[2134] in Commercialization & Privatization of the Internet
Re: Trickle Down? How About Bubble Up?
daemon@ATHENA.MIT.EDU (Lars Poulsen)
Tue Jan 28 03:09:49 1992
From: lars@spectrum.CMC.COM (Lars Poulsen)
Date: Tue, 28 Jan 92 08:07:54 GMT
Apparently-To: com-priv@psi.com
In article <CMM.0.90.2.696562451.vaf@Valinor.Stanford.EDU>
vaf@Valinor.Stanford.EDU (Vince Fuller) writes:
>We have found that offering low-speed service is exceptionally labor-intensive,
>given the difficulties involved in system management and training, and requires
>a substantial infrastructure investment both in computer hardware (banks of
>modems, server systems to offer mail-spooling, domain service, etc.) and in
>personnel time and expertise (someone has to learn how to configure those
>client sendmail.cf files, handle domain database updates for the clients,
>get UUCP-over-TCP running, teach client personnel how to install their
>SLIP/PPP software (which if cheap is probably unsupported), etc., etc.).
It looks to me like you are bundling services that could well be
separately priced. There is no compelling reason why network consulting
should be bundled "for free" with network access and routing. The
overhead cost of supporting my home would be considerably less than the
cost of supporting my mother-in-law.
Most computer companies by now are charging separately for hardware and
software. Indeed, the PC revolution could not have come about if these
cost elements had not been separated.
"We have found it extremely difficult to make money selling inexpensive
computers, given the difficulties in system management and training, ...
(someone has to learn how to configure operating sytem options, handle
password file updates, teach users how to use the editor ...)"
The solution is twofold: The service vendor prices individual service
elements to reflect cost elements, and the equipment and software
vendors will make the equipment simpler to use. Users will soon get
themselves educated to need less handholding.
Trust the process.
--
/ Lars Poulsen, SMTS Software Engineer
CMC Rockwell lars@CMC.COM
