airtel speed jump: dec6, 11pm

Airtel or any other ISP is giving connections because they make massive profits. Period.Nobody is in it to do us any favours.By my last estimation, a 512 unlimited connection at 1000 is about 20 times the international price.Can someone please show me any business where I can make 2000% a month legally?Edit: It's just a question of who is looting us less.
 
Originally posted by Thor@Dec 30 2005, 01:11 PM
Airtel or any other ISP is giving connections because they make massive profits. Period.
Nobody is in it to do us any favours.
By my last estimation, a 512 unlimited connection at 1000 is about 20 times the international price.
Can someone please show me any business where I can make 2000% a month legally?
Edit: It's just a question of who is looting us less.
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1000/20=50

so the rate for half a meg line abroad is USD 1/month?

hillarious.

is bandwidth water that you can dig and take out as much as you want? i don't think india creates its own bandwidth. companies purchase it from companies in other countries. please... think before you write.
 
1000 is just USD 20... not too many providers will give ANY connection for less then $ 30 - 40 a month.
 
>>is bandwidth water that you can dig and take out as much as you want? i don't think india creates its own bandwidth. companies purchase it from companies in other countries. please... think before you write.I could put up the link from where I got the info.It's from another BSNL forum.Would that be OK?Edit: Or we can do the maths ourselves. A 4Mbps line is available for 24.99$ per month.
 
Originally posted by Sushubh@Dec 30 2005, 01:25 PM
is bandwidth water that you can dig and take out as much as you want? i don't think india creates its own bandwidth. companies purchase it from companies in other countries.
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Have a look]Cost of bandwidth for MTNL (154 mbps) : 3,104,794.00 [as per attached doc]
Cost of US - NY and CA (155 mbps): 2,392,000.00 [actual quotation]

So even if cost is 30% higher, it does not justify the astronomical price of ISP packages in India. [/b][/quote]

So they do not have to pay that much extra for bandwidth as compared to a US ISP.
 
512 kbps line for 1 dollar a month. now i would love that package... as for what the bandwidth is costing them... well, airtel is spending a fortune on laying underground cabling, setting up customer support, billing centers, hiring engineers, and all the networking shit. that does not cost anything?
 


I would expect that all ISPs have similar overheads as cabling, etc.Indian ISps have the advantage of greater density of customers per sq km and 300% to 500% less salaries as compared to their US counterpart.When a 4Mbps line is provided for 25$, one eighth of it is 3$.
 
bsnl has the government money. reliance has the 2 number ka money. airtel i doubt has reserves of cash they got from some other sources 🙂
 
I agree the ANY plan would not be available for $1 a month.And on costs for infrastructure. Have a look at MTNL's annual report for last 5 years. They (Airtel/MTNL/BSNL) make some bucks on even INR 200 per month POTS plans. If you have a telephone line to customer's, then infrastructure costs have already been taken care of. And infrastructure costs would be less for an Indian ISP (as compared to US ISPs). Simply because a lineman is not going to be paid USD 3k (CTC , not just sal) per month. I think their CTC would be someting like INR 20K per month (sal + pension + other benefits).
 
Originally posted by Sushubh@Dec 30 2005, 02:02 PM
bsnl has the government money. reliance has the 2 number ka money. airtel i doubt has reserves of cash they got from some other sources 🙂
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Yes that source was a successfull IPO + Private equity placement
 
Originally posted by Sushubh@Dec 30 2005, 01:51 PM
512 kbps line for 1 dollar a month. now i would love that package...

as for what the bandwidth is costing them... well, airtel is spending a fortune on laying underground cabling, setting up customer support, billing centers, hiring engineers, and all the networking shit. that does not cost anything?
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Does that justify ripping us off? I can understand that they will be "eager" to recover their initial costs but that doesn't mean they will start charging overly for their services?

I am absolutely with Thor! Let do some math here!

I am quoting figures from this post: https://broadband.forum/index.php?showtop...890&#entry34890

Cost of a leased line (155Mbps) is quoted : 2,392,000INR

For those who are unaware of what leased line means, look up the dictionary. I will explain in brief. Its a dedicated line which guarantees the speed which you are alloted. Nobody else will be hogging your bandwidth.

Anyway, now, the ISPs set a contention ratio of 50:1 on their leased lines. So lets see how many 256Kbps leased lines will an ISP be able to give us:

155 / 0.256 = ~605.5. Lets take it as 605 connections.

