[arin-ppml] ARIN-2011-5: Shared Transition Space for IPv4 Address Extension - Last Call

Owen DeLong owen at delong.com
Fri Apr 22 20:34:39 EDT 2011

On Apr 21, 2011, at 8:42 PM, Martin Hannigan wrote:

> On Thu, Apr 21, 2011 at 11:25 PM, Jimmy Hess <mysidia at gmail.com> wrote:
>> On Thu, Apr 21, 2011 at 7:36 PM, Scott Leibrand <scottleibrand at gmail.com> wrote:
>>> On Apr 19, 2011, at 2:25 PM, "George, Wes E IV [NTK]"
>>> <Wesley.E.George at sprint.com> wrote:
> [ clip ]
>> That will begin to happen with the /10 reserved,  due to mathematical contraints
>> applying to ISPs that need IP addresses, especially when the free pool becomes
>> exhausted; using RFC1918 or /10 space becomes a more reliably,
>> inexpensively  available option  than trying to find sources of
>> sufficient global unique
>> IPv4 addresses available by 8.3 transfer.
> If 10 entities pooled their resources and acquired a legacy /10
> through the transfer "process" the addresses would cost them about a
> $1 each (@ $11.25 ea)  -- a one time fee. That's cheaper than what
> your average sized member pays right now. (~$1.62 ea.) If they
> amortized that resource over three years its even better.

> OTOH, the replacement value of that /10 to the average sized member is
> about $47M.
Uh, no, the current replacement value if the average sized member
could qualify for a /10 would be that same $1.62/address.

Your speculative market value based on a single transaction at $11.25@
works out to $47M, but, that means that the 10 theoretical organizations
you mention above would also have to spend $47M to get the addresses
from the market rather than ARIN.

I'm really not seeing a point to your financial statement here.


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