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Dark Fiber: A Case In Point

Anonymous Coward writes "CNN has posted a story regarding the overabundance of fiber lines that were laid during the 90s gold rush along Oregons Interstate 5 corridor. While over 140,000 miles of fiber has been laid 95 percent of the fiber goes unused and roughly half of the companies who laid the fiber are now gone. The article goes on to further say that even with all that fiber, there is little availability to the consumer because either the local connections aren't there or, because of monopolization by phone companies, too expensive. Even for businesses."

189 of 389 comments (clear)

  1. If I didnt' have a day job by Nevermore-Spoon · · Score: 3, Funny

    I'd dig it up and sell it on ebay

    --
    I have great faith in fools; My friends call it self-confidence. Edgar Allan Poe 1809-1845
    1. Re:If I didnt' have a day job by nocomment · · Score: 4, Funny

      i'd sell it there but I wouldn't dig it up. I'd just ignore the person who bought it from me until they eventually stopped sending me emails.

      --
      /* oops I accidentally made a comment, sorry */
      /* http://allyourbasearebelongto.us */
    2. Re:If I didnt' have a day job by idommp · · Score: 2, Funny

      It'd be worth more if you left it in the ground and just traded it around. Let's see-- I'll give you four New York to Miami for one Washington DC to Portland Washington. . .. You could make more on broker's commissions, not get near as dirty, never have to leave the house, and totally avoid that little issue of not owning the stuff in the first place.

    3. Re:If I didnt' have a day job by jxs2151 · · Score: 2, Funny
      It'd be worth more if you left it in the ground and just traded it around.

      Isn't that what Enron used to do?

  2. Proof of monopolies... by xchino · · Score: 4, Interesting

    The reason 95% percent of lines arne't being used is because that would create more bandwidth, and lower the cost of said bandwidth and the phone companies wouldn't have the justification of hosing you monthly.

    --
    Everyone is entitled to their own opinion. It's just that yours is stupid.
    1. Re:Proof of monopolies... by dj28 · · Score: 5, Interesting

      Wrong. This is proof of not being able to afford to light up the fiber. There's a reason why all of it was put in the ground in the 90's. That's because people were pouring money into it without thinking. That gave the companies the money to lay it. Now, the economy is flat, and companies are barely making money on broadband as it is. This isn't some ploy to personally screw you over.

    2. Re:Proof of monopolies... by mrkurt · · Score: 3, Informative

      I think that the telco monopoly is half the story. Fiber is still expensive to access directly, and still expensive to lay out in a LAN, as the CNN article points out. Cheaper technologies, like wireless, might well leap ahead of fiber in the race to more bandwidth. I think most telcos think of the fiber network as their backbone, and they don't really market it as a service for business. This is a situation where the "last mile" is still the problem-- fiber is not laid for the whole network.

      --
      Always look on the briight side of life! (whistle, whistle)
    3. Re:Proof of monopolies... by Anonymous Coward · · Score: 4, Informative

      Well you can buy all the fiber you want. The ITC I work for made a LAN extension that went 7 miles. The dark fiber cost about $8,000 to dig. Then we had to buy $10,000 modules to go into our switches. This is for a LAN extension. If you want to be a DSL provider you better be able to shell out a hell of a lot more (we have paid over a million). That is why it costs so much for broadband, if we got all of our stuff for free we could lower the prices, but we don't so we can't.

    4. Re:Proof of monopolies... by scoove · · Score: 5, Insightful

      Cheaper technologies, like wireless, might well leap ahead of fiber in the race to more bandwidth.

      This is what we deal with smack in the middle of fly-over-country USA.

      While I've negotiated for over a year with several idle fiber network owners (who still expect rates greater than what the ILEC charges, yet requires me to sink hundreds of thousands of my own capital to build out their fiber to markets where it's usable), we've resorted in nearly every case to tower construction, licensed microwave DS3 deployment, etc. (Funny, we're cheaper *and* faster than fiber, yet have more than enough capacity to feed small towns).

      I've argued the concept of "sunk cost" until I've been blue in the face - no good. Many of these guys came out of ILECs and have a fantasy about "price = cost + 40%", rather than understanding "price = what market will bear."

      Blame it on too many laid-off Bellheads going to work for network companies.

      I think most telcos think of the fiber network as their backbone, and they don't really market it as a service for business.

      I think it's more of a "we won't sell anything less than our cost+high margin price." Funny though, nobody's taking.

      Perhaps the little wireless companies that are growing strong will have some nice post-bankruptcy networks to buy penny on the dollar.

      *scoove*

    5. Re:Proof of monopolies... by Anonymous Coward · · Score: 3, Informative

      I've been running more than 7 miles of fiber (single mode) with a pair of cheap fiber-to-ethernet-transcievers (costs something like $200 a pop) at each end without any problems at all.
      This was more than four years ago.

      Today the transcievers are even cheaper.

      The problem is that people _think_ they need expensive stuff. Most of the time, that's not the case. Time for some guerilla networking :)

    6. Re:Proof of monopolies... by PetiePooo · · Score: 3, Informative

      The largest reason for dark fiber is the emergence of Dense Wave Division Multiplexing aka DWDM. In simple terms, it allows one fiber to carry many times the normal bandwidth by combining different wavelengths of light at the source and splitting them out at the destination.

      This isn't that the bandwidth isn't necessary. It isn't corporate profiteering. Its simply VCs investing in infrastructure without realizing that technology advances would soon render it useless.

    7. Re:Proof of monopolies... by Anne_Nonymous · · Score: 2, Insightful

      Yes! If anything, the poor economics of lighting this dark fiber is an indication that its owners do not hold a monopoly. If they had a monopoly, they'd simply raise prices until these projects became economical for them so they could recoup their otherwise stranded investment.

    8. Re:Proof of monopolies... by Oculus+Habent · · Score: 3, Insightful

      Broadband isn't making money because the bandwidth to support high-speed connections is expensive.

      I think it's a little of both. If they light up the fiber, they can make more money on it for a short while, but as bandwidth is more available, the prices most likely would go down. Then they have higher maintenance costs on the same income they had several years before.

      As it stands, they can stretch it out for years to come - only lighting fiber as they start hurting for bandwidth - and they can factor out fiber-laying costs from future operations.

      Thanks to some over-zealous fiber-laying before the bubble burst, there was plenty of "worthless" fiber, which was scooped up - almost free money.

      --
      That what was all this school was for... to teach us how to solve our own problems. -- janeowit
    9. Re:Proof of monopolies... by michael_cain · · Score: 3, Interesting

      Actually, the glut that the article refers to is long-haul fiber, and is the result of unrestrained lunatic competition rather than monopolies. There were at least 20 companies furiously building such networks in the 90s (Qwest, Level 3, Global Crossing, etc) each with a business plan that said "We'll capture 20% of the market!" and defective forecasts of the future that said the volume of Internet traffic would double every 100 days. The traffic never materialized and many (most?) of those companies have gone broke.

      Keep in mind (Business 101 here) that buying the fiber, putting it in the ground, and lighting it, all costs money and sets a floor on the price that can be charged for the bandwidth. All of the companies who built these networks have similar costs, so none of them can price below that floor for long. Bankers who loan you $1B to build the network have a nasty habit of wanting to get their money back. At some point you have to show a profit.

    10. Re:Proof of monopolies... by Suidae · · Score: 5, Interesting

      companies are barely making money on broadband as it is.

      If they'd charge based on usage and eliminate all the restrictions on home/business usage (no servers, etc) they might be able to make some money.

    11. Re:Proof of monopolies... by mysticgoat · · Score: 5, Interesting

      The story isn't complete.

      Much of the fiber that was laid along the I-5 corridor was expected to stay dark for a long time. It doesn't cost that much more to lay excess capacity, once you've committed to buying the rights of way and doing the trenching. The story is weak for suggesting that the dotcom crash caused all the dark fiber-- it didn't. Depending on which segment you chose to look at, anywhere from 50% to 75% or more of the fiber would still be dark even if the dotcoms and the economy had continued to boom along.

      The story is also weak for implying that this extra capacity is wasted. That isn't so; it will be there when the need develops. My town has twice reviewed the costs and bennies of lighting up some of that fiber to attract new businesses. So far other problems in the economy have ruled against it, but sooner or later a number of towns in southern Oregon and northern California will do this.

      Another weakness in the story is its implication that the dark fiber has cost a lot of jobs in Oregon. There has been much moaning and gnashing of teeth around here because all those cable laying jobs have gone away, but that didn't happen because of dark cable. That happened because, gee, once the cable's in place I guess we don't need any of these ditch-diggers any more, huh?

      I think the story is right on the money that too many companies were chasing this business opportunity.

    12. Re:Proof of monopolies... by Hadlock · · Score: 5, Interesting

      i agree. my dad was the project manager for king county's municipal fiber optic system. he went into great detail about planning for the future. did you know that putting fiber through downtown seattle is an absolute bitch? you have to figure out where you can run fiber, and how to get it across major highways in downtown. this involves permits, buyouts of pipelines, co-leases and whatnot. you expect 400% increase in bandwidth annually for twenty years, and as a result, put ALOT of fiber in the ground. when the demand increases, you light up a new strand of fiber. it only costs about 10% more overall to pull 40 (or 200, or however many you need) strands of fiber instead of the 2 you actually need at the time, once you factor in the cost of engineering how the hell you're going to put it there in the first place.

      --
      moox. for a new generation.
    13. Re:Proof of monopolies... by timeOday · · Score: 2, Insightful
      This isn't some ploy to personally screw you over.

      "Personally"? No. Collectively? Of course.

      I always find it odd when people are sarcastic about companies' "conspiracies."

      Do you think companies *DON'T* have meetings where they discuss how to keep prices "healthy"? Do you think they don't hire lobbyists to sway lawmakers? Do you think they don't try to drive the competition out of business? Of course they do.

      They plan, and budget, and lobby to make things go their way. And meanwhile a certain type of consumer sits back and says, "whatever will be will be, and deservedly so."

      OF COURSE they are trying to screw us over. Greed is the muscle inside the invisible hand, if you will. The consumer's job is to get educated and work against it.

    14. Re:Proof of monopolies... by ek_adam · · Score: 3, Funny
      If they had a monopoly, they'd simply raise prices until these projects became economical for them so they could recoup their otherwise stranded investment.

      ...stranded investment? :)

    15. Re:Proof of monopolies... by tulare · · Score: 2

      I'm not sure I agree with you. Not sure I disagree, either. One point of note: Where I live, the city utility built out it's own set of fiber loops, which you can then either gain acces to directly (if you gots the dough), or buy secondhand through a local ISP, which hits your door via DOCSYS cable modem. Still and all, I get 5mbps download for under thirty dollars a month, and ain't complaining. One point of note, though: we still get our outbound via Qwest, who, as most everyone knows, are a bunch of faragin bastiches!

      Moral of this story? If your city is at all together, they can do really neat stuff with fiber, but it will cost a buttload of initial startup cost, and will still rely upon a monopolistic juggernaut with monopolistic partners.

      --
      political_news.c: warning: comparison is always true due to limited range of data type
    16. Re:Proof of monopolies... by LostCluster · · Score: 4, Informative

      Unrestricted bandwidth exists, it just costs more. Nobody's willing to pay that price, so they offer cut-rate bandwidth with restrictions to lower its value.

      Operating fiber lines is not cheap. The energy it takes to power the light beams has a noticible cost. The mistake that a lot of the boom-era telecom companies made was laying down more fiber lines than they'd ever need, and then running out of cash before they could afford the equipment to light them up.

      The major telcos didn't go around buying up the unused fiber to let it sit dormant. It's sitting dormant because nobody wanted to buy the fiber assets of the bankrupt boom-era companies.

      If you want to supply the rest of the equipment to light up the lines, I'm sure the bankruptcy courts and/or creditors of the defunct companies would be glad to hear your proposal to buy assets which right now are valued at near-zero because nobody's willing to take them. The problem is, the telecom market is so bad off there's no takers.

    17. Re:Proof of monopolies... by scoove · · Score: 2

      The reason being that it is far easier/cheaper to construct towers than it is to lay lines.

      Not to mention safer and less prone to disappearing from theft or civil war!

      *scoove*

    18. Re:Proof of monopolies... by Gooba42 · · Score: 3, Interesting

      Let the people who want the bandwidth buy it. Simple answer, drop the restrictions that keep me from buying some lines and setting up a broadband provider to compete with the local telco which isn't getting the job done.

      Anyone know how that case in Virginia is working out with the municipality which set up their own broadband and are getting sued by the telco to shut it down and wait patiently for them to get around to making a similar offering?

      --
      I just found out there's no such thing as the real world. It's just a lie you've got to rise above. - John Mayer
    19. Re:Proof of monopolies... by evilviper · · Score: 2
      It doesn't cost that much more to lay excess capacity, once you've committed to buying the rights of way and doing the trenching.

      But, dammit, that's not the American way. We have a little joke around here (which I wish wasn't so accurate) that when the local govenment has a job to do, they dig up all the roads so they can put in just enough capacity for the need, over-run that capacity for as long as possible, then dig up the road again (always in a different place) and repeat the process.
      --
      Slashdot gets worse every day... Pipedot: News for nerds, without the corporate slant
    20. Re:Proof of monopolies... by timeOday · · Score: 2
      I think everyone talking about companies screwing over, and the consumer getting smart is null and void. Companies need to make money, all companies have a mark-up.
      Yes, that's a given. The point is that while the companies are calculating and methodical in acheiving their ends, there's a certain mindset that consumers should NOT scheme, calculate, and lobby as well.

      It's like one team in a basketball game sitting on the bench and saying, "Oh, don't worry, those other guys are scoring baskets because they're a basketball team and that's what basketball teams do. Nothing to worry about." To which the correct response is, "What's your point? Get off your butt and fight back, or you will lose."

    21. Re:Proof of monopolies... by JimmytheGeek · · Score: 2

      We had an interesting experience with Qwest. They have a guy whose job it is to lease capacity in their underground conduits and vaults. We own a conduit up to the property line, Qwest owns it across the property line, where it goes under a street and to a light pole.

      The guy said Qwest no longer leases space in their conduit. This means that A) we were talking to Wally from Dilbert - his job is now to tell people his company doesn't do what he's in charge of doing and B) we are going to chop the condiut close to the property line and put in our own to the light pole. Qwest is now stuck with an orphan conduit rather than leasing space in it to the only conceivable customer - us. They get no money.

      The reason is they want to be our ISP, wheras we can go to one of the original research universities on the Arpanet for an essentially direct, backbone connection.

      There's a compelling proposition - sign up for an overpriced, underserviced connection that will add paperwork (another vendor relationship) with one of the worst vendors in the business, versus a direct connect. Hmmm. I'll get back to you.

      Verizon paid for a cell tower on our campus rather than even consider negotiating with Qwest, because they are such a rotten company to deal with.

    22. Re:Proof of monopolies... by jandrese · · Score: 2

      I want unlimited bandwidth. Unfortunatly I'm not willing to put my entire paycheck into it every month. I think if we figured out some way to offer huge amounts of cheap bidirectional bandwidth, we'd start to see some real revolutions that use lots of bandwidth. Besically, people are going to eventually fill any pipe you give them, sort of like hard drives. Unfortunatly bandwidth today isn't cheap for the consumer, so people have to stay conservative with their internet useage (you should see the flames people get on Slashdot for downloading free unix ISOs about clogging up the internet for everybody else.)

      --

      I read the internet for the articles.
    23. Re:Proof of monopolies... by new500 · · Score: 2

      . . . .

      Bankers who loan you $1B to build the network have a nasty habit of wanting to get their money back.

      Awww, c'mon, don't give them such a hard time . . . It wasn't really their money . . I'm sure they'll be nice and play with you again soon.

    24. Re:Proof of monopolies... by dbrutus · · Score: 2

      A major part of the problem is that shareholders are insufficiently in the information age to do their job right. They're not exercising their rights and firing these sorts of managers, ending up with loss instead of profit.

      That's the great, unexamined tragedy, the real owners *and* the customers are screwed by an out of control manegerial class that's playing with other people's money.

    25. Re:Proof of monopolies... by Suidae · · Score: 2

      Do what? The idea is that anyone providing a broadband connection sells an totally unlimited connection, no rate caps, no port blocking, no restrictions on users running servers. Then then keep track of how many bytes are transfered up and downstream, and charge based on that.

      Rates could be different for up and downstream and be either continious or tiered.

      Home users get ultra-fast connections and can run their personal web and mail servers on their own equipment, and pay only for the resources they actually use (ie, a low base rate plus the traffic charges). If Joe sixpack leaves gnutella up with access to his ripped, DVD collection, he pays for it.

  3. Hmmm??? by johnkoer · · Score: 3, Insightful

    This article is just a reminder of how wasteful people were back in the DOT COM boom days. I'm sure that stories like these can be run in many major US cities. It just makes you think.... How much stuff is out there that is just undocumented? How much wasted technology is out there that will never be found.

    1. Re:Hmmm??? by Anonymous Coward · · Score: 2, Insightful

      The "dot com boom days"?

      How arrogant we've become in 2 short years.

      Let me disabuse you of the notion that somehow those dot com "fools" were extrodinarily wasteful.

      Why do you think General Motors has recently put triple zero incentives on 13 SUV's. Why do you think Ford Credit (170 BILLION in the hole) continues to offer zero financing? Why do you think stores have clearance sales at the end of each season?

      Overproduction is nothing new and it is arrogant to think it so. The reason those companies are no longer around has one and only one cause. Large coporations and the pricing games they played.

      Talk to you local phone monopoly and ask why they never have clearance sales when they have excess capacity.......

    2. Re:Hmmm??? by Anonymous Coward · · Score: 2, Informative

      "Why do you think General Motors has recently put triple zero incentives on 13 SUV's. Why do you think Ford Credit (170 BILLION in the hole) continues to offer zero financing? Why do you think stores have clearance sales at the end of each season?"

      Because those are all tried-and-true old-school strategies that increase revenue from consumers while making them belive that they are saving money by spending money?

      I really love the car sale example. They show you a "dealer invoice" and negotiate on that, leading you to believe the dealer will actually be selling the merchandise to you for less than he has already paid the manufacturer. Mind you, this is all imaginary money (except yours!) They're not selling it for inventory cost, they're selling it for "dealer cost" which is just a function of sucker price.

      My formula for a new car offer is the insurance appraisal value for a price. Same for real estate. If a piece of property appraises at $80,000 but the list price is $280,000 there is something wrong -- and I DON'T CARE if someone else will buy it.

    3. Re:Hmmm??? by AndroidCat · · Score: 2
      How much stuff is out there that is just undocumented? How much wasted technology is out there that will never be found.

      You mean like pneumatic message tubes, or lost subway stations and lines? In Montreal there was a tunnel running from the O'Keefe brewery to the Blackhorse brewery. The Blackhorse brewery was long gone when I saw the tunnel, so I have no idea where it went. (I wasn't going in there!) The O'Keefe is sort of gone too, but I bet the tunnel is still there.

