Because the industry needs to attract capital, which is difficult when the payback period on capital expenditures continunes to climb and hence the rate of return continues to fall.
The incumbents love to talk about what a great quarter they had selling DSL. But very few (if any) will disclose a profit and loss or cash flow statement for their broadband services. The incumbents provide very little visibility and one reason might be the underlying picture is UGLY.
Regards,
Roderick S. Beck
Director of European Sales
Hibernia Atlantic
1, Passage du Chantier, 75012 Paris
http://www.hiberniaatlantic.com
Wireless: 1-212-444-8829.
Landline: 33-1-4346-3209.
French Wireless: 33-6-14-33-48-97.
AOL Messenger: GlobalBandwidth
rod.beck@hiberniaatlantic.com
rodbeck@erols.com
``Unthinking respect for authority is the greatest enemy of truth.'' Albert Einstein.
-----Original Message-----
From: owner-nanog@merit.edu on behalf of David Conrad
Sent: Fri 1/18/2008 11:06 PM
To: Scott McGrath
Cc: North American Network Operators Group
Subject: Re: An Attempt at Economically Rational Pricing: Time Warner Trial
On Jan 18, 2008, at 2:00 PM, Scott McGrath wrote:
> Why does the industry as a whole keep trying to drag us back to the
> old days of Prodigy, CompuServe, AOL and really high rates per
> minute of access.
Because they want to make more money and not be a provider of a
commodity (see: NGN)?
Regards,
-drc