Pros/Cons Dual Best Effort ISP vs Fiber/MPLS.
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@coliver said:
@Dashrender said:
@scottalanmiller said:
So honestly, I think he's being reckless and illogical - just throwing away money because he's using emotion, not logic, to deal with the ambiguity of not having the details necessary for you to do your decision making.
Details only for the sake of conversation were as follows,
Company looses $1000/hr of downtime (all other loses are actually deferred income, because they would be rescheduled).
Company grosses 12 million a year, employees 80 people. The save of $8600/year moving to pure commodity is but a blip on that radar, and 'to them' isn't worth the potential risk by moving to a pure commodity setup.Wait... so $12,000 lost on the "commodity" connection, which is really only 12 hours over 7 years or less than two hours a year. You are looking at ~$2,000 of downtime a year vs the additional ~$8,000 of the cost of the reliable line? Just trying to make sure I understand.
Edit: Maths
nah, 3 outages per year. so $12,000 per year loss
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So each outage is averaging four hours for $4K per outage?
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@scottalanmiller said:
So each outage is averaging four hours for $4K per outage?
Yes, and even that is on the long side.
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Great - Speaking to you guys and to a few others I know who work in IT management agree that there is no real advantage to keeping the fiber.
My night is going to go so much better now!
They thing they kept throwing in my face is that $8600/yr compared to the 12 Mill in gross profits is such a small blip that we would be foolish to not keep what we know is working.
We can tolerate downtime, we're not one of those crazy places that 'thinks' we can't tolerate downtime. Sure the BOD will be grumbling during one, but as you mentioned Scott, with the dual ISP setup the risk is equal to (but really probably better) than the fiber we have today.
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@Dashrender said:
They thing they kept throwing in my face is that $8600/yr compared to the 12 Mill in gross profits is such a small blip that we would be foolish to not keep what we know is working.
What if your net profits are only $8,000 though? The difference could be the difference between profits and loss. That you have $12m gross profits means nothing at all. It's your net profits that would tell you if the number is significant.
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Even small, rural farms (as opposed to urban farms) gross in the millions of dollars. But profits are generally tiny.
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@scottalanmiller said:
@Dashrender said:
They thing they kept throwing in my face is that $8600/yr compared to the 12 Mill in gross profits is such a small blip that we would be foolish to not keep what we know is working.
What if your net profits are only $8,000 though? The difference could be the difference between profits and loss. That you have $12m gross profits means nothing at all. It's your net profits that would tell you if the number is significant.
I know I tried to point that out to them... they weren't hearing me.. I'm over it now.
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@Dashrender said:
@scottalanmiller said:
@Dashrender said:
They thing they kept throwing in my face is that $8600/yr compared to the 12 Mill in gross profits is such a small blip that we would be foolish to not keep what we know is working.
What if your net profits are only $8,000 though? The difference could be the difference between profits and loss. That you have $12m gross profits means nothing at all. It's your net profits that would tell you if the number is significant.
I know I tried to point that out to them... they weren't hearing me.. I'm over it now.
Easy ways to spot people making emotional arguments and not actually looking out for the business. They might think that they are, but really only finance and IT are really supposed to be trained to think about the factors at play.
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It's important to note that their point about the "known" reliability is valid. But they extrapolated from that one datum to an illogical conclusion based on it.
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@scottalanmiller said:
It's important to note that their point about the "known" reliability is valid. But they extrapolated from that one datum to an illogical conclusion based on it.
Yeah that was the only part of their discussion that I did agree with - but I couldn't make the leap that it was worth staying there just for that, unless I expect the commodity connections to be so horrible as to be considered a risk not worth taking - which of course it currently is not.
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I sent a request to Sales at Peplink today.. 8 hours later and still no reply ... I guess I'll have to call in the morning.
