Knowledgebase

Understanding the Connectivity Business Print

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What kind of operator you are.

WHAT FORMS EXIST

Wireless internet service providers Fibre network operators Last-mile resellers of another operator's capacity Community and estate networks Public hotspot operators Enterprise connectivity providers Tower and infrastructure providers

WHY THE DISTINCTION MATTERS

Capital requirements, licensing and margin structure differ substantially.

WHAT A RESELLER IS ECONOMICALLY

A business buying capacity wholesale and distributing it, with margin on the difference.

WHAT AN INFRASTRUCTURE OPERATOR IS

A capital business: money spent first, recovered over years.

WHY THAT MATTERS

They are funded and managed entirely differently.

WHAT ALL SHARE

Dependence on upstream capacity Heavy dependence on power Customers who notice every interruption Regulatory obligations Infrastructure exposed to damage and theft

WHY POWER DESERVES EMPHASIS

Network equipment must run continuously, and unreliable supply is the principal operational problem.

WHAT DETERMINES PROFITABILITY

Cost per megabit of upstream capacity

Contention: how many customers share it

Subscriber density per point of presence Churn Support cost per subscriber

WHAT MOST OPERATORS UNDERESTIMATE

Support cost, and the cost of maintaining infrastructure.

WHAT TO ESTABLISH FIRST

Cost per subscriber, fully loaded.

WHAT TO TREAT THIS CATEGORY AS

Business and operational guidance, with licensing verified with the regulator.


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