North American Network Operators Group

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Re: optics pricing (Re: Weird GigE Media Converter Behavior)

  • From: Deepak Jain
  • Date: Sat Aug 28 13:50:50 2004


Grow up; when you buy a Saab "brand" part or option for a Saab car, it
costs twice as much as the same aftermarket part, which still is twice
as much as what you could get if you bought a box of 10 directly from
the manufacturer, which is twice as much as it costs them to manufacture
overseas. Everyone does that.
All of us have been on the underside of Cisco and other vendors' capitalistic boot from time to time. Just because it chaffs every so often is not an indictment of capitalism.

> Economics 101. Cisco (and many other vendors, BTW) are not charities.
> Their purpose is to make investors and shareholders (which includes
> me)
> happy. And yes, this includes reselling OEM hardware at astronomical
> prices when they can, because it never lasts long.

One could argue that this public & private chaffing is what precipitates the competition that alleviates the condition. If another vendor doesn't realize there is demand...

DJ