COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
WHY BEING A SMALL/MEDIUM
CEO & Chief Architect, eintellego Networks Director of the Internet Society of Australia
ISP IS STILL VIABLE SKEEVE STEVENS
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
What’s this talk about?
• Why being a small/medium ISP is s6ll viable in Australia today
• Details of the forthcoming book “So, You Want to be an ISP?”
INTRODUCTION
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
Whats been happening
• ISPs are disappearing – mostly due to mergers and acquisiJons
• The Industry is changing • ISPs are starJng to diversify their offering to customers
• A strong wholesale market is enabling non-‐ISPs to sell Internet services to their exisJng customer base
• There is sJll a LOT of opportunity out there for verJcally focused ISPs – which are mostly in the pico-‐small size
BACKGROUND
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
MARKET CONSOLODATION Where did all the ISPs go?
WestNet
OzEmail
TransACT
iiNet
iiNet
iHug
Netspace
AAPT Residential
10 Others
Froggy
Esclipse
AOL|7
Commander
iPrimus
M2 Group
Hotkey
West Australian Networks
Datafast
aaNET
Platform Networks
EFTel
Club Telco
Dodo
Other small ISPs
VivaNET
Planet Netcom
Internode
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
MARKET CONSOLODATION …continued
B Digital
PPC-1
Pipe Networks
TPG
TPG
Comindico
Soul
IntraPower/Trusted Cloud
RequestDSL
Powertel
Nextep
AAPT
Telecom NZ
Wizz
Star-Tech
Clever Networks
BigAir
BigAir Grop
Vivid Wireless
Unwired
Optus Internet
Optus
iBurst (Customers)
AccessPlus
Allegro
Uecomm
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
• TradiJonally ISPs have stayed within their field of experJse – or close to it • Few ISPs are known for their prowess in Customer Service – even our biggest
ones • It is going to go both direcJons (I will explain in a moment) • It is easier than ever to sell you-‐branded products
• OEM everything • Own the customers – everything they need/want!
DIVERSIFYING New Markets
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
New Markets
Telephone Home / Business VoIP Mobile
Internet Services Power & Gas Insurance Home, Contents, Car
Retail Stores Alarm Monitoring Others to come? Health? Financial Services?
Dodo
DIVERSIFYING
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
New Markets
SoEware ChromeOS
Search Earth Maps/StreetView Android Google+
Business Solu6ons Google Apps Adwords/SEO Search Appliances
Entertainment Music, Movies TV, Apps
Others to come Television -‐ trying Wearable Accessories Internet Access
Hardware Mobile Phones iGlass
Up to 5Mbps download, 1Mbps upload speed • No data caps • Free service guaranteed for at least 7 years • Includes Network Box $300 construction fee (one time or 12 monthly payments of $25) + taxes and fees
DIVERSIFYING
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
New Markets
Portable Music Computers Mobile Phones Entertainment Music Movies TV
Others to come Television? Wearable Accessories Internet Access?
Apple Computer
Internet + TV + Music + Movies + Apps + Software + Hardware
DIVERSIFYING
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
New Markets
Fuel Mobile Services
Supermarkets Groceries Clothing
Credit Cards Credit & Prepaid
Insurance Home, Contents, Car
Others to come Internet Access? Health?
Coles/Woolworths
nbn Internet
DIVERSIFYING
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
IMPORTANT TO UNDERSTAND About being a small ISP
• You don’t have to make millions to be happy • Making a difference can be significant • Doing it right, can mean a payoff later • Customers prefer personal service and will o^en go away from the big guys
on principle
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
WHY – YOU SHOULDNT Why No
• You are not commi_ed • You don’t have a niche or micro-‐niche • You’re not involved • You have no profile • You suck at partnerships • Your products aren’t compeJJve or interesJng • You aren’t meeJng a need
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
WHY – YOU SHOULD Why Yes
• You have a comfortable niche that you own • You are known in your space • You are part of a community • You partner well with others • Be able to run a profitable business • Be mulJ-‐skilled (Management, Sales, MarkeJng….)
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
ISP SIZES How big do you have to be?
