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On Jul 23, 2012, at 3:29 PM, Jay Hanke wrote:

>> It certainly makes the case for considering continuing the current model.
>> Again, it comes down to evaluating costs.  Jay's model seems to indicate
>> that the non-recurring fees are the largest part of this model.  It's also
>> fair to assume this gear will be in service for more than one year.
> 
> Actually, I think he's advocating charging a 5k setup fee for each 10G
> ports, not the current model of no charges ever.


Correct - my two cents on why this model works better:

a.) folks that are doing the traffic warranting hardware upgrades (ie: folks w/ 10G ports) are responsible for the cost (and they are deriving more benefit for their $).
b.) non-recurring costs are a much easier sell to $MGMT (at least in my experience)
c.) it keeps the entry cost into the IX low (xconnect + SFP) to encourage more participants.

I guess this is all assuming that the MICE recurring expenses would either be mostly covered by monetary donations, or in-kind by providers of those services. Any $ coming in from port costs mostly gets used for hardware upgrades as needed + a reserve.

--
Andrew Hoyos
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