Some of it is scale-related. Someone's operating just fine at the size they are, but the next order of magnitude larger enjoys many benefits from that size, but it takes either A) luck or B) the right skills to be able to move up to get those benefits. In terms of network operators, there's a big difference between a company of 1 and a company of 2. Again a big difference between a company of 2 and a company of 10. Another big difference between a company of 10 and a company of..  I dunno, 100?


1G waves and 100G waves aren't *THAT* different in price anymore. However, if 1 is doing you just fine, the much better cost per bit of 100 won't do you a darn bit of good and will probably hurt. The hurt is not only due to the higher MRC, but now the higher NRC for equipment with 100G interfaces. If you can put enough bits on the line to make it worth it, you've got yourself tremendous advantage. The acquisition pays for itself in marginally higher costs for much higher revenue.