Access cost in Norway

Cost of access line

SURFnet has done the calculations on basis of Dutch prices, UNINETT costumers experience different national price for bandwidth.

The most realistic would be to use the price of 2Mbps as this is the nominal access capacity of UNINETT (256 kbps is the real thing, for most colleges). This gives a very much higher price. Doing the aritmethic with 34 Mbps lines gives a more favorable comparison, with only 4-10 times the NL price.

This picture shows the current cost of connections for UNINETT members, plotted in a scatter diagram to show both bandwidth (X axis) and cost (Y axis).

The cost of renting a line from Telenor is depending on distance.The average distance for an UNINETT institution is 43 km.

Bandwidth	Average cost	Average cost in Mbps/month	Median cost in Mbps/month
256 kbps	617 ECU/month 5060 NOK/month	2470 ECU	1920 ECU
2 Mbps	1250 ECU/month 10200 NOK/month	625 ECU	376 ECU
34 Mbps	5175 ECU/month 42 400 NOK/month	152 ECU	106 ECU

This picture shows the cost of connections for UNINETT members upgraded to 2 Mbps in NOK for a period of 3 months in fall 1997. The price varies dramatically, this is due to the pricing per km by Telenor.

Price in ECU per month for the equivalent of 1 Mbps

	34M 	2M     256k 
Price	152	625    2470    (average)
Price	106	376    1920    (median)

Høgskolen i Telemark

Upgrading the line from Høgskolen i Telemark to UNINETT (256 kbps to 512 kbps), even with the lower prices available for 3th quarter 1997 costs 12 088 NOK more per quarter. As prices are changing (due to the liberalization of the telecommunications), any cost factor will be a best estimate based on todays figures. Reduced cost in line load, if HiT can postpone the upgrade for a half a year is 24.000 NOK.

To  From  Bandwidth   T1    T2  Distance   Cost    Installation 
bo  oslo     256      400    0  111.0 km   22987   22140
bo  oslo     512      400    0  111.0 km   35574   22140

Extra cost paid to UNINETT for an institution of the same size (400 employees) would be 112 300 NOK for half a year. This corresponds to the extra cost of national and international infrastructure used by someone with a 512 kbps line as compared to a 256 kbps line.

The total saving in ISP cost and connectivity for a half year postponed upgrade is 136 476 NOK.

To do this HiT has to install a server on sufficient hardware and get users to go through the cache.

Høgskolen i Agder

Upgrading the line to Grimstad:

To        From  Bandwidth  T1    T2  Distance   Cost    Installation 
grimstad  oslo   384       400   0    215.0     28088    22140
grimstad  oslo   512       400   0    215.0     37899    22140
grimstad  oslo  1024       400   0    215.0     49454    22140
grimstad  oslo  1984       400   0    215.0     66362    22140