sbiddle:

chevrolux:

sbiddle:

Behodar: Doesn't Telecom Wholesale still have a "monopoly" for customers served from cabinets and smaller exchanges? I know that ISPs are able to install their own gear but the impression I got is that it's not cost-effective.

It's not cost effective purely because of the small number of customers. A typical cabinet will serve ~288 premises, if you've got 10% of the market that's 28 customers. Factor in the cost of a ISAM/DSAM/MSAN and the cost of regulated backhaul (which is a rip off but the Commerce Commission set the pricing) and it's very obvious why this makes no sence if you're a business wanting to make a profit.

Doesn't Chorus own that gear? I thought Telecom Wholesale was no more. I also thought all providers can serve their customers out of a cabinet for the same price.

They can do. But the business case will never ever stack up.

if you look at my figures above the wholesale cost of the UCLL copper, space in the cabinet, and backhaul could easily cost somewhere in the vicinity of $1500 - $2000 per month depending on your backbaul requirements. These prices are fully regulated by the Commerce Commisson.

It doesn't take a rocket scientist to realise if you're paying $53 per month in wholesale costs (let alone the cost of the hardware), assuming you can get 28 customers, that there is no margin when at that price you can just use wholesale UBA.