Local Loop Install.

At 06:05 PM 4/26/2006, Robert Sherrard wrote:
>I've got an interesting question / situation...
>
>I've got a local loop provider that we're 
>looking at using for some fiber connectivity. 
>The long story is that there’s no real great 
>place for them to place their gear in the entire 
>building, sort of paying rent to the landlord, 
>placing gear in our suite, or placing gear in an 
>uncontrolled room , i.e. no cooling, no 
>controlled access. This “local-loop” provider is 
>asking to place this gear into our space… while 
>this gear is to provide us with fiber 
>connectivity back to a carrier hotel; they’re 
>also looking to service other tenants in our 
>building. It is unrealistic to ask this provider 
>for some sort of a kickback, or monthly discount 
>on service? They’re hitting us up for an install 
>fee, maybe they could waive that? Anyone have 
>some thoughts on this? Am I being unrealistic in 
>thinking that, if they are going to profit by 
>having gear in our space, we should expect to 
>see a small return or favor? The only other 
>option for them is to spend money and lease a 
>small room, or modify an existing smaller room 
>in the building to fit their needs.



It is not unrealistic to charge them a free for your space.
The landlord will
charge them for conduit access to and throughout the
building, they are going
to use your power, your facilities, etc. Carriers 
don't put racks in collocation
for free. I'd have to know a lot more about your 
building, their needs, etc., but
you should take it from here. Most definitely you should be
paid.


-M<







--
Martin Hannigan                                (c)
617-388-2663
Renesys Corporation                            (w)
617-395-8574
Member of Technical Staff                      Network
Operations
                                                hanniganrenesys.com  

On Thu, 27 Apr 2006, Martin Hannigan wrote:
> It is not unrealistic to charge them a free for your
space. The landlord will
> charge them for conduit access to and throughout the
building, they are going
> to use your power, your facilities, etc. Carriers
> don't put racks in collocation
> for free. I'd have to know a lot more about your
> building, their needs, etc., but
> you should take it from here. Most definitely you
should be paid.

ILECs generally won't pay for space for the
"mandatory" telecommunication
connections in a building or to a tenent.  That's stuff
like connecting
the base building POTS lines required for fire alarms,
elevator phones,
etc.  Even collocation providers end up giving the ILEC some
"free"
plywood on the wall next to the MPOE and maybe a duplex
electrical
outlet.  A large skyscaper may have more base building POTS
lines, and
the ILEC will require more space, but the amount of
"free" space isn't
that much.

For anything above and beyond the mandatory base building
POTS lines, its
up to negotiations between you, the landlord, and the CLECs
or ILEC.  If
the carrier is selling circuits to multiple tenents, not
just you, you
may have a stronger negotiating position. The landlord has
even a stronger
negotiating position.  If you are a collocation operator
with tenents
buying multiple OC192 circuits, the LEC may even pay you a
commission for
the opportunity to sell to other tenents in the building.

Small CLECs are usually willing to negotiate more.  Large
IXCs and ILECs
are usually willing to negotiate less.  A large collocation
operator like
Equinix may be able to get concessions that someone with a
10 rack data
center can not get from the IXCs, CLECs or ILECs.

At 05:19 PM 4/27/2006, Sean Donelan wrote:

>On Thu, 27 Apr 2006, Martin Hannigan wrote:

[ clip off topic this posting ]


>Small CLECs are usually willing to negotiate more. 
Large IXCs and ILECs
>are usually willing to negotiate less.  A large
collocation operator like
>Equinix may be able to get concessions that someone with
a 10 rack data
>center can not get from the IXCs, CLECs or ILECs.



My experience is different, but my experience is large scale
data and
network buildout so I understand. The poster sounds like
they are talking
something a little smaller than I had in mind hence
'specifics', but
not knowing anything, I wouldn't ask for anything less than
$700 to start.

I did notice he got something in a later post. Bravo. You
should all try
the same whenever and provider tries to install a rack in
your space. You
may be surprised.

-M<







--
Martin Hannigan                                (c)
617-388-2663
Renesys Corporation                            (w)
617-395-8574
Member of Technical Staff                      Network
Operations
                                                hanniganrenesys.com