      Things get lost down there. Toronto only has a couple of "lost" subways stations. Pikers to New York and London!

      --
      One line blog. I hear that they're called Twitters now.
    4. Re:Hmmm??? by Cpt_Kirks · · Score: 3, Funny

      If you are "Grandpa", fiber has a different meaning.

  4. No way by Uhh_Duh · · Score: 4, Insightful

    I just don't believe "those evil phone companies" are causing the fiber to go unused.

    I'm sure the exectives sit around in smoke-filled conference rooms coming up with clever ways to keep technology out of the hands of people and make LESS money by NOT selling it. Give me a break.

    Phone companies will light up the fiber when it makes fiscal sense to do so. Nobody, ESPECIALLY not a phone company who would stand to profit significantly from cheap fiber, is purposely NOT using this stuff.

    --
    -- People who hate Windows use Linux. People who love UNIX use BSD.
    1. Re:No way by xchino · · Score: 2

      The in fact would not make money by selling cheap fiber. That would provide greater bandwidth to more of their competitiors at a cheaper cost, thus giving the independent operators a fighting chance. Simply unaccepatable. Now if they start running out of bandwidth any time soon, then they might use some more lines, so they have more bandwidth to sell out at the same price.

      --
      Everyone is entitled to their own opinion. It's just that yours is stupid.
    2. Re:No way by fhwang · · Score: 5, Insightful
      It's not because the phone companies are evil. It's because they're big, and fat, and it's way too easy for them to perpetuate the status quo.

      Have you ever worked at a big company? I've worked at a few, and my personal experience is that in really large companies (say, more than 1000 employees) this very particular organizational rot sets in ... When the people making the decisions are so removed from their customers, they just stop caring. And if there is no competition to make them care, they'll just get fat and sleepy, and their customers will fall behind.

      Residential DSL is the perfect example. Here in NYC, Verizon owns the phone lines, so all residential DSL has to go through them. In theory, they're supposed to allow equal access to all res-DSL companies, whether they're Verizon residential DSL or their own competition.

      But I know dozens of people here who have DSL -- and nobody I knew was able to get DSL from a company other than Verizon. More than one person told me they tried to go with a smaller company, but the installation experience was really difficult: The other company couldn't do anything 'til Verizon flipped that switch, and somehow non-Verizon customers seem to get lower priority than Verizon customers. Curious, that.

      A company doesn't have to be evil to screw you. Often, complacency is enough.

    3. Re:No way by Uhh_Duh · · Score: 5, Insightful

      Not half as stupid as your complete lack of information on this subject.

      The key point you seem to not understand is that "Lack of bandwidth" no longer drives this market. There's more than enough bandwidth to go around with the leftover from the dot-com boom. Did it ever occur to you that maybe the reason they're not lighting up the fiber is that it's simply not needed right now?

      Lighting up Fiber doesn't make bandwidth cheaper in this market since there's no demand. In reality, excess fiber would make bandwidth more expensive due to the increased overhead of having to maintain equipment and staff that aren't doing anything. Also remember, there's more to bringing bandwidth to the home or business than having fiber within a mile of the door.. The cost to trench it in and install the equipment, even if you're tapping from a short distance, is substantial -- well beyond the reach of any consumer or small business.

      Furthermore, your arguments regarding anti-competitive behavior are even more ridiculous. If there's one industry where being a monopoly is a massive disadvantage, it's telecom. The Bells get screwed DAILY by the tariffs in place by the FCC (I don't have sympathy for them, they dug themselves into that mess) but business is NOT easy for them. The small-guy is at every advantage in this industry. If the big boys own the lines and the little guys want to use them, the FCC says they have to let them -- even if it means the big-boys taking a financial loss on the deal.

      Sorry.. but you have much to learn about the telecom world before you open your mouth on the subject again.

      --
      -- People who hate Windows use Linux. People who love UNIX use BSD.
    4. Re:No way by dillon_rinker · · Score: 2

      A company doesn't have to be evil to screw you. Often, complacency is enough.

      Your example of Verizon runs counter to this statement, though.

      My definition of an evil entity is one who acts in its own interest at the cost of other people's interests. Selling is thus not inherently evil; both parties get something. Monopolistic practices, however, are evil - the monopoly prospers while everyone else loses money.

    5. Re:No way by scoove · · Score: 3, Interesting

      Phone companies will light up the fiber when it makes fiscal sense to do so.

      Except there is little compelling reason to do so...

      Folks forget that while running fiber is cheap (relatively so), switching and last mile is not.

      I sat through a small community presentation last month on how they want to overbuild the town (population 5,000) with fiber to every home, business, etc. "It'll only cost $2500 per location" was their estimate (double that and take twice as long and you might have a final number:-) ).

      Even at their number, who wants to take a $12.5 million risk when at $20/mo. for resi phone service (half of which at most can be allocated for repayment of infrastructure), takes 20+ months for a marginal return? And I'm foolishly assuming 100% marketshare - something I'm certain the incumbant won't let me have, let alone other competitors.

      The truth is that the same dollar invested elsewhere generates greater return. Nobody will pay $100/month for phone, even though their current $16-25/month (pre-tax) line sucks. They'll tolerate suck lines at $16-$25 while bitching about it all the time.

      Meanwhile, many of these long-line fiber networks still expect the great returns promised in their business plan (written during dot-com). They'll keep asking pre-telco collapse prices until their assets are locked up in bankruptcy.

      Look at how many people bitch about taxes, but keep voting Democrat... don't expect a change any time soon in wireline service.

      *scoove*

    6. Re:No way by Oliver+Wendell+Jones · · Score: 2

      The reason the fiber is going unused is that there is nothing on either end of the fiber.

      It's a like a big garden hose that's not attached to a faucet on one end or a sprinkler on the other.

      It's just laying there waiting for someone to spend the billions of $$$ it will take to attach something to it.

      --
      A computer once beat me at chess, but it was no match for me at kick boxing -- Emo Phillips
    7. Re:No way by aNiceGuy · · Score: 2, Interesting

      The IEEE has an article entitled "the economics of DSL regulation" which clearly outlines that the Baby Bells have an unfair monopoly position over bandwidth.

      Using this monopoly over the last mile, they jack up prices (so they do not poach their T1 business).

      The reason the demand is not there is because the prices are artifically high.

      Bandwidth is the only economically unscalable part of the internet. (see another IEEE article on this subject) -- and it's for a reason -- the price of bandwidth is ARTIFICALLY HIGH.

      This has been an economic crime.
      There is no free market for bandwidth.

    8. Re:No way by Suidae · · Score: 2

      They'll tolerate suck lines at $16-$25 while bitching about it all the time

      Or they'll just dump the land line and get a mobile phone with unlimited off-peak hours for $30/mo. It still sucks, but at least it can suck all the time, instead of just when you are at home.

    9. Re:No way by xchino · · Score: 3, Insightful

      I'll bite, troll...

      "The key point you seem to not understand is that "Lack of bandwidth" no longer drives this market. There's more than enough bandwidth to go around with the leftover from the dot-com boom"

      No, the key point you failed to grasp is that while there is plenty of bandwidth to go around, it isn't getting any cheaper or faster. The phone company claims it is because of cost of maintenance, yet they grossly overcharge for leasing operator maintained connections over their own lines. Perhaps it's different in your area of the woods, but in these parts and all parts I've lived in, the phone company had a firm grip around the necks of internet providers, who pay o ut the ass for the bandwidth they resell.

      "Lighting up Fiber doesn't make bandwidth cheaper in this market since there's no demand. In reality, excess fiber would make bandwidth more expensive due to the increased overhead of having to maintain equipment and staff that aren't doing anything."

      Lighting up fiber doesn't make bandwidth cheaper for who? If my company could purchase an unused fiber optic line I can gauran-damn-tee you we make our bandwidth cheaper. Provided no utility companies dig through our lines, fiber has proven to be incredibly reliable and as if not more maintanance free than any other type of medium.

      As for your entire last paragraph, utter bullshit. True, they have to let the little guy use their lines, but they are hardly taking a loss. They charge the little guy cost, and then transfer the burden of maintainence to the little guy. Then they turn around and sell the same lines themselves, and get it away with it because they offer "special deals" small-fries can't afford to make.

      I deal with the phone company day in and day out, and have been for several years. I know exactly what trenching and maintenance costs are, and they have made more than their money back on every line they've laid. They are no less monopolies than ma Bell was, only now they've been able to gerrymander and adapt into monopolies which are much harder to prosecute. Perhaps you need a dose of the real world, because this fantasy world where telcos play anywhere near fair doesn't exist.

      You really should keep quiet on those subjects which you so apparently know verry little about, and you certainly shouldn't attempt to justify your own ignorance by

      --
      Everyone is entitled to their own opinion. It's just that yours is stupid.
    10. Re:No way by kableh · · Score: 2

      Uh, who's lack of information?

      The small-guy is at every advantage in this industry. If the big boys own the lines and the little guys want to use them, the FCC says they have to let them -- even if it means the big-boys taking a financial loss on the deal.

      Tell me how many small time DSL outfits you know about? Sure, the FCC makes the big telecom companies sell lines to CLECs at a reasonable rate, but then the same telephone monopoly turns around and sells their own service, presumably at a loss, to stifle competition. The whole thing smacks of the MS vs Netscape battle. Now the competition has dried up and we consumers have the wonderful choice of our local telephone monopoly or cable monopoly.

      The applications to take advantage of all that bandwidth don't exist, because the bandwidth to support it isn't there. Phone companies make a pretty penny selling $1K T1s to businesses who need the bandwidth and have little incentive to offer a service that is cheaper per meg. In the meantime, the only choice I have for broadband is the same T1, or Time Warner cable, who refuses to open incoming port 80, caps my upload bandwidth, and won't return my emails asking about their business class service.

      For the most part I think the government should stay out of the way of business, but telecom is one industry that most certainly needs to be regulated.

    11. Re:No way by LostCluster · · Score: 2

      Your whole post is based on a false assumption. The phone companies don't own all the dark fiber. Much of it belongs to the estate of the defunct dot-com-era telcos, and the creditors of those would love to have somebody buy out those dark fiber assets. The problem is, it really does cost money to operate and maintain fiber. If you worked out the cost of setting up your own fiber network, and then operating maintaining it all yourself, it would simply not be worth it to your business. Yeah, the fibers themselves are there just waiting to be picked up cheap, but the equipment to light them up isn't there and isn't cheap.

    12. Re:No way by ivan256 · · Score: 2

      I'm sure the exectives sit around in smoke-filled conference rooms coming up with clever ways to keep technology out of the hands of people and make LESS money by NOT selling it. Give me a break.

      Nope, but journalists sit around and think of ways to make statistics sound scandalous so that people will read their articles and they'll continue to get a paycheck...

    13. Re:No way by scoove · · Score: 2

      And I'll bite too...

      True, they have to let the little guy use their lines, but they are hardly taking a loss.

      Exactly; I'd love a tariff model where I can set rates at 20% or more my costs - bundled or unbundled. (Please, no whining about $32.00/month unbundled copper pairs for DSL not being profitable!)

      And don't forget these Bell boys are the definition of "born on second base, thinking they hit a double." I'd sure like to whine about a fat network filled with paying subscribers that I had to maintain.

      Still, years of overhead, overpaid suits, union compensation and "lack of effort" rules, etc. have hampered them and leads them down the path of UAL and such.

      There'll be some nice assets to snap up in the next 20 years...

      *scoove*

    14. Re:No way by mOdQuArK! · · Score: 2
      My definition of an evil entity is one who acts in its own interest at the cost of other people's interests.

      Sounds like a pretty loose definition of evil - I would call that greedy & selfish rather than evil (no, I don't believe they are the same thing).

      My personal definition of an evil entity is someone who enjoys causing pain to others, in a non-consensual manner.

      I distinguish between that definion of evil, and someone who causes pain to others, but because they wanted them to (small pain for long-term gain), or someone who causes pain to others but not primarily for enjoyment.

      This last type of person, I might not call "evil", but I would certainly call them "dangerous", and would probably try and defend myself from them in a manner similar to the way I would defend myself from an "evil" person, except perhaps w/o the personal hatred.

    15. Re:No way by cartman · · Score: 2, Insightful

      You really should keep quiet on those subjects which you so apparently know verry little about, and you certainly shouldn't attempt to justify your own ignorance by

      I deal with telcos on a day-to-day basis as well; several of my dear friends are executives or vice-presidents at various telcos. How the hell does anyone mod up your posts?

      "If my company could purchase an unused fiber optic line I can gauran-damn-tee you we make our bandwidth cheaper."

      The slight difficulty is: the fiber doesn't go to your company. If your company purchased an unused fiber-optic line, it would run through rural Oregon and would not make your bandwidth cheaper. They are talking about long-distance fiber, not last-mile fiber.

      "I deal with the phone company day in and day out, and have been for several years. I know exactly what trenching and maintenance costs are, and they have made more than their money back on every line they've laid."

      What color is the sky in your world? The telcos have been hemmoraging money because they've lost vast sums on most lines they've laid. Do you even follow the general economy? Ever heard of the telco meltdown? Did you even read the article? The article states that they have lost close to $1 trillion; how would that be possible if they make money on every line they've laid?

      "They are no less monopolies than ma Bell was, only now they've been able to gerrymander and adapt into monopolies which are much harder to prosecute. Perhaps you need a dose of the real world, because this fantasy world where telcos play anywhere near fair doesn't exist."

      You are totally and completely uninformed about this issue. The long-distance telcos are not monopolies; there were dozens of companies competing in this area. I personally know somebody that started one.

      Monopoly means ONE COMPANY offering service, that has substantial control over prices. In the last several years, I have switched long-distance phone companies more than 4 times. And if telcos had control over prices (as monopoly implies), then why would they be losing money? Virtually every ISP has multiple redundant bandwidth providers; how would that be possible in a monopoly?

      Your posts are positively the most uninformed on this matter, and it amazes me that some people have modded them up.

    16. Re:No way by kesuki · · Score: 2

      They are though. if DSL were 'too easy' to get they'd risk loosing out on the lucrative 'teen line' market which has already eroded due to the increased availability of cell phones. Since the teenagers are the ones using the internet the most, they're the ones tying up the main line if dial-up is being used, and causing the parents to consider buying a second phone line, for the computer to use.
      And remember the dial-up ISPs are buying phone lines to hook up to thier equipment at wholesale rates too, which includes a profit margin for the telco.
      Meanwhile the telco has to buy expensive hardware to convert lines to DSL capability, and consumers are mainly unwilling to pay a huge fee for the DSL, since they want it to be as cheap or cheaper as having a second line + dialup to go with DSL service, or else they will 'make due' with dial-up service.
      So do the math the telco is making $44 a month for a dial-up user who chooses to buy a dedicated line, but $32 a month for a DSL subscriber, and has a higher expense for a DSL customer than a 2-line analog subscriber. (these numbers are a case in point with Qwest DSL service.)
      True, if they can convince a single-line home to go to DSL they're making an extra $10 a month in income, but they're still looking at 1-2 years before they break even on that DSL customer over the cost of equipment. So they TELL all customer "We'd need to send a tech out to check the line" (which costs the customer $50-75) Because they can make an extra $15-$30 profit and have a shorter time to a break-even point, while effectively discouraging people from getting DSL in the first place. I certainly wasn't willing to spend $75 to Find out if I could get DSL, not even to have it all hooked up, that was $150+ equipment costs.
      Even if they know a user is within range for DSL they won't tell you over the phone (even if your neighbors already have DSL) that you can get DSL, without having the line checked.
      So yes, at least One Evil telco IS preventing people from getting DSL. Fortunately, to get cable modem service all you do is buy a modem from an authorized reseller (or lease one from the cable company) and follow the setup guide the authorized resellers have to give you when they sell you the cable modem.
      They don't test your line, the cable modem does that, if the line is sub-par the cable company gets feedback from the modem itself, and can send out a tech to resolve the issue.
      The reason why cable modem is so much easier to get than DSL is because cable companies don't loose any money if people move from dial-up to cable modem. And they also have a lot of infrastructure they built up in the 90s that they're itching to use for 2-way cable services, like cable modem. So the telcos prefer the status quo, while the cable companies are itching to use infrstructure they started rolling out a decade ago.

    17. Re:No way by dillon_rinker · · Score: 2

      I have a different perspective...I don't care WHAT the motivation is, I care what the results are. Evil and dangerous (to use your term) are about the same, result-wise, and the behavior that engenders both is what I describe. As you note, the observable response to both is the same.

    18. Re:No way by Chester+K · · Score: 2

      But I know dozens of people here who have DSL -- and nobody I knew was able to get DSL from a company other than Verizon.

      Anecdotal evidence, to be sure, and it just so happens I have had the opposite experience. I wanted to get DSL service at my new apartment in Los Angeles, but Verizon told me it couldn't be done, that my line wouldn't support it.

      Dejected, I sulked for a few days before someone from Speakeasy got back to me from when I'd talked to them before getting the "final" word on it from Verizon. I had Speakyeasy DSL within two weeks where Verizon said it was impossible.

      I imagine in my case, just as in the cases you pointed out, it has to do with someone at the respective company not following through on the request.

      --

      NO CARRIER
  5. Suggestions for recovery? by peculiarmethod · · Score: 5, Funny

    We should either:

    1. Take donations from the open-fiber community to purchase these lines and turn them into open source peeer-to-peer Bluegrass mp3 and ogg file trading networks

    2. Turn Oregon into a large Beowolf cluster and assign it the task of figuring out how to decentralized the Internet the Al Gore Invented

    3. Dig all the lines up and make the worlds largest light-brite

    4. Ask Microsoft to buy into a Ma Bell and bury enough copper lines to nullify the use of the fibers

    pm

    --
    ** "It's not my job to stand between the people talking to me, and the ones listening to me." -- Pego the Jerk
    1. Re:Suggestions for recovery? by MAXOMENOS · · Score: 2
      Turn Oregon into a large Beowolf cluster and assign it the task of figuring out how to decentralized the Internet the Al Gore Invented

      If nothing else, it would give all the unemployed geeks here something to do...

  6. mmm by Joe+the+Lesser · · Score: 3, Funny

    Untapped fiber resources? What a find! Colon blow for everyone!

    --
    "I only speak the truth"
    Karma: null(Mostly affected by an unassigned variable)
    1. Re:mmm by vizualizr · · Score: 2, Funny

      Think you're getting enough fiber with your current telco? It'll take 750 miles of your current dark fiber to equalone mile of new Oregon Colon Blow Fiber!

      (cut to shot of guy sitting on top of 750 miles of fiber)

      nice.

      --
      anything i tell you will cloud your opinion.
  7. REAL Dereg -- or re-reg by siskbc · · Score: 2, Insightful
    It's time we either tell those colluding bastards to either foster some real competition or the communications industry gets re-regulated. Trust me, I'm no regulation fan, but I'm sick of seeing all the old companies stay off of each other's turf in everything except cell phones.

    When you get down to it, the American people paid for those lines in terms of all of the stock lost in the now belly-up telecom stocks, so we should get something back. Huge bandwidth seems fair.

