<html><head><meta http-equiv="Content-Type" content="text/html; charset=utf-8"></head><body style="word-wrap: break-word; -webkit-nbsp-mode: space; line-break: after-white-space;" class=""><br class=""><div><br class=""><blockquote type="cite" class=""><div class="">On Jul 25, 2021, at 07:32 , Leo S <<a href="mailto:leoso@afcast.com" class="">leoso@afcast.com</a>> wrote:</div><br class="Apple-interchange-newline"><div class=""><div dir="ltr" class=""><span id="gmail-docs-internal-guid-944d8fd1-7fff-437a-59f9-cdd5d026d86d" class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">About Cloud Innovation Ltd I want to talk about their business model.</span></div><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">They got 7 Million IPv4 addresses from AFRINIC at a price of $10,000 USD per year, and then leased them to ISPs or end users at a price of ~2 USD/year/IPv4 (large block in 2018 if Small block may be more expensive maybe $3 USD) and with an annual increase of 15% fee from the price</span></div><br class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">So the cost is $10,000 USD</span></div><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">Revenue is 7M x 2 = 14 Million</span></div><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">so it’s 150000% profit</span></div><br class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">Part of the cost is spent on RIR community activities and seeking support from members, and money will be used to defeat those who oppose it. </span></div><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">Are there any people in the world who don't love money? Those who accept their money will support them in the community. and questioned any action of discussion that would be detrimental to them.</span></div><br class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">Of course, this is Lu Heng.</span></div><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">He also plundered tens of thousands of IP addresses from RIPE and A few years later sold to vodafone and earned millions of dollars. He is smart and knows who should pay the money to.</span></div><br class=""><br class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">To rent an IP address from Cloud Innovation Ltd, you do not need to use their network services and circuits. Exactly they don't provide network service. and I think 90% of IP addresses are used in North America and Asia</span></div><br class=""><br class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">I don't know much about AFRINIC's policy. But in ARIN you must have a circuit or network service then you can rent an IP address from the provider.</span></div></span></div></div></blockquote><div><br class=""></div>You are wrong about ARIN policy here.</div><div><br class=""></div><div>In ARIN, you cannot use addresses leased outside of connectivity services to count as utilized in consideration of application for additional space by transfer or from ARIN, but there is no policy or violation of the RSA in using your existing space in this manner.</div><div><br class=""><blockquote type="cite" class=""><div class=""><div dir="ltr" class=""><span id="gmail-docs-internal-guid-944d8fd1-7fff-437a-59f9-cdd5d026d86d" class=""><br class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">The AFRINIC internal audit action may be detrimental to Cloud Innovation Ltd, so they started some network services in South Africa last year as Africa on cloud. but it's a small network. I think the revenue from these services may account for less than 10% of their revenue. so 90% of their revenue still from IPv4 address leasing business</span></div></span></div></div></blockquote><div><br class=""></div>This is not prohibited within the AFRINIC governing documents, so I’m not sure how this is relevant.</div><div><br class=""><blockquote type="cite" class=""><div class=""><div dir="ltr" class=""><span id="gmail-docs-internal-guid-944d8fd1-7fff-437a-59f9-cdd5d026d86d" class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">It can be seen from their income that they have enough money to support the lawsuit against AFRINIC. And spend money in the community to fight for their address not to be revoked.</span></div><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">very sad AFRINIC is too poor </span></div></span></div></div></blockquote><div><br class=""></div>Apparently, according to the board, AFRINIC has untapped financial resources that they are able to utilize, so perhaps they are not so poor as you imagine and have some collection of hidden assets. If I were a member, I’d be asking detailed questions about why these assets are not reported on their financials and how they expect to get away with being opaque when they are a not-for-profit that is supposed to be transparent about such things.</div><div><br class=""><blockquote type="cite" class=""><div class=""><div dir="ltr" class=""><span id="gmail-docs-internal-guid-944d8fd1-7fff-437a-59f9-cdd5d026d86d" class=""><div style="line-height: 1.38; margin-top: 0pt; margin-bottom: 0pt;" class=""><span style="font-size: 11pt; font-family: Arial; background-color: transparent; font-variant-numeric: normal; font-variant-east-asian: normal; vertical-align: baseline; white-space: pre-wrap;" class="">By the way, I was also their customer before</span></div></span></div></div></blockquote><div><br class=""></div><div>By inference, i would assume this means you didn’t disapprove of their business model at the time, at least.</div><div><br class=""></div><div>Owen</div><div><br class=""></div></div><br class=""></body></html>