FiOS math
by Matt Burns 
posted Sep 28th 2006 at 2:36PM
Filed under: Fiber
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Reader Comments (Page 1 of 1)
josh @ Sep 28th 2006 3:51PM
Nice job dividing 18 million and 12 months into the $18B. However your calculator misses a bunch of other key assumptions that completely negate your conclusions. Look at the Light Reading material and the rest of it out there, and you'll find that it's not as simple & clear as you make it out to be.
Craig @ Sep 28th 2006 11:44PM
I actually have worked for Verizon for over 10 years and have been in charge of both selling and installing FIOS, so I have a lot of knowledge about FIOS in general. I have to agree with JOSH's comments. FIOS cost between 29.99-54.99 (most markets) depending on which speed the customer chooses. THe rest of the bill (the phone portion), with a freedom or unlimited packge might run between 35 - 60 (depending on package). This is without FIOS video which might run between 35 - 90 per month. So were talking a range of 90 (w tax) - 200+ (w/o tax). That sounds like a lot, but if you see how much work and man-hours goes into getting a single fiber cable/line to supply a neighborhood, you have to give some respect to Verizon for their efforts. Remember, most of this time is American UNION labor on overtime, which is REALLY expensive. And also remember that a good portion of the bill goes towards FCC/PSC related costs and does not go towards recouping the cost of FIOS. I left Veriozn a few weeks ago to persue other career options, but I have nothing but respect fot the company for partaking on such a big project for its customers an its future. I know they arent perfect, but at the same time you dont see huge Vontage or Sprint trucks driving around.
BRYAN @ Sep 29th 2006 6:46AM
If those guys were in a union, it was not American. When it came time for the install, that guy was an American, and a very professional one at that. I was the very first person in my neighborhood to get FiOS installed, and I only pay $29 a month for high speed internet and $20 a month for phone. It is actually the exact same price as it was with DSL. If Verizon wants to spend billions to speed up my internet and not my monthly bills, have at it. That big ass backup battery installed on my interior wall isnt so pretty though, and they certainly dont tell you that in the ads.
Doug @ Sep 29th 2006 8:01AM
The deal is that Verizon replaces your phone lines at the same time. This results in a big reduction in cost for Verizon over the long run since they no longer have to power the copper wires. As you can imagine, power consumption over the entire network is considerable.
And, yes, they did a very professional job with my install too.
Franssu @ Sep 29th 2006 1:10PM
http://www.ihumpedyourhummer.com/
That's all I have to say.
Josh Wardell @ Sep 29th 2006 4:10PM
While chatting with my FIOS installer I mentioned how expensive it must be to supply each neighborhood and run glass to each house. His response was very true: People are moving more and more to data than voice or analog video and they will be unable to compete with the cable companies soon, so they need to take the opportunity and invest in fiber ahead of time. It makes plenty of sense. My fios bill is the first time I've given money to a phone company in five years. (And your $100 estimate is more than double...)