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FCC Kills Build-out Requirements for Telecoms

Frankencelery writes "In a 3-2 vote, the FCC has altered cable franchising laws in the U.S. to the advantage of AT&T and Verizon. 'The FCC order imposes a 90-day limit on local communities' franchising decisions, but, more importantly, does away with build-out requirements. Those requirements generally insist that companies offer service to all the residents in the town, rather than cherry-picking the profitable areas.' Good news for the telecoms, but bad for cities who want a say in the fiber deployments."

325 comments

  1. This is not for AT&T by suv4x4 · · Score: 4, Insightful

    It's for everyone: if companies are forced to sell where wouldn't sell, this would affect the prices and quality of service for everyone.

    There are cases where even "evil monopolists" should be left to do certain aspects of their business without regulators messing in it.

    1. Re:This is not for AT&T by pembo13 · · Score: 2, Interesting

      You seem to imply that they will lower their prices or something. I don't see why they would. In which case they make larger profits.

      --
      "Thanks for all the money you paid to us. We've used it to buy off ISO among other things" -Microsoft
    2. Re:This is not for AT&T by ultranova · · Score: 4, Insightful

      It's for everyone: if companies are forced to sell where wouldn't sell, this would affect the prices and quality of service for everyone.

      Except the people who, thanks to this decision, can't get any service whatsoever.

      There are cases where even "evil monopolists" should be left to do certain aspects of their business without regulators messing in it.

      Anything that's vital for the proper functioning of society, and has a tendency towards a natural monopoly - water, electricity, telecommunications, transportation - should be controlled by the society and not by "market forces".

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

    3. Re:This is not for AT&T by SQL+Error · · Score: 1
      In which case they make larger profits.
      Which is bad how, exactly?
    4. Re:This is not for AT&T by SQL+Error · · Score: 0
      Anything that's vital for the proper functioning of society, and has a tendency towards a natural monopoly - water, electricity, telecommunications, transportation - should be controlled by the society and not by "market forces".
      If something is controlled by market forces then it is controlled by society.
    5. Re:This is not for AT&T by suv4x4 · · Score: 2, Insightful

      You seem to imply that they will lower their prices or something. I don't see why they would. In which case they make larger profits.

      I knew people will bend it like this, but there's the deal: you have a certain acceptable price range to offer to your customers, say ~100 ID/mo (imaginary dollars :P).. To break even without regulators, you need say, ~50 ID/mo, and with regulators: ~80 ID/mo.

      If you need to sustain certain profitability with regulations that force you to do business where you don't want to, you have two options: neglecting reinvestment, support, quality, but keeping prices in the desired range, OR increasing prices.

      It's as simple as that. Your logic makes sense only if they make their investments few times back in profit so they could afford to fix prices to whatever they want and not affected by their expenditures.

      In reality however, the profit margin is much thinner, so no such perfect conditions exist.

    6. Re:This is not for AT&T by Anonymous Coward · · Score: 5, Insightful

      > > In which case they make larger profits.
      >
      > Which is bad how, exactly?

      At the expense of equal access, public infrastructure, and realistic phone rates to go along with those benefits.

      Or, was there an upside to corruption that we weren't aware of? Enlighten us how buying off greedy politicians is so great.

    7. Re:This is not for AT&T by suv4x4 · · Score: 0

      Except the people who, thanks to this decision, can't get any service whatsoever.

      It's up to me as a business to decide whether I wanna sell you christmas lights, or I don't wanna sell you christmas lights. If my shop is in New York and my profits are just fine, it's not up to some regulatory institution to insist I open a clone shop in every single little village in the country.

      If you want my service, move to a place where I offer it, or use someone else's service. Simple as that.

    8. Re:This is not for AT&T by hcdejong · · Score: 2, Insightful

      No, it is controlled by a small subset of society, i.e. the decision makers of the (small number of) companies that control the market. Since their mandate is to increase shareholder value, their view of 'society' tends to be myopic.

    9. Re:This is not for AT&T by sethawoolley · · Score: 3, Insightful

      Infrastructure investment through government mandate then leads to an effective subsidy on better communication. Better communication leads to more intelligent market choices. More economic exchange means better larger economy. Government collects taxes and spends much of it on R&D grants to feed the infrastructure loop.

      At least, that's how the US Government helped Bell Labs with Ma Bell and we all benefited greater than all the libertarian marketscapes in third world countries combined.

      Pick a better example next time you spout your neoliberal ideology around here.

    10. Re:This is not for AT&T by spectrokid · · Score: 3, Interesting

      I lived in York when the water company got privatised. Never seen such a disaster. It wasn't just a license to print money, it was also a license to be incompetent. Now with telecom, one can argue to which extent it stil is a monopoly. And people wo go living in the middle of nowhere should learn that this comes with a price tag. I can remember stories from Belgium where millionaires built illegal expensive villas in protected woods. Even though the constructions were illegal, the utility companies had to spend fortunes to connect these houses, paid for by suckers who live in appartments. And five years later, when they get kids, they go and complain to local politicians because there is no busstop anywhere near. So now the bus from A to B has to stop 10 times instead of 5, doubling travel time. Living in a city is better for the environment (less transport) and better for the community (public transport, utilities, schools...). It should be rewarded.

      --

      10 ?"Hello World" life was simple then

    11. Re:This is not for AT&T by tacocat · · Score: 4, Insightful

      My phone bill after the Ma Bell breakup didn't reflect this.

      All my bills following the deployment of broadband intraweb thingy didn't reflect this.

      In fact, all my (tech) bills are rising faster than inflation and I have only experience more dropped calls, lower data rates, and poorer (image) quality television.

      They may make in investment in infrastructure, but that doesn't mean a realized benefit to the customers in every case.

    12. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      Spout your keynesian/socialist ideology elsewhere.

      We all know that subsidies work out just great, and that government investing always leads to "effective subsidies". You seem to think what you write Just Is True, which I for one contest. Government has a history of malinvestments.

      "God is freedom, God is truth.
      God is power, God is proof."
        - Porcupine Tree, Halo

    13. Re:This is not for AT&T by Dachannien · · Score: 4, Insightful

      Your Christmas light shop doesn't benefit from owning rights-of-way (or benefitting from another company's right-of-way) on both public and private property. It doesn't hold monopoly power over Christmas lights.

      In exchange for having their monopoly and rights-of-way protected by the government, it's only fair that utility companies would be required to give something back to the community, especially since there's such a huge public benefit at stake. If a utility company is considering moving into a hence-unserviced market, they can take into account servicing that market's outlying areas when they make that decision.

    14. Re:This is not for AT&T by Silver+Sloth · · Score: 1

      On the other hand a community can decide whether to allow anyone to conduct a business unless they meet certain criteria. The right to conduct unregulated business isn't God given.

      --
      init 11 - for when you need that edge.
    15. Re:This is not for AT&T by seifried · · Score: 1

      Cool, so I can refuse you a right of way or an easement on my property when you decide to do a build out? What's that? I can't refuse you a right of way or an easement? Oh ok, I'll just talk to your competitor then. Oh wait, you have a state granted monopoly and there is no competitor? Ermm... Seems rather one sided.

    16. Re:This is not for AT&T by sethawoolley · · Score: 1

      | Government has a history of malinvestments.

      Governments have the opportunity to invest in the common welfare. That's the whole reason we enabled their power in the preamble to the Constitution.

      Not all governments take the opportunity seriously, but those that have an aware, directed, and involved populace tend to make startlingly good investment decisions, and in fact, institutional investors such as governments statistically beat out rates of returns compared to individual investors, and even compared to financial investment institutions (e.g. mutual funds).

      Put your faith away, it's making you irrational.

      Maybe you should read about Kenesianism in, say, "Peddling Prosperity". Check it out from your local public library, or, pay full price for it if you hate public institutions so much.

    17. Re:This is not for AT&T by rollingcalf · · Score: 4, Insightful

      "It's up to me as a business to decide whether I wanna sell you christmas lights, or I don't wanna sell you christmas lights. If my shop is in New York and my profits are just fine, it's not up to some regulatory institution to insist I open a clone shop in every single little village in the country."

      With your Christmas lights shop you aren't digging up miles of public property to create the means for selling your lights. If you ever do start to do that, it becomes the public's business to say under what conditions you can dig up their property. People in a town may not want to deal with road closings and jackhammer noises and other disruptions if their block isn't going to be able to make use of the infrastructure buildout that is causing that disruption.