But the contention ratio is 50:1 so... actually 605 * 50 users will be sharing the bandwidth. Meaning 30250 people will use this line.

Hmm that means, the ISP should charge atleast 2392000 / 30250 (taken 2400000 for simplicity) to be at the break even point (for bandwidth costs).

So the cost per user works out to : ~79.3388INR. Lets take it as 80INR. (That explains how MTNL could slash its costs from 399 to 199INR overnight!)

So an unlimited 256Kbps shared connection should cost the user Rs.80 per month if the ISP decides that he doesnt wish to make profits.

Also, here is the dirty underhanded tricks that BSNL, MTNL and every other ISP are following. They are overloading their connections by atleast a factor of 10 or 20. Which means, they are sharing a dedicated 155Mbps line between more than 3 lakh to 6 lakh retail users.

Why?

Simply because they want to drive down their costs and make profits?

How?

By keeping stupid download restrictions of 400MB to 1GB (GB is open to interpretation by the ISP) per month, they sucessfully inhibit too many users from sucking up too much bandwidth at the same time there by preventing people from experiencing slow downs.

So?

Thats why they are freakin' afraid of giving out unlimited connections. 😉

If we have some insider with a big ISP then we can determine the REAL costs of bandwidth that ISPs are paying. I am quite sure that the OCs must be much higher. The DC costs, the support staff cost and plenty other costs involved still dont justify the stupid plans that BSNL/MTNL or other ISPs (including airtel) are offering...
 
Just correcting some facts..

Originally posted by max@Dec 30 2005, 05:15 PM
Also, here is the dirty underhanded tricks that BSNL, MTNL and every other ISP are following. They are overloading their connections by atleast a factor of 10 or 20. Which means, they are sharing a dedicated 155Mbps line between more than 3 lakh to 6 lakh retail users.
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Does MTNL has that many customers? In Sept 2005, they had just 75k subscribers.

Originally posted by max@Dec 30 2005, 05:15 PM
If we have some insider with a big ISP then we can determine the REAL costs of bandwidth that ISPs are paying.
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MTNL and Airtel (Bharti Televentures Ltd) are public companies. This data is available on BSE/NSE. If you need more details, just purchase 1 share and shoot a letter to Investor relations.

Look for operating costs in KPI document for bharti(Airtel).

http://www.bhartiteleventures.com/fileadmi...ends_USGAAP.xls
 
>>Simply because a lineman is not going to be paid USD 3k (CTC , not just sal) per month. I think their CTC would be someting like INR 20K per month (sal + pension + other benefits).Highly doubtful if a lineman gets even 12k. 8 to 10k is more like it.(1)I agree no US ISP offers 256k for 1$, but when the unlimited 4Mb line is 24.99, what is YOUR logical conclusion of the possible pricing of unlimited 256k?(2)As you are already aware of the other "advantages" Indian ISPs enjoy like low salaries and very high customer density per sq km, how much could you discount the price answered to (1)?If my logic is mistaken, do point it out. I'm open to discussion.
 
Does that justify ripping us off? I can understand that they will be "eager" to recover their initial costs but that doesn't mean they will start charging overly for their services?[/b]

max i truly agree with you that just to recover their initial costs ISP's can't burn holes in the pockets of their consumers ..... but guys you are missing a big point here Airtel is the only ISP in India which has true broadband policies i.e unlimited data transfer. MTNL/BSNL are just mocking the term broadband ....

Look at their freggin' plans for christ's sake ... they're providing people with 256Kbps lines with xx Mb's of data xfer ....

With airtel i have even managed to churn out 60-70 GB of data xfer in a month ...
(i could provide the DU meter stats for my conn if reqd..)

I really am surprised that when it was declared that speeds above 256Kbps would be termed as broadband did the govt. babu's really think that givin' a customer 256Kbps with a xx Mb xfer limit would be a b'band experience ....

All i can say is that if a user is chucking 1k-2k per month for a "Broadband" connection he isn't going to use that fregging connection to open yahoo or hotmail accounts ...

So even if Airtel is making profits by giving us meagre 256Kbps unlimited connections, i am still happy that i shifted to Airtel as soon as it was available in my area.

All i can say is without Airtel in the broadband scene the scenario would have been much much worse.
 

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