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Technology Stocks : LAST MILE TECHNOLOGIES - Let's Discuss Them Here
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To: JMD who wrote (3106)3/15/1999 3:14:00 PM
From: lml  Read Replies (3) of 12823
 
JMD:

IMHO, you understand more than you think.

Frank's post, as I understand it, speaks to why the AOL/SBC pricing model is not so inexpensively priced as some have immediately claimed. Frank (& I welcome his comment) is well-informed as to how new DSL subscribers will place additional demands on network resources to carry additional high-speed Internet traffic. If a new DSL subsciber signs up as an AOL DSL subscriber rather than a straight ILEC DSL subscriber, than such traffic will be carried by AOL's backbone, & not than the RBOC's backbone. Hence, lower pricing is not unreasonable.

Your analogy to traffic congestion on the freeway is correct. If your access to the freeway is private & "DSL-paved" you will not necessarily experience quicker speed if the freeway is jammed. I'm not clear whether you have actually contracted Covad to provide a truly VPN. Unless your VPN extends to guaranteed bandwidth on the "freeway," what benefit does a VPN deliver to your company other than potentially additional security?
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