Pico ? 10 -‐ 100 Micro ? 100 -‐ 500 Small ? 500 – 1,000 Medium 49 1,000 – 10,000 Large 24 10,000 – 100,000 Very Large 8 100,000+
• Medium-Very Large defined by the Australian Bureau of Statistics, the rest I defined • June 2012 ABS Data - http://www.abs.gov.au/ausstats/[email protected]/Lookup/8153.0Chapter6Jun%202012 • ACMA Fact Sheet - http://www.acma.gov.au/WEB/STANDARD/pc=PC_1723 • Lifehacker - http://www.lifehacker.com.au/2011/02/smaller-isps-are-a-dying-breed-in-australia/
• ACMA say there are over 800 ISPs in Australia • ABS say there are about 81 ISPs with over 1000 users in Australia (June 2012) • That means there are over 700 Pico to Small ISPs • Total ISPs – June 2011 = 97; Dec 2011 = 91; Jun 2012 = 81 (closing or merging?) • iiNet in 2011 said that number of ISP dropped from 450 to 250 in 2010
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Examples
• What is a niche to an ISP? • What does it mean being niche focused? • Examples of niche ISPs
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Focus
Industry
Ethnic
Finance
Education
Mining
Food
Media
Real Estate
Entertainment
Sports
Aged Care
Sex
Age
Religion
Legal
Construction
Engineering NGO
Energy
Government
Italian
Chinese
Greek
Korean
German
Arabic
Hobbies
Others?
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Examples – Regional Focus - Community Telco and Ace
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Examples – Legal Industry - BarNet
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Examples – Age Vertical - Seniors
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Examples – Satety Vertical
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
NICHE/ MICRO NICHE Examples – Ethnic Focus - Japanese
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
WHOLESALE SERVICES Where do I get it?
BigAir
NBNCo
Telstra
Tier 1
FirstPath ispONE
Exetel
iSeek
Tier 2
AAPT
Vocus
Optus
Tier 1.5
Nextgen
TPG/Pipe
M2 Group iiNet TelcoInABox
WIP
Highway 1 aka
ZettaNet
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
HOW EASY IS IT TO BE AN ISP Easy as
• Wholesale Providers • Outsourcing
• OperaJons • Support • MarkeJng • Systems (Billing, DNS, HosJng, etc)
• Vendors • Consultants
• eintellego Networks / io Networks – probably others • Community
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
THE BOOK So, You Want To Be an ISP?
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
THE BOOK • Why write it • Who is it for • What’s in it • Where am I up to • When will it be released
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
Case studies will be provided which will be based on some ISPs that I’ve worked with over the last 15 years such as: Datacentres, colocaJon/hosJng providers, wholesale ISPs, residenJal ISPs, virtual ISPs and others.
Case Studies
Websites, Mailing-‐lists, Chat, Podcasts, Consultants, CerJficaJons, etc
Resources
THE BOOK What’s in it?
Detailed informaJon about all aspects of an ISPs network, including their core switching, rouJng, redundancy, scalability, security (DoS) & more.
Technical Stuff
xDSL, Fibre (Lit and Dark), Copper (EFM), Ethernet, Wireless, Satellite, 3G/4G wholesale, including some old technologies such as Dialup/ATM/etc.
Tail Technologies
LNS/LAC, RouJng, MPLS, CGN, Transit providers, Peering and types of peering, Datacentre types.
ISP Technologies
A brief overview will be provided on networking vendors such as: Juniper, Cisco, Brocade, IBM, HP, SDN Technologies, VirtualisaJon, Vya_a, MicroJk, as well as some wireless – all as it all pertains to Service Provider equipment.
Networking Vendors
Should you or shouldn’t you be even thinking about doing this? Telling the reader the good and the bad.
Thinking About It
Staffing, Equipment, ISP types/models, Target markets, Legals, Customers, Outsourcing, Products, MarkeJng.
Before You Start
The Community, Conferences, OrganisaJons, Business operaJons, innovaJon of technology, trends, strategy.
Life as an ISP
Internet Governance, IANA/RIR and IP Addressing especially APNIC, IETF and ISOC, DNS, RouJng, Wholesale Providers.
How Stuff Works
OperaJonal Support Systems such as AuthenJcaJon, Provisioning, Helpdesk, Billing, Monitoring, Backup, etc.
OSS
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable
THANK YOU www.eintellegonetworks.com
@eintellego @skeevestevens @networkceoau
/eintellegonetworks
Thanks to: -‐ Shara Evans of Market Clarity – www.marketclarity.com.au -‐ AusNOG Mailing-‐List Members
TM
The Experts Who The Experts Call™
COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens COMMSDAY SUMMIT SYDNEY 2013 Skeeve Stevens
Why being a small/medium ISP is still viable