Review Step 2c: Characteristics & Trade-offs

Revenue Models

One of the most important considerations for a last-mile access network’s sustainability is its long-term revenue source. While capital expenditures for network infrastructure can be cost-prohibitive, the availability of low-cost network technologies can make it easier for small networks to raise funds for the deployment of a network. In the long term, coping with operational expenses – recurring costs such as bandwidth, electricity, personnel and maintenance – is a persistent challenge to a network’s survival (see Table 16). In the access network, we observe four main revenue models, with variations within each one with a particular focus on opex management.

Table 16: Revenue models in last mile retail services