[9374] in Commercialization & Privatization of the Internet

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Re: Cost vs benefit of internet services (fwd)

daemon@ATHENA.MIT.EDU (Karl Denninger)
Fri Dec 31 21:48:25 1993

From: karl@mcs.com (Karl Denninger)
To: marc@MIT.EDU (Marc Horowitz)
Date: Fri, 31 Dec 1993 20:47:13 -0600 (CST)
Cc: com-priv@psi.com
In-Reply-To: <9312310543.AA22013@oliver.MIT.EDU> from "Marc Horowitz" at Dec 31, 93 00:43:31 am

> I just thought of something which I don't like, but I think it might
> be true.  I was trying to think of a good analogy from another
> industry of the distinction between the "IP-clued" who want no-support
> wires-and-bits service and the other customers who are happy with the
> service available today, and something hit me.
> 
>     Maybe what every single IP provider today sells *is* the "raw
>     bitpipe" level of service.
> 
> Another question for all you IP providers out there: What would happen
> if, Monday morning, you got a stack of purchase orders from companies
> who recently came into money somehow, and wanted go get on this
> Internet thing?  "Great!" you say.

I already presume that these customers don't know their tail from a hole in
the ground.  I am usually right.

My standards are outrageously high to consider someone "qualified".
Basically, if you can't configure your own router and the like, and
troubleshoot hardware, you're not in the same league as I (and my other
company employees) are.

Thus, I already face that problem.  My response is to develop systems and
management tools that allow me to probe and find faults from the outside, 
without being there.  It is part of the reason that I choose the office 
equipment that I do, and the reason that I choose the gear for my end of 
the link that I decide to recommend.  When I reach those limits then someone
gets to make a service call.

We also provide consulting services on a billable basis to get people on the
wire and maintain their connection (and systems on the other end) for them.

Normal "NOC" services are included in our base prices.  They pretty much
have to be.  Nobody really wants "NOCless" service, which is what some of
the people here are asking for.

Parallels to the phone system are not right.  Phones are standardized and
<simple> things.  Also, realize that today if I call the phone company for 
a problem and its my instrument or wiring that is broken they will charge 
me $75 just to investigate (and NOT fix) it!  If its their problem they 
fix it free.

For a sum of money you can buy "insurance" against this cost.  Its called
"linebacker" in Illinois, and is a significant expense (20% of so of the 
base line cost!)  I don't buy it because I know how to troubleshoot my own
gear, but you should see the admonishment I get when I call the phone
company to report a problem.  They always warn me about the "your gear is
screwed" charge, and I retort that I <know> what is wrong and that if they
try to screw me they'll regret it. :-0)

I am in the <decided> minority on this stuff though.  Most people with phone
problems have <no clue> why it doesn't work.  They just know that when they
pick up the phone it doesn't give dialtone.
 
--
Karl Denninger (karl@MCS.COM) 	| MCSNet - First Interactive Internet and 
Modem: [+1 312 248-0900]	| Clarinet feed in Chicago.  Send email to
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