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RE: ONLY one ref multiplier?: PMA clock reference

Title: RE: ONLY one ref multiplier?: PMA clock reference
I would like to hear from the chip people on this one, but my conjecture is that the cost of OC-192 chips arises from several interrelated factors:
1.  10 Gbps is very fast, the chips represent the cutting edge of IC technology, and are hard to design correctly.
2.  There is only a handful of chip houses which can currently produce the chips.  There is consequently less competition in the marketplace.
3.  The vendors have just recently started producing the chips; they have not yet had the time to slide down the cost curve (e.g. as their processes mature)
4.  The market for OC-192 chips is relatively new, and there are only a handful of companies buying the chips in volume right now.  Economies of scale have not yet driven the costs down.
Note that none of these factors have to do with SONET itself.  I suspect that serial 10 GigE chips will also have the same issues, and the PHY chips will consequently cost roughly the same amount.  Moreover, I suspect that if 10GigE can piggyback on the OC-192 chips, it will help bring costs down for both markets.
-----Original Message-----
From: Larry Miller [mailto:ldmiller@xxxxxxxxxxxxxxxxxx]
Sent: Wednesday, June 28, 2000 11:49 AM
To: Stuart Brorson; 'stds-802-3-hssg@xxxxxxxx'
Subject: RE: ONLY one ref multiplier?: PMA clock reference

If you know of cheap SONET chips, wheel 'em in. I think that is the main problem: cost. I know that the SONET stuff I have priced seemed to belong on a B-2 or Shuttle, pricewise.

Larry Miller