As a small ISP i can tell you that there is no money in PPP because it is very
hard to reach critical mass.

And for the big ones, they give so many free/ half price accounts that they loose
money at the total sum.

And don't forget that israel is different then Europe or USA in the price of the
connection to the USA.

Im don't know what the price for T1 now but two years ago T1 to the USA was 40,000
$ while in the USA you could buy it for 3000 $.

Ely Levy wrote:

> Yea, reading the economical section of ha`aretz make you an expert in
> analizing the profits of isps.
> did it say anything about why they losing money?
> was it the stracture?bad conditions?israelis go to wrong ways?
> and ha`aretz says that aol is the only profitable ISP?
> personaly I know few more around the world (especially europian ones)
> and usa has a LOT of small isps who might not be rich but give good
> service and make normal money.
>
> bah
>
> Ely Levy
> System group
> Hebrew University
> Jerusalem Israel
>
> On Thu, 22 Mar 2001, guy keren wrote:
>
> |
> |  On Wed, 21 Mar 2001, Ely Levy wrote:
> |
> |  > since when being an ISP is unprofitable buisness???
> |
> |  practically since the first ISPs were started..
> |
> |  > why can ISPs all over the world allow high speeds and israeli ones are
> |  > suddenly not profitable?maybe we should start a charity for the poor guys
> |
> |  even in the large USa, the only ISP that is realy profitable is AOL.
> |
> |  as for israel, here are the latest figures from haaretz's economic
> |  section, from this week:
> |
> |  netvision's loss in 2000 was about 24 million $.
> |  inet gold's loss in 2000 was about 19 million $.
> |  bezeq int. loss millions, althought an exact figure wasn't given, probably
> |  cause they don't write these losses seperatly from the losses on the long
> |  distance call services.
> |
> |  the list can continue, if you wish.
> |  and btw, surfree was shut down this week, as a tribute to inability to
> |  earn money when giving free network services.
> |
> |  now, you ask if tihs is such a lossy business - why people still give
> |  these services? i guess its the same reason that people invested billions
> |  in internet companies - first they thought they can simply make money
> |  out of this. then they thought it'll lose money for a few years,
> |  and then be the next best thing. later on they thought the copany will
> |  lose money, but they will get money for themselves whey they sell stocks
> |  after getting their IPO (or during their IPO) on the stock market. and now
> |  they are waking up.
> |
> |  btw, Matav is looking for a buyer for their "nonstop" internet copany
> |  (written in haaretz this week) - anyone wants to buy them? :)
> |
> |  and why do kavei zahav give ADSL service for such a cheap price now? cause
> |  they need a market sahre - they were the only telecomm copany in israel
> |  that neglected the internet market, and they ned to catch up. and how do
> |  you catch up? by giving low prices, even if it makes you lose lots of
> |  money. for these telecom copanies, the internet loses are small compared
> |  to their loses over their major businesses.
> |
> |  ely - i suggest you open the economical section and _read_ a little,
> |  before you make economical claims.
> |
> |  --
> |  guy
> |
> |  "For world domination - press 1,
> |   or dial 0, and please hold, for the creator." -- nob o. dy
> |
> |
>
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--------------------------
Canaan Surfing Ltd.
Internet Service Providers
Ben-Nes Michael - Manager
Tel: 972-4-6925757
Fax: 972-4-6925858
http://www.canaan.co.il
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