"Our friends" at ESAT ?

MDR

Ok help me out here,

I am having trouble understanding ? (not for the first time).

The incumbant operator is the source of all evil in telecoms in Ireland.
I have accepted this as fact for quite some time, therefore if another licensed operator charges excessivily etc, we can usually find the root of the problem is the incumbant operator ....

However this begs the question ? (ignoring the whole capped product verus uncapped product issue)

Whatever about Eircom and its random number generator pricing scheme. How can the suposedily more IOFFL friendily ESAT justify the pricing scheme for its own recent ADSL rollout ?

Dr.Seagull

Originally posted by MDR

more IOFFL friendily ESAT

now when did ioffl ever say that? infact iv heard them say the opposite several times
its not just eircoms fault but also the govermant,odtr,esat ect....

MDR

I very possibily imagined it.

SkepticOne

No group has interests completely aligned with ours - there are just points of convergence and divergence.

El_MUERkO

How can the suposedily more IOFFL friendily ESAT justify the pricing scheme for its own recent ADSL rollout ?

ESAT buys the connections from Eircom at Eircoms wholesale price, they then have to make a profit, ESATs pricing is high but so is the wholesale.

Dustaz

No, as far as im aware all esats DSL rollouts are coming from unbundled exchanges. i.e. They dont have to pay eircom line for use of equipment. Someone correct me if im wrong.

sceptre

No, you're right Dustaz. For example Limerick is totally unbundled + has Esat DSL available. Ditto Ballina. (I know someone who knows someone who was installing the equipment) These are the only two exchanges with Esat DSL available at the moment

Ergo, Esat DSL is all on unbundled exchanges.

Whether this will continue to be the case is another story but I'd imagine Esat will try to maximise their own profit by only offering the product from exchanges to which they have access.

sceptre

Someone might find this funny. Got this reply from a friend when I was asking him various questions about Esat DSL.

Here's what he had to say about Esat's download caps (or lack of same):

In keeping with their rather cavalier "we don't care how many computers" line, they also have a "download as much as you like, you mad hoor" policy, I'm told. They're the Oliver Reed of the internet world, Esat.

MDR

I had an interest chat with a friend of Daves' (aka Dannger), I talked about what I had said in the initial post in this threat. Where are esat extra costs coming from, that they can justifiy their ADSL price offering, especially in light of their parent companies pricing scheme ?

We eventually worked it out, it actually all comes back down to costs. First you have recognise a fundamental truth of the Irish Telecoms Industry, Eircom can always charge less for any product.

Because they own the exchanges, have more fibre already in the ground, they can undercut substanially any competitor. Esat hopes to squeeze out a market share for themselves, by always offering a slightily more attractive product than Eircom (1 cent per minute offpeak net access with fusion, no download cap on their ADSL product etc).

In that way they carve out a nice little niche of the market (about 20% isn't), without pissing the incumbant operator off.

So ultimately I shall answer my own question, why do Esat charge so much ?

'Cos Eircom do, and they don't want to piss Eircom off.

The question is, if I am right about this, could this be the same reason Esat has been so damn reluctant to go to the ODTR ?

vampyre

Is unbundling the exchange not costly? Not long term as much as renting and reselling eircoms rubbish but isn't there a large inital out lay? Besides they are just a smidge more civil at top brass level than Eircom and of course the overwhelming fact, they are not eircom.