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Old 11-09-2005, 08:13 AM   #1
magnatique
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Cogent/Level 3 Bandwidth prices going up?

One of my cheaper host just contacted me saying he'll need to raise me because his Bandwidth providers just raised his prices up... I was wondering if anyone could confirm with me that there is indeed an increase in BW cost from cogent/Level 3 starting in December, or what?
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Old 11-09-2005, 08:21 AM   #2
HomoErectus
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Contact one of the fucktards at Cogent, here's one:

Jeff Henriksen
[email protected]
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Old 11-09-2005, 08:24 AM   #3
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Based on the last letter I saw from cogentco it wouldn't surprise me Phil.
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Old 11-09-2005, 08:28 AM   #4
magnatique
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yeah I wouldn't think he'd lie to me, especially since I had left his company 4-5 mnths back and just came back to him, but I was given a few different prices from him and thought i'd check heh

I just emailed that cogent guy
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Old 11-09-2005, 08:37 AM   #5
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could be your smaller host dropped a level in use....

thus their price per mbps coulda gone up $3

even if this was the case...a host was probably making atleast $5 off you

so their profit margin is cut, but their not in the red
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Old 11-09-2005, 08:39 AM   #6
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Could be that they're not doing enough bandwidth to get lower rates?
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Old 11-09-2005, 08:43 AM   #7
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yeah, I'm not sure... guess I'll have to see what he has to say or move again next month heh

got a reply from that jeff guy from cogent , quick answer heh

----------------
Cogent has not raised any prices - in fact our long term plans include the possibility of lowering prices due to price erosion over time.

I can not account for why his provider raised prices, but that is not due to a change in Cogent pricing.

Cogent considers the Cogent-Level 3 agreement to be settlement free.

Thanks,
Jeff
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Old 11-09-2005, 08:44 AM   #8
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interesting............
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Old 11-09-2005, 08:47 AM   #9
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Quote:
Originally Posted by magnatique
"Cogent considers the Cogent-Level 3 agreement to be settlement free."
I'd be interested in hearing his definition of settlement if he "Considers" the agreement to be settlement free.
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Old 11-09-2005, 08:50 AM   #10
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Hey Phil,
I think you are dealing with an individual isp that is raising their prices rather than a movement by Level3/Cogent to raise prices. If anything, bandwidth costs seem to be coming down consistently since I entered the biz in 1997.

Of course now that we have things like 10 mbps lines going into homes (my buddy in Virginia has a 15 mb DSL acct and he pays $69 a month for it!) lower bandwidth costs are a wash since the consumption is increasing so much.

Take care buddy, lets try to hook up in LV in January to catch up.
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Old 11-09-2005, 09:08 AM   #11
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yeah exactly my point of view David... but I thought I'd check to make sure heh

Granted I require a really low price on the BW I am buying and I have no doubt my provider was giving me a good price, but I guess I'll ask him for a better explanation ;)


I am not 100% sure if I'll make it to Vegas... I am not a fan of seeing CES and internext at the same time, and combining both conventions is not exciting me either... although I always love Vegas, I am concidering skipping that one and taking the associated costs to give a couple bonuses to my employees and/or taking a little one week off somewhere instead heh... guess we'll figure it out...

in any case, I will make it a priority to make sure I attend the next show you will be at if I don't go to vegas ;)
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Old 11-09-2005, 10:03 AM   #12
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Not shocking at all.
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Old 11-09-2005, 02:43 PM   #13
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hmmm..that's an interesting response from Cogent.
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