<div dir="ltr"><br><div class="gmail_extra">In Argentina after the privatization of the state owned phone company (Entel 1990) there was initially only one company that was allowed to provide international services. </div>
<div class="gmail_extra"><br></div><div class="gmail_extra">We already had by a special agreement with Entel, a low speed vocal grade analog satellite link that helped us to get connected to SuraNet in 1990. It took us several years to convince the new company (Telintar) to provide a digital link and let the local Internet commercial market to flourish and open the services to everybody, given that our initial link was only (due our agreement with NSF) for academic purposes.</div>
<div class="gmail_extra"><br></div><div class="gmail_extra">We made a deal with them were we trained them, helped them get started and broker an agreement on the US side for their first digital connection, in exchange to let the academic and scientific community connect digitally (1994) and later open the market (1995) for other companies and the general public.<br>
<br></div><div class="gmail_extra">What was not effective with the training (and I'm the primary culprit) is that they kept the PTT mentality about how to charge for the services, and obviously they established a tariff based on volume.</div>
<div class="gmail_extra"><br></div><div class="gmail_extra">They were struggling trying to convert byte traffic stats into the classic X.25 kilosegments and for several years (I still have a copy of the first ad showing the prices) they charged a ridiculous amount of money based on link speed and volume, following another PTT old practice of establishing the prices in Gold Francs (XFO.)</div>
<div class="gmail_extra"><br></div><div class="gmail_extra">In 1995 one kilosegment of traffic was 16.67 XFO and based on the link speed you were billed for a fixed number of kilosegments based on link speed, for example 1250 for a 64Kbps link. Then on top of the cost of the digital line (actually ISDN with Newbridge gear,) for 64Kbps you had to pay a minimum of 20,837.50 XFO that today would be something like USD 251420/month.</div>
<div class="gmail_extra"><br></div><div class="gmail_extra">Hey but it was a good deal, they offered discounts if you had more than 5000 kilosegments per month.</div><div class="gmail_extra"><br></div><div class="gmail_extra">
Given that their license as a telecom operator was only for international services, the very first local ISPs (mostly dialup) had to connect to them to be on the "global" Internet, and due Telintar's volume based tariffs many of the early ISPs established their tariffs also based on volume.</div>
<div class="gmail_extra"><br></div><div class="gmail_extra">This schema didn't last long but was one of the roadblocks for the early steps of Internet services developments in Argentina.</div><div class="gmail_extra">
<br></div><div class="gmail_extra">Cheers</div><div class="gmail_extra">Jorge</div><div class="gmail_extra"><br></div><div class="gmail_extra"><br></div></div>