On Monday 28 September 2009 10:48:53 pm herb wadulo wrote: > Why > everybody has to dig their own fibre still beats my > understanding. Logic would have it that the money the > Chinese government gave GOU for the fibre would have > provided for enough capacity for various entities to > lease it.
It's simple economics and control. If you have your own fibre, you don't need to pay anyone to lease it - means any money you make above and beyond what it cost you to deploy it, is gravy (economics). If you have your own fibre, you are in a much better bargaining position than someone who's leasing it (control). But, this clearly isn't for everyone, as it is very costly to build and own your own fibre network, let alone maintain and operate it. For most, leasing capacity will always be cheaper. Cheers, Mark.
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