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Wannabe Geek


# 255964 8-Sep-2019 20:50
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Hi Everyone,

 

I'm in the process of starting a new WISP and a looking for a 1Gig BS4 connection.

 

We have been in touch with Voyager and One Wholesale, both of which have similar prices and have recommended to start off with a 100meg BS4 connection.

 

They quoted me around $900/m for this and was wondering if anyone knew of a cheaper provider or if I should negotiate with them

 

 

 

Regards,

 

Alex Stewart


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  # 2313236 8-Sep-2019 20:53
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That's not too bad.

 

 


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Uber Geek


  # 2313322 8-Sep-2019 22:48
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Seems reasonable. One of the big chunks of the cost will be how far they have to get your data across the country.

Feenix seems to pop up a bit as a wholesaler. Maybe worth a chat?

I would personally avoid One, only from past experience of them touting themselves as being 'best in the business' but basically just being full of sh1t. Their managers are an interesting bunch. Purely anecdotal, I have no experience using their actual products because I was so turned off by them.

 
 
 
 


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  # 2313369 9-Sep-2019 08:15
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Why do you need a BS4 connection?

Wouldn’t a DFAS tail or if you are really remote and needing to hook into NGA BS3 1G/1G suffice?

Feel free to DM me the address and I can give you an idea of what’s available.

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  # 2313428 9-Sep-2019 10:00
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Definitely get in touch with Feenix and see what they can do for you. We use their network extensively, and their service is nothing short of fantastic.





Ask me about Web Servers, Wordpress and the internet in general.

 

 

 

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  # 2331377 6-Oct-2019 13:33
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alexstewart:

 

Hi Everyone,

 

I'm in the process of starting a new WISP and a looking for a 1Gig BS4 connection.

 

We have been in touch with Voyager and One Wholesale, both of which have similar prices and have recommended to start off with a 100meg BS4 connection.

 

They quoted me around $900/m for this and was wondering if anyone knew of a cheaper provider or if I should negotiate with them

 

 

If you can get a 100M BS4 connection which you are allowed to resell for $900 per month, then grab it because that is cheap.





Integrity Tech Solutions @ Norsewood, New Zealand


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  # 2332481 8-Oct-2019 12:01
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Teenager creates company to get high-speed network to rural communities

 

https://www.stuff.co.nz/business/farming/116299044/teenager-creates-company-to-get-highspeed-network-to-rural-communities

 

Good on you for having ambition, however, don't let this cloud good judgement.

 

InspireNet have been in this game for many years and have some experienced people on staff. They are also at a scale where they will be paying a lot less for their bandwidth then your 100M connection.

 

If they aren't or won't do something, then you should find out why. Because implementing rural wireless is not the same as setting up a wireless network at home.

 

------

 

Points for your consideration:

 

Alex Stewart, 14, says rural communities are paying fibre prices for copper speeds and face a huge bill to get access to faster internet.

 

Your age is going to be an issue when buying bandwidth where term credit contracts are the norm. Have you done a proper costing? Have you got an adult (ie: someone over 18 with a good credit rating) who will sign contracts for liabilities of 10's of thousands of dollars? These deals will be for a minimum of 12 months and could be 24 or 36 months.

 

when he got talking to frustrated locals who had been in touch with a telecommunications company about getting cell phone coverage and better internet.

 

Just because they are frustrated doesn't mean they will buy your services. Myself and all the smaller players in this industry have experienced people (often friends) who think its great we are starting/running ISP's but they won't switch to us because we won't undercut Vodafone, etc.

 

"They said if that was going to happen the community would have to pay for it and it would be about $250,000, with a community of only 100 residents."

 

Great! Ask them to put up the cash. That will be a measure of how much they really want/need it.

 

"After a bit of digging, I found that why they weren't offering these speeds is because for them it cuts down the margin and the profit.

 

Wow. Be very careful claiming you and only you have some magical power to bring them fast, cheap and quality internet.

 

Stewart said WombatNet would put up more radios to maintain higher speeds.

