Municipal Net Access: Unfair Competition?
ruvreve writes: "Net Economy has an article about how Los Angles is attempting to provide the ability for end-users to have a choice between multiple ISPs for high-speed bandwidth access, among other things. The article talks about how a city has an unfair advantage to offer such services. Unfair because the government monitors and regulates the cable and phone company but at the same time wants to compete for their customers. If it gets 100Mbit access to my front door it HAS to be good!" This issue's been raised a few times before, but the article raises some points worth thinking about.
Have a look at the D-Link DFE855 here.
It translates a 100Base-FX fiber optic cable to a normal 100 mbps ethernet card.
The drop can be up to 2 kilometers, and it's not affected by static, radio waves and you don't have to ground it, it's glass/plastic, so 100% pure insulator.
This NANOG presentation talks about Sweden's plans for high-speed access, using 10 Mbps Ethernet (Hint: it's optical to within distance for KAT5-/KAT-6 from the home). It will cost US$75/month, and people will choose between at least 5 operators. Since CAT5/CAT6 cable is run to every house, it will be scalable to 100 Mbps and higher (it's designed to support a yearly doubling of traffic).
Read the article: It says that the city will offer SONET service to the ISPs/CLECs etc. It's just providing the pipe - It's up to the consumer to choose who to buy the upstream access from!
Power is going the same way, as can be evidenced by the collapse of the California power grid. How long will the state pay for the power companies to stay solvent until the state becomes the primary power-provider? Phone will go too, IMHO.
Power went haywire in Calif. not because of de-regulation in general, but California's "de-regulation" specifically.
I love proof by single (usually simplified and incorrect) example.
I work for a Public Utility Department in the State of Washington. We have built a fiber optic system through out the county which we provide open access to for whoever want to provide services be it internet, video, or phone. I myself benefit from this with what is basically a 100MB link to the internet and a public IP address for only $45 a month. Until this project was undertaken, Qwest refused to run phone lines to some of the more remote residents of the county. Now that phone services are provided via fiber, what a surprise Qwest was out there running phone lines. Television via cable is still limited to 30 some channels while customer with fiber can access over 150+ channels. This is an idea whose time has come.
I thought power went the way it went in California because the government told them what prices they should charge (partly influenced by Silicon Valley - a major power user) - so a lot of the power companies didn't have the money to invest in their infrastructure - so a few went bankrupt - and brown outs started occuring.
Video Game cheats, hints a
We live about 100 yards from the Mulholland Drive mentioned at the end of the article, right in the middle of Los Angeles. Interestingly, and frustratingly, even though this part of Bel Air and Beverly Hills is full of people who would desparately like to have broadband access, there is none. No DSL, no cable modems. ATT has pulled out its fixed-wireless system. Metricom of course went belly-up.
Adelphia would be our cable modem provider. They've been busily laying cable for the last year, and have all but completed their network. Now I read in this story, Adelpha claims that it being crippled by DWP, because they can't get power to their network.
I wonder if the Department of Water and Power sees Adelphia as competition, and is inhibiting them in the obvious way. Or, this might be another case where you shouldn't attribute to malice what can equally be explained as bumbling by a cable company.
It will be interesting. Adelphia claims that they'll light up the fibers here within the next month or so. I can't wait.
thad
I love Mondays. On a Monday, anything is possible.
When did people start believing that the purpose of the government is to ensure that someone makes a profit instead of to serve the public interest? "We need the DMCA because what improves the lives of millions of electronics consumers infringes on our right to make money." "We need absurd patent laws because the free exchange of ideas among the people impedes our ability to make money." "Giving everyone cheap broadband makes us less money!"
All these corporations need to remember that the reason we happen to have a free market economy is that we've determined that incentivized competition is the best way to serve the public good, not as an endin and of itself. It's the job of the government to serve the people, and the responsibility of private enterprise to figure out how to make money anyway. I mean, if a magical fairy flew down tomorrow and promised to turn the earth into a paradise, giving everyone as much material comfort as they wanted, all the corporations would be screaming about how it's unfair and going to cost them money.
And yes, I do realize that the "public" is comprised partly by exactly those corporations and people who have a stake in them, but tell that to me again when 1% of the population stops owning 50% of the stocks and bonds.
They also used the fiber to provide cheaper, better digital cable for everyone in the city as well. Future plans included adding 802.11b to the whole city so cable modem users could be online anywhere in the city for one low fee. For a town of 20,000 people in Southern Oregon that only has a Shakespeare Festival and a University, it's a pretty amazing network. The city also has their own power company, so you can get everything locally, it costs less (when their was a power shortage, the city was still fine), the city gets all the profits from it, parks and roads improve, and there is high bandwidth everywhere. Almost makes me wish I was still going to college there instead of living in Seattle where my DSL line the same speed costs almost $100 a month.