Rudy Komsic ( (no email) )
Mon, 26 Jan 1998 06:25:17 -0500

OK the answer to this question is a follows,
ADSL at 99$ is like a dialup modem. When you need to connect, it will. So
you set your ADSL TA/User ratio to about 5-10:1 and then you see your 99$
goto $990 per channel. You get a T3 (45mb/s) and you guestimate how many
times you can overload with ADSL. Because remember, you can easily handle
4-6 Times overloading a T3 since not all People on ADSL will transmit
information at the same time. Remember the golden rule, 10% of connection
time is actual transmission, 90% is really IDLE.

So to fill up a T3 with ADSL Ports offering at 1.5mb/s you can put in 180
ADSL Ports at 990$ per port. Total Income = $ 178,200 / month, Total Expense
= $50,000/month for T3, around $36,000 (Based on 200$/port) for ADSL Ports,
Net Income = $92,200 Monthly.
For a T2 connection, you can have up to 36 ADSL Ports at 990$ per port
income. Gross Income = $35,640/month, Total expense = $12,000/month for T2,
around $ 7200/month ADSL Ports, Net Profit = $16,440/month.
Minimum should be a T2 connection to offer ADSL.

Well I see that this can be very useful in producing extra revenue but the
startup costs may be a bit high.

Best start off point for ADSL would be a T2 (10mb/s) connection. Get about
8 ADSL Ports and share it with your current service. 8 Ports can handle
about 60 people on ADSL. WIth that in mind, you have 60 people at $99/month
= $5950 of extra income to help with month charges.

On Average, on a rack of modems, the average transfer rate is about
500/bytes to 1K/sec... With ADSL that might go up to maybe 5k-10k/sec. if
you really want to over load a T2, at 10k/sec average transfer rate, you can
have 125 ADSL Ports on it. Potential Income = $123,750/month. It all
depends on how you want to offer your services. You must learn how you
optimize without overload.

Hope this helps a lot of people trying to decide.

-----Original Message-----
From: John David M. Miller <>
To: <>
Date: January 26, 1998 1:26 AM
Subject: Re: ADSL

>My question regarding any of the much hyped, high
>speed access types is: Where's the Bandwidth?
>How can any ISP afford the backbone bandwidth
>necessary to effectively support a significant number
>of customers using it at prices like $99?
>Even a T3 would rapidly become saturated. If the ISP is
>responsible enough to give the customer what they advertise
>1.5 = $99 then their backbone connection costs would
>drive them into bankruptcy post haste.
>I am basing this upon the methods that most of us use
>for our backbone connections. If "enter bb provider of choice"
>started offering us 45Mbs. connections at T1 prices
>through xdsl or some other technology then OK go to it.
>I don't see this happening.
>Any thoughts? There is an ISP in CT doing the same at
>the one you mention in NH. I must be missing something
>in the economics of their businesses. :-)
>The same holds true for Cable Companies among their
>other issues.
>John Miller
>-----Original Message-----
>From: Howard A. Brooks <>
>To: <>
>Date: Sunday, January 25, 1998 10:41 PM
>Subject: Re: ADSL
>>There's an ISP here in NH offering (with radio ads) ADSL
>>service for $99.00 per month. 12000 feet at 1.5kbps and up
>>to 6kbps on 24 gauge copper, I understand. Verrrry
>>interesting... Subscriber interface isn't cheap either from
>>what I read. Time brings pricing down though, right?
>>Howard Brooks - President - IamNet, Inc. -
>>Your one stop Internet service, support and solutions shop.
>>-----Original Message-----
>>From: Gregory W. Bondy <gbondy@MAELSTROM.NET>
>>To: <>
>>Date: Sunday, January 25, 1998 10:13 PM
>>Subject: RE: ADSL
>>>Heh. So will you. Doesn't mean you should be completely
>>ignored. Well...
>>>then again... ;)
>>>We are testing ADSL here and it is very interesting. It's
>>not quite "there"
>>>yet, but any technology where you can approach ethernet
>>speeds on a cheap
>>>pair of copper over 5,000 feet is worth looking at.
>>>At 06:54 PM 1/25/98 -0800, you wrote:
>>>>ADSL will die.
>>>>From: Marvin Anglin
>>>>Sent: Sunday, January 25, 1998 6:39 PM
>>>>Subject: ADSL
>>>><<File: ATT00000.htm>>
>>>>A lot of news is out about ADSL. How do other ISPs feel
>>about ADSL? Are
>>>>the small independent ISPs going to be able to play a part
>>in ADSL? With
>>>>ADSL and cable modems are the small ISPs going out of
>>business and a
>>>>monopoly will emerge?
>>>>Comments welcomed....
>>>>Marvin Anglin
>>>>Atlanta On-Line InterNet, Inc.
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