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Non-Tech : Amati investors
AMTX 1.510-1.6%12:40 PM EST
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To: Michael Hart who wrote (7495)12/27/1996 12:48:00 PM
From: Steve Macica   of 31386
 
>>Re: 500,000 modems,

>>This is the primary advantage of "cablemodems" as they will not require a modem at
both ends allowing the "system" to be much more cost effective assuming the cost of
the modems is apprximately the same and performance is similar.

>> Mike

Your point about cable modems being more cost effective is correct only because of
cables bus topology. i.e. one head end modem feeds many users. VDSL/ADSL systems
have a star topology requiring a two modems per user. The downstream/upstream bandwidth in the VDSL/ADSL is dedicated and private because of the star topology. As interactive apps and content inflation run their coarse, the bus system will have to be broken up into smaller pieces eventually forming a star topology. Breaking the bus system involves running new cable/fiber. Cables cost advantage is short term. I personally think that the RBOCs and Cable Co.s are heading in the same direction and that direction is FTTC/FTTB. i.e. VDSL.

Later
Steve
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