 

You have just increased your costs substantially there. How is that going to help your goal to be cheap?

 

WombatNet would have a radio for every 5km radius.

 

Every WISP wishes geography would be so neatly accommodating.

 

WombatNet's up to 100 megabit a second speed package will cost $99 a month for unlimited data. Its cheapest package is $59 a month for speeds of up to 25Mbps and unlimited data. Installation is free.

 

Wow, even more costs to you and free gifts that cost you money.

 

"I'm doing it because I want to do something for these people. I get a real kick out of knowing that I'm helping people."

 

Will you still be as charitable when you have slow paying and complaining customers and suppliers demanding to be paid? This part is no joke. You will be receiving bills for thousands of dollars (or more!) per month which must be paid within the agreed time (usually 1-2 weeks) while some of your clients take their merry time because it's $100 to them.

 

Stewart said the projection from his mentors is he should be able to cover the Manawatū within two years.

 

You can achieve something InspireNet and others haven't and yet you have little or no experience at this point? Get your first POP on a hill working before you think of making it all the way over to here.

 

------

 

Additionally, there are a whole bunch of other expenses associated with running an ISP which are not immediately obvious to an industry outsider. One example of many - have you budgeted for your APNIC fees, let alone what it will cost to buy more IP resources on the open market when your /23 (current maximum allocation) runs out?

 

You have considerably underestimated the amount of bandwidth you are going to need. In your shoes I would be looking at 1G of domestic and 100-200M of international. If you can get 100M international at 100% CIR for $900 per month delivered over BS4 and you are permitted to resell, I'd say grab it, because that is too cheap. However, in the absence of further info I am of the thought you have most likely been quoted on a business service. This will not be 100% CIR and it's unlikely you will be contractually allowed to resell it. Furthermore, when you have to start locating equipment at a datacentre (so you can mix and match your own connectivity) you will very quickly see the "profit" on those 100 customers diminish even further.

 

The other thing to be aware of is if you are successful or it looks like you are getting traction, your captive market who you are relying on will suddenly get upgraded to DSL. Then you will be competing against ISP's who can and will sell cheaper then you and whom have a lot lower infrastructure costs per client.

 

I have also heard some well respected people in the industry have reached out to help you. I strongly suggest you take them up on this and listen to what they are telling you so you can save yourself a huge and expensive learning curve. If you want to discuss any of these points feel free to PM me for my contact details.





Integrity Tech Solutions @ Norsewood, New Zealand


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Master Geek


  # 2336481 13-Oct-2019 22:59
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MichaelNZ:

 

Teenager creates company to get high-speed network to rural communities

 

https://www.stuff.co.nz/business/farming/116299044/teenager-creates-company-to-get-highspeed-network-to-rural-communities

 

Good on you for having ambition, however, don't let this cloud good judgement.

 

InspireNet have been in this game for many years and have some experienced people on staff. They are also at a scale where they will be paying a lot less for their bandwidth then your 100M connection.

 

If they aren't or won't do something, then you should find out why. Because implementing rural wireless is not the same as setting up a wireless network at home.

 

------

 

Points for your consideration:

 

Alex Stewart, 14, says rural communities are paying fibre prices for copper speeds and face a huge bill to get access to faster internet.

 

Your age is going to be an issue when buying bandwidth where term credit contracts are the norm. Have you done a proper costing? Have you got an adult (ie: someone over 18 with a good credit rating) who will sign contracts for liabilities of 10's of thousands of dollars? These deals will be for a minimum of 12 months and could be 24 or 36 months.

 

when he got talking to frustrated locals who had been in touch with a telecommunications company about getting cell phone coverage and better internet.

 

Just because they are frustrated doesn't mean they will buy your services. Myself and all the smaller players in this industry have experienced people (often friends) who think its great we are starting/running ISP's but they won't switch to us because we won't undercut Vodafone, etc.

 

"They said if that was going to happen the community would have to pay for it and it would be about $250,000, with a community of only 100 residents."

 

Great! Ask them to put up the cash. That will be a measure of how much they really want/need it.

