DigiHUB

Baabul Singh Supriya Jha

USB 2.0 @ 10 MBps Flash Drives @ 6 MBps Broadband @ 8 MBps

DigiHUB @ 100 MBps

What is a hub?

A common connection point for devices in a network. People can share data which they want to at mindboggling speeds.

What do you need to setup a hub?

A hub can be setup even on personal computer. Workstations and servers are used usually so as not to compromise with the speed. The main requirement is a connection to the localarea-network. A freeware known as PtokaX.

How to connect to a hub?

Using freeware Dc++, Apex DC++ or Strong DC++. Know the hub IP address and your IP address must be configured accordingly. Must share some data. Must be registered on the hub.

Features of DigiHUB

Speeds upto 100MBps 24*7 Uptime Highly secure Unlimited downloads Parental security Active administrators

Company Structure

ISP 30% Supriya Jha 35%

Baabul Singh 35%

Target Market

Initially, broadband internet users in and around Madhapur Beam Telecom, Hathway and Tikona users Age Above 8 Sex Both Income Rs. 2 lakh and above Occupation Any Educational Level Basic computer knowledge Lifestyle (psychographics, hobbies) Movies, cyber gaming, internet

Current Opportunity

LAN Hubs dont exist in Hyderabad on commercial scale None of ISPs have stepped into this business. In a population of 1,210,193,422 people, 99% are not even aware of the full potential of an Ethernet cable. The recent technological developments made Beam Telecom by using fiber cables can virtually hit limitless speeds.

Projection of Business Future

DigiHUBs network will grow throughout Hyderabad and Secunderabad. Instead of relying on other ISPs, DigiHUB will evolve into DigiNET which itself would be an ISP.

Financial Summary

Funds sought for venture Rs. 10, 55, 240 Estimated startup costs Rs. 9,31,120 Projected average monthly expenses Rs. 1,24,120 Projected average monthly revenue Rs. 2,63,437

Current Status

There has been no yesterday for a LAN Hub in Hyderabad as such due to the lack of awareness. We have the today in our hands. Once someone enters this business, itll invite a lot of other competitors. Hence, future demands constant research and development.

Competitive Analysis

We face absolutely no competition. This promises us great fortune but also makes it difficult to enter the market. Once we collaborate with an ISP to provide such service, it is most likely the competitors would engage in such activities themselves. Hence, we need to cater not just one but quite a few ISPs.

Demographics

10,000 Beam Telecom customers in and around Madhapur 80% opt for Beam Telecom for its massive download limits DigiHUB is not meant for internet browsers DigiHUB aims at downloaders

Entry Barriers

The only barrier is the slightly high entry cost, which will ultimately pay-off. This also limits the amount of competitors. Also, the network should be secure and virus-free. An Internet Security Tool should do the trick.

Sales Strategy

Our sales will be directly handled by the ISPs. The customer pays a minor surcharge along with the internet rent. It is not only us who provide this service, but even they have a share in it.

Promotion

Internet Pamphlets 3 day free-trial

Pricing Strategy

We intend to use penetration pricing strategy, according to which we will initially set the price artificially low to gain market share; once achieved, the price will be increased. The surcharge will be inversely proportional to internet rentals.

Web Strategy

The web site will be used essentially for marketing. It will provide a link to the ISPs website and payment options. It will also be used to educate the customers.

Differentiation

The main reason of our estimated success is the fact that we face absolutely no competition. Apart from that we ensure best service, exceptional quality, incredible speed and security. Since well be the only players in this market, weve complete advantage over pricing also.

Operation Plan

Location - Room No. 2 (Ground Floor), 1-98/42/B, Sai Nagar Colony, Madhapur 500 081 Uptime 24*7 Employees 11 Space 8 single rooms Capacity Upto 4000 users at a time Accounts Handled by Supriya Jha

Equipments

Eight Dells PowerEdge 11G T410 Tower Server Eight Dells PowerConnect 6248 Switches Eight Dells E190S Monitors

Permits & License

The company has permit to do business in the telecom circle of Hyderabad related to internet service provision according to ISP Policy, 1998. The company will be licensed under Category B

of ISP Policy.