      "If you want my service, move to a place where I offer it, or use someone else's service. Simple as that."

      If you want to disrupt my days to build out something for your service in my town, you better make it available to me, or go to another town. Simple as that.

      --
      ---------
      There is inferior bacteria on the interior of your posterior.
    18. Re:This is not for AT&T by timmarhy · · Score: 1

      no one is forcing them to sell there. what this means is communities don't have to right to demand equal service to all it's citizens in exchange for a cable franchise.i say again, no one is forcing them to sell anything at a loss. they could just not take the deal offered. what you will see come out of this, the poor getting poorer, and the rich getting richer. which never ends well for society, be it technical or financal matters.

      --
      If you mod me down, I will become more powerful than you can imagine....
    19. Re:This is not for AT&T by timmarhy · · Score: 1

      "If you want my service, move to a place where I offer it, or use someone else's service. Simple as that." - no you fucking idiot, no one is forcing the cable companys to install cable at a loss. the cable companys don't like the terms of a cable franchise in some towns so they've begged/bribed the fcc into changing to law to suit them. i say agin so your thick head gets it - they aren't forced to do anything - THEY are the ones persueing the business.

      --
      If you mod me down, I will become more powerful than you can imagine....
    20. Re:This is not for AT&T by baldass_newbie · · Score: 2, Interesting

      institutional investors such as governments statistically beat out rates of returns compared to individual investors

      That's because the government can print money faster than individual investors...
      BTW, the government is not a direct investor in companies, i.e. stockholder. And while mutual funds and investment companies might beat out YOUR individual rate of return, they do not beat mine.

      You might want to read some Friedman. His economics work a lot better than Keynes'.

      --
      The opposite of progress is congress
    21. Re:This is not for AT&T by Toby+The+Economist · · Score: 2, Funny

      > Infrastructure investment through government mandate then leads to an effective subsidy on better
      > communication.

      People have n money available to them. They spend it optimally - at least, more optimally than anyone else can spend that money on their behalf, because they know most about themselves, more than anyone else.

      When the State appropriates money and decides what to spend it on, that money is AT BEST spend as efficiently as it would have been otherwise (in the case where the State spends it exactly at the individual would have).

      However, of course, what actually happens is the State spends is less - and usually far less - efficiently, by spending it on things that are way down the list of efficient uses of money for that person.

      So, the State comes along and appropriates your money and spends it on telecoms.

      Let's say for the sake of argument it actually works okay out, no corruption, political football, bad decisions, porkbarrelling, etc, and we actually *get* telecoms from this.

      So now, here I am, when I need badly need cheaper winter heating and building materials because my house is in disrepair, and what have I got? well the State took the money I would have spent on that and bought me telecoms instead.

      That's a pedagogical example to describe the concept; we, as a mass of individuals, direct our money towards the things we need most. We, individually, know best of all, what we need. We, as a mass, therefore provide a demand for a range of services and goods. The finite resources available chase this money and provide these services and goods.

      Trying to shortcircuit this process is utter madness, because it is as optimal as we can get.

      When the State gets involved, it's always *awful* - the wrong demand is created, the right demand is therefore unmet, the State generally chooses a *single* service and provides it to everyone (e.g. you will all use the State medical service) where the normal market provides a range of companies and so people have choice to suit their needs and preferences, and of course there's also the administrative cost overhead of State (another layer using up money to decide how to spend the money), and the deadly issue of State spending being corrupt, badly chosen, porkbarrelled and bounced around as a political football.

    22. Re:This is not for AT&T by Toby+The+Economist · · Score: 0

      > You seem to imply that they will lower their prices or something. I don't see why they would. In which
      > case they make larger profits.

      If you have two or more companies selling much the same product and people can choose between them, the companies are both tempted (unless they form a cartel, which is both illegal and unstable) to lower their prices "just a bit" to make their product cheaper and so win more sales and make more money.

      Eventually, both companies reach the point where they cannot reduce prices any more.

      Neither company can increase prices, since to do so would lose customers to their competition.

      I'm amazed that this isn't obvious. Surely you do really know this?

    23. Re:This is not for AT&T by Toby+The+Economist · · Score: 2, Insightful

      > > > In which case they make larger profits.
      > > Which is bad how, exactly?
      > At the expense of equal access, public infrastructure, and realistic phone rates to go along with those
      > benefits.

      You need to think into the future.

      If in a given field, a company is making excessive profits, the fact that that field is so profitable naturally leads it to draw in other companies. These new companies then undercut - just a little - the existing companies, to steal their customers. This is the beginning of the virtuous (for the customer) cycle of price cutting until companies cannot reduce prices any more.

      Markets are not static entities - they are dynamic. They self-correct, in the absence of State regulation, which permanently distorts markets and either increase prices or restrict supply. (New York renting laws, for example).

    24. Re:This is not for AT&T by brennanw · · Score: 2

      Sure, but most of the time companies prefer to go after existing customers, because there's already an infrastructure and a market there.

      Very rarely do you hear a company say "hey, we're going to market our wireless internet service in the slums, where no-one can afford the rates we want to charge!"

      --
      Eviscerati.Org: All Hail the Eviscerati
    25. Re:This is not for AT&T by TheRaven64 · · Score: 1
      Nice in theory, but what companies actually do is look at the numbers. First, they take their price cut and multiply that by their number of customers. This gives them a number which they then subtract from the profit per customer multiplied by the number of customers that they think they would gain. The smaller the price cut, the smaller the number of switchers, so you need a big price cut to get enough to make it worthwhile. On the other hand, a big price cut will eat up their profits. So, in most situations, there is no incentive for a price cut.

      What they do instead is offer '50% Off!!!oneoneoneoneeleveltyone' (for the first three months).

      --
      I am TheRaven on Soylent News
    26. Re:This is not for AT&T by Anonymous Coward · · Score: 2, Informative

      This is really coming down to AT&T and Verizon wanting to get more into the "Triple Play" market -- telephone, high-speed internet, and television distribution. Although they're already entrenched in the telecom market, they have to go head-to-head with the cable companies on the last third of that combination.

      So posit this: you have Comcast, who currently has to support all of the users in a municipality, urban and rural both. AT&T comes in, and builds out in the most profitable areas (wealthy/dense) only, and starts providing a choice in digital television service. Well, what with Comcast's local history of gouging the hell out of everyone as the only service provider, a substantial number of people in this area switch to AT&T (especially since AT&T is running that price break special for new customers...) Comcast is then forced to do something to compete with AT&T -- offer more services, lower prices, whatever. The two get into a price war, and the customer is offered a decent economic/service environment to get things piped into their home. John Smith, who lives in suburbia, is really benefitting here.

      However, AT&T can focus all their attention on this (much smaller) market. The price wars can continue until John Smith is getting the best deal ever. Frank Farmer, though, who lives about 5 miles away, but in a more rural area (or even just a neighborhood that isn't as new), still only gets Comcast. And Comcast, who used to subsidize their rural buildout by keeping prices at a certain level across all their customers, now has a dilemma. In order to help keep their prices in the AT&T zone competitive, *someone* has to take up the slack for the lower prices *and* the loss of customers. Comcast is only going to jack up the prices outside the zone and rape the customers that don't live in AT&T's area. AT&T doesn't give a damn; they don't figure it's profitable enough to roll outside their zone, and Comcast is suffering (it might serve them right for past behavior, but that's another story). Eventually, Comcast has to consider pulling out of the market, because they can't serve everybody. AT&T *now* has a perfect chance to expand to these new, unserviced areas, thus becoming the new sherriff in town. Lather, rinse, and repeat a few years later, when someone else moves in to compete, but in the meantime, you're back to the single-operator monopoly.

      Suddenly, you've created a tiered service structure within town. If Frank Farmer wants better service, sure, he can just move...but there's only so much urban density that a city can handle. Sure, he can do without having fancy television, but you start creating zones of haves and have-nots, and the population starts getting really embittered. With their service providers, with their governments, and with each other.

      The simplest solution is to treat the fiber/cable infrastructure as a public service, much like power or water, and allow competition on the wires. This is what the government was *trying* to do with telco subsidies the past 30 years; they just got really lazy about cracking the whip, and the telcos started to get out from under the rules that were giving them the tax breaks and cash infusions for buildouts and services.

      I'm amazed this isn't obvious. Surely you've considered the potential realities of a market, and not just stuck to a fairytale environment of theoretical economics?