 

"After a bit of digging, I found that why they weren't offering these speeds is because for them it cuts down the margin and the profit.

 

Wow. Be very careful claiming you and only you have some magical power to bring them fast, cheap and quality internet.

 

Stewart said WombatNet would put up more radios to maintain higher speeds.

 

You have just increased your costs substantially there. How is that going to help your goal to be cheap?

 

WombatNet would have a radio for every 5km radius.

 

Every WISP wishes geography would be so neatly accommodating.

 

WombatNet's up to 100 megabit a second speed package will cost $99 a month for unlimited data. Its cheapest package is $59 a month for speeds of up to 25Mbps and unlimited data. Installation is free.

 

Wow, even more costs to you and free gifts that cost you money.

 

"I'm doing it because I want to do something for these people. I get a real kick out of knowing that I'm helping people."

 

Will you still be as charitable when you have slow paying and complaining customers and suppliers demanding to be paid? This part is no joke. You will be receiving bills for thousands of dollars (or more!) per month which must be paid within the agreed time (usually 1-2 weeks) while some of your clients take their merry time because it's $100 to them.

 

Stewart said the projection from his mentors is he should be able to cover the Manawatū within two years.

 

You can achieve something InspireNet and others haven't and yet you have little or no experience at this point? Get your first POP on a hill working before you think of making it all the way over to here.

 

------

 

Additionally, there are a whole bunch of other expenses associated with running an ISP which are not immediately obvious to an industry outsider. One example of many - have you budgeted for your APNIC fees, let alone what it will cost to buy more IP resources on the open market when your /23 (current maximum allocation) runs out?

 

You have considerably underestimated the amount of bandwidth you are going to need. In your shoes I would be looking at 1G of domestic and 100-200M of international. If you can get 100M international at 100% CIR for $900 per month delivered over BS4 and you are permitted to resell, I'd say grab it, because that is too cheap. However, in the absence of further info I am of the thought you have most likely been quoted on a business service. This will not be 100% CIR and it's unlikely you will be contractually allowed to resell it. Furthermore, when you have to start locating equipment at a datacentre (so you can mix and match your own connectivity) you will very quickly see the "profit" on those 100 customers diminish even further.

 

The other thing to be aware of is if you are successful or it looks like you are getting traction, your captive market who you are relying on will suddenly get upgraded to DSL. Then you will be competing against ISP's who can and will sell cheaper then you and whom have a lot lower infrastructure costs per client.

 

I have also heard some well respected people in the industry have reached out to help you. I strongly suggest you take them up on this and listen to what they are telling you so you can save yourself a huge and expensive learning curve. If you want to discuss any of these points feel free to PM me for my contact details.

 

 

 

 

 

 

WOW what a kill joy! 😂

 

though entrepreneur's can sometime surprise us all!

 

I was running a ISP for a year and I agree it's a lot of work and there are overheads that you just don't realise and it just does not work out profitable for anyone starting ISP's these days.


 
 
 
 


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  # 2336482 13-Oct-2019 23:02
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startupgeek:

 

WOW what a kill joy! 😂

 

 

Better he finds out before the bills start coming in.

 

startupgeek:

 

I was running a ISP for a year and I agree it's a lot of work and there are overheads that you just don't realise and it just does not work out profitable for anyone starting ISP's these days.

 

 

Wow. You just did the same in fewer words LOL.





Integrity Tech Solutions @ Norsewood, New Zealand


61 posts

Master Geek


  # 2336483 13-Oct-2019 23:06
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MichaelNZ:

 

startupgeek:

 

WOW what a kill joy! 😂

 

 

Better he finds out before the bills start coming in.

 

startupgeek:

 

I was running a ISP for a year and I agree it's a lot of work and there are overheads that you just don't realise and it just does not work out profitable for anyone starting ISP's these days.

 

 

Wow. You just did the same in fewer words LOL.

 

 

 

 

Gone of the days of running my own business and customers....(HEADACHE) 3 degrees of separation needed LOL.


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