On Thu, Oct 04, 2007 at 03:50:11PM +0100, Leigh Porter wrote:
Also there may be more tax costs, staff costs, equipment costs with import duty etc which obviously means buying more equipment to support more throughput costs more money.
The biggest issues are the transmission costs to get to the USA. There are basically two cable systems, Southern Cross and AJC (we'll ignore SEA-ME-WE-3 because you can only buy STM-1's on it, and who wants to mess around with trivialities like that?) Ask an economist what happens to prices in duopoly environments. The cost of crossing the Pacific is north of US$200 per megabit per month in .au, which I reckon is about ten times what it costs you Europeans to get across the Atlantic (or what it costs the Japanese to cross the very same Pacific) There are a few cable projects underway at the moment which may break the duopoly, e.g., http://www.pipenetworks.com/docs/media/ASX_07_08_09%20Runway%20Update%204%20... I suspect we're going to have an interesting few years. - mark -- Mark Newton Email: newton@internode.com.au (W) Network Engineer Email: newton@atdot.dotat.org (H) Internode Systems Pty Ltd Desk: +61-8-82282999 "Network Man" - Anagram of "Mark Newton" Mobile: +61-416-202-223