    Only problem now is getting some company (or even the government) to make some use of this infrastructure before it's obsolete.

    Maybe if the government points out that it's anticompetitive to hoard fiber with no intent to use it that they'll sell it to us at more reasonable prices.

    Then again, I can keep dreaming. Thanks Michael Powell.

    --

    -Looking for a job as a materials chemist or multivariat

    1. Re:REAL Dereg -- or re-reg by siskbc · · Score: 2
      OK, you obviously didn't read the article... Most of the fiber is owned by companies that simply don't exist any more.

      No, you're the dipshit that didn't read. 95% was LAID by companies that went under. But you may have heard of something called bankruptcy proceedings, and I assure you, SOMEONE owns the damned fiber. I would be surprised if the new owners weren't in telecom, as it would make no sense otherwise.

      You wanna make a mint? Go borrow a few hundred million dollars to buy fiber and start your own company. Until then, shut the hell up about "anticompetitive" practices.

      Until I see that law degree of yours where you specialized in anti-trust, I'll just assume you don't have any idea what you're talking about. Study the dereg of the telcos in this country - it DIDN'T WORK. And the FCC does stipulate that the telcos have a public responsibility - hence are held to a higher standard than typical companies. Hell, what you say doesn't even make sense - anticompetitive practices are THE REASON someone can't use available fiber and start a low-cost high-bandwidth carrier - the telcos would undercut you until you go under, then raise their prices again. Happens all the time in a lot of industries.

      I'm so incredibly sick and tired about people whining about "this company ought to do that becaise I think it's a good idea" or "this company is evil because of this".

      Then bitch to the people who said that - I didn't. But if there's a whole hell of a lot of unused fiber, and let's assume that some of it is usable, then it's damned wasteful to NOT use it. And if there is something useful NOT being used, then there aren't too many legitimate reasons for that.

      --

      -Looking for a job as a materials chemist or multivariat

  8. Who owns the fiber by phorm · · Score: 3, Interesting

    roughly half of the companies who laid the fiber are now gone

    So how does the ownership of these lines pass on? Can just anybody take the existing lines, plug in, and make use of them - or do they have to be bought?
    If there were one large company that could buy out and connect most these unused lines, they could probably make something out of them. Since they're just sitting unused, I'd imagine it wouldn't cost too much to buy ownership

    1. Re:Who owns the fiber by Kierthos · · Score: 3, Informative

      Well, in all honestly, the assets of the now non-existant companies were probably sold off, and that fiber would be part of the assets. Now, whether the company that bought the fiber can do anything with it is a whole other story.

      Kierthos

      --
      Mr. Hu is not a ninja.
    2. Re:Who owns the fiber by Casca · · Score: 5, Insightful

      The fact that your post was modded +5 Interesting says something about the readers here at slashdot these days.

      So how does the ownership of these lines pass on? Can just anybody take the existing lines, plug in, and make use of them - or do they have to be bought?

      You're kidding right? Someone always owns everything, nothing of value is unowned. What, you think when someone goes out of business they just lock the doors and walk away, leaving a building full of inventory, office furniture, and whatever intact? Typically they go bankrupt, filing chapter 7 (liquidation). This means all of their assets are sold off and the creditors get the proceeds. This means someone is buying their assets, and dark fiber would be considered an asset by most. So no, you can't just use some defunct company's dark fiber.

      If there were one large company that could buy out and connect most these unused lines, they could probably make something out of them. Since they're just sitting unused, I'd imagine it wouldn't cost too much to buy ownership

      It was exactly this sort of thinking that put so many companies out of business to begin with.

      --
      Casca
    3. Re:Who owns the fiber by phorm · · Score: 2

      I figured that you couldn't just come and pick it up. But then, there was the article about the sewerbots which indicated that companies were using old/forgotten pipes (without seeming to have to pay royalties) from defunct plantations. Assuming somebody bought out these companies, then they would own the fibre. Otherwise, with bankruptcy, it would be the creditors... but they would probably just liquidize the assets and sell to the highest bidder anyways.

      Since they're just sitting unused, I'd imagine it wouldn't cost too much to buy ownership
      The cost of laying these optics has already been paid. The companies are dead, out of money, flushed... which in most cases indicates the assets would be available for a lower-cost rate.

    4. Re:Who owns the fiber by kesuki · · Score: 2

      Where is the -1 wrong when you need it...
      "Someone always owns everything, nothing of value is unowned."
      Not even remotely close to true. you don't have to go to mars or even the moon to find vast stretches of land that is unowned, just sail 14 miles off the coast, and viola you're there... vast quantities (2/3rds the surface of the earth) unowned, unless somone has managed to strike an oil deposit, and put up an off-shore oil rig. it's more than likely declared as international waters, meaning that it doesn't belong to anyone at all, despite the intrinsic value that is has.
      And even on land, there are vast stretches of land that are for all practical purposes unowned. since squatter laws allow a citizen who improves the value of the land to claim ownership.
      Also, keep in mind that america has more houses available than we have people to live in them, because banks tend to sit on properties they aquire if they can't make a profit selling them. So while this isn't the case with dark fiber yet, it's entirely possible that banks will end up holding on to dark fiber until the telcos find they have need for it, and at which point they might be unwilling to sell it at a price the telcos are willing to pay, at which point it will be wasted, just like up to 20% of houses are in some US cities.

    5. Re:Who owns the fiber by Casca · · Score: 2

      Ok, you got me, nobody owns international waters, or non-terrestrial land.

      And even on land, there are vast stretches of land that are for all practical purposes unowned. since squatter laws allow a citizen who improves the value of the land to claim ownership.

      I'm not sure about this one. If a tract of land isn't owned by an individual, then I imagine the state has a claim to it. Just because you can take something over from someone by their lack of use, doesn't mean it isn't owned. If I let you move into my house, and never say anything for twenty years, and let you pay the taxes and whatnot, then you would have taken ownership over from me, but that isn't the same thing as it not being owned in the first place.

      Also, keep in mind that america has more houses available than we have people to live in them, because banks tend to sit on properties they aquire if they can't make a profit selling them.

      No, there are more houses available than individuals can afford. I'm not sure how your claim refutes my statement anyway. The banks own the property, until they can make a profit and sell it to someone else. Then someone else owns it. I'm pretty sure you're not going to get a bank to let you take something over without them getting something out of it.

      So while this isn't the case with dark fiber yet, it's entirely possible that banks will end up holding on to dark fiber until the telcos find they have need for it, and at which point they might be unwilling to sell it at a price the telcos are willing to pay, at which point it will be wasted, just like up to 20% of houses are in some US cities.

      Its not that its wasted, there is no financial sense in lighting it up. Dark fiber is like oil that costs too much to pump. Someday it might be cost effective to pump/light it, but for now there is no incentive. Just because you can't use it, doesn't mean it is wasted.

      --
      Casca
  9. I have an idea... by wilburdg · · Score: 2, Funny

    Maybe we can remove all that useless fiber, and use the conduits as oil pipelines, to move oil around the country...

    (many of the pipes were originally burried with the intention of creating an oil backbone for the country, an idea, which never took off.)

  10. Old News by geekee · · Score: 5, Insightful

    This is old news. Companies laid a lot of fiber at once knowing it wouldn't be used immediately. Given the cost to lay the fiber relative to the cost of the fiber itself, this is not unreasonable. The fiber is not lit currently because the tranceivers are very expensive.

    --
    Vote for Pedro
    1. Re:Old News by JeremyR · · Score: 4, Interesting

      The post to which I am replying is one of the few posts here that demonstrates an actual understanding of the economics involved in laying and lighting fiber.

      To expand a little bit: Most of the existing fiber was laid in the "build it and they will come" dot-com era. There's a huge amount of it primarily for two reasons: (1) there were a lot of companies doing it independently--all hoping to get a big chunk of the bandwidth pie, and (2) when laying fiber, it makes economic sense to lay a lot of it, because (as pointed out) much of the cost in laying fiber is in the process of laying the fiber (lots of digging, etc.) and not in the actual fiber itself.

      We now know that "build it and they will come," one of the assumptions of this business model, didn't quite happen--or at least didn't happen as quickly as what these companies' business models predicted: The voracious demand for long-haul capacity just isn't there today. Also, as a direct result of this capacity glut, the price (and profitability) of long haul bandwidth has decreased much faster than what these business models depended on. There's simply way too much supply. As for the companies that haven't yet fallen by the wayside, they're lighting only a fraction of the fiber that they own, simply because that fraction is capable of carrying the bandwidth that the company is currently able to sell.

      Another thing to keep in mind is that almost none of this fiber is "last mile" (if any of it is at all). It's all comprised of "long haul" routes, e.g. connecting NYC and DC. So if you wanted to lease a dark fiber route from one metro area to another, you probably could, but it's not like the bandwidth companies are prepared to light up an OC3 to your suburban residence.

      Finally, another key issue seems to be ignored here: IT COSTS MONEY TO LIGHT FIBER. Lots of money. The optical equipment itself is very expensive, and of course there are the operational costs of managing a transport network. Just as airlines don't want to spend money to fly empty planes from city to city (they still have to pay the crew, maintenance costs, fuel costs, etc. regardless of whether a flight carries 1 passenger or 100), bit pipe companies don't want to spend money to manage additional fiber when they aren't even saturating the fiber that they currently have lit.

      Of course, it's also possible that the telcos have already run fiber to everyone's doorstep, but they're holding out on us because they want to "hold the man down" or for some other nefarious reason...

      Cheers,
      Jeremy

    2. Re:Old News by decefett · · Score: 3, Interesting

      Another thing to add is the advance in fibre terminating gear, bandwidth increases even faster than Moores Law predicts for transistors.

      Every new fibre that's lit up has the capacity of serveral fibres using the previous generation equipment.

      IIRC, long haul DWDM does 400Gb per fibre.

      --
      Australian? Join EFA
  11. Open the opportunity by karmawarrior · · Score: 4, Insightful
    It seems ironic that at the very time there is clearly an abundance of bandwidth, the very companies that could be supplying this are instead locking down their resources - putting caps on cable modem and DSL usage, charging by the byte, putting up rates to lock businesses out of higher quality high-QoS high bandwidth services, closing the door on Internet telephony, and generally doing what they can to ration bandwidth as if there is a serious shortfall.

    Much of the problem has to do with the short term needs of bandwidth providers. Many are bankrupt, those that are not still require substantial investment in better "end-point" equipment - routers, switches, hubs, etc. A chaotic telecommunications industry that is at odds with Internet systems (ATM and X.25 vs TCP/IP) is also creating uncooperate rivalries that makes it harder and harder to make efficient use of what's available.

    The end result is that we are allowed to use 5% of what could be available without substantial further investment. Caps and per-byte billing is popular in a way it really ought not to be. These entirely unnecessary caps and metering charges immediately destroy many potential benefits the Internet can bring, from being a remarkable force for the distribution of new works of art (music, films, etc), to a point-to-point person-to-person network that far exceeds anything the telephone could have brought us.

    Defeating this quagmire of untapped bandwidth and short term commercial interests destroying the long term viability of super high bandwidth digital communications it will not happen by itself. Resources need to be devoted, and unless people are prepared to actually act, not just talk about it on Slashdot, nothing will ever get done. Apathy is not an option.

    You can help by getting off your rear and writing to your congressman or senator. Tell them that you're concerned about the clampdown on bandwidth use that's happening at a time when there is clearly a bandwidth glut. Tell them you appreciate the efforts of telecommunication companies to open up bandwidth in this area, but that in the absense of unlocked resources and free (as in speech) use of what's available, you will have to find less secure and intelligently designed alternatives to the Internet. Let them know that SMP may make or break whether you can efficiently deploy OpenBSD on your workstations and servers. Explain the concerns you have about freedom, openness, and choice, and how arbitrary caps and per-byte charges destroys all three. Let them know that this is an issue that effects YOU directly, that YOU vote, and that your vote will be influenced, indeed dependent, on his or her policy on opening up bandwidth.

    You CAN make a difference. Don't treat voting as a right, treat it as a duty. Keep informed, keep your political representatives informed on how you feel. And, most importantly of all, vote.

    --
    KMSMA (WWBD?)
    1. Re:Open the opportunity by Ryan+Amos · · Score: 2

      Well, see, the thing is, there's basically a ton of fiber running down the middle of the country and nothing on the ends to fill it up. It's like trying to fill a sewer with a garden hose, there's just not enough on the ends to possibly use that much capacity in between.

      "Last mile" solutions are where this stuff gets REALLY expensive. You have to find a way to get an exclusive connection to a large amount of people -- and do it cheaply. So far, cable and DSL is all we have, and while, yes, cable caps are artificial, it's only so they can offer a premium service for more money. They're not trying to screw you; 99% of their customers have no need for more bandwidth than the cap anyway; and those who do really need more can pay more and get it. It's just business. Regardless, it's better than it was 5 years ago, when that kind of bandwidth meant buying a few T1s at a cost of several thousand dollars a month.

      Now I'm going to go off on a little political rant here, so if you don't want to hear it, politely scroll down and get on with your day. Yes, voter apathy is a problem. Unfortunately, this country's election system is so fundamentally flawed that it doesn't matter. Basically, if you're a politician with any reasonable chance of getting elected, your election platform falls in one of two categories. Third party candidates have absolutely no chance of getting elected because, well, the republicans and democrats draw up the congressional districts and they're obviously going to draw them such that any third party support that springs up is diluted by their votes. This is illegal along racial boundries, but definately not along party lines.

      Not that any of that matters. In reality, politicians are no longer elected by the people. They are elected by the corporations who stand the most to gain from lax corporate control. They buy off politicians so they will support certain laws or ignore certain small injustices in order to be able to keep their jobs next election that comes up. The sad thing is there's not much we can do about this. Sure, we can write our congressmen or whatever, but whoever writes a bill that would actually fix something like this is committing political suicide. Not to mention it would be watered down to the point where it does nothing (McCain finance reform bill anyone?) by the time it is even put up for a vote. When the people who make the rules aren't fair, there's little hope for the system.

      Yes, you CAN make a difference. Start a corporation, make lots and lots of money, buy some politicians, and correct past injustices. Other than that, voting is largely a formality.

    2. Re:Open the opportunity by karmawarrior · · Score: 2
      ATM, maybe. X.25, nope. X.25 is the set of protocols that the telecommunications industry wanted everyone to use during the 1980s. It includes both packet and stream (PAD, IIRC) based higher level protocols, just like TCP/IP has TCP and UDP. You may have been mislead because IP was, at one point, often encapsulated in X.25 packets - but IP is also often encapsulated in UDP packets. The reason it was done that way was that for a long time X.25 networks were just about the only thing major telecom providers provided.

      FWIW, TCP/IP isn't a straight map onto the OSI model. That's why there's a seperate standard based on TCP/IP (whose name temporarily escapes me) which is.

      --
      KMSMA (WWBD?)
    3. Re:Open the opportunity by Tim+Doran · · Score: 2

      Good post!

      One addition (climbing up on the ol' soap box)... the political process is further bastardized by a slimy, complicit press corps.

      I refer you to The Daily Howler for further information. This really should be mandatory reading for anyone who intends to vote.

    4. Re:Open the opportunity by karmawarrior · · Score: 2
      There's a good critique of X.25 as part of the Internet's RFC system (RFC874). X.25 certainly was seen as the system the telecommunications industry wanted us all to standardize on when the Internet community was pushing TCP/IP.

      Ghastly protocol. Glad it failed.

      --
      KMSMA (WWBD?)
    5. Re:Open the opportunity by karmawarrior · · Score: 2
      The thing is that isn't completely true. The two major parties in the US are made up substantively of local organizational roots, each local party having a large say in the people who represent them. This is part of the reason the religious right has achieved a certain degree of dominance with one of those parties, despite apparently being at odds with the corporate agenda (I doubt AOLTW is entirely happy with valuable TV frequencies being used by psuedo-religious stations, as an example of conflicting interests.) And when a grassroots movement is well organized, it can achieve impressive results: The Late Paul Wellstone didn't get into power by hiding his radical agenda, he revelled in it.

      No, it's not easy, but you don't have to bribe anyone to make sure at least one of the two parties has an agenda close to that of your own - you just have to be willing to do something other than post to Slashd... etc...

      (Isn't this great? Nobody knows whether to mod my posts insightful because of the first bit, or overrated because of the second...)

      --
      KMSMA (WWBD?)
    6. Re:Open the opportunity by karmawarrior · · Score: 2
      You read the words in the wrong order.

      I said IP packets are often encapsulated in UDP packets, not the other way around. The other way around is obvious. IP over UDP is a common way of tunnelling over the Internet.

      As for the rest, X.25 is a complete protocol stack. It includes reliable stream based transport mechanisms and low level packets normally encapsulated in HDLC frames.

      I do recommend the link I posted, it's pretty informative about the problems with X.25 and why it never took off. Being too low level isn't one of them, quite the reverse in fact...

      --
      KMSMA (WWBD?)
    7. Re:Open the opportunity by karmawarrior · · Score: 2
      I understand what you're saying, but in practical terms - the terms its inventors defined for it - X.25 has pretty much become an also-ran. Banks are also heavy users of OS/2, but few would argue that OS/2 is a success.

      X.25 was, at one point, going to be the WAN packet switching system. All businesses would interconnect with it, sending email using X.400 and connecting using that wierd not-quite-connectionless not-quite-stream thing it did in nicely meterable minutes and bytes. In that respect, it's failed. Almost all businesses use TCP/IP exclusively. Almost all individuals who are involved in WANs use the Internet and TCP/IP. And this is worldwide - unlike, say, ISDN which was a flop in the US and UK and a success in most of Europe.

      --
      KMSMA (WWBD?)
    8. Re:Open the opportunity by QuantumRiff · · Score: 4, Insightful
      The Bandwidth Caps and locking down of bandwith seems to be a evil thing to do, but please, tell me how your $45 a month cable internet bill is going to pay for a gigabit router and fiber to your neighborhood. The bandwidth limits are going into effect becuase the routers, switches, etc, that run all this data at the head office is incrediably expensive, and with people running Kazaa at full blast 24/7, the old rules of thumbs about customer/bandwidth ratio is getting thrown to hell.

      Your phone company sells local service, usualy unlimited local calls. This is because they understand that not everyone is going to be on their phone every second of every day. They're peak load is planned to be much less than the potential Maximum load. Otherwise, the phone plans would be much more expensive, as alot of extra equipment would need to be installed to satisfy that .03% of the time.

      If people throw their hands up in the air and complain about the phone circuits being busy once during the year for 3 minutes, you'd probably tell them to get a life. I would too.

      The fact of the matter is, if you want full, uncapped service, bite the bullet and buy a T-1 line directly into the house, if you live in a city of any size (mines 40,000 people, pretty small) it costs around $300-$400 per month with a couple year contract.

      You get what you pay for....

