Avenew Update 3/13/01

Greetings friends,

ICN staff has just concluded a lengthy meeting with Ameritech to determine options. Let me review where we are briefly:

The Goal: To connect Avenew constituents who apply to the ICN by May 20th, 2001 at the lowest possible cost to the customer and to the ICN.

Here are the options in order of preference:

1. Connect Avenew constituents to the ICN via local Ameritech exchanges.

Pros: Direct connection to the ICN backbone, no competition for shared bandwidth, fewer points of failure, more scalable network design to facilitate future needs, ICN managed connection, 24-hour monitoring, fastest possible trouble resolution, most likely solution to meet 8 week deadline, supports future quality of service standards for video, multimedia, and telephony.

Cons: May require build out at downtown ICN point of presence that could cause delays (ICN staff will have an answer to this by Friday, March 16), Ameritech contract for pricing could cause delays (ICN staff will have an answer to this by Tuesday, March 27)

2. Identify existing high bandwidth ICN circuits nearest Avenew customers that are able to be used as community distribution points and connect Avenew customers to the ICN via community distribution points.

Pros: May be slightly faster (but more complex) solution, built upon known pricing and known facilities, promotes development of community distribution points, and potentially expands opportunities for collocation of equipment.

Cons: Must establish agreements quickly with these locations, must purchase additional equipment at greater expense, more points of failure, more channelized T3s are required, negative impact on current ICN configured circuit (shared bandwidth), less scalable to meet future needs, ICN unable to monitor past community distribution point, slower trouble resolution, greater points of failure, non-ICN managed local loops, does not support quality of service standards for video, multimedia, or telephony.

3. Identify new community distribution points, order new services to connect those points to the ICN, and connect Avenew customers via these facilities.

Pros: Built upon known pricing, promotes development of community distribution points, and potentially expands opportunities for collocation of equipment.

Cons: Build out time has averaged 8 months for new DS3s for community distribution points. Significantly more expensive than options one and two (approximately $150,000-250,000 in first year costs ongoing costs of DS3 or multiple DS3s). See cons for number two for additional.

The bottom line:

Option 1 is clearly the expedient and best long-term option if Ameritech can step up to the plate and reduce procurement time. Option 2 is a good fall back position and one the ICN is pricing out in terms of equipment and circuits. Option 3 is not viable at this time, however, if any institution wishes to become a community distribution point a list of intended constituents should be submitted for future consideration. Note: The ICN is moving away from creation of community distribution points in Ameritech territory.

Pricing:

Option 1 and 2 will result in an estimated average cost to Avenew customers of $150-200 per month for a T-1 circuit with some as low as $98 per month depending on location. The absolute maximum is $238 for a five year contract and $280 for a 3 year contract. Once the ICN receives your application you will receive a quote back for your consideration. The quote that the ICN prepares reflects the actual Ameritech price to the customer. The ICN receives no money from Ameritech or from the customer but provides the backbone network, Internet connectivity, central point-of-presence equipment, domain name services, 24-hour monitoring and trouble resolution, and local technicians on a network 100% dedicated to Illinois education.

If I can be of assistance or answer any questions please do not hesitate to contact me. Again, we have assigned a point person for the Avenew transition in our Chicago office. Please feel free to contact Mr. Robin Woodsome at or 312.814.9698. His home phone number is... just joking.

Best regards,

H. Neil Matkin
Director
Illinois Century Network

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