Re: 10 Mbit/s problem in your network

[Owen DeLong <owen () delong com>]

On Feb 27, 2013, at 7:39 AM, Jay Ashworth <jra () baylink com> wrote:

> ----- Original Message -----
> > From: "Jared Mauch" <jared () puck nether net>
>
> > Sad as we all know the main cost for 1g to a site is in the optics
> > (well actually the fiber build... But after that, it costs almost
> > nothing to light it at 1g). A pair of 20km optics is about $250.
>
> I see that assertion a lot, and I want to correct it.
>
> The major cost, MRC, is *the router port*; I don't know what the 95%ile
> BW for a major hotel is going to be over a month, but I suspect that 
> you're gonna need the whole 1Gb/s worth of port to handle the peaks.
>
> And those aren't exactly cheap -- though, by "daily commercial hotel 
> revenue" standards, I suppose they're not *that* expensive; what kind
> of margins do hotels make?

Actually, local loop usually exceeds router port.

If you're at one of the data centers where we have presence, I can sell you a dual-stack Gig for <$1/Mbps.

OTOH, getting a Gig-E to the datacenter from the hotel and then the additional cost of the XC are probably more than 
$1,000/month when combined. Possibly by some multiplier ≥2.

Owen