    27. Re:This is not for AT&T by msobkow · · Score: 1

      I don't think I worked in the US pre-breakup, but over the years my landline phone services in both the US and Canada came down a lot in price. Internet prices in Canada have come down over time as the infrastructure got built out and less had to be collected to pay for capital investments.

      Fortunately, our telcos and cable companies have remembered to include infrastructure maintenance and upgrade budgets, and used them properly.

      Those requirements generally insist that companies offer service to all the residents in the town, rather than cherry-picking the profitable areas

      One advantage of crown corporations, co-operative businesses, and similar structures is that the protectionism gets shifted to customer service and competition. If the US keeps going the way they are in this regard, I forsee them falling way, way behind the rest of the world.

      --
      I do not fail; I succeed at finding out what does not work.
    28. Re:This is not for AT&T by afidel · · Score: 1

      This flies in the face of the century old concept of universal access whereby we pay slightly higher rates to insure that everyone has an equal opportunity to take advantage of the telephone system. I'm not so worried about the idea of IPTV not being available in the sticks as there are alternatives, but no FIOS means that they are shut out of the infrastructure that will power the 21st century.

      --
      There are 4 boxes to use in the defense of liberty: soap, ballot, jury, ammo. Use in that order. Starting now.
    29. Re:This is not for AT&T by pammon · · Score: 1

      > People have n money available to them. They spend it optimally - at least, more optimally than anyone else can spend that money on their behalf, because they know most about themselves, more than anyone else.
      > When the State appropriates money and decides what to spend it on, that money is AT BEST spend as efficiently as it would have been otherwise (in the case where the State spends it exactly at the individual would have).

      That is not true at all! Imagine a city full of people who each have a dollar to spend. Each person can spend it on a Big Mac or towards the city's street lights. Everybody would rather have street lights instead of a Big Mac. However, the individual marginal street light gain from a single dollar is negligible - how many street lights does a dollar buy, after all? So the optimal choice for each individual person is to buy the Big Mac, even though everyone would prefer the lights. The state, by appropriating the dollar, can spend that money more efficiently by buying street lights, and everybody becomes better off.

      Locally optimal choices do not necessarily imply a global optimum! Investment in infrastructure is exactly the sort of public good where locally optimal choices can lead to poor global decisions.

    30. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > The smaller the price cut, the smaller the number of switchers, so you need a big price cut to get enough
      > to make it worthwhile.

      This makes no sense. Changing price is trivial - you simply change what you charge. If reducing your price increases your profit (which it will do if someone else is undercutting you), then you will do so, because you will make more money.

      The idea that you'll shrug your shoulders and go "I can't be bothered" isn't there.

    31. Re:This is not for AT&T by acvh · · Score: 3, Interesting

      I feel for you, but I don't see any way that this could be true. Fifteen years ago I paid Compuserve 6 dollars an hour for 2400bps online access. Ten years ago it was a local dialup ISP getting $29.95 a month for "offpeak" access at 56k. Today it's 29.95 a month for 3Mbps access.

      My local phone service today includes all the long distance I can eat, voice mail, more call handling options than I'll ever use, and costs 60 bucks a month. My parents paid a base fee for service, had to buy "message blocks" for local calls, and paid anywhere from 45 cents to a buck and half for long distance minutes.

      Ten years ago I got my first cell phone, and paid $1 a minute for the first 20 minutes of usage, then 69 cents after that. Today I pay 10 cents a minute for the first 700 minutes (on two lines even) and something for going over, which we never have. I can make calls anywhere I go, never pay for roaming, and the only time calls drop is when I'm driving.

      I don't usually think of TV as "tech" in this context, but ten years ago our cable bill with HBO ran something like $75(?). Today Dish costs us $80, with HBO and a DVR.

    32. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > So posit this: you have Comcast, who currently has to support all of the users in a municipality, urban
      > and rural both. AT&T comes in, and builds out in the most profitable areas (wealthy/dense) only, and
      > starts providing a choice in digital television service.

      This is the crux of the problem.

      Comcast is being forced by the State to behave in ways it would not otherwise behave. It makes no sense to offer a service in a location where it loses you money.

      Comcast is forced to do this, AT&T apparently isn't, naturally, AT&T wins.

      This is harmful State intervention and interference in the market.

      Comcast, AT&T, etc, are privately owned. They belong to people, just like you and me. There is no obligation upon them do *anything*. If they just wanted to offer cable in the middle of Kansas, then they could; it's a free country. The State however has, on behalf of the selfish voter, *forced* them to spend - to lose, in fact - their money. This is wrong. It is a violation of freedom and liberty.

      If the State passes a *law* saying Rural Farmer *will have* cable, then the State has passed a law which says Cable Provider *will spend -their- money thus*. It is *absolutely and catagorically wrong*.

    33. Re:This is not for AT&T by Qzukk · · Score: 1

      If you need to sustain certain profitability with regulations that force you to do business where you don't want to

      This would be great and all, except that the telecom companies have already proven just how much pent up rage they can unleash at people moving in to serve markets where they "didn't want to" as witnessed by all the laws they have backed and tirades their CEOs have given against cities deploying the wireless services that they weren't.

      Companies want to have their cake and eat it too. This is impossible, but they sure as hell will try. Let's see how long before a local player decides to run fiber through part of a city that AT&T "didn't want", before suddenly they want it so bad they're going to go to court to get it.

      --
      If I have been able to see further than others, it is because I bought a pair of binoculars.
    34. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      And just why should we want companies to have to market in areas where there are small / no profits to be made? Sounds like a communist plot to force them to. It's funny how all the "markets should be free" folks are here all the time in force, but when you get something like this, the group think here seems to be "companies should have to build/provide stuff for free."

    35. Re:This is not for AT&T by CreatureComfort · · Score: 1


      Hmmmm... let's say you weigh 500 lbs. You want to spend your money on another McDonald's Big Mac. However, the government knows that you would be better off spending your money at a health club. So they take your money from you and use it to provide parks and jogging trails. They still can't make you use them, but they can increase your opportunity to make better choices. Another example would be your desire to sit and watch Oprah and Springer, but they use some of your money to sponsor PBS in the hope you might learn something useful.


      Not sayin.... just sayin...

      Anyone who's read any of my posts knows I'm much more Libertarian than the above implies. However, we do need to recognize that there are certain legitimate uses of government to improve the common welfare that individuals wouldn't, or in case of large projects couldn't, choose to do for themselves. I really like the interstate highway system, but without a government to take my, and everyone's, money and get it built and keep it maintained, it would never have happened. I really like the internet, but once again, it is a result that no one person could have created, and a result that 20 years ago, you couldn't have gotten most of us to personally invest in because we wouldn't have understood how connections between computers would ever have any personal meaning in our lives.

      --
      "Unheard of means only it's undreamed of yet,
      Impossible means not yet done." ~~ Julia Ecklar
    36. Re:This is not for AT&T by Toby+The+Economist · · Score: 0

      > Governments have the opportunity to invest in the common welfare. That's the whole reason we enabled their
      > power in the preamble to the Constitution.

      The goal is *common welfare*. Subsidies, however, require increased taxation (a direct reduction of common welfare) and distort or break the free market - which is ultimately the ONLY source of common welfare, because Government actually *makes no money*. All it does it take money and spend it.

      > Not all governments take the opportunity seriously, but those that have an aware, directed, and involved
      > populace tend to make startlingly good investment decisions, and in fact, institutional investors such as
      > governments statistically beat out rates of returns compared to individual investors, and even compared
      > to financial investment institutions (e.g. mutual funds).

      Hang on. We've been talking about Government regulation of telecoms. You now seem to be talking about Government investment of tax revenue into, into what? stocks and shares? property?

      What's more, the Government has instrinct advantages over private investors, for example, the assumption that they will be backed up by the Fed - e.g. the Government will, if necesssary, print money to meet their obligations. This enables them to borrow at lower rates, due to their lower risk - which is the problem with Fannie May.

      Also, which "individual investors" do you mean? I hope you don't mean private individuals who don't work in the industry, because they ALWAYS get hammered. Beating them means nothing.

    37. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      It's funny that you mention "having faith", because that's just what you have (and that's why I put the "Halo" quote in there).

      Government isn't magic. When it does *anything*, it's the same as when you or I do it.

