[Asterisk-Users] Prices of g729 codec

[Steve Underwood]

Andrew Kohlsmith wrote:

>On Monday 05 June 2006 11:03, trixter aka Bret McDanel wrote:
>  
>
>>>Again, 10k channels you'll have a half dozen MaxTNT boxes terminating
>>>DS3s. Your fixed costs will already be significantly higher and that
>>>little $10 license fee is included in that.
>>>      
>>>
>>Its not $10, which also goes along with something else I mentioned
>>elsewhere.  Digium charges $10 but the max cost for a g729 license is
>>about $1.25.  It goes down to about $0.10/license in quantity.  As such
>>it doesnt add a whole lot to the cost of the device once the initial
>>code is in place (as that development does have cost since the license
>>fee doesnt cover any implementation, only the right to sell that
>>implementation).
>>    
>>
>
>Stop the presses: quantity purchases get price breaks!  High enough quantities 
>let you deal with the "manufacturer" directly!
>
>This is news how?
>
>I can buy a PIC16F877 for $13.23 in onesie-twosie quantities.  If I'm willing 
>to buy them in 100 quantities I can get 'em for $7.32 apiece.  That's damn 
>near 50% less.  If I commit to buying an entire reel (1200) of them, my price 
>is $5.61.
>
>Now let's stop fucking around and go directly to Microchip.  I want a mask-ROM 
>PIC and commit to a minimum order of 1M pieces.  What do you think my price 
>is?  I'm waiting for the email from their quoting department (and likely will 
>get a "we don't offer a masked ROM version of the 16F877", but I also asked 
>for a masked ROM version of the PIC16C77, which I know they do make) but I'm 
>willing to bet it'll be around $2 apiece.
>  
>
If you'll pay $2 for a million off of the PIC16C77 you must be a very 
very rich main. Anything over $0.70 would be a serious ripoff.

Regards,
Steve