Interesting People mailing list archives
more on more on RBOC vs. RBOC
From: Dave Farber <dave () farber net>
Date: Mon, 19 Apr 2004 09:10:35 -0400
Delivered-To: dfarber+ () ux13 sp cs cmu edu Date: Mon, 19 Apr 2004 09:05:50 -0400 From: Dana Blankenhorn <danablankenhorn () mindspring com> Subject: Re: [IP] more on RBOC vs. RBOC To: dave () farber net Reply-to: Dana Blankenhorn <dana () a-clue com> X-Mailer: Microsoft Outlook Express 4.72.3110.1 X-Spam-Status: No,hits=4.5 required=7.5 tests=DOUBLE_CAPSWORD,NO_MX_FOR_FROM,MSG_ID_ADDED_BY_MTA_2 version=2.31
X-Spam-Level: **** X-Spam-Filtered-At: eList eXpress <http://www.elistx.com/> Joel has a good point. But there's more basic economics at work here. Bell infrastructure is based on 30-year depreciation schedules. So are all the CLECs he mentions. The way to compete against the Bells is going to be based on Moore's Law. A network that combines Wi-Max and Wi-Fi to reach competitive fiber is using Moore's Law. They're using equipment they can pay for, and replace, after three years. Those CLECs Joel mentions were not. Their facilities, even if fully utilized, would not be paid-off and replaceable after 3 years. No matter what the Bells do they can't get away from depreciation. They have those incumbent networks to support. All their fiber-to-the-home talk is also based on 30-year depreciation. I personally think 30-year depreciation is a sucker's game. And I'm wondering when some people with capital will put their money where my mouth is. I suspect it's already happening, quietly, under the surface. (If you publish this note, Dave, some of that investment may well come to light, courtesy our multi-thousand member staff of crack reporters.) And the next few years will be very interesting as a result. Dana Blankenhorn danablankenhorn () mindspring com Progressive Strategies Business Strategy analyst http://www.progstrat.com http://www.corante.com/mooreslore Get A-Clue.Com Free http://www.a-clue.com ------------------------------------- You are subscribed as interesting-people () lists elistx com To manage your subscription, go to http://v2.listbox.com/member/?listname=ip Archives at: http://www.interesting-people.org/archives/interesting-people/
Current thread:
- more on more on RBOC vs. RBOC Dave Farber (Apr 19)