nanog mailing list archives

Re: Impacts of Encryption Everywhere (any solution?)


From: Matthew Petach <mpetach () netflight com>
Date: Mon, 28 May 2018 19:55:33 -0700

On Mon, May 28, 2018 at 7:24 PM, John R. Levine <johnl () iecc com> wrote:

In article <CAEmG1=oiVJ4qj_D9hA3WS=g64zoo4pYkZ-zDZ0nEEQcTjE5A=A@mail.
gmail.com>,
Matthew Petach  <mpetach () netflight com> wrote:

Your 200mbit/sec link that costs you $300 in hardware
is going to cost you $4960/month to actually get IP traffic
across, in Nairobi.   Yes, that's about $60,000/year.


Nonetheless, Safaricom sells entirely usable data plans.  A one day
1GB bundle on a prepaid SIM costs about $1, a monthly 1GB costs about
$5.  They have 4G, it works, I've used it.

What do they know that Telegeography (who made that slide) doesn't?


Math.    ^_^;

1GB of volume over the course of a month is 3kb/sec sustained
throughput over the month.  (1000000000*8/(86400*30))

$5 per 3kbit/sec means that 155mbit link would cost...$251,100/month.
(155000000/((1000000000*8)/(86400*30))*5)

We call that "Time Domain Multiplexing-based profits".

Comparing volumetric pricing with rate-based pricing
is one of the best ways of tucking in *lots* of room for
profit.    :)

Matt


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