On Thu, 17 Mar 2005 13:09:04 -0000, Martin Underwood <(E-Mail Removed)>
wrote:
> "Nat Stott" <(E-Mail Removed)> wrote in message
> news:4238ae28$0$576$(E-Mail Removed)...
>> Because no download limits or fair usage levels are applicable, some
>> high
>> bandwidth activities (such as p2p) will be speed restricted during busy
>> times. This is great news for customers who simply surf and email, as
>> these
>> activities are to be given the highest priority on Broadband Plus.
>>
>> Customers will pay for the speed setting they choose, which could be
>> anything up to 8Mb as those speeds become available later in the year.
>> 1Mb
>> for under £20 per month, with no fair usage limit, will be a real
>> bargain
>> for average family users.
>>
>> Speed | Price
>> -----------------------------
>> 512Kb - £14.99 (Inc Vat)
>> 1Mb - £19.99 (Inc Vat)
>> 2Mb - £24.99 (Inc Vat)
>> Up to 8Mb - TBC
>
> PlusNet's / Force9's charging structure intrigues me: if you opt for a
> 1GB
> capped tariff ("Lite") you pay the same price for 512K, 1M and 2M; but if
> you opt for the "unlimited" tariff you pay extra for a faster connection.
> I'd expect either the same price (higher than for 1GB) for all three
> speeds
> of "unlimited" or else I'd expect the prices of Lite to vary with speed.
>
> How are ISPs charged by BT for their customers' connections? These days,
> do
> they have to pay according to speed, bandwidth or a combination of the
> two?
>
>
>
Hi,
Under CBC we pay BT the same cost for the port of the exchange regardless
of what speed the customer chooses. The wholesale cost is £8.40 whether
it's 512kbps, 1Mbps or 2Mbps (on IPStream Home).
The big cost comes from the central pipes (about £1.5 million per year for
a 622Mbps pipe), meaning that the more bandwidth your customers use the
more pipes you need and hence the higher the costs per customer.
This means for us on the Lite account where you pay per GB it doesn't
really matter what speed you are on, because the cost to us is exactly the
same. The signup to the Lite product will shortly be changed so that all
customers get 2Mbps by default and only get lower than that if their line
can't support it. Those Lite customers currently on 512 and 1Mbps will be
regraded for free to 2Mbps per possible from April, completing for all by
the end of June.
Similarly the signup to Premier will change again so that you sign up for
2Mbps by default and again, only get 512 and 1Mbps if your line can't
support it. Instead you'll get the choice of the different fair usage
thresholds. As with Lite those customers where possible will be regraded
to 2Mbps from April.
Broadband Plus sits in the middle of these, we provision the line as fast
as possible, but limit the speed depending on which package you choose. A
change in speed on Broadband Plus can then be done without a BT regrade.
The key thing to remember is that Broadband Plus won't be marketed as
"unlimited", instead the product is designed with the vast majority of
today's Internet users in mind and isn't product that will be suitable for
the customers that want to download large amounts.
With Regards,
Dave,
--
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