      The single difference between a free market and government is this: in a free market you make your decision, and I make mine. You visit McD, I get something from Subway (and the same works for phone, gas, electricity; before many US cities introduced local monopolies (or AT&T), there was intense competition in all of these areas). In a democracy, only the majority gets to decide what *all* the money is spent on. Doesn't sound too fair to me.

      Oh, and don't be ridiculous on the libraries. Libraries are great, but many of them were actually privately founded, by Andrew Carnegie IIRC. There's *nothing* about government that makes it magically more proficient at providing "public" institutions or public goods than a charity or NGO. Don't assume government is magical, wise, and has special expertise that comes out of nowhere. It's just a bunch of people with guns.

      About the "rural" and communications thing: when you decide to live somewhere where it's expensive to establish services, that's your choice. Don't expect everybody in the country to pay their hard-earned money to help you getting broadband in the Pampa.

      If something is expensive, that's to say that it takes *many resources*, for instance to connect a dozen of people living out in the country. It would *save* resources, if those people decided to live somewhere else, but if they choose to live out there, because it saves them *other* resources, maybe it gets them good food, clean air, cheap property, then that's again their choice to make.

    38. Re:This is not for AT&T by Toby+The+Economist · · Score: 0

      My feeling is that people would behave in the way you describe, because where the State has, for their entire lives, always taken care of long term selfish spending, they have absolutely no experience or thought about behaving in that way.

      We have *created* a culture and a population who are psychologically dependent on the State to provide long term selfish behaviour.

      There is, though, I think, nothing *fundamental* about this. We are not like this because we cannot be otherwise.

    39. Re:This is not for AT&T by tehwebguy · · Score: 1

      don't even pretend that another company can begin to compete at this point

      --
      -- lol pwned
    40. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > This would be great and all, except that the telecom companies have already proven just how much pent up
      > rage they can unleash at people moving in to serve markets where they "didn't want to" as witnessed by
      > all the laws they have backed and tirades their CEOs have given against cities deploying the wireless
      > services that they weren't.

      You're confounding two different issues.

      The free market telecoms companies objected to the appearance of *State provided* telecoms.

      They would not have objected as they did to the appearance of *free market* telecoms, in this case, offering city-wide wifi.

    41. Re:This is not for AT&T by Ngarrang · · Score: 2, Informative

      > > > In which case they make larger profits.
      > > Which is bad how, exactly?
      > At the expense of equal access, public infrastructure, and realistic phone rates to go along with those
      > benefits.

      You need to think into the future.

      If in a given field, a company is making excessive profits, the fact that that field is so profitable naturally leads it to draw in other companies. This is correct for businesses with low upfront costs. In the telephone and cable industry, there is a high upfront cost to running wire and cable. That upfront cost would off-set and annihilate any chance at profit in the near term. Customers tend to also be apathetic: They will stick with what they have because it involves the least amount of work, even when they hate it. So, any new cable provider in a city would have to offer such deeply cut rates to entice these lazy consumers as to make it not worth the business effort.
      --
      Bearded Dragon
    42. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > > Anything that's vital for the proper functioning of society, and has a tendency towards a natural
      > > monopoly - water, electricity, telecommunications, transportation - should be controlled by the society
      > > and not by "market forces".

      > If something is controlled by market forces then it is controlled by society.

      Yes - exactly!

      When something is controlled by the State, then it isn't controlled by society. It's controlled by politicans, and their agenda is *not* the same as the agenda of society or of the people who vote them into power.

    43. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      Oh me oh my, how ever shall we protect the selfish corporation from those awful selfish voters?

    44. Re:This is not for AT&T by WhiteWolf666 · · Score: 1

      No, No, No, No.

      AFAIK, locality oversight is in _trade_ for easy (and city-wide) grants of Rights-Of-Way to run lines.

      AFAIK, if a company wanted to negotiate with landowners individually to build its own network, it could.

      Granting Right-Of-Way, and stealing my land for telecom usage is government intervention in the market. Once you have government intervention, responsible oversight is a necessary condition.

      I have no problem if Comcast wants to setup an all private system. Just they should understand that if they are going to run lines across my land, they damn well better pay me for the privilege, and I'm not going to settle for a song and a couple of shiny beads.

      What's good for the goose is good for the gander; and if corporations are getting rights over MY property without MY permission, I fully expect them to be controlled regarding those rights by my local elected representative. We aren't strictly talking about a private entity here; we are speaking about a semi-public entity which literally relies upon public property. Without those rights-of-way, telecoms would not exist in the same form they do today.

      --
      WhiteWolf666 an exBush supporter. All you new-school,compassionate,save the children Republicans can rot in hell
    45. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > If you want my service, move to a place where I offer it, or use someone else's service. Simple as that.

      *Exactly*.

      If someone wants to live in rural Kansas, then it is THEIR PERSONAL CHOICE. Which is to say, they need to consider transport, communications, food, heating, etc. The consider all the factors and decide if they're going to move there or not.

      What on EARTH is person A (the State) doing *making* person B (telecomms) provide cable to person C (man in rural Kansas)? what business is it of A what C does? why on earth is A forcing B through the threat of jail and fines to lay his cabling in the middle of nowhere?

      The answer ultimately is that person A has no idea what freedom and liberty really mean and, co-incidentally, is voted into office by person C.

      If person A forced person C, through the threat of jail and fines, to BURN HIS MONEY IN A BONFIRE, we would be OUTRAGED. If however person A forces person C to lose his money, not by burning it, but by running a loss making telecoms service which he doesn't want to do, we...applaud?

    46. Re:This is not for AT&T by bigbigbison · · Score: 1

      I'm a customer, not a stockholder. Therefore, the fact that they convinced the government to allow them to screw over customers should be disconcerting.

      --
      http://www.popularculturegaming.com -- my blog about the culture of videogame players
    47. Re:This is not for AT&T by Abies+Bracteata · · Score: 1


      If in a given field, a company is making excessive profits, the fact that that field is so profitable naturally leads it to draw in other companies. These new companies then undercut - just a little - the existing companies, to steal their customers. This is the beginning of the virtuous (for the customer) cycle of price cutting until companies cannot reduce prices any more.


      So *that* explains the proliferation of HP, Lenovo, Toshiba, Dell, etc... laptops with Linux pre-loaded
      and pre-configured available for sale these days!!!

    48. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > On the other hand a community can decide whether to allow anyone to conduct a business unless they meet
      > certain criteria. The right to conduct unregulated business isn't God given.

      If we have a society with freedom and liberty, then it is "God given".

      If the community - which is to say, persons A, B, C, D, etc - can arbitrarily decide that person Z *cannot* do what he wants (sell something he makes) then we no longer have individual freedom and liberty.

      John Stuart Mill argued the ONLY acceptable justification for interfering in anothers life (e.g. preventing Z from selling) is *SELF-DEFENCE*.

      So if Z was selling dangerous toys, then other people could properly stop him.

      But that is the only basis for doing so.

      Any other basis means freedom and liberty have been compromised.

    49. Re:This is not for AT&T by Rob+the+Bold · · Score: 1
      There are cases where even "evil monopolists" should be left to do certain aspects of their business without regulators messing in it.

      Like running a telephone/cable/data line over or under my neighborhood but not offering me service becuase we live where they "wouldn't sell"? We're giving these guys rights-of-way -- they're suckling at the public teat. I understand their goal is to maximize profits by socializing the costs and privatizing the revenue, but we don't have to agree with it or accept it just because they say they want it.

      --
      I am not a crackpot.
    50. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > With your Christmas lights shop you aren't digging up miles of public property to create the means for
      > selling your lights. If you ever do start to do that, it becomes the public's business to say under what
      > conditions you can dig up their property. People in a town may not want to deal with road closings and
      > jackhammer noises and other disruptions if their block isn't going to be able to make use of the
      > infrastructure buildout that is causing that disruption.

      You're talking about neighbourhood effects.

      This is when a person A (power plant for example) properly has a cost they should pay (pollution effects) but in fact they don't - that cost is distributed over the neighbourhood.

      You are right to say that if the road is dug up, etc, to lay cables, then a neighbourhood effect is occuring; people nearby are bearing a cost of inconvenience that properly falls upon the company.

      The solution to this is compensation.

      The solution to this is NOT that the people bearing the neighbourhood effect then get a voice to direct the behaviour of the company, which is what you're suggesting!

