[5959] in North American Network Operators' Group

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Re: Peering Policy ( was Re: AGIS/DIGEX )

daemon@ATHENA.MIT.EDU (Michael Dillon)
Wed Oct 30 14:42:32 1996

Date: Wed, 30 Oct 1996 11:23:50 -0800 (PST)
From: Michael Dillon <michael@memra.com>
To: nanog@merit.edu
In-Reply-To: <199610301845.NAA09272@new6.Reston.mci.net>

On Wed, 30 Oct 1996, Scott Huddle wrote:

> > > Applying lets say 1 cent per  100 bit charge, AAA gets $455.64 from BBB
> > 
> > > So here is my question -- why is this kind of arrangement not being used
> > > anywhere???
> > 
> > The bookkeeping costs $2000 per month for *BOTH* providers to monitor
> > this, collect data, collect bills, etc....
>  
> Source of data, please?

Same source as the other guy's data. I pulled it out of thin air.
Actually, I figured $2,000 per month would be an appropriate salary for
one clerk to handle this job.

And the point was that managing settlements costs money. We know that in
the POTS system the costs of usage based billing are at least 50% of the
total. 

Michael Dillon                   -               ISP & Internet Consulting
Memra Software Inc.              -                  Fax: +1-604-546-3049
http://www.memra.com             -               E-mail: michael@memra.com


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