      --

      What are we going to do tonight Brain?
    9. Re:Open the opportunity by karmawarrior · · Score: 2
      Nothing. And it'll stay that way unless you're prepared to get off your backside and act: write to your lawmakers. Join a local branch of the party you feel is closest to your views and influence its choice of candidates. Write to the New York Times and the Washington Post. Strike up conversations with co-workers and put pamphlets in shared areas such as company coffee tables and smoking areas.

      If you don't act, if you ignore the opportunities democracy gives you, you only have yourself to blame when you don't get what you want. The NRA can uphold the second amendment through strength in numbers and by making lawmakers aware of how they feel. The environmental groups can prevent the building of Nuclear Power plants through local activism, making everyone on a local, regional, state and federal level aware of their feelings. Now it's your turn.

      --
      KMSMA (WWBD?)
    10. Re:Open the opportunity by GMontag451 · · Score: 2
      Data Link layer is phyiscal medium dependant, in other words, you run Ethernet over UTP, ATM over fiber, etc (and yes i know that there is some flexibility in there).

      Layer 2 (Data Link Layer) is *not* dependent upon Layer 1 (Physical Layer), thats ridiculous. The whole idea of layers is that each layer abstracts away everything below it so everything above it don't have to care about it.

      The reason that Ethernet is physical media dependent is because there is a set of protocols that are collectively called Ethernet. Some of those protocols are Physical Layer, some are Data Link Layer. The Layer 1 protocols define such things as cabling qualities, port pinouts, and modulation schemes. The Layer 2 protocols define things like collision detection and speed/duplex autonegotiation.

      You can in fact run Ethernet over barbed wire and electrical cord (I've seen it done, it may have even been on a link from a Slashdot story), or Cat3 UTP, Cat5 UTP, fiber, etc. Hell, if you wanted to you could even run Ethernet over UDP.

  12. Telcos, monopolies, and me by rmadmin · · Score: 2

    Big Telcos bug me. They charge like hell and yet they are always crying about losing money (Last time I checked atleast, could be different now). On top of that, they are a monopoly, how can they lose money? Ick. Greed. And for me, well, I can't offord to start my own local independant telco, so thats the end of the story.

    1. Re:Telcos, monopolies, and me by presearch · · Score: 5, Informative

      I worked at Bell Labs for a few years. After that experience, it doesn't puzzle me how telcos can have a monopoly, more
      captive customers than they can handle, and still "loose money". It's not lost, it's looted. In front of the building (in Holmdel NJ),
      a limo would sit for a half hour or more waiting for the Pres. of the Labs to arrive by helicopter. The copter would land, the limo
      would drive him 3000 feet to the door, then take off. Amazing.

      The primary concern for management was getting the latest org chart to see their progress up the pyramid. I was a bottom feeder/
      consultant and I think there was at least 25 levels of management between me and limo boy. No wonder Lucent is in the shape it's
      in. An army of talent, led by a crush of PHB's all trying to move up the food chain.

      It was a constant cycle of projects started, brought almost to the point of completion and then boom. A new manager, a departmental
      re-org, and all of the work tossed in the dumpster, deleted of of the machines because they were allocated to another department, or
      just left to rot. Everyone had stories about how cool this or that project was and then got cancelled. Very few stories of successful,
      shipping products. Look at what happened to Unix! They couldn't even figure out what to do with it. Tossed around until it was finally
      sold off so they could make the numbers for the quarter.

      One bright spot, they did have pretty good coffee.

    2. Re:Telcos, monopolies, and me by Suidae · · Score: 2

      Frightening. I wonder if anyone has done studies to determine what the social dynamics involved in running large organizations are. Are their configurations that can maintain a lean, effecient structure, and tend to self-correct, eliminating paper-pushers who are interested only in moving up in managment?

      Perhaps computer technology can help. Can a computer system help to eliminate the layers of managment, allowing a CEO to more directly manage teams of employees?

      Who studies this stuff, whats the field called, and who develops the solutions and markets it to businesses?

  13. Gotta have your fiber! by shoppa · · Score: 3, Funny

    I work for a largish non-IT-oriented organization that recently had a committee to allocate fiber bandwidth between various parts of the organization. Each part send a representative to stake out the fiber they needed - or, more appropriately, felt they ought to have. The fire department said they need at least 4 dedicated pairs at all of our hundred locations; police needed at least 6 pairs, etc. Grand total was that if you followed their numbers, we would need over 200 pairs for the whole organization (with only 10000 employees) when in all likelihood the needs could be served with 1 pair.

  14. When Cyberdyne and Skynet get ahold of this ... by burgburgburg · · Score: 2
    we better all watch out.

  15. Smells Like Space Junk on earth. by _Sambo · · Score: 2, Insightful
    This project made a lot of sense back in the days of exploding .com revenues.

    The goal was to connect Silicon Valley to Redmond Washington, and to allow better access to Asia via their undersea fiber.

    But this quote tells me that it will not soon be used:
    If they need the remaining 95 percent of the fiber in the future, companies will have to spend tens of billions of dollars more to make it usable by placing lasers and amplifiers on the route.

    The returns on an investment like this would have to be pretty damn high to make anyone pursue it. And right now, the returns are almost all negative.

    1. Re:Smells Like Space Junk on earth. by LostCluster · · Score: 2

      That's like football team making a 20 yard pass play. Usually that's celebrated, but if because of penalties the play was 3rd down and 27 yards, the big play still doesn't make the first down, and the coach still orders a punt on 4th and 7.

      Good idea, but still not a good enough idea to make the cost of doing it viable.

  16. They had.... by craenor · · Score: 5, Funny

    They had so much fiber, their whole company went down the toilet.

  17. Yes way by siskbc · · Score: 5, Insightful
    Might want to grab an econ book - there are many industries in which a dramatic increase in quantity of product would drop prices so much that the overall net revenue would be lower at higher quantity.

    Examples include farming (hence we actually pay farmers to grow nothing), steel (at least now), oil (otherwise OPEC wouldn't set production quotas), and, yes, bandwidth.

    To follow your argument, why then AREN'T the phone companies selling the extra bandwidth? It isn't the demand - I would like some cheap bandwidth. It isn't the lack of fiber - as the article says, there's a lot unused. It wouldn't be that hard to tap, especially since most consumers would be willing to pay for reasonable install costs.

    No, the reason is the phenomenal price drop that an increase in quantity would bring, nothing more. And you're right, it's not about "evil" phone companies - it makes good sense to do what they're doing. I've never known a company want to DROP their prices, certainly.

    --

    -Looking for a job as a materials chemist or multivariat

    1. Re:Yes way by Jboy_24 · · Score: 2, Informative

      Umm... If you re-read that article it states that to 'light' the 5% of the fibre it cost $255 million dollars. To Light the other 95% the costs would be in the low billions. Considering that there is probably 5 million people in Oregon, that would amount to around $2000 per capita to light the remaining 95%.

      So... what happens once we've lit, does everyone get 10 gigabit internet connetions? No! No one gets squat because the fibre isn't connected to anyone.

      The reason it was laid down, was that some company's (Worldcom, Global Crossing etc) were able to re-sell dark-capacity to other startups. These company's were able to report massive revenues from selling unused fibre. Thus, more and more company's started up trying to tap into this market. Global Crossing and someothers did oceanic fibre, but others stayed closer to home. They raised money, planted dark-fibre then tried to sell off their dark-capacity for revenue. But... it was just a pyramid scheme and they all went bankrupt.

      Just as 'eye-balls' were the currency for .com, dark-fibre was the currency for the telcoms. There wasn't much financial bankground to the idea, but what did that matter if your company now was capable of 100 gigabits between seattle and san francisco?

    2. Re:Yes way by milo_Gwalthny · · Score: 5, Insightful

      Hooold on a second. Don't throw out that "grab an econ book" canard without saying something that would actually be in an econ book.

      There are two things going on here:

      1) The telephone companies have dark fiber. You are saying they are not lighting it because that would lower their pricing power. How is that? If you mean they aren't going to double the bandwidth to a particular customer without increasing the price, I agree, but I don't think that's the issue--if they don't have pricing power it's because they're regulated, but it sounds like the Oregon PUC might allow them to make money on increased bandwidth. I think the increase in bandwidth we're talking about here would be to *new* customers. A new customer to the telephone monopoly doesn't change their pricing power at all. They may have to lower their prices to get new customers, but that's a different issue--it's not the increase in quantity that would lower prices, it's the lower prices that would be needed to bring about an increase in paying customers. This is a problem that every high fixed-cost, low variable-cost business has (ie. airlines, telcos, pharma companies, software companies, etc.): how do we get the people willing to pay a lot to pay a lot (and cover the fixed expense) while allowing the people who only want to pay a little to pay a little (and cover a little more than the marginal cost)? The answer is usually either a balanced price, meant to maximize revenue, or some sort of price discrimination (ie. business users pay more, home users pay less.)

      2) Companies other than the telephone monopolies have dark fiber: these companies (or their creditors, who now are the proud owners of the fiber) should be, and probably are, perfectly willing to degrade the telcos' pricing power if they can make any money. The fact that they don't is because they *can't* make any money... for two reasons: (a) the cost of equipping the dark fiber is higher than the revenue they could generate from the few people who want broadband, and (b) the excess dark fiber at the telcos means they could push their pricing down to squash any new entrant (typical of industries that require high up-front investment: once the sunk cost is sunk, competitive threats are met by temporarily lowering the price to just above marginal cost, making it untenable for new.

      Farming and steel are bad analogies: the US government pays subsidies to keep those industries alive in the US because they are strategic and the workers are influential voters. If there were no subsidies, those industries would migrate to where they belong: in countries where the cost of labor is lower.

      Oil is a bad analogy for other reasons (as was the gold rush analogy in the article): this is a low variable-cost industry with a low fixed-cost as well, but restricted by the luck of having the natural resource in the first place. So, no member of OPEC produces *no* oil, the cartel simply tries to lower overall production to keep prices up. This would be analogous to *each* of the dark fiber owners agreeing to only use 5% of their fiber, to keep prices up. This is clearly not what is happening: some fiber owners are using none, while some are using substantially more than 5% (if 5% is the average, this has to be true.)

      A good analogy is the railroad price wars of the 19th century. Early on, high up-front investments led to little competition, good pricing power and large margins and very profitable businesses. The early successes led to a large inflow of investment capital and the building of competitive railroads on the same routes (sometimes with tracks laid parallel to each other.) This led to price wars where both roads would charge just above marginal cost, not enough to cover fixed costs. While this made some economic sense, it led to the eventual demise and/or consolidation of one of the roads. These types of industries are generally considered natural monopolies.

      --
      Milo
  18. Dark Fiber in the front yard. by Tin+Weasil · · Score: 5, Interesting

    Shortly after I moved into my house, almost five years ago, Bellsouth paid me $400 so that they could lay fiber along the roadside in my front yard.

    I live in HIGHLY rural area, consisting mostly of lakehouses used as weekend getaway accomodations.

    At the time, I thought that the installation of fiber in my front yard might eventually lead to allowing me to get a really high-speed broadband connection. To this day, however, if I were to call Bellsouth, the best they could offer is an ISDN connection, as DSL is unavailable.

    But, I guess that it leaves Bellsouth's options open for the future.

    1. Re:Dark Fiber in the front yard. by Xerithane · · Score: 5, Funny

      Shortly after I moved into my house, almost five years ago, Bellsouth paid me $400 so that they could lay fiber along the roadside in my front yard.

      You should have asked for a drop to be installed that you could hook into, and waive the $400. Pay them routing fees, and be straight on their tier. You just need to negotiate better ^_^

      --
      Dacels Jewelers can't be trusted.
    2. Re:Dark Fiber in the front yard. by eht · · Score: 2, Insightful

      Of course DSL is unavailable, it's a copper only connection between you and the colo

    3. Re:Dark Fiber in the front yard. by Anonymous Coward · · Score: 2, Insightful

      They'd probably laugh at you. There's no way you can pay what the telco would charge for a fiber connection to your doorstep. Nor could you afford the equipment you'd have to put on your end.

      Although holding out on them might have resulted in a doubling or tripling of the money they're willing to give you for the inconvenience. After all, it would cost them substantially more to go around your property.

      On the other hand, this $400 may have been a goodwill gesture; it's possible that whether or not you want the cable laid under your lawn, that's where it would end up. Depends on the city I guess.

    4. Re:Dark Fiber in the front yard. by kesuki · · Score: 2

      It depends, really, I mean sure, most people couldn't afford an oc-192 hooked up in the utility room or whatever, but if a a group of hotels with a (total of) 3000 room capacity can afford one, when only a Minority of buisness travelers are demanding high-speed internet in their rooms it can't be That astronomically expensive, that someone living on a lake shore absolutely couldn't afford the equipment.
      And remember you could have started a buisness.
      solicit the neighbors to join a Neighborhood network, at 100 megabit, with internet access at the same speed. With an OC-192 you could hook up 10 gigabit 10 port 100mbit switches to provide
      99 neighbors with dedicate 100 mbit internet, and still have 170 Mbit/s left over for yourself. If you're in the right neighboorhood you could make some money.
      Considering it was 5 years ago, he could have started a web hosting services company, and the pipe would be big enough to handle a slashdotting, as long as the servers were too. 5 years ago there would have been plenty of venture capital, too.

  19. Oregon cable unique by bpprice · · Score: 5, Informative

    Actually, the local paper ran a detailed article about this (I live in Portland). This is not a phenomenon that is repeated in other cities; rather, due to Oregon's I-5 corridor being the conduit between San Francisco and Seattle (Redmond) it was assumed by dot-coms that there would be tons of traffic to handle and profit from. Obviously it didn't pan out. And since those companies didn't provide the amps to light the cable, it will cost billions to fire it all up - and that ain't happening any time soon. But it does explain in part why OR/WA have been hit harder by the recession, with plain old unrealistic optimism.

  20. The Washington Post had an excellent article... by Tsar · · Score: 5, Informative

    ..."Fiber-Optic Overdose Racks Up Casualties" back in May of this year. One quote:

    Telecom wouldn't be the first to go through such a boom-and-bust cycle. During the railroad boom of the late 1880s, so much money was invested building so many parallel tracks -- or tracks to places that would never support profitable service -- that the entire industry went bankrupt. Much the same story is told of the airline industry, which because of so many losing years has yet to turn a net profit.

    Interesting stuff--go read!

  21. What's hindering broadband in the US? by tamnir · · Score: 5, Insightful

    Japan has been laying dark fiber for over 10 years now. Many were laughing at them during that time, but today, we have a 100 Mbps fiber internet connection coming right into our kitchen! For something around 100$ a month. Ok, not super cheap yet, but affordable, specially if you share it.

    Five years ago, the top for end users was still 56 kbps modems, that was just the begining of ISDN. Pretty impressive evolution.

    Now question: if dark fiber is there, why is it that you still can't get decent DSL internet connection in the US? What's hindering the development of broadband there?

    --
    I code, therefore I am.
    1. Re:What's hindering broadband in the US? by OverlordQ · · Score: 2, Insightful

      Infrastructure. Japan with 145,882 sq mi compared to the United States' 3,794,083 sq mi. We have ALOT larger distance to cover. IIRC, most of the population of Japan is located in large urban centers, whereas here in the US, yes we do have large urban cities, but we have alot of smaller communities as well where alot of this technology isn't readily available, nor will the support for this technology be available soon.

      --
      Your hair look like poop, Bob! - Wanker.
    2. Re:What's hindering broadband in the US? by briancnorton · · Score: 3, Interesting

      There are those that will bitch all day about regulation, de-regulation, etc etc, but the fact is that 22% of american households with the internet have broadband. I think that qualifies as the post-early-adopter market. The problem as I see it is that many have fast internet access at work, and dont have any desire to have it at home. Unless you weave your life around the internet, there is not yet a compelling reason to have broadband. What the hell do you do with 100mbps? Seriously? I dont mind waiting 30 seconds for my personal email to download. I dont need to download music or movies, and I dont run my own server.

      --

      People who think they know everything really piss off those of us that actually do.

    3. Re:What's hindering broadband in the US? by Sycraft-fu · · Score: 2

      Few things here.

      First, I have discovered that connections like this in Europe (mostly what I've dealt with) and Asia come with a major catch. While they provide a high bandwidth link to your house, that does not translate to fast internet performance. Basically, they have a network taht operates like a large LAN. They drop 10mbit, 100mbit, whatever to everone and market it as that. BUT back at the office, they have only a small amount of bandwidth out to the Internet.

      I first noticed this when trying to send and recieve files from someone in Europe, Sweden I believe but I don't remember precisely. He claimed to have a 5mbit DSL line. I am on a 100mbit LAN connection to a university. None the less, we seemed to be able to only get ISDN speeds. Obviously, there is a problem somewhere.

      Now I work for Network Operations at the university here so I KNOW what kind of connectivity I have. I have 100mbit to a Cisco switch, which has gigabit to the university backbone. That then has 2 OC-3s to the internet (different providers). I can view the network usage graphs, and I verified that our links had plenty of capacity, and from fast webservers I could easily get 1000Kbyte/sec speeds. Yet from him I was seeing at most 10kbytes/sec.

      The reason was because his provider game him a 5mbit DSL link, but didn't have the internet capactiy to back it up. You get great speeds to anyone on their network, and to any other networks they peer with, but much poorer speeds to the Internet.

      Since then, I've encountered a number of other people in other countries with similar arrangements. They get great speeds to some things, but poor speeds to the internet at large.

    4. Re:What's hindering broadband in the US? by kesuki · · Score: 2

      That is the DSL myth. Most people in the united states Live within 2 miles of the telco's switching station. This is because the telco has redundant copper loops, even if the 'old' loop is too far away, often, one or more of the redundant loops were put in later, as part of regulation of the telephone industry. Most of the US population is capable of being switched over to DSL, because it is cheaper for the telephone company to have multiple locations that are spaced out for the swtitching stations. Even the routing station under the world trade center only routed somewhere between 1/4 to 1/2 the islands land lines. It doesn't make sense to run 25 miles of copper and cover an entire city with one switching center. So realistically about 75-90% of city/suburb dwellers are within 2 miles of the local switching center, while far fewer rural residents are. and considering that 90-95% of the population live in non-rural areas, it's pretty clear that well over half of america is theoretically within DSL coverage areas.
      What is hindering DSL adoption is that the telcos are incapable of telling a customer what it would cost to have DSL service, much less it they're in the 85-90% of the country that is theoretically DSL capable.
      I've seen DSL lines offering flat 64 killobits/second for $10 a month, but since you then have to pay the telco $10 a month, and then have to pay setup and equipment fees, to both the ISP and telco, it makes it unworth the hassle to most people.
      Hopefully 256kbit DSL and deals like 'MSN Broadband' deals that provide equipment and waive fees will help more people decide to get broadband, but as long as the telcos are standing in the way (and they are, both through incompetance and perhaps intentional sabatoge) it will be hard for people who want DSL to get it.

    5. Re:What's hindering broadband in the US? by briancnorton · · Score: 2

      I played all the games out on a 28.8 bps modem JUST FINE thank you.

      --

      People who think they know everything really piss off those of us that actually do.

