QUOTE(contestchris @ Sep 17 2023, 01:40 PM)
Doesn't mean if the cost is halved the selling price is halved?
No. You got it wrong.
It does not mean that if there is 100 subscribers of 100Mbps, ISP will need to have 10Gbps (10000Mbps) of pipeline in background to service them all at same time.
What happens is, maybe ISP will only have 5Gbps of piepline, because it is only natural that not everyone will be online at same time, and not everyone will fully utilise all 10Gbps at the exact same time.
So the MSAP does affect pricing. But wholesale pricing.
We the end customers will get a cut of that reduced costs for ISP to provide service to us. But don't expect a 50% cut at wholesale level to translate to 50% cut at retail level.
There are others costs for the ISP to borne as well, like providing basic modem and routers, marketing, sending tehcnicians here and there, pulling and replacing cables, new equipment cabinet and maintenance and replacement, ....
More so with TM's fucked up playing "favouritism" with offering different price to different subscribers, it will be difficult to guesstimate what should justly be applicable to all.
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MSAP is ISP-to-ISP pricing.
RAO is the document that list down ISP-to-ISP pricing. So there is no favoritism in pricing as there is established rates that applies to all.
So for example,
TM published the price adjustment in RAO.
If Maxis wants to interconnect to TM, then Maxis will be offered such and such price per TM's RAO.
Maxis wants to interconnect to CelcomDigi will use CelcomDigi's RAO.
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on hindsight;
our premise of price cut is based on ISP not changing their existing pipeline and everything else. then it would really be a reduced costing to them.
From 10Gbps @ RM10k/ea
Become 10Gbps @ RM5k/ea
but what if instead of staying as-is, ISP took the chance to double their pipeline bandwidth in celebration of halved cost.
Become 20Gbps @ RM5k/ea
....
whill there be savings for retail customers then?
This post has been edited by Oltromen Ripot: Sep 17 2023, 03:38 PM