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When will Zen go down?

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When will Zen go down?

In a business move worthy of an award a large majority of extremely heavy users of a popular ISP are politely asked to move to a different ISP...usually Zen. Are Zen really offering unprofitable contracts with open arms. I am in business and if a client came to me and overed me 25quid for something which costs over 100quid to make would I welcome it?... Would you..? Which begs the question, what is going to happen to Zen and what are its long term plans?

a) Apply network shaping silently and not tell anyone?
b) Go bankrupt?
c) Attract a huge number of light users to balance the heavy users?
d) something else?
12 REPLIES
LiamM
Grafter
Posts: 5,636
Registered: 12-08-2007

When will Zen go down?

How will they attract the light users though? They'd have to keep prices the same to make it work so that they can subsidise the heavier users - and nobody in their right mind would pay Zen that kind of money for light usage.

Do they want to go bankrupt? I don't think so.....

Traffic Shaping... seems like the only option to me... it's been speculated before that they've invested in ellacoyas. Nobody knows, and they deny it... but I see it as the only option they can take. That or a big hard cap.
LiamM
Grafter
Posts: 5,636
Registered: 12-08-2007

When will Zen go down?

Oh, and I'm moving this to Everything Internet.
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Re: When will Zen go down?

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a) Apply network shaping silently and not tell anyone?

It a shame you assume that everyone who introduces traffic shaping does it silently.
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When will Zen go down?

they could just be usin the profits they have been making (from all the migrators etc) to buy more and more bw instead of givin the shareholders large payoffs?
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Re: When will Zen go down?

One look at the plusnet forums would put me against doing it publicly :-)

They advertise in big print:

"Unlike ADSL accounts from some other ISPs, Zen places no limits on the amount of data you can transfer in a month. You are only restricted by the speed of your line and the limits of your imagination as to what to download."

I quote the small print from their terms and conditions:
"If Zen determines that excessive bandwidth or disk space utilisation is adversely affecting Zen's ability to provide service, Zen may take immediate action. Zen will attempt to notify the account owner by e-mail as soon as possible."

I am not picking on Zen or any other ISP I just don't understand how you can offer a loss making package for-ever?

As for not giving share holders a profit...if I was a shareholder I would be standing up at the AGM if that was the case!

As far as I know there is no ISP operating as a "non-profit making" company!
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Re: When will Zen go down?

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As for not giving share holders a profit...if I was a shareholder I would be standing up at the AGM if that was the case!

Are you sure Zen is a PLC?
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When will Zen go down?

It's a limited company so will still have shareholders who will want to make some money.
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When will Zen go down?

Err no, private limited companies generally don't have shareholders!
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When will Zen go down?

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It a shame you assume that everyone who introduces traffic shaping does it silently.


Unfortunately in many cases it is fact. Many of the ISP's in the UK implemented or are implementing traffic shaping without telling customers.

Remember back to Plus Nets discussions with LLU providers. At that time, they all applied shaping, whilst customers were and probably still are, blissfully unaware.

It remains an issue. Most or at least many ISP's traffic shape, silently.
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When will Zen go down?

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Err no, private limited companies generally don't have shareholders!


All limited companies will have shareholders (they are limited by shares), but the shares will not be traded and may not pay dividends.

Tim
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When will Zen go down?

Yup, I have to agree - all Limited Companies have shares. They have to have a minimum of two and when I set my Ltd Co up 11 years ago they had to be of a minimum value of £1 each. I own both shares but can call up more at anytime I wish, I just have to have a meeting with myself and then decide on how many I want and what I want to do with them. If I sell them to anyone else then they also have a part say in the aforementioned meetings.

Zen must be looking at other revenue streams but God knows what.
avalon
Grafter
Posts: 361
Registered: 05-04-2007

Re: When will Zen go down?

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Which begs the question, what is going to happen to Zen and what are its long term plans?

a) Apply network shaping silently and not tell anyone?
b) Go bankrupt?
c) Attract a huge number of light users to balance the heavy users?
d) something else?


Answer d) Do a metronet and sell out to a bigger fish.

Wouldn't it be funny if the members of the 1% club who left here for Zen and its unlimited downloads found themselves back in the Plusnet fold because the Zen service they joined was unsustainable and Zen sold up to Plusnet rather than go bust. :lol: