All Internet access, even your latest 4G mobile data, ultimately depends on the fixed Internet access network. Unfortunately, in the US and many countries, that network is captive to monopolists with discouraging results and little hope of a political solution.That’s ok, as most innovation comes from commercial efforts, i.e. start-upsSo I’ll explain a startup with the modest goal of enabling an end run around the phone company, the cable company, the FCC and Congress.
But here we have a completelydisfunctional market.The building on the right has competitive fiber by which I mean, there are eight different ISPs that own their own fibers into the building. The building on the left has only Verizon and Comcast. The price difference – more than 30x.Approximately 3% of the commercial buildings in the US are like the building on the right.===========================================Over the next decade, that number could rise above 4%, but >95% of buildings will remain stuck with non-competitive duopoly access:• Telco (Verizon, ATT, Quest)• Cableco (Comcast, TimeWarner, Cablevision)The result is a bad deal for US businesses:• 20x to 40x cost difference between buildings with competition and those without, even for buildings that are next to each other.• For many workers, access at home far outperforms access at work. So there is an opportunity.
netBlazr is using peer-to-peerprinciples and a “freemium” business model to build a community and manage a distributed network that delivers free and super low cost internet access to members. We combine that with a novel approach to leveraging existing and evolving wireless technology.
Going window-to-window allows us to bypass the landlords and directly serve interested partiesShort range high capacity point to point wireless linksThese operate in the 5 GHz band where there is more spectrum available, for unlicensed use, that the sum of the spectrum owned by Verizon Wireless, AT&T, Sprint, T-Mobile and Clearwire.Our radio gear includes directional antennas, not to gain extra range, but to reduce interference allowing us to take full advantage of unlicensed spectrum.
View looking out the window of Pile & Company at 177 Huntington Ave. Two other radios are installed are installed in windows facing in other directions
In this Hancock Tower installation, the netBlazr radios are completely concealed in corners behind and below the heating and air conditioning units.
We’re not trying to replace your existing carrier, at least not at first.
netBlazr dramatically reduces the 3 primary costs to provide Internet access: Infrastructure Care/Support Customer Acquisition netBlazr members pay for and build the distributed infrastructure. netBlazr uses a web care model: Wiki documentation, on-line forum and open transparent access to current and historical network status. In addition, 3rd party IT shops are available to provide paid-for support to those that want it. netBlazr’s uses online and offline community building techniques together with a freemium business model to drive down the cost of customer acquisition.
Early on, we illuminated the 12th-25th floors of this building because of one particular prospect. That deal fell through but we went back and called on the other tenants. In less than 4 months, we have 3 customers installed and working with two more due on-line in the next two weeks.> 60% penetration in just a few months suggests there is a real demand for our service.
We running a hyper-local recruiting effort in the 6-8 block region around the fort point channel in Boston, seeking 60 interested parties so we can justify bringing out service to the neighborhood. When I took this screen capture two weeks ago, we were less than half way to our goal. When I looked last night the bar says “just 19 more,” i.e. we’re 2/3rds of the way there.We’re still learning, but it appears we can do hyper-local recruiting at very low cost.
Here is our long term goal for the first of several market segments: We want to transfer value from the cozy broadband duopoly (Telco & Cableco) to other parts of the economy.
8. Augmentation service<br />Large companies have dual sources<br />Now dual source affordable for all<br />No bogus SLAs, but open, public on-line network operations center with current and historical data<br />Wiki documentation, on-line forum, optional 3rd party support<br />28 June 2011<br />8<br />
9. CAPEX per Subscriber Advantage<br />
10. Adoption in one building<br />8 prospects (12-25th floors)<br />3 signed up & on-line<br />1 install pending<br />1 site visit pending<br />1 interested<br />1 declined<br />28 June 2011<br />10<br />
12. netBlazr: Leader in new smaller market<br />$11.9 B is today’s market for <br />data services for target SMB’s in the USIDC report on SMB IT Spending Forecast 12/2009<br />28 June 2011<br />12<br />