    51. Re:This is not for AT&T by ZachPruckowski · · Score: 1

      If in a given field, a company is making excessive profits, the fact that that field is so profitable naturally leads it to draw in other companies. These new companies then undercut - just a little - the existing companies, to steal their customers. This is the beginning of the virtuous (for the customer) cycle of price cutting until companies cannot reduce prices any more.

      There's one major problem with that. Without state regulation, a smaller company has almost no chance in that industry, since they'll eventually have to lay some of their own cables/fiber, and they can't afford that.

      Not to mention that the problem in this instance isn't price, but availability. The federal government and the state governments gave the telecoms billions in tax breaks and favorable regulations with the promise that the telecoms would supply fast Internet access to all. Then we let it slip to "fast for some in profitable markets, but at least some broadband to everyone". Now it's "Just give broadband to whoever you want, and keep all that stuff we gave you". As someone who doesn't live in an urban area, I think we need the telecoms to live up to their promises. I should be able to get at least 256k/64k reliably over a wire. I can pay like $50 a month for variable-quality wireless at that speed, but I'd like a wired option from someone.

    52. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      So, we're saying Comcast is legally obliged to provide a service which loses money (which is true) and you're saying it's not true, because Comcast et al in fact, through lobbying, control the body which is supposed to regulate their market.

      It certainly is true that regulatory bodies do end up being managed by the industry they are supposed to regulate.

      This brings us back to our view that the whole thing is a sorry mess created purely by the State.

      Your post, however, is crude and insulting. If I had mod points, you'd get "Twat (-1)".

    53. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      If you want to go to the blood-and-guts style of service providing, sure. Comcast can decide to build service in this neighborhood, but not that one. But then that turns into torch-and-pitchfork pretty fast, when a group of people are being constantly told, "I'm sorry, you're too poor to get service to your area." The only question is whether the people that don't get service get nasty with the service provider, or if it gets to the point that they start getting nasty with the people that *can* get service.

      If you want to take economics in a vacuum, that's fine. If you don't think that people will eventually riot over lack of cable television access, then that's a risk you're willing to take. I, personally, don't think that instituting a completely cutthroat mindset of economic policy isn't going to carry over to the consumers as well. And there are technically more of them.

    54. Re:This is not for AT&T by ZachPruckowski · · Score: 1

      You assume that average prices is the criteria. It might instead be "everyone needs some form of broadband". If the cable and phone companies have a requirement to serve everyone then that forces them to invest in cheaper ways to serve people efficiently. Additionally, it provides everyone with broadband access, and makes the Internet at high-speed a near assurance in America, just as the potential for phone service is now. That's more important than average price for customers, because "average price" ignores the fact that for some customers, the price is infinite.

    55. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      What makes you think FIOS will only come if the Government makes it happen?

      If there are enough of you wanting FIOS and it can be provided at a low enough cost, it *will arrive*.

      If there aren't enough of you, and/or you're not willing to pay what it would cost to get FIOS to where you are, then you won't get it - because for the telco to provide it, they would actually be *paying you* to have their service.

      There's no difference between ordering telcos to burn money in a large fire than ordering them to lose that money by providing a loss making service. In both cases, the people who have put their money into that business are being directly *robbed* by the State. The only difference is in the former case, it just means they have a nice fire to keep warm by, and in the latter case, some arbitrary people in a rural part of the States get a nice telecoms service.

      Either way, its absolutely and catagorically unethical.

    56. Re:This is not for AT&T by Silver+Sloth · · Score: 1

      So if Z was selling dangerous toys, then other people could properly stop him.

      But that is the only basis for doing so So your fine with someone selling heroine to schoolkids, or kiddie porn, or whatever...

      Unless you receive your morality from a religious source, and I would argue, even then, all moral statements are relativistic and derived from society. Quoting JSM is all very well but as limited as quoting sole examples from Marx, Mao, Nietzsche or Adam Smith.
      Back here in the real world comunities have gathered together to choose how they wish to live together using quasi democratic processes to attempt to achieve some sort of concensus. You might say that this is compromising freedom and liberty, I would say that it's the natural state for a social animal like man. If you want to live on your own then you can make ALL the rules, but if you live with me then we've got to decide how to get along with each other. These comunities then have the right to say to suppliers 'either supply on our terms or we'll chose someone else' just as much as the suppliers have the right not to chose to supply.
      --
      init 11 - for when you need that edge.
    57. Re:This is not for AT&T by budgenator · · Score: 1

      Well everybody knows all them niggers and poor white trailer trash that live in that part of town are too stupid to use the internets anyways and if you run the cable tv down there, they just mail-order those jerry-rigged convertor boxes and steal the cable shows anyways, so why should the town try and give them equal protection like the US and state constitions and the town chaters all require?

      --
      Apocalypse Cancelled, Sorry, No Ticket Refunds
    58. Re:This is not for AT&T by Telvin_3d · · Score: 1

      I think that the implication you are making here is really disturbing. What you are saying is that if you are willing to throw enough money at people, then you should have the right to do whatever you want, regardless of what they want. I think that the only reasonable 'compensation' in this case is access to the service and people/neighborhoods/cities should be able to demand that in exchange for allowing the company to make use of public property and the hassle of installing it.

    59. Re:This is not for AT&T by ewhenn · · Score: 1

      Really? I wasn't aware public infastructure was the primary interest or responsability of a private company.

    60. Re:This is not for AT&T by eno2001 · · Score: 1

      Correction: It's for everyone above certain income levels. I happen to live in an "inner-ring" suburb very close to the inner-city. It's mostly working to middle class professionals. We aren't a "profitable" area to most businesses which is why they generally don't want to serve us. But some of us WANT their services. Is it right that they can close us out? NO! Now I'm sure that people who make more money that me and people in my suburb would say, "well why don't you move to a better neighborhood". My answer? Because I like being close to the city and sadly most areas that are considered "better neighborhoods" have some major problems where I'm concerned:

      1. Few if any liberal residents
      2. Poor schools that only ensure the basics instead of providing extended learning opportunities for kids (The high school I went to offered far more foreign language choices than most small town high schools do)
      3. Not enough racial integration (ie. too many white people. Note that I *AM* white)
      4. Cultural amenities that are few to none. (I love being able to eat at Ethiopian, Indian, Thai, restaurants. I love being able to go to the library and check out books that other communities ban. I love having "revolutionary" and alternative book stores in the area with great selection and lots of business.)
      5. Too many of them are new construction. I've worked on new construction homes and can tell you that they are piles of crap compared to a good old home that's been standing for nearly 100 years.

      So moving to some "better" neighborhood would be a step down for me in many cases. I don't think businesses should be allowed to dictate the demographics of their customers. The customers should dictate the demographics based on their natural buying patterns.

      --
      -"...bad old ideas look confusingly fresh when they are packaged as technology" - Jaron Lanier (Digital Maoism on Edge.o
    61. Re:This is not for AT&T by budgenator · · Score: 1

      Well If they don't want to play by the rules set forth by the community, they don't have to, they can negotiate with each property owner for an easement and run their wires over private property rather than the community's right-of-way

      --
      Apocalypse Cancelled, Sorry, No Ticket Refunds
    62. Re:This is not for AT&T by vokyvsd · · Score: 1

      Well, let's look at it this way. If he is claiming that you can do whatever you want if you throw enough money around, then you are claiming that you can do whatever you want if you throw enough services around. Both of these are ridiculous, so let's tone down the rhetoric.

      No one is talking about letting companies do whatever they want. We are talking about limited access to purchasing private land for the purposes of building an infrastructure. He says that the company should purchase that land with money, while you are saying that the company should purchase the land by extending the infrastructure farther. So, remuneration for your loss of land is not the fair price for that land, but access to the infrastructure by someone else.

      He says that if you are forced to sell something, you should at least be paid cash for it (then you can spend that cash how you want), while you are saying that the state can not only force you to sell, but also force you to accept a specific and very narrow form of reimbursement.

      I like his idea better.

    63. Re:This is not for AT&T by Qzukk · · Score: 1

      They would not have objected as they did to the appearance of *free market* telecoms, in this case, offering city-wide wifi.

      Funny, last I checked, the mayors of these cities weren't planning on spending their days flinging bits through the air.

      Hell, if the telecoms wanted to provide that service so bad, they could have bid on the projects just like all the other private companies did. But they didn't want to, but they didn't want the city selling the contract to anyone else, either.

      --
      If I have been able to see further than others, it is because I bought a pair of binoculars.
    64. Re:This is not for AT&T by MadUndergrad · · Score: 1

      If that private company is handed a monopoly by the government for that express purpose it sure as hell is.

