[2803] in Commercialization & Privatization of the Internet

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Re: ISDN questions anyone?

daemon@ATHENA.MIT.EDU (Karl Denninger)
Fri Jun 5 01:00:04 1992

From: karl@ddsw1.mcs.com (Karl Denninger)
To: drw@BOURBAKI.MIT.EDU
Date: Thu, 4 Jun 92 22:56:03 CDT
Cc: com-priv@psi.com, eff-talk@eff.org
In-Reply-To: <9206042236.AA16342@zermelo.mit.edu>; from "drw@BOURBAKI.MIT.EDU" at Jun 4, 92 6:36 pm

> The question that comes to my mind is: What is the rate structure?
> 
> There are a number of possible tradeoffs, and how the rate structure
> makes these tradeoffs will have interesting consequences.
> 
> - What is the balance between fixed costs and usage-based costs?
> 
> - (Believing that ISDN is a virtual-circuit type protocol:) What is
> the balance between the cost of maintaining a connection and the cost
> of sending data on a connection?

They're right.

I find it outrageous that an analog line connection over dial-up to a site
locally here would cost me $2160 (!) to maintain a month before discounts
(which would be something like 30%) while a leased line at 56kbs (4 times my
best line rate on analog service) to that same point DOES cost me $250.00 a
month.

Where do the phone companies get their ideas from?  My gods, what nonsense!

Such is the price of monopoly protection.

-- 
Karl Denninger (karl@ddsw1.MCS.COM, <well-connected>!ddsw1!karl)
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