  22. Dark Fiber gaffe or proper planning? by Alomex · · Score: 5, Insightful

    If you were burying water mains and other city services into a new house subdivision nobody would be surprised about the city buring enough capacity for a 100 houses, even though only one has been built just yet.

    Most of "dark fiber" articles out there fail to see the same rationale behind the large amount of dark fiber out there. This is proper planning. Network traffic has been doubling every two years or so, this means that 90-95% dark fiber would last you about 6-8 years.

    This is perfectly sensible. In fact, if we had to rebury fiber within 6 years of paying billions to rip open downtown Manhattan I would fire my provisioning manager.

    1. Re:Dark Fiber gaffe or proper planning? by m_evanchik · · Score: 3, Informative

      As the article itself states, optical fiber can be laid out with excess capacity rather cheaply,"usually with two or more companies each stringing dozens of strands of fiber within the same piece of conduit...."

      The big cost in laying fiber is not in the optical fiber itself, but in digging the ditch to put it in and in lighting up the fiber at its end. $570 million was spent laying the fiber, $265 million was spent lighting up just 5% of that.

      Businesses went broke because they were overly optimistic in all that fiber being lit up quickly, not because they sunk too much money installing the fiber in the first place.

      In a few years or decades, as broadband becomes more ubiquitous, that backbone netwrok of fiber will get lit up.

      It's fair enough to blame the local providers, paricularly the incumbent phone-service providers, for being slow in rolling out broadband. But it also should be noted that these companies still need to make money and have been slow in rolling out broadband because it is a service that requires an expensive initial investment to provision and the technology has only recently started to approach the maturity to be provided inexpensively to the end user.

    2. Re:Dark Fiber gaffe or proper planning? by tsetem · · Score: 2

      Most of "dark fiber" articles out there fail to see the same rationale behind the large amount of dark fiber out there. This is proper planning. Network traffic has been doubling every two years or so, this means that 90-95% dark fiber would last you about 6-8 years.

      Not sure about the network traffic doubling every two years. I seem to recall that it's a mythical number that MCI came up with at the beginning of the Internet age.

      But other reports I've found indicate that network utilization is doubling every 3-6 months. Yikes. Don't know if that means that the dark fiber can now only last another 2 years assuming it gets turned on or not...

      This is perfectly sensible. In fact, if we had to rebury fiber within 6 years of paying billions to rip open downtown Manhattan I would fire my provisioning manager.

      I think that you assume one thing, and that's fiber technology does not improve. Assuming that the technology doesn't change, and network traffic is doubling every 2 years, then the capacity will only last 6-10 years or so. But if the transmission equipment gets faster and allows greater capacity through the current fiber, then the life will be much longer.

      Assuming new systems utilizing 64-channel dense wavelength division multiplexing (DWDM) as announced on Lucent, then this potentially allows 2.56 Tb/s per fiber. Doubling the channels to say 128, now means double
      the capacity, while using the same fiber.

      As long as fiber technology keeps improving, then there shouldn't be a problem with running out of bandwidth, since the fiber is virtually upgradeable forever.

    3. Re:Dark Fiber gaffe or proper planning? by Wanker · · Score: 3, Insightful

      The big cost in laying fiber is not in the optical fiber itself, but in digging the ditch to put it in and in lighting up the fiber at its end. $570 million was spent laying the fiber, $265 million was spent lighting up just 5% of that.

      The authors seem to have missed this point, and it really needs to be emphasized. Once you get that hole dug ($570M), the differential cost of adding additional fiber strands is negligible.

      Something like:

      first strand of fiber: $570M
      each additional strand: $0.0001M

      So running hundreds of strands at a time makes sense even if 99+% of them are unused.

      The big question should be whether that first strand was really needed, not complaints that they overbuilt.

    4. Re:Dark Fiber gaffe or proper planning? by Alomex · · Score: 2

      I seem to recall that it's a mythical number that MCI came up with at the beginning of the Internet age.

      The mythical number was traffic doubling every three to six months.

    5. Re:Dark Fiber gaffe or proper planning? by tsetem · · Score: 2
      A little offtopic, but how about we split the number. Double every year?

      The original speculated myth


      Retorts and support for doubling every year.
    6. Re:Dark Fiber gaffe or proper planning? by Alomex · · Score: 2

      Double every year?

      Yes, I know that is the number Andrew Odlyzko claimed back then, however I have reason to believe that traffic growth has slowed a bit further since then.

    7. Re:Dark Fiber gaffe or proper planning? by eMilkshake · · Score: 2

      I believe the network traffing doubling every two years was stated by WorldCom as justification for their laying so much fiber. I believe the true number is well below that, and 2000 actually saw 0% growth in network traffic.

    8. Re:Dark Fiber gaffe or proper planning? by Alomex · · Score: 2

      I believe the network traffing doubling every two years was stated by WorldCom as justification for their laying so much fiber.

      This is incorrect, WorldCom was using doubling every 3-4 months. The guy who debunked that myth actually observed sustained growth of doubling every year. Read the report. I do agree that traffic growth seems to have tapered lately, hence the doubling every two years figure I used.

  23. business idea by chunkwhite86 · · Score: 2

    If only the owners of the unused fibers would sell them. What a great business idea that would be.

    I could buy some unused fiber, and my business would run drops to peoples homes. Can you say "OC12 in the living room"?

    I wish...

    --
    I'd rather be a conservative nutjob than a liberal with no nuts and no job.
    1. Re:business idea by JUSTONEMORELATTE · · Score: 3, Insightful

      I could buy some unused fiber, and my business would run drops to peoples homes. Can you say "OC12 in the living room"?
      No, I can only say OC-12 in the NOC downstairs. I can say STS-12c in the living room though.

      But have you ever heard the phrase "last mile problem"? The plethora of "Dark Fiber" expose' stories never seem to mention that the excess potential bandwidth is on the backbone. Getting from a well-connected site to your living room is still an expensive proposition.
      The curious thing (at least what I find curious) is that the cost of running a 10 or 100M ethernet connection to your home is not that different from the cost of running GigE, or even STS-x (1, 3, 12, 192) to your home. It's the same economic situation that led to the 95% dark fiber pipelines -- WHAT is in the ground is a negligible cost compared to the price of getting it INTO the ground.
      --

  24. History Repeats.... by Mahrin+Skel · · Score: 5, Interesting
    Did we really need 3 trans-continental railways? Nope, not when they were built, and as a result the companies that built them went broke. There simply wasn't enough freight transportation capacity needed at the time.

    Fast-forward 30 years, and they were all running at capacity. The fiber is there, it's not going to go away. 5, 10, maybe 15 years down the road, someone who picks it up cheap now will make a fortune off of it.

    --Dave

  25. Similar to fiber under the ocean by nich37ways · · Score: 2, Interesting
    Of all the fiber going from Australia to our nieghbours only about 5% is lit at the moment. And as many people have said this is because it is not economically viable for the varying companies to light up the cable as it will effectively ruin them. Most of the dark fiber here is not actually owned by the major providers, Telstra & Optus, it is owned by venture capatalists who betted on their being a huge demand for bandwith. Unfortuantely for them they lost out, noone wanted it and they will lose more money by using the cable than they will from having it lay dormant, until it is useful.

    --

    nich

    --
    37 - what does it stand for really...
  26. Sound Financial Move by waldoj · · Score: 4, Informative

    Laying far too much fiber is a pretty sound financial move. Laying fiber is expensive. The fiber itself is cheap compared to the cost of gaining the rights to bury cable along a continuous stretch of land, and then actually digging the trenches, laying the cable, filling the hole back up and fixing whatever is at ground level. The theory goes that, as long as they're in there, they should lay insane amounts of cable. Whether or not they're laying the cable from the right points A to the right points B I can't say, but the fact that it's dark or insufficiently used doesn't necessarily indicate that anybody screwed up.

    -Waldo Jaquith

  27. Former Oregon Resident by ItWasThem · · Score: 5, Informative

    I grew up in Oregon and only moved just recently to the East coast for work. I can tell you, just because fiber runs down the Interstate, it's no wonder it's still hard/rare to get broadband in most of Oregon.

    Phone company conspiracy theories aside, Oregon is anything but flat. Houses are not close together (generally). One of the things that makes Oregon nice is the country side, open space (I know, hard to imagine sometimes if you haven't seen it), and the ability to live more than 5 feet from your neighbor. Other than the larger cities like Portland, there's really no housing developments or sub-divisions to run fiber to or at least not enough to entice phone companies to bother with running the lines over/under whatever terrain.

    I think that's one of the main reasons the Personal Telco Project in Portland is really taking off and will continue to do well. Cheap or free blanketted wireless (able to cover several miles, not just a few hundred feet like current 802.11) is the only way I see a lot of homes in Oregon ever getting anymore than a dialup connection. It's just not practical to lay fiber down one person's mile long driveway. We didn't even have local dial up internet access where I used to live (45 minutes west of Portland) until '97 and even then it was 14.4!

    1. Re:Former Oregon Resident by pclminion · · Score: 2
      45 minutes west? What the heck is out there? Forest Grove? Vernonia?

      Just curious. I live near Portland myself.

  28. Re:Dark fiber isn't hurting anyone by JordoCrouse · · Score: 3, Interesting

    The bottleneck is not on the internet; it is between the POP and the average consumer, who is generally too stingy to get a faster connection than dialup.

    I really don't see stinginess as the reason there. Virtually everybody I know that still uses dialup does so not because of money, but because the service still isn't available to them. At least in my city, there is still way too much copper in them thar lines...

    Wireless solutions are taking over the last mile.

    Yeah, but wireless is still insecure, and relatively slow. All the providers know that fiber into the home still remains the holy grail of the industry, so to speak. Its not about reading /. via a PC so much any more, as it is about sexy stuff like streaming video, and VoIP, and its about half a dozen devices in your home with a full connection to the outside world. I don't think its to far fetched to think that your average home in the future will require (and use) 10 or 20 times the bandwidth they use today.

    Its like my grandfather used to say, good fiber is never wasted.... :)

    --
    Do you have Linux and a DotPal? Click here now!
  29. Sorry by mao+che+minh · · Score: 2

    In the end, none of this matters. The Telcos own us, the fiber lines in question and fiber lines like them are lost to the world. American politics (laws are influenced by money) and corporate cash pits will insure that the telephone and cable industries will remain as they are or get worse.

  30. Dark Fiber by scrytch · · Score: 5, Funny

    Choose not the dark side of the fiber, for dark fiber leads to constipation, and constipation leads to *ZWONNNG* *GLITCH* (sound of a muppet getting its head lightsabered off)

    --
    I've finally had it: until slashdot gets article moderation, I am not coming back.
  31. Re:Fiber squatting by zaren · · Score: 2

    Just what I was thinking... if the companies that laid this fiber have gone out of business, it might be like abandonware fiber... If no official entity jumps up and says "Hey, that's my fiber!" someone would just have to find it and utilize it :)

    --
    Come to the University of Mars! Classes starting soon!
  32. Well of course it is dark... by sterno · · Score: 5, Interesting

    Even applying conservative estimates to costs of construction, the companies spent more than $570 million laying long-distance fiber cables across Oregon, and they shelled out at least $265 million more equipping the 5% of fiber that is used

    It costs almost 10 times as much to light a fiber as it does to lay it according to these numbers. Most of the cost in laying fiber isn't the fiber itself, but the labor and the property rights involved in doing it. So, you may as well lay 95% more fiber than you really need because you might need it some day and it doesn't cost you that much more. You'd be insane to try to terminate all of those fibers though since they cost so damn much.

    Furthermore, bandwidth is a matter of supply and demand, and as long as demand isn't increasing, increasing supply will force down prices and make your business less profitable. Let's say everybody started needing DS-3 speeds into their home. Somebody would come in and offer that speed for a hefty premium, but as demand for that service built up, people would come into lower the prices to get into that market. Eventually you end up paying the same amount for your DS-3 as you did for your DSL and you've got a few more of those fibers on the coast glowing.

    The problem is that there's nothing driving bandwidth demand substantially above what it is right now. Most people will tolerate modem speeds, and those that won't are mostly pretty happy with DSL or cable. A few of us want more bandwidth, and because we aren't the majority of users we will have to pay handsomly for it. As long as the majority of users are content with the bandwidth they have there is no incentive to expand their networks.

    --
    This sig has been temporarily disconnected or is no longer in service
    1. Re:Well of course it is dark... by krinsh · · Score: 2

      Most people will tolerate modem speeds, and those that won't are mostly pretty happy with DSL or cable.

      Those that are tolerating modem speeds are usually doing so because it costs them 1/4 of what it would for the cable/DSL; OR they can't convince the local telco or cable company to provide the service in their area [or add the box that gives them IDSL]. Costs, or laziness? I think both but that's a different thread. There's a lot of unused cable - not just fiber - out there. A considerable amount of it is dead telephone lines thanks to dissatisfied customers and new wireless/cellular users.

      --
      I think with the interesting people, their lives can't possibly be wrapped up into a nice little package.
    2. Re:Well of course it is dark... by sterno · · Score: 2

      There's no financial incentives here. People pay $10-20/month for their dial-up. Many haven't seen a clear incentive to pay $30-40/month for broadband. Can the ISP's afford to sell broadband at $10-20/month? I doubt it. The dial-up ISP's can barely afford the rates they charge, and they don't have to pay for nearly the same level of infrastructure as they would for broadband.

      --
      This sig has been temporarily disconnected or is no longer in service
  33. Dark Fiber...? by zorgon · · Score: 2

    Dang, and I thought this would be about Darth Vader's Metamucil substitute. Oh well.

    I know from personal experience and from conversations with telco executives that there are many dark fibers in transatlantic cables. They are there for backup, and for gouging -- I mean "future upgrades." And despite the massive amounts they charge for data, these companies are all in trouble. Serves 'em right. $10K per month for T1, and they didn't back off of this for years. Die. See if I care.

    --

    I am quite civilized, and I should be brought a beer immediately. -- Bruce Sterling

  34. Ummm... by Saint+Mitchell · · Score: 2, Interesting

    Since the companies that put it there are no longer around, who owns them? I mean, what would stop someone from tapping into it. Or did ma gobble them up for $.000015 a mile only to not use it. Where's my any-media-ever-produced-any-time-I-want-it-for-nex t-to-nothing? Huh, where is it. I was promised in the early 90s by many many commercials that by now we'd have this. I don't see it. Someone has some explaining to do. What was it they said...and the company that'll bring it to you, ATT. I wonder if I google search for and image of thier CEO with his pants of fire I'll find it.

  35. Not just Oregon. by Night0wl · · Score: 3, Interesting

    I live in Washington state, in a small rural town called Omak. Years ago there was a huge hype on bringing Fiber into Okanogan county.
    Thousands where spent to lay this fiber, Miles upon miles of fiber. It's been in place for some time now, and is being used by the one local ISP who pushed for the fiber.
    Though as in the subject of this article, a majority of the fiber is dark. We have OC-192 capacity, of which at least 2 Megabits is being used. Perhaps more, but not much.

    Now, the people who pushed so hard for this fiber are fighting it, trying to lay fault for the expense and misuse of at the feet of various parties involved. All of this blaming in the midst of a community lagging behind in the digital age.

    --
    Computational Madness in a round package.
  36. 5, 10, 15 years down the road by dpilot · · Score: 2

    Most likely that dark fiber will be therE, but will it be ready to be lit? What are the failmodes of fiber? Even if the fiber is glass, what about the cladding?

    Is this stuff going to rot, get moldy, or in some other way become non-functional over the long run? In every place where dark fiber is buried, is there light fiber as well? If a buried bundle is completely dark, how do we know it hasn't been interrupted by Joe Weekend Backhoe, who knows he hit *something*, but also knows that no neighbors have complained?

    Maybe the dark fiber can be lit in another century. I'd like to know lifetime factors before putting any money down on it.

    --
    The living have better things to do than to continue hating the dead.
    1. Re:5, 10, 15 years down the road by Mahrin+Skel · · Score: 2
      As I understand it, around half of it is in the same conduit with lit fiber. The other half should be fairly durable, although it will probably get a few breaks as time goes on.

      That "Billions of dollars" estimate to light the dark fiber was just a straight projection of the 275 million the existing fiber required. The stuff that is running alongside lit fiber has already had a lot of that money spent (enclosures, power supply, etc.). The price of the amplifiers and repeaters will almost certainly drop in time, as well.

      It's not a short-term investment, but the kinds of investors that will make it can do far better risk assessments than I can.

      --Dave

  37. Re:10's of Billions??? by SuiteSisterMary · · Score: 2

    What's the cost of, say, 1000 feet of Cat5 Ethernet cable? Now, what's the cost of the switches, routers, and other such equipment to make use of it?

    Now, multiply that by lots, and you have the problem with fibre. Little glass tubes? Cheap. Nifty laser equipment and what not to do neat things? Expensive.

    --
    Vintage computer games and RPG books available. Email me if you're interested.
  38. Re:Interesting by susano_otter · · Score: 2

    Somehow I don't think the old 1. Buy all the dark fiber; 2. ???; 3. Profit! plan is going to work, no matter how much you spend on each ?.

    --

    Any sufficiently well-organized community is indistinguishable from Government.

  39. Are you sure? by Inoshiro · · Score: 2

    " Network traffic has been doubling every two years or so, this means that 90-95% dark fiber would last you about 6-8 years."

    I thought that was one of the lies that Worldcom used when cooking its books. After all, if this was really true, why did they run out of money?

    And even if you somehow believe this mathematical improbability (you'll find that real systems don't display exponential growth often, and when they do there is an asymptote), why would a company making so much money from the traffic not lay enough to last for 40-50 years of future growth? It costs a whole heck of a lot more to dig the trenches (permits, equipment, men) than it costs to buy a bunch of fibre to be buried, as you point out!

    So while it is proper planning to bury more fibre than you need today, but the rest of your post is complete hogwash and lies.

    --
    --
    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:Are you sure? by Alomex · · Score: 2

      I thought that was one of the lies that Worldcom used when cooking its books.

      The lie was traffic doubling every 3-6 months. Traffic does double every two years or so.

    2. Re:Are you sure? by Alomex · · Score: 2

      A network guy at AT&T did a study in 2000 or 2001 that showed the internet traffic level did grow at that rate for a few months in 1995 or 1996 when it was easier to grow that fast, but it was never sustained.

      The same network guy determined that the more correct figure was doubling every 12 months or so. However I have reason to believe the growth in traffic has slowed down somewhat since, hence the doubling ever 2 years or so figure I used.

  40. Cost and Effort by Mu*puppy · · Score: 2, Interesting
    Having worked with a company that maps out fiber runs for major telco companies, I'll chip in my .02.

    First off, laying fiber is -expensive-, in the thousands of dollars/mile. So when runs were mapped out, even if they planned on actually -using- only 2 strands of fiber, they would go ahead and lay a bundle 'for future use,' because it'd be more cost-effective than laying new fiber in the future. And we're talking usually a bundle of at least 8, and that's for a low traffic area (ie, on the far west side of Salt Lake Valley, with only 2 buildings spliced into the particular loop I mapped, no residential, and very sparse commercial). In downtown areas, a bundle of 16 is on the slim side.