    65. Re:This is not for AT&T by rabtech · · Score: 0

      That's why this decision is ultimately GOOD for consumers... it allows smaller players to enter the market with a small but very profitable build-out to start competing. Then, as their business grows, they can expand into other areas.

      There really isn't any technical reason you can't have 3-5 fibers/cables running through the existing right-of-ways. Then you'd have REAL choice/competition, but without unnecessary government interference.

      Personally, I understand the need for build-out requirements, so it would seem a compromise is in order. Once you reach $X in yearly revenue, or X% penetration in your coverage area, or whatever the trigger is, you are THEN required to adhere to a higher build-out standard (reach more areas). This means if you want to grow you need to keep expanding your service-level across the entire municipality. For example, once you reach $1 million in revenue in that city you are required to cover at least 25% of the city. This allows for measured growth without a ton of upfront captial investment.

      --
      Natural != (nontoxic || beneficial)
    66. Re:This is not for AT&T by Deadstick · · Score: 1
      If you want my service, move to a place where I offer it, or use someone else's service. Simple as that.

      Okay...thank you for relinquishing your exclusive right to sell Christmas lights in this neighborhood.

      rj

    67. Re:This is not for AT&T by boriquajake · · Score: 1

      OK, the fact that this has to be said in 2006 is absurd, but whatever.

      If local governments want to ensure that the telecomunications infrastructure in certain neighborhoods that do not fit the private companies' business models then local government should subsidize the expense not pass the costs on to me indirectly. It makes no economic sense to force the cost onto private companies in this situation. All that does it raise the barrier to entry even higher and put us all even more beholden to the few companies that can afford to do business.

      Knee-jerk leftist, douche bags need to use their freaking heads.

      --
      I only scored 35% on the Nerd Test, I'm sorry.
    68. Re:This is not for AT&T by DragonWriter · · Score: 1
      It's for everyone: if companies are forced to sell where wouldn't sell, this would affect the prices and quality of service for everyone.
      Yes. For instance, it would positively affect the quality of service for people who, with local monopolies given the choice, will receive no service at all.
      There are cases where even "evil monopolists" should be left to do certain aspects of their business without regulators messing in it.
      A local franchise decision is a granting of exclusive rights by a public body; why should that public body not be allowed to condition such a grant based on the interests of its constituents?
    69. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > I think that the implication you are making here is really disturbing. What you are saying is that if you
      > are willing to throw enough money at people, then you should have the right to do whatever you want,
      > regardless of what they want.

      Ye Gods, no!

      What I've said is *if* you have a neighbourhood effect, you *must* in fact bear the cost of that. It doesn't mean - and why should it?! - that you can *force* people to accept your compensation.

    70. Re:This is not for AT&T by hal2814 · · Score: 1

      How is the small subset of business leaders any different from the small subset of politicians? Both act in their own best interests based on the money you gave them. They then do the absolute minimum they have to to keep you happy and keep the money rolling in. Besides, if the politians are running the show instead of the business leaders, the business leaders will just pay (through campaign donations and other methods) the politicians to do their bidding. Might as well skip the middle man and save.

    71. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      If the US keeps going the way they are in this regard, I forsee them falling way, way behind the rest of the world.

      Too late
    72. Re:This is not for AT&T by Guppy06 · · Score: 1

      "It's for everyone: if companies are forced to sell where wouldn't sell,"

      You're forgetting the providers want to have their cake and eat it too. It's not that they're forced to offer service to all areas, but that they're required to offer service to all areas in exchange for eminent domain rights. I wouldn't have a problem with this decision if landowners themselves weren't still required to sell easements to the providers to run their wires.

      "There are cases where even "evil monopolists" should be left to do certain aspects of their business without regulators messing in it."

      Yes, those with a monopoly on their land should be able to do with it as they please, and if they want to charge each and every provider that wants to cross their lawn $1 per bit of information, it's their right.

    73. Re:This is not for AT&T by dgatwood · · Score: 1

      Because we aren't talking about marketing. We're talking about availability. If I am a manufacturer of beer and I choose not to court alcohol establishments in the poor side of town, that's fine. If I refuse to sell to alcohol establishments in the poor side of town, I am discriminating illegally; as a result, I will get sued, and I will lose.

      Equal access is a right, not a privilege. That's why our country spent billions of dollars over the last century giving subsidies to the telecom industry to help them build out their infrastructure for equal access. Now that they have infrastructure and have reaped their ill-gotten gains from it, suddenly it's too much trouble to provide next-generation service in the same way. I call shenanigans.

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    74. Re:This is not for AT&T by Toby+The+Economist · · Score: 1

      > Funny, last I checked, the mayors of these cities weren't planning on spending their days flinging bits
      > through the air.

      I'm not sure what point you're making. As I recall, all of these projects were state/city run.

      > Hell, if the telecoms wanted to provide that service so bad, they could have bid on the projects just like
      > all the other private companies did. But they didn't want to, but they didn't want the city selling the
      > contract to anyone else, either.

      What private companies? these projects are state run. There was no bidding.

    75. Re:This is not for AT&T by budgenator · · Score: 2, Interesting

      I read a book written by Peter Lynch and he said an individual investor can kick an institutional investor's ass any day, and when an institutional investor of Lynch's stature says I can kick his institutional ass, I tend to believe him. Just think about it if a stock gets rocked by bad news, I can sell the couple blocks I have pretty quickly, can the instituionals sell thousands as quickly or even sell any without imploding the buy bids?

      --
      Apocalypse Cancelled, Sorry, No Ticket Refunds
    76. Re:This is not for AT&T by Anonymous Coward · · Score: 0
      I'm a customer, not a stockholder. Therefore, the fact that they convinced the government to allow them to screw over customers should be disconcerting.

      You obviously didn't get the memo. In today's screw-you publicly held (i.e., stock market-driven) corporate world, the stockholders are the customers. Those who pay for such a company's products or services are the suppliers of raw material (money) and thus nothing more than the means to an end (a necessary evil, if you will). They will be negotiated, coerced and manipulated into the best deal for the company, as would any supplier.
    77. Re:This is not for AT&T by sethawoolley · · Score: 1

      Hah, too funny. I was referring to state and local governments, not the federal government. Only the feds are allowed to do standard Keynesianist economic behavior by the Constitution. At best, states can only simulate it by borrowing.

      They are not allowed to print money, and state and local governments are direct investors in companies all the time. You're correct that the feds don't tend to do this, instead opting for grants, but that's because they are the only government in the US that can perform true Keynesianist recoveries by law. Local grants, which still do often happen, are more rare because they have to be tied to some form of income somewhere down the line since they have to balance their budgets.

      And yes, I have read Friedman. That doesn't mean I have to agree with him. He recanted on his own theories in FT, but I'll safely assume you don't keep up on this stuff.

    78. Re:This is not for AT&T by arminw · · Score: 1

      .....hey don't have to, they can negotiate with each property owner for an easement and run their wires over private property rather than the community's right-of-way........

      That is pure BS. The phone companies already are running their wires all over public rights of way. The have been for ages in most places. Unless there is an agreement that the phone company has to get the permission of the public each time they need to replace or update the existing wires, they should be able to replace the metallic wires with glass fibers. There is no need to ask anyone about that.

      Unless there is an agreement with a city that the phone companies are only allowed to run ordinary phone conversations and nothing else, they should not have to ask anyone as to what kind of data they may carry.

      --
      All theory is gray
    79. Re:This is not for AT&T by blugu64 · · Score: 1

      Close, except that comcast isn't forced to build out. Not really. They agreeded to build out because the governement gave them rights of way for their lines. They are only "forced" because they agreeded to be.

      --
      "Personal ownership is a hallmark of conservative capitalism. And I don't believe I am entitled to anything that I did n
    80. Re:This is not for AT&T by Qzukk · · Score: 1

      these projects are state run. There was no bidding.

      Well, there was the Houston one ( http://www.govtech.net/digitalcommunities/story.ph p?id=98722 ) that had a competitive bid that was very nearly killed by a state law whose language originally banned such partnerships http://www.stc-houston.org/phpBB2/viewtopic.php?t= 874&sid=c5fcdcc14f97b926ebd1bbdf38549e1c

      Remember the big hubbub about Philadelphia's municipal wireless program and how communism was going to take over the world? It's run by Earthlink http://simianbrain.atlblogs.com/archives/006656.ht ml

      Most other cities also contract out their "municipal" wireless, for instance, the wireless network in Burleson, TX is run by Chevron. http://muniwireless.com/municipal/1121/
      More: http://www.google.com/search?q=%22municipal+wirele ss%22+contract

      I'm not sure what point you're making.

