spelling and Grammer impared Premium join:2002-07-22 Winterville, NC clubs:
·Embarq
·linode
| reply to Nerdtalker Re: Their country is smaller
said by Nerdtalker : Well, firstly, Japan is much smaller than the US.
Need I say more?
That has nothing to do with it, and frankly I am very tired of this excuse. All you have to do, is compare to two figures mentioned in the article, to see the problem. What was it, 47 Billion, vs 800 million? Yeah, the size thing must really be it. -- Give me bandwidth or give me death! |
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 Automate
join:2001-06-26 Atlanta, GA
·Comcast
| The important number
The important number is 47B/30M = $1567 per home
When you consider most people are not going to be willing to pay more than $100/month for combined Internet/phone/TV and after the cost of sales, tech support, billing, Internet backbone cost, TV programming cost (ESPN etc.) they maybe would end up with $25 profit per home per month.
1567/ 25 = 5.22 year pay back.
Most American companies are not going to go for a 5+ year pay back on investment. They would rather wait a few years until the cost per home has gone down in half. |
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  dk1983
join:2003-10-18 Boise, ID clubs:
·Qwest.net
1 edit | Your formula is wrong there Automate because if that was the case that company would get there ROI in one month. If it has 30 Mill. subscribers.
Now if that company wanted a ROI in two years that drops the price to 65.29 per user per month. Thats only two years. Now at 4 years thats 32.64 a month. |
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  DaDogs Semper Vigilantis Premium join:2004-02-28 Deltaville, VA
| reply to Automate said by Automate :The important number is 47B/30M = $1567 per home When you consider most people are not going to be willing to pay more than $100/month for combined Internet/phone/TV and after the cost of sales, tech support, billing, Internet backbone cost, TV programming cost (ESPN etc.) they maybe would end up with $25 profit per home per month. 1567/ 25 = 5.22 year pay back. Most American companies are not going to go for a 5+ year pay back on investment. They would rather wait a few years until the cost per home has gone down in half. Actually I believe that is 1567.00 per person. Probably more like 4000.00 per home. Pay back may come in ten years if recurring costs are not too high.
Hey I am all for FTTH for the entire LA basin, if they want to pay for it themselves with their own tax dollars and none of mine. -- In the background stand the Clinton's bloody switchblade in hand, never to be blamed, but still in the running for '08. |
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  jeffster1970 Whatta Ya Think About Dat? Premium join:2004-04-01 Kitchener, ON clubs:  | Actually, Japan has a population of 127,000,000 and at a cost of 48 billion US, it works out to roughly $377 per person. That's not a lot. |
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 Automate
join:2001-06-26 Atlanta, GA | Guess you did not read the article. They said the system will reach half of the population, not all of them. |
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  Kim Jong Mo Dollar Plz Premium join:2002-09-01 North Korea
| said by Automate :Guess you did not read the article. They said the system will reach half of the population, not all of them. Wow that does make a big difference we have like 0 people with fiber. -- »dickcream.com/tandem/ DC/GNAA/YTMND representing world wide. |
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 Automate
join:2001-06-26 Atlanta, GA
·Comcast
| reply to dk1983 said by dk1983 :Your formula is wrong there Automate  because if that was the case that company would get there ROI in one month. If it has 30 Mill. subscribers. Huh? how do you come up with that? |
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 Automate
join:2001-06-26 Atlanta, GA 1 edit | reply to Kim Jong Well, if you were a business and every time your accountant was off by a factor of 2 in his calculations, you would probably be out of business pretty quick.  |
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  Kim Jong Mo Dollar Plz Premium join:2002-09-01 North Korea
| said by Automate :Well, if you were a business and every time your accountant was off by a factor of 2 in his calculations, you would probably be out of business pretty quick. Tell that to Enron please. -- »dickcream.com/tandem/ DC/GNAA/YTMND representing world wide. |
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