    Secondly, most of you probably don't know how difficult is it to work fiber optic. You don't just 'tap in,' you splice into a specific strand that has to be active on the telco end (most buildings are connected to a loop at two separate points, for redundancy in case one 'loop to building' leg gets severed), and you have to have the optic hardware, which is certainly not cheap. For fiber optic splices, things must be -precisely- done, ends ground and capped within very narrow tolerances for error. And if you think Joe Sixpack has trouble with CAT5...

    And so, you have the price of laying it (which is why there's so much dark fiber in the first place, it was laid when the future actually looked bright), the price of hardware, the price of labor and expertise to tap into even an existing loop...

    Yeah, the average consumer is likely to NEVER see him/herself with a fiber hookup, no matter how much 'dark fiber' there is...

    --
    There's no wrong way, to eat a Rhesus...
  41. Re:Dark fiber isn't hurting anyone by eam · · Score: 2, Interesting

    I don't see stinginess as the reason, but I can understand why some people would think so. The people I know who use dialup generally have other options available. However, they don't see a reason to trade their $10/month dialup for a $50/month cable/DSL connection. If the content isn't worth $600/year, people aren't going to pay.

    Let's face it, the only reason the current content requires the higher bandwidth is because most web designers don't design for their audience. Every day I see pages (& emails) which waste bandwidth for no reason. For example, I just saw an email yesterday that used light blue text. It was an HTML mail. The HTML which was included was *HUGE*, but all it did was turn the text blue. The message would have been easier to read if it was sent as plain ascii. Now, who in their right mind is going to pay $40 more per month to read blue email?

  42. Re:10's of Billions??? by JUSTONEMORELATTE · · Score: 3, Insightful

    It takes a lot of money to light up each end of a fiber strand. If the 5% that's lit cost a couple-hundred million to do, then the remaining 95% would cost tens of billions.
    That said, it's an absurd figure to toss out. Nobody is interested in the cost to bring ALL of the dark fiber up to full capacity -- of COURSE that would cost a lot of money -- but it may be of interest to, say, double the capacity usage in a given pipeline/trench.
    --

  43. The evolution of broadband connections by marian · · Score: 4, Informative

    When I moved into the SF Bay Area 7 years ago the only "broadband" available was ISDN. It wasn't an option since it might have cost almost as much as my rent due to the per second (yes, you read that right) charges on top of the monthly flat fee. Then @home started making lots of noise and wasn't available to most people. They priced themselves fairly low and still never became available to me or most of the people I know. Then came DSL. No, it wasn't available to me either because I live so far from the CO. Eventually IDSL showed up and was only expensive, but I could actually get it. So, my first broadband connection was costing me around $150 per month and by comparison to ISDN it was cheap! Then Northpoint went out of business and I got screwed by AT&T when they decided to not continue service to Northpoint customers after buying their assets. (but I'm not bitter - no really) So much for IDSL since nobody offered it anymore.
    But now there appeared a new wireless service that said 256k symmetrical and it's available to me. Sure thing! Now my broadband was down to $99 per month. Cool! And they even gave me static IPs. Life goes on nicely for some time.

    Just because I'm curious (and was told by Pac Bell each time I called about it previously that they were going to upgrade the CO near my house to make DSL available "next year") I call Pacific Bell to ask my yearly question about when I can get DSL. A mere 4 years after I started asking I suddenly get "it's available to you now". Not just the lower end of the spectrum, either. It seems that Pac Bell really HAS been upgrading their COs and now I can get any speed connection I want. Oh, and 5 static IPs. For $79.95 a month. My broadband gets even less expensive.

    So what's the point of all this? It's that (at least for me) broadband connections are becoming more available, higher speed and less expensive.

    --
    "Suppose you were an idiot..... And suppose you were a member of Congress... But I repeate myself."
  44. Re:10's of Billions??? by SatanicPuppy · · Score: 2, Insightful

    Wire is inert if it's not attached to anything.

    Fiber optic is massively efficent, but if I shine a flashlight into it in seatle, they aren't gonna see a light in silicon valley, even IF there were no splices or connectors (Which, I assure you, there are). Hence they need signal amplifiers, and routing stations and technicians and hordes of other expensive crap to make all this line functional.

    Tens of billions is probably on the high side for what it would cost to get it running, but to keep it running? Cheap.

    --
    ad logicam Claiming a proposition is false because it was presented as the conclusion of a fallacious argument.
  45. Another Interesting Case by Halo- · · Score: 2

    My mother runs a public library. I was "exploring" the basement, and came across a funny looking metal rack with a bunch of telco wires coming out of it. Sliding the drawer open revealed tons of unconnected fiber.
    I asked my mom about it, and she said that when the local telcom (SWB) had laid fiber somewhere part of the deal was they had to run dark fiber to all the public schools and libraries in the district.
    Of course it's useless now (as I suspect most of the fiber the telco actually wanted to lay is) but you better beleive I keep an eye on the price of the head end equipment. In a few years, my mom's library is gonna rock. Well, at least for kids looking for books. :)
    I wonder if there are a lot of these "bonus" runs around the I-5 route?

    1. Re:Another Interesting Case by LostCluster · · Score: 2

      My city here has a similar deal with the local cable company. When they upgrade the cable system (which by contract must be done by Feb. 11, 2003... something they appear to be about to default on!) they are also to construct a fiber network connecting all of the city's schools, civic offices, libraries, police stations, and fire stations.

      In theory, if they connected the proper equipment at every site, and ordered up a fast internet connection from Verizon (who has a CO that just happens to be located next door to City Hall!) all of the city sites could have blazing fast Internet, and an even faster connection to each other.

      But the city doesn't have the people or budget to do such a thing. So, we're gonna end up getting a load of dark fiber that won't be used in the forseeable future.

  46. Dark Fiber uses and broadband service in the US by joshuakiyama · · Score: 2, Interesting

    I would really like to point out that the US has fallen so far behind in broadband services compared to other countries. I was looking at a Japanese magazine the other day and there was and ad for ADSL 12Megabit service to the home for around 1995 Yen per month, about 17 bucks! A few people have commented about, who needs dark fiber besides telcos and realted companies? I can think of several companies related to the entertainment business. I used to work at Warner Brothers Studios and we had a few OC-3 and a few OC-12 circuits interconnecting various facilities. We shared files, and provided a host of services to other divisions. It was great.. it was a part of a grander scheme at the studio,but thanks to the merger with TBS. The project was canned. This is just one example of how dark fiber can be used, granted that not everyone has the requirements of a motion picture studio. But you're only limited by your creativity. I am very frustrated that dark fiber isn't more readily available. I can think of so many uses and potential useful business that would make great use of dark fibre..But it's financialy not feasible.. Unfortunately, the telco monopolies are fat, lazy and their own financial problems, are a result of their own ineptness. ARgh!

  47. mod parent up... by jaredcoleman · · Score: 2

    Come on, this is hillarious. Even if it isn't funny to you (what, are you 300 lbs), don't mod it offtopic. I don't want quality stuff like this falling below my threshold!

  48. Re:10's of Billions??? by tomhudson · · Score: 2
    Mind you, there are other considerations as well
    1. As technology improves, they're going to be able to pump more data through fiber that's already lit, so there's no need to light up the dark fiber.
    2. Wireless wifi and projects like OpenDNS, and people lilypadding their networks, will also keep much of the dark fiber "in the dark".
  49. Routing, not Bandwidth is the Last Mile Problem by jafiwam · · Score: 4, Interesting

    I had a discussion with the other geeks in my office a while back about how fast we can ramp up the expectations of high-bandwidth amongst our customers. We came to the conclusion that it is likely to be many years before the high-bandwidth-everywhere (I mean more than 1 megabit per second) to all homes and all businesses cheaply.

    Here is why:

    1. Assume you can light all that fiber and run it effectively around the world

    • Companies would need to cooperate to light it
    • Places where there is not available fiber need to be provisioned (Some parts of the United States for example)
    • Will need more guys around to maintain and work with the stuff

    2. Connect the last mile

    • Wireless seems to be an interesting option, but will need to mature before being truely effective
    • Running fiber might work, but that's a LOT of fiber when you think about how many homes there are, go back to 'there is no fiber' and start again if you choose this option
    • Run copper using existing technology like Cable or DSL (but then, you are dealing with Telcos/Cables which have a whole host of problems on their own)

    3. Now that everyone has the capability, route the traffic

    • Assume that not everybody will use lots of bandwidth all the time, but there will be HUGE peak capacity needs
    • which then, may cause the lit fiber to not be as under-used as it was
    • Usage will grow over time to meet the existing capacity as people realize everybody is an LPB and they can store and move lots and lots of files, trade more less compressed MP3s and video, porn, warez, PowerPoint presentations in email, web masters all over the world get stupider and make big flash animations, etc. (So demand for capacity goes way up from what it is now.)
    • Upgrade all the router points starting at the customer premises to equipment that can handle it, cruddy Linksys can handle a T1, but not a T3.
    • Then, the CO needs to put in routers to handle peak capacity, dump all those Cisco 2500s and buy loads of 7500s, because 45 guys in my neighborhood at 1meg each will overload the existing equipment (Hint: that will cost lots)

    After all this, we came to the conclusion that dial-up is here to stay for the duration of our careers; unless traffic is routed in a fundamentally different way than it is now (more efficiently) or a revolution in router technology happens so that a router box capable of handling the traffic becomes dirt cheap, really small and fiber ready out of the box. Otherwise, no ISP will ever be able to afford the routing requirements alone of high-bandwidth for everybody even if the fiber is there and lit.

    Any one of the steps or sub-steps can be a difficult problem to solve. Though I would like to see it, I am convinced that the broadband for everybody will be a slow (decades) and painful process.

  50. a lot of variables by zogger · · Score: 2

    --reality is *some* places it's real hard to lay fiber or cable, other areas it's just nota all that hard. I watched them bury new phonelines here at the house, roughly a 1/3 mile up the driveway, didn't take them 15 minutes from pulling up with the truck, off loading the trencher and having that new line right to the box on the house. The extension around 100 yards out to the RV space they did with a smaller walk behind trencher, that took around 10 minutes. We had the entire road out front about 1.5 miles worth get tore up this summer for widening, it trashed the buried phone line, I kept a piece I found as a souvenir, heh, anyway the telco came out the next day and had the total distance completely re-run and connected and I was back online in a coupla hours. They ran right down the side of the road with the big driveable trencher, it's fast, it's just not a big deal in some situations.

    It just depends where ya are. The bottom line is the fiber is there and needs to be lit up. Local governments could decide to seize it eminent domain, then put it up for bid. I understand the equipment can be pricey, well, so is everything else that is only made in limited runs. I got old computers here cost thousands in 80's dollars, computers got cheap from orders and demand, this fiber optic stuff won't get cheap until there's some demand, and the demand won't get there until this fiber becomes available for outside companies to use. Catch 22 there. With all the tech industry layoffs, seems like maybe someplace somewhere some company can come out with the model T version of the equipment to use fiber optics. That part I don't know but electronics have gotten to the point it's ridiculous cheap, VERY generally speaking, all it needs is scale. People would buy it if it was there, you can't buy what ISN'T being offered, so there's no way to tell what the real demand is. I'd love to have a broadband offering that does it all, TV, telephone, net access, letting me host at home, etc, it's just not avaialble. As it is now got separat telco bill, separate dial up modem bill, want any decent tv you have to get a satellite system, like why? If I could get all that one one decent cable line somehow, it would be worth buying and I bet there's millions of more people out there could see that as well. The bulk of the nation still has about zip for ANY kind of broadband. I'm right at the last few feet for *possible* dsl copper service, but at 300$ install and no way to guarantee it will even work then another 100$ for an alleged "sorry, windows only" modem (they are clueless at local telco, origianlly they had the nerve to insist I couldn't connect to their dialup on a mac! for real! I had to tell their "tech support" how to do it) and then 80$ a month for real slow kbps they can byte me. Theyare gonna lose a customer to wireless as soon as I can get it, so instead of maybe 100$ a month for a total integrated broadband package that really is decent that they might can get from me they are gonna get *zero*. Great forward thinking business plan on their part. Uh huh.

  51. Actually it shows they were trying to save $ by Ungrounded+Lightning · · Score: 5, Insightful

    This article is just a reminder of how wasteful people were back in the DOT COM boom days. I'm sure that stories like these can be run in many major US cities.

    Actually, this article is just another case of the media being sensationalist while either completely misunderstanding the situation or deliberately misconstruing it to hammer it into the current propaganda "template".

    Virtually all of the fiber is SUPPOSED to be dark at this point. It's a side-effect of minimizing cost. Consider:

    If you're going to do, say, a national fiber backbone network, you have to run a fiber loop around THE WHOLE COUNTRY, plus runs back-and-forth to hit all the major non-edge cities. As you go you lay conduit in the trench, pull fiber through the conduit, and splice it.

    The cost of the fiber is NOTHING compared to the cost of the trench. You can put a WHOLE BUNCH of fibers in a single jacket, so the cost of the pull is the same. The cost of the splices is non-trivial and part of it is per-fiber-spliced, but it's STILL tiny compared to the trench.

    So, how many fibers are you going to pull and splice?

    It takes two fibers to make a section of the link, one for signals each way. That pair of fibers can carry (at the current top-of-the-line rate) about ten billion bits per second. That's 129,024 simultaneous uncompressed phone calls, or over a gigabyte/second of data traffic.

    Now suppose you were only planning ahead for a couple years, and figured one pair would be enough. So you only buried one pair. And you got enough customers signed up IN ADVANCE to just about fill it. And you went to hook it up and found that somewhere between SF and LA there was a break. Are you going to dig up a third of the west coast again to fix the break? Of COURSE not! You're going to bury EXTRA FIBERS in the first place, and use a spare fiber. But suppose you have only one spare pair and your main fiber is full - that's 50% dark fiber! CNN Headline News screams "Half the fibers in the country are dark! Oh, the waste! Oh the horror!"

    But do you, as the visionary building a network, think that the traffic is NOT going to increase in the future? If it doubles next year, do you want to light up another fiber? Or DIG ANOTHER TRENCH?

    So of COURSE you spend a few extra percent up front. You bury a BIG BUNDLE of fibers. (You also bury a few extra conduits, so you can pull more, or rent-or-sell one to some OTHER networking upstart who wants to pull his own fiber, once you're safely established.)

    So you're going to have a bunch of extra fibers. But how many do you light up? Answer: As few as possible. The boxes to light them up are NOT cheap. (Repeaters aren't muchFigure 1/8 million for a minimal TDM only box, over a meg for for a fully-loaded router.) But (unlike digging trenches) they are subject to Moore's Law improvements. Wait 18 months and your suppliers can get you twice the bits for the buck. So you buy expandable boxes (again to save costs later) but leave most of the slots empty.

    And now you have most of the fibers dark, until the traffic expands enough for you to buy more cards and shove 'em into the boxes to light up the rest of the fibers.

    So you have MOST of your fibers dark. And even reserving a few for spares you can light up most of 'em with paying traffic. But HOW MANY should you have?

    The common wisdom at the time was that the Internet bandwidth needs were growing by a factor of 10 per year, and would continue that way for a while. If you have 95% dark fiber now, (and the bright fiber is at capacity), in one year you'd have half of it lit, and in another three months you'd hit the wall, and be frantically throttling links, upspeeding them with new technology, and getting out the cable-pullers and trenchers again. The bandwidth glut becomes a bandwidth crunch.

    Turns out 10x/year was a myth, based on the explosive growth for the first couple years after the Internet was opened up to general users. The actual number is closer to 2x - which means today's 95% dark fiber means we don't have to get out the pullers and trenchers for a bit over a decade - and maybe longer if we go to higher speed over existing fibers.

    Same situation in the metro networks - except that you're talking about digging up ALL THE STREETS OF ALL THE CITIES, TOWNS, AND VILLAGES. Then doing it again in a few years if you didn't lay enough up front.

    It just makes you think.... How much stuff is out there that is just undocumented? How much wasted technology is out there that will never be found.

    This is well known in the industry. It's just that the media are clueless.

    --
    Bantam Dominique roosters crow a four-note song. Once you've heard it as "Happy BIRTHday" you can't NOT hear it that way
  52. broadband is NOT profitable by asscroft · · Score: 3, Insightful

    Look, here's the deal with broadband.
    #1 - mindspring makes 3 times as much from Dialup as they do from dsl. why? telco charges for dsl hookup. why? threat of VOIP? bottom line, broadband is not profitable.

    #2 - AOLTW made more from dialup business than any other part of this huge conglomerate company. why? dialup is profitable.

    #3 - the media industry is afraid of broadband and file swapping, and too afraid to embrace it in an intelligent way.

    #4 - the cable/sattelite companies are afraid of broadband

    #5 - the phone/long distance companies are afraid of braodband

    There are lots of people who will have lose their perch when 100MBPS optic fibre lines are standard in every living room, and they're going to resist that day as much as they can. If they're lucky it will never come, in the USofA that is.

    --
    because I have been enjoined by this Holy Office to abandon the false opinion which maintains that the Sun is the centre
  53. My idea was better... by spen · · Score: 2, Funny

    All of these problems could have been avoided if people had used my plan to install Pnumatic tubes instead of fiber. You just put a few tapes/disk/punch cards in a canister, and ... WHOOSH! - it's there. Fiber can never match that kind of bandwidth. Sure some will complain about latency, and we were having trouble integrating our last mile TCP/IP over carrier pigeon solution, but all cutting edge tech has its share of problems.

  54. Slashdotters largely economically illiterate by tylerh · · Score: 5, Informative

    Having 95% of the fibre dark is NOT wasteful --- it's smart investing. Let me explain.

    What is the single biggest expense in laying fiber? Digging trench.All those rights of way are expensive, and those guys in hardhats with the cool digging toys won't work for stock options.

    What is the second biggest expense? lighting the fiber. All that hardware at both end is expensive, and it's support staff expects to get paid every month.

    Once you are laying the first cable of fibre, what is the additional cost of laying an additional fibre? not much.

    Once you've decided to lay fiber, the economically rational move is to lay as much fibre as you think you might ever might ever need, becuase laying more fibre later will require you to dig everything up and do it all over again. Don't light any particular strand until you've actually got paying customer -- the cost of the boxes drops with Moore's law.

    The problem is not the too much fibre was laid, it's that too many different companies invested in fibre creating a buyers market for the customers. Given the current demand, even if each company had laid only a tenth of much fibre, we'd be in the identical place: same costs, same prices, same bankrupticies. However, when bandwidth demand catches up (and it will someday, I assure you), you'll be really glad all that "wasted fibre" is there.

    Put another way, if you lay a small amount of fibre, you are doomed to lose - by design, you've only got a small amount to sell. If you lay a lot of fibre, you might make a lot of money because you've haven't spent much more,and you'll be able to sell a lot more if/when the demand does turn up.