      So yes, my point. Mayors recognize that they are not capable of running a wireless network all by themselves, but if a major telco player does not want to bother with their community, then the mayor is going to find someone who will. This scares the major telco players because someday they might want to provide service to that community, only to face an uphill battle against an incumbent that had secured choice transmitter locations from the city, so they push for laws to ensure that those communities will remain open for the day that they deign to provide their services.

      How does this relate to this story? If AT&T decides to roll out fiber to only the "richest" homes due to "cost concerns", you can be sure that they have something up their sleeve to prevent other companies from deciding that they can provide the same service at a lower capital cost to the remaining neighborhoods, and subsequently make a profit at lower rates. This no doubt would scare AT&T shitless, after all they'd face that same uphill battle if a Company X ran fiber to the rest of the city, while their "wealthy" customers are dropping AT&T's higher-priced service in hopes that Company X will roll out their lower-priced service to their neighborhood.

      As I recall, all of these projects were state/city run.

      You apparently recall wrong.

      --
      If I have been able to see further than others, it is because I bought a pair of binoculars.
    81. Re:This is not for AT&T by TheRaven64 · · Score: 1

      You are missing the point. When you cut your prices, you will immediately lose income from existing customers. It is therefore only worth doing if the increased income from new customers is bigger than the lost income from lower prices.

      Changing telecoms providers is not something most people do often. It's not as bad as banks (you are more likely to get a divorce than change your bank, on average), but still not something most people do very often. This means that you need to be substantially better price-wise for people to bother switching (and to get over the 'better the devil you know' thing). Lowering your prices enough to make it worthwhile for people to switch will cut your profits[1], and it may well be that there is no price cut where the number of switchers will cause an increase in profit greater than the loss of income from existing customers. If this is the case, then it does not make sense to lower your prices. This is why industries like telecoms typically settle on a price where all players make a reasonable profit; because getting more market share would cost any of the players more than it would benefit them (unless they gained enough to become a monopoly; then all the rules change).


      [1] You can't just lower the price for new customers; that causes resentment in your existing customer base and makes them more likely to switch. It costs, on average, 7 times as much to get a new customer as it does to keep an existing one, so this is something you really want to avoid.

      --
      I am TheRaven on Soylent News
    82. Re:This is not for AT&T by cayenne8 · · Score: 1
      "Equal access is a right, not a privilege."

      Ok, since when did cable TV, phone, internet connectivity, wireless...all become inalienable rights?!?!?

      I never knew there was a constitutional right to have tv and phone, much less the other luxuries I just noted previously. If you work, and earn enough money, you then have 'access' to these luxuries which make life nice, but, are not necessary for living.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    83. Re:This is not for AT&T by FrostedChaos · · Score: 1

      Here's a summary of this decision for dumbass politicos:

      1) AT&T can kick the cable companies in the nuts
      2) Cable companies can't kick back

      In most cases, both telephone service and cable are monopolies, so all the free-market spew that's going to come out in the next few comments is irrelevant.

      --
      "Any connection between your reality and mine is purely coincidental." -Slashdot
    84. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      I assume you mean that wiring out the rural areas will cause an increase in price for everyone. That is fair enough and probably a realistic assumption.

      Here are some of downsides of allowing the companies to pick and choose where to deploy.
      1) Providers are fighting local municipalities from providing an equal service to the customers. Providers do not want competition in areas AND want to pick and choose who they want to provide too.
      2) Providers are using public right of way to deploy their services. This is allowed based on providing service to the community as a whole. JoeBlow providers can not naturally compete for the last mile without those rights as well. No provider in hell is ever going to only negotiate rights for last mile in a rural area only. Basically, a provider is giving land and allowed to string last mile and a fair trade off is that they provide the same service to less populated areas as well.
      3) You make a regulation claim. If you want to limit regulation, take a look at the WHOLE set of regulations (related to my 1st and 2nd points above). I have a telephone pole in my yard and I have fiber running through my property. Those same regulations the providers fall under allows them to deploy those services without having to negotiate with ME, the land owner. Part of my land was given to them to provide that service. Public right of way in other areas was also paid for by MY tax money to my county. In your mind, you seem to think that providers should be allowed to choose which regulations benefit them.

      IMHO, the only way everyone has a fair and balanced chance to get equal access and have realistic competition is to separate the service from the last mile physical line. This would allow for deregulation and open up competition for everyone. You can go through hundreds of scenarios and situations for rural and densely populated areas and this separation is the ONLY thing that would be fair for every person in nearly every situation. An example of separation that works on a smaller scale is VOIP, I can choose from numerous VOIP providers for my home using my existing Internet connection. Sunrocket or Vonage do not have to run lines to my house or negotiate with Verizon for last mile rights and a spot in the CO. You can take that concept and view it in larger concentric circles and see how everyone would benefit as the circle expands outward to higher levels of service.
      The population already pays for right of way costs and deployment of new lines for a provider with franchise rights in the area through a combination of taxes, giving up land, or embedded in service fees from that specific carrier. It costs X amount of dollars to put fiber in place regardless of what company is in change of doing the roll out. The same costs would be incurred from deploying the physical last mile and layers regardless if your county. city, or a contractor did it for the whole county. Let the county or your governmental boundary lay the lines and let the franchises compete on service alone, not on service and access. You would then have equal access rights because a specific provider is not milking out that initial investment for years and you will not be stuck with them through a franchise agreement.

    85. Re:This is not for AT&T by ultranova · · Score: 1

      If someone wants to live in rural Kansas, then it is THEIR PERSONAL CHOICE. Which is to say, they need to consider transport, communications, food, heating, etc. The consider all the factors and decide if they're going to move there or not.

      If you want to live in a land with government regulations, then it is YOUR PERSONAL CHOICE. Which is to say, you need to consider any perceived loss of liberty, free market idealism, etc. Consider all the factors and decide if you're going to move there or not.

      :)

      What on EARTH is person A (the State)

      The State is not a person. It is an organization. Please don't add state personhood to the mess that it corporate personhood.

      doing *making* person B (telecomms) provide cable to person C (man in rural Kansas)?

      Well, the whole purpose of the State is to make persons, even fictitious ones such as telecomms, act in a way that benefits public interest or at least doesn't harm it too much. If the State has no right to force person B to do something B doesn't want to do, or not do something B wants to do, then why does the State exist, exactly speaking ?

      what business is it of A what C does?

      Since A doesn't, in your example, force or prevent C to or from doing anything, your question is meaningless in this context. In the general sense, however, that is what A exist for: to set limits on what you can and cannot do, and under what conditions. The alternative is anarchy, which in practice means rule of the strongest; in other words, tyranny.

      why on earth is A forcing B through the threat of jail and fines to lay his cabling in the middle of nowhere?

      It isn't. B is free to not lay any cabling anywhere. However, A enforces that if B wants to lay cabling anywhere, it must agree to lay cabling everywhere as a precondition of being allowed to lay it anywhere. It's an all-or-nothing deal, but one which B is free to refuse, if the investors think they can't get sufficient return of investment from it.

      The answer ultimately is that person A has no idea what freedom and liberty really mean and, co-incidentally, is voted into office by person C.

      In their most extreme form they mean the right and ability to do anything, anywhere and anytime, to anyone, without any possible consequences. In any kind of society you can not have them in that extreme, since that would mean taking protection of law from everyone else, prompting them to kill you to eliminate your threat; it thus becomes a matter of balancing freedom vs. security.

      So no, in all likelihood person A would not agree with you on what is the right amount of personal freedom in society, since that is likely a matter of taste. That's one of the reason why voting systems exist.

      If person A forced person C, through the threat of jail and fines, to BURN HIS MONEY IN A BONFIRE, we would be OUTRAGED. If however person A forces person C to lose his money, not by burning it, but by running a loss making telecoms service which he doesn't want to do, we...applaud?

      Actually, person B (to whom I presume you were referring to - person C is not running any telecom service) is free to shutdown his operations anytime. No one is forcing him to run his business at loss. Unless, of course, B entered some kind of contract to provide sercice for X years, but that was B's decision then.

