Re: Massive Price Increase for X-conns at Telehouse Chelsea, NYC

["Patrick W. Gilmore" <patrick () ianai net>]

On Sep 17, 2018, at 15:08, Ethan O'Toole <telmnstr () 757 org> wrote:
> > If it’s in an interduct by itself, how much would the square footage per
> > month occupied by the average cross connect be worth?
>
> These big datacenter companies are REITs. Similar to self-storage units and apartment buildings, they exist to 
> extract as much money as possible from the users. Nothing more or nothing less. The price relief only comes when the 
> market is grossly overbuilt and if there is actual competition.

Maybe I am confused, but I thought every for-profit business exists to extract as much money as possible.

When a business gives you something for free, they are expecting something in return - return business, personal data, 
lower churn, good reviews, customer loyalty, etc. - that they can turn into cash. Any business with little or no 
competition can be expected to raise prices. This is not exactly new or surprising.

Expecting any for-profit business (all of them, not just REITs) to do less than extract maximum cash is deluding 
yourself.

-- 
TTFN,
patrick