    --
    "one treats others with courtesy not because they are gentlemen or gentlewomen, but because you are" --G. Henrichs
    1. Re:Slashdotters largely economically illiterate by I_redwolf · · Score: 2

      Is this Enron economics?? Someone has to pay for the fibre; it's sitting unused because the people that could use it are out of business or don't have the money to do so, or because of the last mile problem. You're not stating anything anyone doesn't know, broadband isn't big yet, so invest now get the pay off later; MAYBE. However the fibre isn't lit it's laying there being unused as it is now it might never get used therefore it's a waste because someone paid for the fibre and then paid to have it laid with hopes of it being used to offset the cost. It might or might not return money at some point.

      If you practice your way you waste money on a investment you might not win. Infact the way it's looking that cable might not get lit for a couple of years you'll get higher return from your savings account. If you savings account returns more on the dollar than the fibre well it's not that smart of an investment.

    2. Re:Slashdotters largely economically illiterate by dacarr · · Score: 2
      Consider this though: something that tends to happen in order to work around is that you may occasionally note at conspicuous points on your drive through the city things along the lines of patch boxes. Generally, there are short lengths of PVC sticking out near or inside these boxes - those that are exposed are invariably capped. I've also seen them near utility poles, primarily around power junctions - especially in Anaheim, whose power is autonomous from the surrounding Edison grid. But I digress.

      Anyway, these pipes are there so that one does not have to retrench for more cable - basically, they thread the new cable (which IIRC contains a bundle o' fibers) using a pipe ferret (I think that's what those are called, those devices you use to remotely thread cable through conduits and such) out the other end, and just patch it into whatever board they use.

      I know they have this for copper, but having it available for FO cable would not surprise me in the least.

      --
      This sig no verb.
  55. Whine whine whine about price by CrazyDuke · · Score: 2

    I keep seeing people saying, "Yeah, there is lots of fiber laid but its too expensive to lite." I just saw 2 working 24 x 100mbit ethernet -> OC3 programmable hubs go for $45 each at a state surplus auction. How much does it cost to rent a closet in some commercial building that happens to be near a backbone? I bet I could easily make the closet rent + electricity + maitenence back just by selling service to the local isps here stuck on 7 T1's and then some. I smell something fowl, and I don't think its me.

    --
    Any sufficiently advanced influence is indistinguishable from control.
  56. Why not use it? by El · · Score: 2

    So, when are people going to start hacking into the dark fiber to create their own bootleg high bandwidth networks? If the companies that laid the fiber aren't using it, they'll never notice...

    --

    "Freedom means freedom for everybody" -- Dick Cheney

  57. Re:Dark Fiber by sharkey · · Score: 2

    for dark fiber leads to constipation, and constipation leads to

    Grunt---pppbbbbttt---THUNK!! Starship fuel!

    --

    --
    "Outlook not so good." That magic 8-ball knows everything! I'll ask about Exchange Server next.
  58. This is a problem in lots of places.. by Newer+Guy · · Score: 2

    There's so much dark fiber running all over the U.S.!
    Vyvx, a petroleum company ran hundreds of thousands of miles of fiber through old oil pipelines. Along most every railroad right of way, you're likely to find lots of dark fiber.
    There may be upwards of a half a million miles of the stuff unused. The only saving grace is that eventually some part of it will probably end up getting lit.
    I had a friend who owned a medium sized ISP back east. Around 1996 he asked me how to grow his company (he had about 15k subscribers at that point, virtually all dialup). I told him that it was time to take the plunge and either become a major coast to coast player or else get bought out by one. He got bought out by Winstar who put millions into his IP, only to declare bankruptcy and sell back to him at pennies on what they paid him in the first place. He was a lucky one. I wonder what would have happened if he had decided to become a major player. He'd probably be broke. Instead he has some decent $$ in the bank and he's gone back to his smallre roots.

  59. Re:Where the cost is. by pyros · · Score: 2

    where is the need for OC-148 to homes?

    In my pants, that's where.

  60. Econ = 1: Knowledge = 0 by IPFreely · · Score: 2
    The reason telocs don't sell all that bandwidth is that they don't have all that bandwidth. All they have is fiber in the ground. That does not equal bandwidth.

    It wouldn't be that hard to tap, especially since most consumers would be willing to pay for reasonable install costs.

    This is not fiber to the home. Consumers need capacity to the home, and that is different technology.

    This fiber is along the highway, long distance capacity. It costs thousands of dollars to put fiber in the ground. It costs millions of dollars to put those nice OC-192 Terminals and Repeaters on it to make it carry data. The telcos simply don't have the transmission equipment to light it up. You give them the equipment and I'm sure they would be more than happy to light it up and sell the bandwidth.

    Why is there is so much unused fiber? It costs the same to put one fiber in the ground as it does to put one hundred fibers in the ground. The cost is in time and digging equipment. So they plan ahead and put lots of fiber in the first time so they don't have to go back and do it again later. It was not planned as capacity at the time it went in, and not budgeted for transmission equipment. It was easy to do it "Just in case."

    If they chose to sell the fiber itself, it would have to be to someone who had the budget to light it up (back to those million dollar equipment cabinets). They probably don't get too many buyers for that reason.

    Dark fiber does noone any good. It is an asset that is not producing revenue. If there was any way to get money out of it, someone would be doing it. That is good business. (And since when does good business == good economics)

    --
    There is nothing so silly as other peoples traditions, and nothing so sacred as our own.
  61. Re:10's of Billions???-Ground effect. by tomhudson · · Score: 2
    A lot of traffic is more or less local (kids playing games, sharing files, etc), and doesn't need or justify the infrastructure of the internet.

    Even file-sharing tech. takes into account the ping times, to try to get files from hosts that are "closer" in terms of latency, so neighborhood wifi and lilyponding take care of most of the mp3 & video sharing.

    Doesn't it make more sense to save the long-haul stuff for low-bandwidth-requirement communications, such as posts to /.? :-)

    All this boils down to, is that, aside from ISO images of the latest linux distro (which is handled more efficiently over a neighborhood wan than it could be over everyone hitting the same poor mirrors every release), there's not that much reason to light up more fiber, at least in the next decade. Even video-on-demand is being roled out at the local level, not the national level.

  62. Re:Fiber along Oregon Highways by kliment · · Score: 2, Funny
    Top-secret whitehouse to area Oregon-C14 irc link log:
    [dubya]: your cs server was sooo laggy that last game
    [agentX]: well it must be those AC geeks from slashdot pulling on our fibers again.
    [dubya]: well, I'll pass a law about that imediately. Nobody interrupts my fraggin'
    [agentX]: okay, new game
    [dubya]: yay, fraggin
    [dubya] has quit("There must be limits to freedom" G.W.Bush,1999)

    btw people, for politically incorrect cartoons, check Elftor .

  63. Re:Fiber squatting by LostCluster · · Score: 2

    Go visit the local bankruptcy court. They'll be happy to introduce you to the rightful owners of some of the dark fiber, banks who gave loans to the late-90s telcos that didn't quite make it. The banks would gladly sell that fiber to any entity willing to make a reasonable offer. They've got an asset that's meaningless to them and nobody's placing bids on anyway... they'll be happy to sell it for less than cost.

  64. Re:10's of Billions??? by LostCluster · · Score: 2

    Yep, so all you need to do is to get that 10's of Billions in VC to pay for the equipment, with the promise that over the next 20 years the profits from the fiber lines will pay off the original investment. Afterall, Internet usage doubles every year... right?

    Oops. We've made this mistake alrady.

  65. like greed? rant over price hikes and lost service by twitter · · Score: 2
    Of course, it's also possible that the telcos have already run fiber to everyone's doorstep, but they're holding out on us because they want to "hold the man down" or for some other nefarious reason...

    Oh, you mean like greed? Like they don't want to let go of their $/minute telcom monopoly and broadband everywhere would allow anyone anywhere to video conference for $40/month instead of the $250/month AOL claims they can rape you out of? You think ATT is going to give up their usual rape? With a combination of wifi and broadband everywhere, who would need a cell phone?

    There is no way the people who laid that cable could forsee what happened to "broadband" and the 1996 tellecomunications act when they were planning thier networks. With a few abusive moves, the baby bells have killed their competitors. With a little malice, ATT killed excite@home. With no sense whatsoever, the Bush administration forgave them. Better to have a few companies you can rule than many that might constitute a free press. There's no technical reason for port blocks and DHCP over cable and DSL, in fact it costs extra money to deny you the abiltiy to serve. There's no reason for modem caps, but the FBI will come and get you for it. No, these stupid greedy tricks were unimaginable in 1996 and they came one stupid trick at a time. Could they have possbily seen that it would get so bad that someone like me, with five freaking computers up at all times, would move from cable modem back to dial up?

    Out to get me? Nah, out to get everyone. Don't think for an instant that you will not be hurt by this. You and I will continue to pay absorbadent long distance fees or just not use the services as planned. More importantly, every other business that is not Ma Bell's bastard child will pay those fees too. Every business needs communications and they won't have them. That costs money and you will pay when thing just don't get done.

    With the comming of the comercial rainbow of 802.11b, and open access point being declared terrorists, I have see that things are going to get much worse before they improve. The universities will fall last, but they will be controled too and that will be that. The whole promise of the internet as a peer operated imposible to control or destroy collection of computers sharing resources and information will be turned into the big corporate billboard you have to pay ma Bell to view. Call it TV++, Tee-Vee-double-plus.

    --

    Friends don't help friends install M$ junk.

  66. BellSouth sucks. by twitter · · Score: 2
    Of course DSL is unavailable, it's a copper only connection between you and the colo

    That's insightful? It misses the point that the freaking fiber is everywhere and that's the expensive part of the network, duh! A little extra equipment could have DSL or better in that whole neighborhood, and you know that it would pay off if only some greedy company like BellSouth were not sitting on it and waiting for all of the DSL companies to die. BellSouth wants nothing to do with the next generation of technology. They want to sell you long distance voice service and have been applying to get it for years. Now, despite proven anti-competitive practices, they will be granted that. The fiber will rot before BellSouth uses it, and I have to question if they actually laid it.

    I know the damand for DSL exists in Baton Rouge because I've been waiting for more than a year for a slot to open in my neighborhood. I had it but moved less than a mile away - did not change equipment area. When I got to my house I was told by BellSouth that there was no DSL. So I started to cancel my service with Telocity. Two weeks later, suprise suprise, a BellSouth employee calls me to offer me DSL! I told him I'd have to get back to him on that one, and immediatly called Telocity to see what I could do. They informed me that by agreement they could not just transfer my account from one location to another - it must be formally killed and restarted. Needless to say, DSL was not available when the formal process was over and will not be. BellSouth keeps the "availibility" database and has obviously abused it. I can be sure that there's a little mark next to my name in that database that says, "wants alternate service, never offer."

    --

    Friends don't help friends install M$ junk.

  67. competition only happens when you have a choice. by twitter · · Score: 3, Insightful
    Furthermore, bandwidth is a matter of supply and demand, and as long as demand isn't increasing, increasing supply will force down prices and make your business less profitable. Let's say everybody started needing DS-3 speeds into their home. Somebody would come in and offer that speed for a hefty premium, but as demand for that service built up, people would come into lower the prices to get into that market. Eventually you end up paying the same amount for your DS-3 as you did for your DSL and you've got a few more of those fibers on the coast glowing.

    Are you being paid by the turkey that said no one needed more than 640k of RAM?

    Supply and demand don't happen in a regulated monopoly environment. Tell me, how many "broadband" providers do you have to chose from? How many sets of wires come to your house? I've got all of one choice, the local cable serviceless ISP. No servers, DHCP, upload caps, the whole crapy works. DSL is something the local Bell is using their "availability" list to strangle and is simply not available, despite my being in a well populated Unversity town. Yep, I've got dial up and I realize what I can't have. I can't serve pictures to my family, I can't do voice over IP, I can't do web cams. The network is there, I was willing to pay $45/month to use it. The local telco and cable company made it so I could not have one and the other one was not worth the money. They can go bankrupt for all I care. My communications needs will be met by a dial up, but I resent the extra effort I'm forced into and I resent the people who thought it would be better for them.

    Strangley enough, I agree with you on one point. No one should be giving their money to any of the abusive providers of "broadband". Folks like canadaisp earn their service fees and don't ask much for it.

    --

    Friends don't help friends install M$ junk.

  68. how about upholding the law? by twitter · · Score: 2

    You know, like the 1996 telecomuncations act that required the baby bells to open up their equipment to competition? Rember that? Competition making things better? Oh, I see, you work for Microsoft, never mind.

    --

    Friends don't help friends install M$ junk.

  69. Re:competition only happens when you have a choice by sterno · · Score: 2

    Supply and demand don't happen in a regulated monopoly environment. Tell me, how many "broadband" providers do you have to chose from?

    Well personally I use Speakeasy DSL because they have competitively offered me a package that lets me do what I want with the bandwidth and I pay a premium for that. I could use AT&T cable, or SBC/Ameritech DSL. I could get internet over a satellite. I can get DSL through a number of sources, though as far as CLEC's go, I've got 3 or 4 choices.

    Granted, I live in Chicago, and so I get a lot of choices. In your situation, does it really make sense for the local bell to not offer you DSL services in the long run? If they have even a chance to charge you another $40/month, I'm sure they'd be more than happy to assuming that the costs for their infrastructure isn't going to be higher. The problem may be that, for whatever reason, it will cost them more to lay out the infrastructure in your area than they expect to make on DSL service.

    The question you have to ask in citing the "monopoly environment" question is this: what possible benefit does their monopoly gain by NOT giving you DSL service?

    --
    This sig has been temporarily disconnected or is no longer in service
  70. sounds like hell by twitter · · Score: 2
    I got on @home. Static IP, do what you want, 30 to 100KBytes/second up and down. $45/month with cable TV. It's been downhill since then, every six months prices increased and service declined. First TV was taken away. Then some turkey from ATT took over excite@home. Then servers were forbiden. Then they started putting in DHCP and @home died. ATT was seen dancing at the funeral. Then Cox took over. They put in DHCP and port blocks to enforce the no server ban. They sent out a big mailer to announce the service transition with mailboxes containing a CD that broke everyone's service. I did not use my lunch box and service worked just fine. What was in the mail box? A new MS IE! Useful on all zero of my computers. Yippie, they had MSIE only "services" like webmail, woo-hoo. They started crimping the modems and bandwith degraded. By the time I got out, I was paying close to $60/month for a single static IP address, no service inetnet service. They wanted $75/month for that static IP, with some rediculously low cap comprable to DSL down and less up. Lesser service was still "cheap" at $55/month.

    I now use a linux friendly ISP, CanadaISP that earns their measly $10/month. Yeah, dial up sucks.

    What are you able to do with your $80/month service? They let you run mail server? Web? The local telco? Right, even if they did, it's just not worth it to me.

    I've got $40/month for the first person that lets me use the wires hooked up to my house.

    --

    Friends don't help friends install M$ junk.

  71. Re:like greed? rant over price hikes and lost serv by cartman · · Score: 2

    Ummm, whatever...

    "With a little malice, ATT killed excite@home"

    Excite@home died because they couldn't make any money selling broadband.

    "With no sense whatsoever, the Bush administration forgave them. Better to have a few companies you can rule than many that might constitute a free press."

    Bush does not "rule" the telcos. Even if there were more telcos, it would not constitute a "free press," as this issue has nothing to do with the free press.

    "Don't think for an instant that you will not be hurt by this. You and I will continue to pay absorbadent [sic] long distance fees or just not use the services as planned."

    Long-distance fees have been dropping for years.

  72. Re:competition only happens when you have a choice by twitter · · Score: 2
    Granted, I live in Chicago, and so I get a lot of choices. In your situation, does it really make sense for the local bell to not offer you DSL services in the long run? If they have even a chance to charge you another $40/month, I'm sure they'd be more than happy to...

    I'm sorry to hear that Chicago is down to three or four providers. The plan was for six to chose from.

    BellSouth wants more than $40/month and they don't want to let any other company to get in and get by charging just that. It's simple, they've used spurious "competition" to losen their regulatory burden but kept just enough to screw their competitors. When it's over they will be able to screw everyone, or so they think. It's funny what happens when your lines run over public property.

    --

    Friends don't help friends install M$ junk.

  73. Fibers and sewers. by Ungrounded+Lightning · · Score: 2

    For the big cities and towns, is there any reason not to pull fiber through the sewer system?

    They're doing it even as we post. The fibers themselves are perfectly happy to run through sewers. (Splices, and the people who make them, are a bit more problematic.)

    Of course you'd PREFER to run it thorugh a conduit where you don't have to be hip-deep in running shit to work on it.

    And most homeowners would PREFER to have somebody string his fiber-to-the-home in a new conduit-to-the-curbside-box or down from a pole and through the wall than up the 30-years-of-shit sewer pipe and out a floor drain...

    But it can be done. And it may be desirable if the price is right.

    --
    Bantam Dominique roosters crow a four-note song. Once you've heard it as "Happy BIRTHday" you can't NOT hear it that way
  74. Also, fiber gets outdated too by SuperKendall · · Score: 2

    Not only might the material itself decay as you note (though I think that unlikley), far worse is that fiber grows obsolete too! Over time newer fiber materials are developed that can handle more traffic over a single strand, at higher speeds - and able to carry that all over longer distances.

    All of that means that the old fiber, even in only a few years, might be totally useless because the cost of the electronics when using brand new fiber would be far less than lighting up the old stuff (need more electronics on either end, and more repeaters in-between).

    Enough companies laid conduits that more than likley new fiber would just be blown through and the old stuff either ignored or pulled. So the conduits themselves might be worth something someday... perhaps. In cases where cable is buried without conduits, you can just forget about it.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  75. We don't *need* more bandwidth. by MaineGuy · · Score: 3, Interesting
    What would you do with 10Mb that you can't do with broadband today?
    - Watch video.
    Of what? There's still no good solution for streaming first-run movies over the 'net (Movielink is a first step, and a small one at that). I'm not aware of any major broadcasters making a lot of content available, either.
    From where? The costs of serving up 300kbps streams are so high that many outlets (e.g., CNN, MSNBC) are charging for their content. Who's gonna pony up for fatter streams? Servers and access cost $$.
    - Share files.
    What kind of files? You better believe copyright owners would focus more on file sharing of their intellectual property if it were super easy.
    - Voice service.
    Current residential broadband service is just fine for voice. Granted, the upstream can't handle multiple simultaneous sessions without significant compression, but the current broadband access speeds will handle VOIP for a while.

    How would you store the data that would stream down the pipe? Big hard drives are cheap, but we would have to redefine "big." 250GB wouldn't last long.

    Without question content will come, and uses would pop up that we haven't even thought of yet. But I just don't see the need right now.

    I'm not being critical -- just curious. What *would* you do with 10Mbps? How much a month would you pay for it? It wouldn't be cheap. The companies that spend the bucks to lay the pipe and hook up will need to make money. Would you pay $150/month for super high-speed Internet service?

