Procera's Q1: 39% of Revenues from Cox and Shaw

 

In its recent SEC filling (here), Procera Networks reports that "For the three months ended March 31, 2013, revenue from Cox Communications, Inc. represented 22% of net revenue and revenue from Shaw Communications, Inc. represented 17% of net revenue, with no other single customer representing more than 10% of net revenue. For the three months ended March 31, 2012, revenue from Shaw Communications, Inc. and Cox Communications, Inc. represented 21% and 20% of net revenue, respectively. Revenue from a third customer represented 12% of net revenues for the three months ended March 31, 2012, with no other single customer representing more than 10% of net revenue".

This translates in to the following revenues:

	Q1, 2012	Q1, 2013
Total Revenues ($M)	12.3	14.1
Cox Communications ($M)	2.5	3.1
Shaw Communications ($M)	2.6	2.4

How much Shaw Communications Spent on DPI?

Procera Networks filled its 2012 annual report to the SEC (here).

According to the report, "For the year ended December 31, 2012, revenues from one customer, Shaw Communications, Inc., represented 16% of net revenues, with no other single customer accounting for more than 10% of net revenues. For the year ended December 31, 2011, revenues from two customers, Shaw Communications, Inc. and Jet Infosystems, represented 27% and 12% of net revenues, respectively, with no other single customer accounting for more than 10% of net revenues. For the year ended December 31, 2010, revenue from one customer, Cox Communications, Inc., represented 11% of net revenues, with no other single customer accounting for more than 10% of net revenues".

This translates into $21.5M revenues from Shaw in two years. At the end of 2012, Shaw had 1.9M Internet subscribers.

Jet Infosystem ($5.3M) seems to be related to the Vimpelcom deployment (see "Vimpelcom [Russia] Deployed Procera to Manage P2P Traffic" - here)

Canada's UBB: Telus will offer "a really customer friendly" Service

 
Canada's metered DSL service story continues (background - here, here) the operators and ISPs are pretty active, at least on the announcement  side, saying that customer even like it.

Andrew Weichel reported to CTV News that Shaw's CEO, Bradley Shaw (picture), said in a Shaw executive conference call that " ..customers have shown a recognition that the principle of ‘if you use more, you should pay more' holds true .. customers professed little willingness to switch providers if usage-based billing is imposed"

Telus spokesman Shawn Hall (picture) told the reporter that "... his company will also be implementing usage-based fees later this year for anyone exceeding their monthly cap. It's going to be really customer friendly You'd be forgiven for the first month you go over. You'd get lots of warning, lots of notice that you were going over with options of moving to other plans."

see "Shaw planning to revive metered internet billing: critics" - here.

In parallel to the above, it is not clear if Bell can correctly measure consumption for its retail and ISP customers. Karl Bode reports to DSLReports.com that "Bell in Canada, who recently acknowledged their DSL usage meter didn't work very well, and isn't particularly good at accurately tracking wireless data usage either".

See "Bell Still Struggling to Meter Usage Accurately" - here.

Canadian ISPs Charge DSL Subscribers for Over-Consumption

  

Usage based billing was recently a hot topic in the wireless space (for example - it makes AT&T happy - here), and for a blink of a second in the US cable market.

Now, after the Canadian regulator approval (see "CRTC [Canada] Approves Usage Based Billing to Bell Canada" - here) we can see it being implemented by retail ISPs on the DSL service as well.

Bell Internet explains (here - Bell's "Tracker" utility pictured) that "If you exceed your usage allowance, the excess usage will be charged at the rate specified in your Bell Internet plan. There is a maximum usage overage charge of $60/month for usage up to 300 GB. In addition, an extreme usage charge of $1.00/GB applies for usage exceeding 300 GB per month .. Although the extreme usage charge will be introduced to all customers, 99% of customers do not exceed the extreme threshold of 300 GB per month. In fact, less than 2% of customers exceed 100 GB per month and an average customer uses approximately 11.5 GB per month".

Primus Canada introduced the following policy (here - unlike what the video below says) - "Commencing February 2011, your existing High Speed Internet plan will now have 25GB (gigabytes) of monthly usage included. Additional usage up to 300GB will be charged at $2.00/GB to a maximum of $60.00/month. Usage in excess of 300GB per month will be charged an additional $1.10/GB".

Shaw - see video below