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To: M CAHILL who wrote (22373)1/9/1999 5:28:00 AM
From: Charles Hughes  Read Replies (1) | Respond to of 24154
 
>>>Can ISPs offering 24 X 7 access ever be profitable at $20 a month?

There are several million web sites being serviced by ISPs. That costs a lot more per month, even if you have your own equipment, as I do.

Wild estimates (+- 50% or more):

3,000 annual average times 3.x million web sites == 10 billion to the phone co and ISP.

100 million users times 120 a year average == 12 billions (pays for the gear?) to the ISP

Consulting and web design, ecommerce setup et cetera == ???

Of course this is not a huge business, but that is enough money to stay in business. It would be interesting if anyone had real figures on that. Try to remember that 10-20 years ago we did the whole thing for free. For instance, I ran a free store and forward mail server which gave email service to a number of people and supported the infrastructure on an extra computer in my house, as did many others. Since the business has grown up from a structure that once allowed it to be provided for free, cost of sales for a simple internet account, as opposed to proprietary services, has always been kept under control. Remember that phone line at the other end is discounted, and also serves multiple customers per port over 24 hours. Multiplexing.

Cheers,
Chaz