    -Ray

    1. Re:We don't *need* more bandwidth. by gnomez · · Score: 2, Insightful

      What was it Gate's once said? "512k is enough for anyone" or words to that effect? If you look back even 5, 7 years ago, a gigabyte was massive, 3 1/2 inch floppies were still quite useful, and DVDs were either non-existant or about as popular as laserdiscs. Computers are an excellent case study of the human race expanding to fit its boundaries, toppling the walls, and them going further. No matter how much capacity there is, its never enough. Shortly, someone will fill that 10M/s line, and want more. (and AOL will find a way to fill it with ads and spam even faster.)

      As for $150/mo, with the cable bill added onto (strictly monitored and capped) internet its almost that high already. 10mps would probably happily render portions of cable tv obsolete.

      As for the pay-per-use concept, its probably only going to expand, as the rest of reality already works on that system (successfully or not, they use it none the less).

      And... that's my rant for the day.

      Gnomez

    2. Re:We don't *need* more bandwidth. by dbrutus · · Score: 2

      Guess what, you don't need to answer that. I remember an article about garages as a key competitive advantage for the US (I believe it was Forbes). How many start up firms took advantage of cheap space and were launched merely because the garage made the money numbers work? It turns out that lots of firms started that way including Henry Ford, the Wright brothers and Apple Computers.

      Plentiful bandwidth is the next century's garage. It will permit an entire new generation of information technology start ups to create new solutions we can't even conceive of.

  76. The last mile bottleneck. by Ungrounded+Lightning · · Score: 2

    The internet would have grow 10x per year if end users can get 10Mbits up and down for $20 a month. Just think what people will do if they can download and upload at 10Mbits

    The current bandwith and price actually slow down the economy and telecom


    Quite. And that's what we call the "last mile" problem.

    Running a bundle of fibers thousands of miles across forests, streams, deserts, and mountains is expensive.

    But running A HUNDRED MILLION fibers, coaxes, or high-quality twisted pair bundles a hundred to two thousand feet, through some of the most expensive and built up real-estate in the world, to a hundred million separate endpoints, costs an ASTRONOMICAL amount of money. And then you have to undersell a competitor who ALREADY HAS a copper pair or coax INSTALLED to most of homes in question. That's copper that was already paid for, back when he was running a regulated monopoly (or bought the bankrupt cable company).

    The backbones were built at least partly on the assumption that the a cheap last-mile broadband connection would be available. It seemed reasonable at the time: DSL and digital cable were already working. Local phone service was being deregulated and competition was expected. Killer apps were already being developed that would result in mass demand for broadband: Digital broadcasting, digital audio and video content distribution, audio- and video-on-demand (central archive "movie rental", "jukebox", and time-shifted broadcasts), internet telephony.

    But the regulatory regime created an incentive structure that broke it all:

    1) The ILECs (Incumbent Local {phone} Exchange Carriers) were simultaneously allowed to provide DSL and required to lease cheap copper to their own competition (both DSL and phone) at price-capped levels.

    2) The cable companies ended up in the hands of a couple media conglomerates.

    3) Copyright was expanded.

    1) is why DSL is nearly a phone-company monopoly, with monopoly-style service and prices.

    The ILECs had, decades ago, installed copper to service the number of phones they expected to be installed - assuming the pair would be used for phones and they would remain a monopoly carrier. The copper wasn't all suitable for even 1Mbps downstream ADSL, while the stocks were already running low (with everybody installing extra phones for modems, FAX machines, and the teenage kids...) even before they had to rent 'em to the competition at below replacement cost.

    So as the good pairs ran out, guess whether the ILEC would rent the remainder to a CLEC or give it to one of its own DSL customers. And if they have
    to install new ones and are required to rent them to their own competition at less than cost (making up the difference from their own customers' bills), of COURSE they won't install any more.

    So DSL is pretty much stuck with the existing pairs until the rules change. The ILECs get the good pairs while the CLECs get maintainence trouble (including "disappearing pairs" when an ILEC installer steals one for a new ILEC customer - then the ILEC repairman steals a DIFFERENT one to complete the repair call on the first, and loop forever). Thus almost all the CLECs are dead (a notable exception is Covad, which renegotiated its debt and is still limping along), leaving the old "phone company" ILECs running the DSL show.

    And the ILECs really didn't want to sell DSL in the first place. It was a low-profit service they had to offer as part of a deregulation deal, in order to be allowed back into the long-distance business. At the time long-distance was where the money was.

    But then several competing long-haul fiber carriers finished their networks and started competing for the same customers - leading to a price war that sucked all the profit out of long distance, killed off many of the new upstarts (who didn't get the revenue to pay off their investors), and crashed the telecom equipment market. (This is the "telecom crash".) Meanwhile, el-cheapo carriers started selling compressed packet phone service, over either their own fat pipes or the internet, and the price tanked even worse.

    So the ILECs aren't getting the long-distance profits that were supposed to pay for the DSL rollout. And once you've got your DSL line, maybe you'll use internet phone calls to cut your regional long-distance bill. And if they ever DO put in more copper they have to rent it to their competitors at a loss. Is it any wonder they're in no hurry to get you a DSL line?

    2) Cable is a cute system when you only have a few customers. You can serve them cheaply from the head-end. But the bandwidth is shared. Add more customers, the quality of service for each drops. (And one customer who actually USES the bandwidth he bought can wreck it for everybody else on his branch.)

    You can fix it, at least somewhat, by splitting up the big tree into a bunch of branches, running fiber to the cutpoints, and treating each branch as a separate tree for the digital service. (Like putting in more, smaller, cells in a cellphone network.) And you can deal with the "power users" by throttling the users (if you can get away with such consumer fraud), then moving the hogs to a different channel (with better QOS and a higher price). And you can sick the FBI onto the uncappers...

    Fiber to the splitter and cable to the home is a nice compromise. (Like "fiber to the curb" and copper to the home for longer-range or higher speed DSL.) But it's a lot more expensive than the original almost-free-money service they had been counting on.

    Meanwhile, they're MEDIA conglomerates. They're REALLY in this business to sell you network TV, cable premium channels, and pay-per-view, then turn around and sell your "eyeball time" to the advertisers. The LAST thing they want is for you to shift those eyeballs to a broadcast medium they DON'T control, which doesn't pay them as much as your current viewing habits, and which might be selling the very product they created without paying them their fees.

    So they have little incentive to provide cheap broadband. They only have to do better than the ILEC's DSL operation to make SOME money. But why push hard on a service that may end up costing them more money than it generates - either in problem-solving buildouts or loss of revenue elsewhere in the empire?

    3) Meanwhile, the content providers are in a panic. They have the idea that digital distribution means perfect cheap copies, and to them that means piracy. So they don't want their stuff available digitally AT ALL unless they have a stranglehold on it. Thus they're not interested in rolling out a digital distribution network of their own.

    They're also parts of the media conglomerates, who get major bux from broadcast outlets. Broadcast media has THE highest return-on-investment of ANY industry. The LAST thing they want (as a media conglomerate) is competition from low-budget upstarts enabled by the new technology.

    With the Napster case and DMCA and CARP and the like, they've put the spike in both pirate and legal internet content distribution that's outside their control. And they have no incentive to roll out their own operations.

    So the content-distribution bandwidth demand didn't happen. The internet has degenerated into the equivalent of commercial catalogs, billboards, and bulk mail, and while nerds may still want it, joe-middle-america is NOT chomping at the bit for bandwidth and waving money at the first guy to provide it.

    Without demand for the last mile you don't get the cycle of expansion of supply, economy of scale, competition, and price drops. And the last mile remains a bottleneck.

    --
    Bantam Dominique roosters crow a four-note song. Once you've heard it as "Happy BIRTHday" you can't NOT hear it that way
    1. Re:The last mile bottleneck. by kesuki · · Score: 2

      I'd just like to make one point.. I realize that 1 mbit capable copper is hard to find... But most people looking at moving to get DSL are looking at 256kbit plans, because ~$20-$30 a month == cheaper than dialup on a dedicated phone line.
      256kbit DSL isn't particularly fast, as far as what DSL is capable of, but it's such a quantum leap ahead of dial-up that almost anyone who knows how slow dialup is would be willing to pay such a small premium for the advantages.
      But as you said, the telco is really trying to discourage DSL customers. I wanted DSL service, but the telco couldn't or wouldn't give me a straight answer on if my line qualified. They wanted me to pay $50-75 out of pocket to have them send a tech out with equipment to determine if my line could be used for DSL. Eventually I just went with cable modem, because of the hassle.
      My sister recently went to DSL, and she had the same problem with a runaround from the telco, but her neighbor works for the local telco, and Told her she would be able to get DSL. Even though they couldn't (or wouldn't) tell her that over the phone.
      Another thing to remember is that the reason the telco is discouraging the advancment of DSL is two fold. dial-up ISPs have to lease a large amount or phone line space in oreder to service customers, and the most active dial-up customers might end up buying a dedicated residential line, unless they use a cell-phone as thier primary line . So in effect the telcos are looking at loosing lucrative extra line revenue if there is widespread adoption of DSL/broadband. A market already hit hard by cell-phones.
      On the other hand, if they don't offer DSL they could loose residential customers to cable modem/cell-phone combos. I know that I have no need for a land line anymore. Since it's illegal to prevent a telelphone line from being able to dial 911 in an emergency, even if the person is unwilling/unable to pay for a phone line.
      Also, it's interesting you bring up internet telephony, because the largest user of the technology are actually cellular telephone companies. Which is why you see 'free long distance' on so many cell phone plans.

  77. One Further Point by llywrch · · Score: 3, Informative

    Is that the fiber in Oregon this article is talking about is mostly along I-5. The original article that this story came from had a map showing where this fiber was laid. This map showed that with the exception of what the BPA had laid down, there was practically NOTHING connecting all of this fiber to the rest of the state, whether it be Bend (which is a growing high tech center) or smaller towns that fear they are doomed because they can't afford to lay & light up a network of a dozen miles back to this glut of bandwidth.

    Think of it this way: these companies built several eight-lane highways linking Seattle, Portland, San Francisco and points south; they didn't bother to build more than a handful of interchanges each of which at best feeds a total of a single lane of traffic to them. This fiber will remain dark for a long, long time.

    Geoff

    --
    I think I see a trend here. Maybe for them it really would be easier to muzzle the entire internet than to produce p
  78. Running fiber in pneumatic tubes by billstewart · · Score: 2

    Back in May 2001, there was an article in the NY Times (copy) and Slashdot (also mentioned on DeadMedia.org) about a project to run fiber optics through pneumatic tubes in New York and other big cities. While the meme is out there, it's not clear that anybody's actually implemented it. One problem, besides the financial issues, and the World Trade Center collapse in the most interesting market area, is that real ownership of the tubes is vary unclear, at least in New York City.

    --

    Bill Stewart
    New Fast-Compression-only CPR http://preview.tinyurl.com/dy575ks
  79. Unused Wavelengths, not just fibers. by billstewart · · Score: 2
    Several people have pointed out that the cost of laying a big bundle of fiber isn't much different from laying a single pair of fibers, and it's dumb to use expensive optical amplifiers on fibers you don't need to use yet, plus expensive optical muxes and line-terminating equipment at the ends, especially when a pair of fibers can run up to 160 wavelengths, of up to OC192. One reason it makes financial sense to roll out lots of fibers, especially in metropolitan areas, is that you get much more flexibility about customer locations, and as long as you're not exceeding distance limitations (which depend on the type of signals you're sending) it's a lot cheaper to run extra fiber and use it inefficiently, because fiber splices are much cheaper than optical amplifiers or active electronics or wavelength-division multiplexers. It's also a lot easier for a carrier to handle selling to multiple customers (who are often other carriers, not just end-users) if you can give them their own fiber rather than wavelengths. For long-haul routes, or big metro rings, it's worth putting more active equipment in and using more wavelengths.

    Another issue is that much of the Oregon build-out happened late in the boom - if you look at the Boston-NewYork-WashingtonDC routes, which were developed earlier, you'll find that there's less multiplexing and more sale of individual whole fibers, because the equipment costs were higher, but they did a Moore's Law type crash dive during the late 90s and early 00s that Oregon benefitted more from.

    Meanwhile, if you're trying to get a data feed to every lottery terminal in Oregon, you don't care about 160-wavelength x 10Gbps OC192 fibers - you care about getting 4kbps worth of data on whatever kind of copper wire or wireless goes out to the convenience store, and doing the protocol conversion because lottery terminals still speak X.25 and nobody wants to pay the capital costs to teach the things IP :-)

    --

    Bill Stewart
    New Fast-Compression-only CPR http://preview.tinyurl.com/dy575ks
  80. Add redwolf to the illiterates by tylerh · · Score: 2

    My dear I_redwolf,

    you are confusing cost with marginal cost. Let me make up some numbers to be the idea across.

    Assume it costs $1000 to dig the trench, $200 to light the fibre, and $20 to add an an additional fiber while the trench is open. You have a paying customerfor one fiber -- who you can provision fo $1000 + $200 + $20 = $1220 dollars. To avoid your concept of "waste", that's what you'd do: lay the single fiber for $1220.

    Great, now, comes the next customer. Except that you've already buried the trench, so you have dig everything up again. That's another $1220.

    Now consider a "wasteful" competitor. While the trench was open, they laid 10 fibers, so that spent $1000 + $200 + 10 * $20 = $1,400 dollars provisioning the first customer. But now, each additional customer only costs $200. By the second customer, the "wasteful" competitor has only stpen $1,600 and is clobbering the "non-wasteful" who has spent $2,440.

    This is bascically what happened: while the trenches were open, companies laid all the fiber that would fit, but did't light it. The potential "waste" of this approach was slight next to the waste of digging up the streets again in a couple of years.

    hope that helps.

    --
    "one treats others with courtesy not because they are gentlemen or gentlewomen, but because you are" --G. Henrichs
  81. Re:Add redwolf to the illiterates by I_redwolf · · Score: 2

    What don't you understand about there being no customers on that fiber? Not one hundred, not ten, ZERO. It nets ZERO profit.. there is no INCOME from it. Lets use some numbers to get the idea across.

    I spend $1000 to dig the trench, and $20 to add an additional fiber while the trench is open. There is no cost to "light the fibre" because it isn't being used. So thats $1020.. I have zero customers and the fibre isn't lit. I have gained nothing. WASTE.

    I'm not confusing anything, you're confused; a 5 yr old could grasp this idea. If you buy a car and sit it in your driveway, don't put any gas into it, don't use it. It's just sitting there, it's a waste.

  82. Re:Add redwolf to the illiterates by tylerh · · Score: 2

    Ahhh, I see the problem.

    You assume that you know how many customers you will have before you build. Only monopolies have that luxury. Yeah, once it's built, you discover you don't have enough customers. But you never actually know how many customers you have until you have already built that darn thing -- and then it's too late to add more strands.

    Look back to my original post: with 95% over-capacity, even if each builder had only put in a tenth as much fiber, we'd be in the identical place: (almost) the same money spent, the same prices, the same bankruptcies. Once you decide to build one of these things, you're a fool not to put in "too much" capacity.

    Using our toy example, let's assume customers are willing pay to $1500/strand, but you don't know how many customers there are. Now, to keep this simple, let's examine the case of 0 customers and 3 customers. Then, in our highly contrived example, we get four possible outcomes:

    "non wasteful" (single fibre) build: cost: $1020

    no customers, $1020 loss
    or, three customers, $l500 - $1020 - $200 - = $280 profit. remember, you only put one strand down.

    "wasteful" (10 fibre) build: cost: $1200
    no customers, $1200 loss
    three cusomers: $4500 - $1200 - $600 = $2700
    And your next 7 customers, if you can find them, are pure gravy.

    Notice that the "waste" when no customers turn up in the "wasteful" and "non-wasteful" builds only differ by 20%, but in the three customer case the "wasteful" build makes almost ten times as much money.

    Once again, as outlined in my first post, once you decide to build one of these things, the rational thing to do is lay more fibre than you currently need. If you don't think you have any customers, don't build. If you think you have *any* customers, build big. There is no middle ground here. Yes, that extra $20 for the next unused fibre is a "waste" at this moment in time, but if you don't spend the $20 bucks now, you'll never get another customer.

    Let me turn this around: do you consider your car insurance premium "wasted" if you don't get into a wreck? because the idential logic applies there as well. The future is uncertain, you make changes at the margin (additional fibre in the trench, paying your insurance premiums) that have the greatest potential to influence the future (serving extra customers cheaply if they appear, not being rendered carless by a wreck). The future turning unexpectedly does not mean, perforce, that the original marginal expense was "wasted."

    Your car analogy is deeply flawed: the marginal (additional) cost for a second car is about the same as the first one. If additional cars cost 1/20th as much as the first one, I suspect most americans would have extra cars sitting all over the place.

    --
    "one treats others with courtesy not because they are gentlemen or gentlewomen, but because you are" --G. Henrichs
  83. Re:Add redwolf to the illiterates by I_redwolf · · Score: 2

    Actually the problem is that I think we differ on what the word "waste" means. See, you're operating under the notion that this fiber; someday down the line will get usage. That is not the case even for the foreseeable future which is a good 15-20 yrs. Now investment wise I see this as a waste, I also see it as waste period.

    I don't consider a car insurance premium "wasted" because I receive the value of knowing I'm covered should I get into an accident. The logic doesn't apply; as you said the future is uncertain, the fiber isn't being used and probably will never be used. So what you have is byproduct, waste or whatever you want to call it. If you don't see this as a waste then it's because somehow you think someone will receive return on this. Meaning that because they dumped all the fibre they could into the ground someday, someone will use it; yippee you saved money because you don't have to dig it up again. Of course no one is gonna use it for the forseeable future if at all. Did you really save money? Or is it a waste.. be honest now.

  84. Re:Add redwolf to the illiterates by tylerh · · Score: 2

    The logic doesn't apply; as you said the future is uncertain, the fiber isn't being used and probably will never be used.

    What makes you so certain? Let's do a quick back of the envelope. A reasonable estimated is that 'net traffic doubles every 2 years. I can find references that say "9 months" and "100 days," I really feel 2 years is closer to the mark. Please feel free to correct this number. Our source article claimed "95% unused. So we need demand to go up by a factor of twenty. 2^5 = 32, so we get there with 5 x2 years == a decade. One decade. Similar nfrastructure projects like sewers and powerlines are planned across multipe decades, so I don't buy you "not used for the foreseeable future" claim.

    But even it I did, I stand by my claim that laying additional fibre in the trench was not wasteful investment at the the time of construction.

    You're final sentence (Did you really save money) betrays you: it's not about saving money, it about making a reasoable gamble on the future. If you were focused on avoiding loss, you weren't in this business in the first place. Given that you've already rented the backhoes, it's totally reasonable toss a little extra cable in the trench. If you didn't believe a market existed, than you would never have rented the backhoe. The "waste," as I understand your position, was not the extra fiber but digging the trench in the first place.

    Hindsight is 20/20: obviously the less wasteful way to this was to sit on you money and buy one of these networks out of bankruptcy. But few of us have such proficient crystal balls.

    --
    "one treats others with courtesy not because they are gentlemen or gentlewomen, but because you are" --G. Henrichs