RE: Has anyone actually read the tariff?

From: Matt Dwyer <msd_at_dreamscape.com>
Date: Wed Aug 11 2004 - 12:29:58 EDT

Matt,

We have been investigating DRL with Verizon (we are currently a CLEC). We
were initially interested in this because we have a lot of resold POTS as
backup lines in several businesses where we also provide dialtone over T1.
We also found that didn't need to get into any term agreement to get started
with a month to month plan ($39.95 - 21.70% = $31.28). We're in NY, so our
discount is not nearly as good as MA!

We're currently holding off proceeding with DRL for the following reasons:

1. Our CLEC side has always been reluctant to provide resold POTS to
residential and small business because the provisioning and support overhead
is high. Our model tends to only qualify 8+ line businesses, etc.
2. Verizon claims that we would not be able to apply sales of DRL against
the commitment levels of the 5N-TVDP and we wouldn't get marketing dollars.
I couldn't find anything either way in the tariff on this.
3. We may be starting up with the 5N-TVDP on the ISP side to market small
businesses and backup DSL/VPN to our larger business customers. We need all
the sales we can get to meet those commitment levels.

If you've already met your commitments on the 5N-TVDP and you're set up to
take on resold POTS, you probably don't have much to lose getting into this.
Your figures pretty much look like what we were looking at.

Also, didn't Verizon mention at the symposium that they are working on a way
to allow ISPs to provision DSL on other carrier's services? I think they
were talking about UNE-P, but maybe this would extend to resold lines. Maybe
we can eventually resell POTS as a CLEC and provision DSL on it under the
5N-TVDP agreement.

Matt Dwyer
Dreamscape Online
msd@dreamscape.com

-----Original Message-----
From: owner-verizonisp@westnet.com [mailto:owner-verizonisp@westnet.com] On
Behalf Of Matthew Crocker
Sent: Wednesday, August 11, 2004 9:46 AM
To: verizonisp@westnet.com
Subject: Has anyone actually read the tariff?

I recently became a CLEC and I've been pouring through Verizon tariffs
lately. From what I gather I can order a resold POTS line and DSL over
Resold lines from Verizon. Here in MA I get a 29.47% discount as a
CLEC. I'm still trying to find the tariff for the Verizon 'Freedom
plan' that allows unlimited local/long distance calling for
$54.50/month. I have been thinking that I might be able to beat
Verizon at their own game. I'll have to take on the complete billing
for the customer but with unlimited calling that shouldn't be too bad.

1) Order Verizon Freedom Plan service for a customer under the reseller
agreement ($54.50 - 29.47% = $38.44)
2) Order Verizon DSL over Resold lines (FCC Tariff #20) ($39.95 -
29.47% = $28.18)
3) Sell to the customer at the same rate as VOL ($89.50/month)

$89.50 - $38.44 - $28.18 = $22.88/month profit.

I already have a SCOPE bay built at the Verizon CO with the Redbacks &
ATM switch (SPFDMAWO). I have an OC-48 SONET ring built between that
CO and my POP. I can order a Verizon ATM DS-3 Port only for
$800/month, deliver it to my SCOPE bay and connect it to my SMS 1800.

The FCC #20 tariff for Verizon DSL lists Verizon DRL (DSL over Resold
Lines), They have a 5 year volume plan for this service. In theory I
can probably still get the marketing dollars for each DSL line I sell.

Has anyone else looked into this? What am I missing?

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Received on Wed Aug 11 12:29:23 2004

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