Of Becoming A VISP?
Interesting Things To Consider
Fact vs. Fiction
The dial-up market is shrinking
as access subscribers move to broadband access.
Therefore a virtual ISP or vISP must offer broadband
to succeed. Fact or fiction?
Most virtual ISP or vISP programs are built around
dial-up access. If the demand for dial-up access
is truly shrinking, you should not invest time,
money and resources in a declining market. However
the good news is that this myth is not based up
fact. Although it is true that every day the broadband
market grows, it is also a fact that the
number of subscribers using dial-up also increases
every day. Other than one major disadvantage
(speed), dial-up offers many advantages over broadband.
Dial-up is portable while broadband is not. As
the growth in the laptop/notebook market continues
to grow, portability becomes a higher priority. As
a result, many
broadband subscribers also have a dial-up account
so they have access when they travel. Dial-up
is available everywhere while availability
is limited for broadband. Dial-up
costs less than broadband.
can be automatically provisioned in seconds
while broadband is a manual process and can take
up to six weeks to provision. During the manual
provisioning process many things can go wrong
that create unhappy customers. Then there is the
issue of upfront modem costs ($100+) to the vISP.
It is difficult to charge the consumer and
impossible to absorb this cost. Most important
is that when competitively priced,
broadband margins are less than half of dial-up margins.
Nonetheless, the speed of standard dial-up is
However, this is quickly changing. By the end
of 2005, dial-up modems will
be available that provide speed equal to cable
(for example, see
Although it may take awhile for demand to lower
the cost to the point that new PCs are sold with
this technology installed, it will happen just
as we have seen modems improve from 3k to 56k
v.92. In the meantime, web accelerators (i.e.
- pronounced pure speed) are gaining great popularity
due to the fact that they can
provide surfing and email speeds of near the same
as DSL (5x standard dial-up speeds)! This
eliminates the one disadvantage of dial-up while
retaining the many advantages - it offers
portable DSL. Dial-up
has a great future for residential applications!
Most of the migration to broadband has been the
commercial sector and today still 80% of residential
users still have a dial-up account.
To "Fact vs. Fiction"