Next-Generation Product Pricing

Written by Dane Jasper
August 6, 2008 | 2 min read

As discussed previously, we have been working for some time toward the launch of new next generation products. As we get nearer deployment, some of the details are firming up.

First, bundling. This is a hot topic – some customers really like bundles, and some really do not. We believe in providing as many options as we can, so our next generation products will be available both with and without other services bundled. Of note, you do NOT need to have a voice telephone service for these products, and in fact at this point our initial offering does not include voice. The voice offering is likely to arrive sometime late this year.

Second, a name. Our current tentative name for the family of products is “Fusion”. Maybe that’s “ Fusion Broadband Internet”, or “Fusion: Next Generation Products”, etc – it’s a working concept at this point. The Fusion concept encompasses all of the products that will be available. If we stick with this name, the product is likely to have an atom logo, where each electron in orbit represents an additional bundled product. Opt for broadband only, or add in voice, TV, or mobile. Each adds a ring to the orbit.

Finally and most important, pricing. Here are the initial launch products and prices. Note that these are standalone, delivered on a dedicated copper pair, so unlike today’s DSL, you don’t need to have a voice line and associated costs.

(Note, pricing updated and current as of 8/26/2009, reductions noted with strikethrough. -DJ)

Residential locations, dynamic IP:

1.5Mbps/1Mbps $35/mo
3Mbps/1Mbps $40/mo
6Mbps/1Mbps $45/mo
10 12Mbps/1Mbps $65/mo $50/mo
18Mbps/1Mbps $80/mo $55/mo

Residential locations, 8 static IPs:

1.5Mbps/1Mbps $55/mo
3Mbps/1Mbps $60/mo
6Mbps/1Mbps $70/mo
10 12Mbps/1Mbps $90/mo $75/mo
18Mbps/1Mbps $105/mo $80/mo

Business locations, dynamic IP:

1.5Mbps/1Mbps $45/mo
3Mbps/1Mbps $50/mo
6Mbps/1Mbps $70/mo $60/mo
10 12Mbps/1Mbps $90/mo $70/mo
18Mbps/1Mbps $105/mo $80/mo

Business locations, 8 static IPs:

1.5Mbps/1Mbps $55/mo
3Mbps/1Mbps $60/mo
6Mbps/1Mbps $80/mo $75/mo
10 12Mbps/1Mbps $100/mo $85/mo
18Mbps/1Mbps $115/mo $100/mo

Bundling offers the opportunity to drive costs downward – for example, adding voice service (when available) reduces the monthly cost of both products by a combined total of $20/mo. Adding television saves another $10/mo. At this time, bundle savings for adding mobile have not been set.

Product speeds are tiered based upon the capabilities of the loop itself. So for example, the max downstream speed of the 6/1Mbps product is between 4-6Mbps, the 10/1 between 7-10Mbps, 18/1, 11-18Mbps. Maximum speed is based upon the line’s electrical capability to carry ADSL2+ data. This rate of speed will be faster than legacy ADSL1 would be for the same CO based loop.

For customers near downtown Santa Rosa, these products will be available in just a couple weeks. About ten additional cities plus expanded Santa Rosa coverage will arrive in the coming months.

Oh, and yes, the free clip art atom that I’ve used here has one too many electrons in orbit. The max would be four. Broadband, voice, TV and mobile.