Other important details

70:30 venture with Beam Telecom starting Nov, 2011 for a period of 2 years Eight single rooms for a period of six months each DigiHUB will be registered as a trademark and the hub design will be copyrighted Earnings will be distributed every month Salaries will be paid on monthly basis

Service Pricing
Plan D-Max400 D-Max600 D-Max850 D-Max1000 D-Max1500 D-Max2500 Corresponding Beam Telecom Plan B-Max400 @ 256 Kbps B-Max600@ 768 Kbps B-Max850@ 1 Mbps B-Max1000@ 2 Mbps B-Max1500@ 4 Mbps B-Max2500@ 6 Mbps Rent Rs. 250 Rs. 220 Rs. 190 Rs. 160 Rs. 130 Rs. 100

Funding Source(s)

Dr. R. N. Singh

Rs. 5,27,620 Rs. 5,27,620

Mr. P. C. Jha

No interest will be charged if the amount is returned within an year

Equipment PowerEdge 11G T410 Tower Server PowerConnect 6248 Switches E190S Monitor Logitech Keyboard Logitech Mice Computer Chair Computer Table Stationary Drinking Water Dispenser SanDisk 4 GB Pen Drive Logitech Headphone Lock & Key Office Workspace Furniture Set Net Total Workspace Single Room Net Total

Initial Investment (Equipments) Quantity Cost/Piece (Rs.) 8 30,000 8 67,500 8 7,500 8 250 8 150 8 3,000 8 1,200 N. A. N. A. 8 150 5 350 8 300 8 90 1 12,000 Initial Investment (Workspace) Quantity Rent (Rs.) 8 3,500

Total (Rs.) 240000 540000 60000 2000 1200 24000 9600 2,000 1200 1750 2400 720 12000 8,96,870 Total (Rs.) 28000 28000 Total (Rs.) 6000 250 6250 9,31,120 Total (Rs.) 28000 20000 56000 7000 720 2400 10000

Initial Investment (Licensing & Registration) License Quantity Fee (Rs.) Category "B", ISP Policy, 1998 1 6,000 Domain Name 1 250 Net Total Grand Total Monthly Expenses Quantity Cost/Unit (Rs.) Room Rent Section Head Salary Server Host Salary Customer Care Executive Salary Drinking Water Electricity Bill Extra Overheads 8 2 8 1 24 8 1 3,500 10,000 7,000 7,000 30 300 10,000

Number of users
600 500 400

300
200 100 0

D-Max400 D-Max600 D-Max850 D-Max1000 D-Max1500 D-Max2500

1,200,000

1,000,000

Cost Recovery

800,000

600,000

400,000

200,000

Investment (Rs.) Income (Rs.) Balance (Rs.)

Nov/11 Dec/11 Jan/12 Feb/12 Mar/12 Apr/12 May/12 Jun/12 Jul/12 Aug/12 Sep/12 Oct/12

-200,000

-400,000

-600,000

-800,000

-1,000,000

Conclusion

If all goes as planned, a minimum of Rs. 40 lakhs would be generated within a period of two years. The area served can be expanded within this period to generate extra revenue. DigiHUB can be made available on other networks also. Evolution into DigiNET must be considered as well. DigiHUB must thrive to be the best & shall always be the fastest and most secure hub on the network.

Bibliography

http://www.webopedia.com/TERM/H/hub.html http://accessories.ap.dell.com/sna/category.aspx?c=i n&category_id=4009&cs=inbsd1&l=en&s=bsd&~ck= mn&redirect=1 http://www.dell.com/in/business/p/poweredget410/pd http://www.dell.com/in/business/p/powerconnect6248/pd http://www.beamcablesystem.com/index.php?option =com_content&view=article&id=149&Itemid=91

Thank you