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Court Ruling Points Way To Broadband Regulation
DarkHelmet writes "An article on CNET News indicates: 'A U.S. appeals court has rejected the Federal Communications Commission's request to rehear a case, in a move that could prompt local governments to regulate the cable industry.' The piece explains: 'The rejection could pave the way for municipalities to force cable companies to share their broadband Internet lines with third parties.' I personally can't wait for companies like Speakeasy to branch into the Cable Internet market and provide 10-100mbps service."
Flame me if I'm wrong, but wouldn't that be de-regulation?
How exactly would one company be able to offer more bandwidth than another? There's still a limited amount of bandwidth available. With DSL, you can have the lines to yourself, connected to your backbone.
If your ISP is different than the company that maintains the wires, they always point fingers at each other when there's an outage. People have discovered this over and over with DSL, and there's no reason to think it would be any different with cable.
In Austin there are three cable "ISPs": RoadRunner, Earthlink, and a local one whose name I forgot. Since they all use RR's physical plant, I choose RR since there's only one company to call and one company to blame.
The only solution to this appears to be structural separation (where the company that owns the wires is not allowed to be an ISP), but this has its own problems (like it would probably be more expensive).
I was talking to a friend of mine earlier and it sounded like the Cable Broadband was about ready to do what Phone companies had to do years ago. Is it feasible, or even proper for each phone company to have it's own phone lines for it to use? If that were true, then every house would have 3 or more phone lines for the different companies your phones are on. That is worse than the current state where we have more phone numbers than people in the house. So, there was one phone company that owned all the phone lines, and then the government saw this as a monopoly and opened it up so we could afford to have more phones than people. Broadband, there has been one company that made all physical wiring, and only uses 10% of it and chokes out any competition. So the government will have to intervene and make it possible for companies to compete.
Ultimately, everyone will be better served by competition in this market. The main reason I wanted comcast was to receive the local cable access channel. Small producers like myself are budding every day. With fast data pipes, channels could proliferate. Companies like Atom Films, Project Greenlight and the like could offer premium subscription services.
In case the benefits of this aren't immediately obvious, let me add one feature the /. crowd can surely appreiciate -- cable porn. (yeah, yeah I know there's Spice and the like but this way, there could be an Indie Nudes or Suicide Girls Channel)
Ultimately, producers of content could market directly to consumers. Aggregators (like current channels) could make the process easier. Expect an explosion of creativity . . .
harmonious design
Cablecos are notorious for being cheapskates. They brought us the $50 throw-away box, are unwilling to change, and charge an arm and a leg for any minor improvement. You can be sure that if they are to surrender their pipeline, that they will do the bare minimum to support any 3rd party. Sure, it may be good to have the ability to pick and choose between vendors, but ultimately someone is going to have to do maintenance on the pipe if it breaks. Hidden infrastructure and support charges will quickly kill any small service provider. They don't have the domain over the pipe, and they don't have the expertees. We tried this years back with ADSL. It was a total failure. How many of those companies are still around? None except Earthlink and a few others. The rest are.. you guessed it.. the telcos.