On 2019-02-11 04:57 CET, Mark Tinka wrote:
On 10/Feb/19 17:46, Baldur Norddahl wrote: [...]
In any case, we are now building out our own fiber to cover the gaps left by TDC. Here the end user has to pay DKK 12,000 (USD 1,824 / EUR 1,608) one time fee and with that he gets everything including 5 years of free internet. This works out at DKK 200 / month including 25% VAT tax (USD 30 / EUR 27).
Very interesting - don't you feel that an initial outlay like that could put some potential customers off? Then again, per capita income in Denmark, I'd imagine, could allow most to think about this. If all that buys me Internet access for 5 years before I have to shell out anymore wedge, I'd do it.
I assume this is targeted towards single-family detached houses, where the family owns the house themselves. Then they likely will view that as an investment in the house. If you want to sell your house a couple of years later, and it doesn't have a fiber connection, buyers will be less attracted to the house, and want to pay less. It might also be more expensive to connect after the initial buildout of an area. I believe that's how the commercial companies in Sweden that build FTTH work. I can also note that where I live (Linköping, Sweden), the municipal fiber company charges ~2400 EUR to connect a single-family home to their network. That does *not* include the laying of fiber on your property, from the street to your house. And on top of that, you need to buy Internet connectivity from a normal commercial ISP at a monthly cost; the municipal fiber company only provides layer 2 connectivity between the home and the ISPs (currently 19 different ISPs). /Bellman