/8 Market Value
Jim Fleming
JimFleming at unety.net
Sat Mar 29 23:30:24 EST 1997
The market value of a single /8 is easily about...
$50 million
or
one Stealth Jet Fighter
If you assume that the 24 bit address space
has over 16.7 million raw addresses and a
lease rate of $2 per address per year with
a 50% occupancy level then the revenue
from one /8 can be about $16 million/year.
If a /8 requires $1 million in staff and support
per year, then the net profit can be about
$15 million per year. With a 5 times multiple
this places the value at about $75 million.
A more conservative value could be $50 million.
In the ARIN planning as a non-profit, the
IRS has to consider the assets of the company.
Where that company obtains those assets
and the terms of any agreements will likely
catch the IRS' eye when the numbers get
into the 10's of millions of dollars.
Again, why doesn't ARIN purchase one /8
to manage and first demonstrate how this
aspect of the Registry Industry can work.
Raising $50 million to purchase a /8 should
be easy for the well-connected founders of
ARIN.
--
Jim Fleming
Unir Corporation
http://www.Unir.Corp
Check out...http://Register.A.Mall
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