Originally Posted by Guswut
Man, only 350$ a month for 1,000mbps? That means it costs you 0.35$ per each megabit of transfer bandwidth. To compare, Comcast offers the following services at the following costs at my home address...
Economy, 1.5mbps, 26.95$
Performance, 12mpbs, 44.95$
Blast, 20mbps, 54.95$
Extreme, 50mbps, 99.95$
This translates to being 17.97$ per megabit with economy, 3.75$ per megabit for performance, 2.75$ per megabit for blast, and 2.00$ per megabit for Extreme.
DSL costs and offers as follows:
Direct Basic, .768mbp, 29.95$
Direct Express, 1.5mbps, 35$
Direct Pro, 3mbps, 40$
Direct Elite, 6mpbs, 45$
From there, we can see that basic costs 39$ per megabit, express costs 23.34$ per megabit, pro is 13.34$ per megabit, and elite is 7.5$ per megabit. U-verse is not offered at my location.
Simply put, it's cheaper to buy bandwidth in bulk, obviously. The best usages I could think of would be, for example, an apartment owner. If the apartment owner owned nine units, and lived in the tenth, they could specify that internet access is covered in the rent, add 35$ to the rent, and then pay 35$ to have the 350$ needed to cover the cost. They'd have to have their apartment wired up for cat5 access from a source room, but they would easily make money off of the deal. And, besides that, they'd have a gigabit line on tap, then. Ten families are highly unlikely to be able to fully tap a gigabit connection. And, honestly, they could limit the connections in all of the other housing units to 20/20, advertise that you get free internet access at twenty megabits up and down, and save every person involved money (remember that 20mbps, through comcast, is 54.95$ If it cost the resident 35$ extra on their rent, that would mean they'd save 19.95$ a month, or 239.4 a year.)
It makes even more sense for larger apartment complexes. For example, in a one hundred unit apartment complex, the cost, per resident, if they were paying it Dutch, would be 3.50$ a month. That would give each resident, assuming bandwidth was divided at the central networking location, ten megabits up and ten megabits down. Comcast offers a twelve megabit connection for 44.95$. That means the savings in cost would be 41.45$. Factoring in the difference in speed, assuming the connection is limited internally, it would be a difference of 34.54$. The saving, there, is insane. And that is assuming you're limited to a level of bandwidth that means everyone can use their full connection, both up and down, at once, without overlap. If everyone was allowed 50mbps, you'd likely have 95 families not even tapping a tenth of that, while power users would be getting insane speed, and not clogging up the network with long file transfers.
Of course, in these cases, the owner would need to deal with some IT issues, such as subnetting each house, traffic filtering/caps, and most likely they'd want to offer wireless internet access (either in each resident's home, on their own internal subnet, or an entirely different subnet which wouldn't allow for internal network sharing, of course, but would be easier to deal with and not require a wireless access point for each unit [although, honestly, wireless access points are cheap enough that it wouldn't be all that hard to do exactly that. But wireless ALL over the building that everyone can use would be nice indeed.]). Anyways, hopefully Google can start getting the ball rolling further!