More Sidgemore on per-bit pricing

David Diaz davediaz at
Wed Dec 9 04:30:05 UTC 1998

Most small ISPs cant afford to do that.  Becoming a CLEC is not a $100
turnkey option.  However you can get good pricing from many CLECs and then
take a ATM (or even frame) T1 handoff.  Pretty small barrier to entry and
it let's you scale from there without having to have the equipment, lawyers
and patience.

I'm also thinking where this model might work well is in bldings where you
can go in, drop a TNTdsl in the basement.  Use existing copper to provide
1.5meg (soon 2.23meg/sec??) handoffs to each suite.  Then run a frame
through the local RBOCs cloud to your hub.  This would allow you to start
small at several bldings and scale from there.

It would make sense to charge by the bit since that most likely will be
your #1 cost.  All the equipment can be leased including CPE side which
would be some cheap PipeDSLs.

At 11:03 PM -0500 12/8/98, Nathan Stratton wrote:
>On Tue, 8 Dec 1998, David Diaz wrote:
>> I know this is a bit late sorry...
>> Well what if I had a xDSL local loop from someone like Northpoint for
>> something like $150 and then did the per bit model.  A T1 (or even slightly
>> less) for $350 starts to look rather attractive to a lot of people.
>True, but if you become a CLEC and use something like access method 5 you
>can get that loop cost to around $30 and also offer voice services using
>the first 4 kHz of the loop.
>Check out the new CLEC mailing list at
>Nathan Stratton				Telecom & ISP Consulting
>	 		nathan at

Thank you,
David Diaz
Chief Technical Officer
Netrail, Inc

email:   davediaz at
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