Private sector 150,000 times more efficient than the government?
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21-10-2013, 09:28 PM
Private sector 150,000 times more efficient than the government?
Wikipedia.org is the 6th most popular web site, with 500 MILLION users each month.

Healthcare.gov (Obamacare) is the 3,395th most popular web site, with 500 THOUSAND users it's first month.

It took the libertarians at Wikipedia $2.7 million to launch the site for a year.

It took the government over $300 million to launch healthcare.gov link.

It translates to a cost of $0.004 per user for wikipedia, vs. $600.00 per user for healthcare.gov, 150,000 times more than wikipedia.
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21-10-2013, 09:36 PM
RE: Private sector 150,000 times more efficient than the government?
I'm calling bullshit.
No fucking way would one single website cost $300,000,000 to build..

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21-10-2013, 10:18 PM
RE: Private sector 150,000 times more efficient than the government?
Wikipedia costs money to serve but at its heart it is a very common and fairly simple type of web application. You are likely confusing server cost with development cost.

Further more you are comparing an apple to a T-bone steak. Wikipedia is a self contained and community driven web app with no non public facing content. The insurance Marketplace is a commerce app handling sensitive information and communicating with countless third party APIs.

Compare EU/CA style single payer healthcare to private insurance or Wikipedia to some other community driven content platform if you want to have this debate.

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21-10-2013, 10:21 PM
RE: Private sector 150,000 times more efficient than the government?
Yes. My apples are much better than your oranges.

QED.

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21-10-2013, 10:21 PM
RE: Private sector 150,000 times more efficient than the government?
Wikipedia didn't start out with 500 million users a month. And it also didn't have to be ready for the entire US to use it on its first day.

I'm not saying healthcare dot gov hasn't been absurdly expensive, but the two websites are in different circumstances.
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21-10-2013, 10:27 PM
RE: Private sector 150,000 times more efficient than the government?
(21-10-2013 09:36 PM)earmuffs Wrote:  I'm calling bullshit.
No fucking way would one single website cost $300,000,000 to build..

It isn't just a website so the CNN article is a little misleading. The project also includes all of the "back end" IT infrastructure to make the thing work. See here for a Reueters story on the subject.

A tripling of the original costing is a huge fuck-up in terms of project management but not unheard of for government projects. In Melbourne, Australia the Myki public transport ticketing system was estimated at US$494 million but ended up costing A$1.5 billion.
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21-10-2013, 10:52 PM
RE: Private sector 150,000 times more efficient than the government?
(21-10-2013 09:36 PM)earmuffs Wrote:  I'm calling bullshit.
No fucking way would one single website cost $300,000,000 to build..

Ohh, that's just the start to the full tab. I'm sure the "tech surge" the administration is calling for to fix the problems will also cost a fortune.
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22-10-2013, 08:59 AM
RE: Private sector 150,000 times more efficient than the government?
Of course the 150,000 times more efficient is tongue in cheek because it's not apples to apples. However, I work in software development, and we've created sites that service MUCH more than 500k users, and which integrate with lots of 3rd party API's, implement various data-sharing protocols and single-sign-on mechanisms, passing signed tokens, etc. And generally a site like that costs no more than $500k to build if you do it all on-shore with an American company, and a lot less if you go off-shore.

The fact is many, many startup business have sites that are just as complex as healthcare.gov, with lots of 3rd party API's, etc., like Twitter, Instagram, Spotify, Skype, Ebay, etc. And most of them are launched with seed funding of no more than $10m--for the whole company, not just the web site. Spending $300m for a web site is insane. No private company EVER spends anything close to that for a web site. Only the government could spend so extravagantly.

This is why I prefer private enterprise vs. government. With government, that $300m they spend is automatically deducted from our paychecks at gunpoint, and the people behind it are mostly unaccountable. If a private company, concerned with turning a profit and reporting to shareholders, had to launch a similar web-site, they would need to find a way to do it for much, much less money because the current model is simply unmanageable if the cost wasn't taken at gunpoint. I don't know how many people will ultimately sign up on the site, but as of today, they've spent $600 for each user. Best case, maybe 5m will ultimately sign up. But that still means spending $60/user. No private company would ever do this.

I wish they'd release the details on sub-contractors who got this $300m project, so we could see who got this money, and what friends and connections they had in Washington to get it. I'll bet the profits for those companies is through the roof. Again, this doesn't happen when it's one private company hiring another, as the every company will grind his sub contractors until they're making almost nothing. If a sub contractor said 'here's a bill for $50m', and it only cost them $1m to make the goods, a private company would never pay. But in government, this shit goes on because the sub-contractor uses his massive payload to wine and dine the politicians who made it all possible.
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22-10-2013, 09:33 AM
RE: Private sector 150,000 times more efficient than the government?
Well, assuming that there are no applications out there that could have been modified to fit the job, (which I find VERY hard to believe, and impossible to believe for some components) and that they paid people huge amounts of money to develop everything from scratch, it might have, could have cost so much.

If so, it was stupid. You procure ready made components and integrate them rather than starting from scratch. Components you buy tend to be tried and tested and don't malfunction. The site doesn't have anything revolutionary, it's all been done before, the only thing that's actually original is what components need to be combined.

My staff could have built that site and it would work and it would have been dirt cheap in comparison. And I have a tiny outfit in comparison. All you need to do is to source components, plug in the data and establish paths. The number of users isn't all that important, you just need lots of server space for that.

Interested in Girly's opinion here. But I can't imagine any ground breaking components here. I haven't looked at the site though, I just know what it does.

However this all may be, they just didn't allow sufficient time for testing. Even the smallest webmaster recoils when thinking of publishing something that hasn't been properly tested.

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22-10-2013, 09:46 AM
RE: Private sector 150,000 times more efficient than the government?
Yeah, this is more Hedgehog party (or camoflauged Tea Party) BS. That $300 million pays for the entire online infrastructure, both hardware and software, not just the salary of an office full of web lackeys to design an enterprise suite in Magento.

BTW, I recently applied on the Affordable Care Act portal for the exchanges and was able to start shopping for insurance immediately, with no delays.

Curiously, I then went to the Apple Store and ordered an iPhone 5S online and was told it would be delivered Nov 10.

Is the government now 19x more efficient than Apple Computer?

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