      Oh, and you can't put B - a corporation - into a jail. It's not a physical entity, after all.

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

    86. Re:This is not for AT&T by Fulcrum+of+Evil · · Score: 1

      If in a given field, a company is making excessive profits, the fact that that field is so profitable naturally leads it to draw in other companies.

      Bullshit. The cable company has a monopoly granted by the city (can't have two companies tearing up all the roads), so any competition will have to use some other approach (like wi-max), which is generally inferior compared to a hard line. Result: no competing cable company, and they'd cannibalize the existing customer base instead of offering service to the guys who weren't profitable for the first cable company.

      They self-correct, in the absence of State regulation, which permanently distorts markets and either increase prices or restrict supply. (New York renting laws, for example).

      No, in the absence of regulation, one guy screws the others and leverages that into a monopoly. Go back and read your MacroEcon book again.

      --
      "We returned the General to El Salvador, or maybe Guatemala, it's difficult to tell from 10,000 feet"
    87. Re:This is not for AT&T by Fulcrum+of+Evil · · Score: 1

      Ok, since when did cable TV, phone, internet connectivity, wireless...all become inalienable rights?!?!?

      Equal access is a right because we've all paid for it.

      --
      "We returned the General to El Salvador, or maybe Guatemala, it's difficult to tell from 10,000 feet"
    88. Re:This is not for AT&T by Fulcrum+of+Evil · · Score: 1

      There really isn't any technical reason you can't have 3-5 fibers/cables running through the existing right-of-ways. Then you'd have REAL choice/competition, but without unnecessary government interference.

      Yes there is - you have to tear up the road each time you lay the fibers, so you only want to do it once. Of course you throw down 8 or 16 fibers because it's comparatively cheap, but you only do that once. What we need to do is have the city manage the fiber and let people sell service on top.

      --
      "We returned the General to El Salvador, or maybe Guatemala, it's difficult to tell from 10,000 feet"
    89. Re:This is not for AT&T by Artifakt · · Score: 1

      The Inalienable rights here are to have people treat with you honestly, and to own what you have paid for. The cable and phone companies got paid already by subsidies and special granted legal status to build in equal access. They got susidies to provide services. They got awards of bandwidth, easments on land, and taxes paid by customers and rebated to them - all this was justified by the corporate promises to put those funds into use increasing access. The companies promised things not just publicly, but in many cases under oath (while testifying before congress, for example). Now they are avoiding doing what they promised. If you offer to sell me a car for 5,000$, and you take the money and then refuse to hand over the car, that's fraud and theft. Fraud and theft is what taking the subsidies without doing what was promised amounts to, and yes, you have an inalienable right to resist being treated that way. I'm sorry you are giving your rights away, but please stop trying to give mine away too.

      --
      Who is John Cabal?
    90. Re:This is not for AT&T by Anonymous Coward · · Score: 0

      Without state regulation, a smaller company has almost no chance in that industry, since they'll eventually have to lay some of their own cables/fiber, and they can't afford that.

      If it's a good investment, they'll have no trouble getting the money to do it from the capital markets. If it's not a good investment, they shouldn't be doing it in the first place.

    91. Re:This is not for AT&T by Intron · · Score: 1

      Fine. If big telecom doesn't want to wire to everyone, then don't grant it a monopoly. But I get to run wire or wireless service in my neighborhood and resell phone, cable and internet service to my neighbors. And the company doesn't get to complain. Fair?

      --
      Intron: the portion of DNA which expresses nothing useful.
    92. Re:This is not for AT&T by boriquajake · · Score: 1

      Dangit, you do have a point. I do not know enough about the reality of the telecommunications industry to argue further. I suppose I could RTFA...nah. I am not going to cede the point because that would be unamerican but I will grant that you might not be a complete retard. ;-) (my apologies to all you actual retards)

      --
      I only scored 35% on the Nerd Test, I'm sorry.
    93. Re:This is not for AT&T by Intron · · Score: 1

      Reality is that local government grants them a monopoly so that we don't have 20 sets of wires on every pole in the neighborhood and their service guys aren't cutting each other's wires in order to get business. In exchange for which they have to service everybody or local government gets voted out.

      Now they have gone over the heads of local gov. to the FCC, which last I checked was still in the Executive (non-law-passing) branch to get the rules changed. That's because the current FCC has a history of believing they are above the law. Fortunately, the Justice Dept. will quickly squash that idea. (Ha Ha, just kidding, Alberto!)

      Anyway, Ed. Markey, who actually IS the law when it comes to telecom has other ideas. I expect Congress to commission a study to determine whether inquiries should be made into the possibility of raising serious questions about this. There could be a showdown before the 2011 recess.

      --
      Intron: the portion of DNA which expresses nothing useful.
    94. Re:This is not for AT&T by Danse · · Score: 1
      If it's a good investment, they'll have no trouble getting the money to do it from the capital markets. If it's not a good investment, they shouldn't be doing it in the first place.

      So you're saying it's a good idea for every company to lay its own cable in whatever area they are providing service? When are people going to wake up and demand that the infrastructure be run separately from the services?? It's the only sane way to do something like this.
      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
    95. Re:This is not for AT&T by cayenne8 · · Score: 1
      Well, ok...I'll grant you that..access has been paid, by tax payers.

      I'd venture to guess, the areas they don't want to roll these services out to, the ones where people can't afford them, are the same ones that have most of the people that don't work and pay taxes that subsidized all the infrastructure. I don't think the welfare crowd is the tax base for the cities, do you?

      Sure, I'm all for equal access by those that paid for it with tax money, and can afford it when it is rolled out.

      Where am I missing your point?

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    96. Re:This is not for AT&T by tiny-e · · Score: 0

      I think you need to consider the fact that in a lot of areas the Teleco's are pretty much government-sanctioned monopolies. If I don't have a choice as to which phone company to go with, then I want exactly the same offering that every other subscriber gets. Period. The fact that they are a monopoly should allow them to subsidize the cost of the less profitable markets with the revenues of the more profitable ones.

    97. Re:This is not for AT&T by budgenator · · Score: 1

      No that's not what it's about at all it's more like AT&T says to the city, we want you to give us right-of-way on city property so we can divey up your population and create two classes of citizen within your boundries.

      --
      Apocalypse Cancelled, Sorry, No Ticket Refunds
    98. Re:This is not for AT&T by sethawoolley · · Score: 1

      > > If something is controlled by market forces then it is controlled by society.

      > Yes - exactly!
      >
      > When something is controlled by the State, then it isn't controlled by society.
      > It's controlled by politicans, and their agenda is *not* the same as the agenda of society or of the people who vote them into power.

      market forces == society, to you.

      representative government != society, to you.

      So, let me get this straight. To you, society is those who can spend money in proportion to the amount of money they control, not those who represent people under and are accountable to a one vote per person scheme.

      That's why nobody can follow you. You'd rather have a plutocratic society than a democratic republic.

      I didn't think fascism was a viable movement anymore, but perhaps it's still lurking beneath the divine hand.

      Answer me this: is there any governmental system other than plutocracy that you'd rather have above it? I don't mean "types of plutocracy" either.

    99. Re:This is not for AT&T by dgatwood · · Score: 1

      Equal access has to be enforced universally because as soon as you say "those people won't be able to afford service X, so we shouldn't have to pay to offer it there," you start to allow in other abuses very quickly. For example, a lot of people in rural areas make plenty of money and pay plenty of taxes... but when your farm is twenty miles to a side, that means it's an average of 10 miles to each of your nearest neighbors. These companies don't want to serve those areas, either.

      If the phone companies are going to stop doing equal access, I feel that I should have the right to not pay that $2.50 "Universal Access Fee" on my phone bill. As long as we're paying for it, they damn well had better provide it. If not, it is fraud. No more, no less.

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    100. Re:This is not for AT&T by mrchaotica · · Score: 1

      The problem with your argument, though, is that there is not an "absence of State regulation!" The reason the big telecom companies exist at all is that the government paid for the infrastructure in the first place. Because of that, new companies will not be able to enter this market.

      Incidentally, the whole point of the build-out requirements was the principle that because the public was paying for it, the whole public should benefit.

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

    101. Re:This is not for AT&T by budgenator · · Score: 1

      Big difference between pulling some replacement copper or fiber and installing 20 or 30 52B's all over town to enable a new class of service.

      --
      Apocalypse Cancelled, Sorry, No Ticket Refunds
    102. Re:This is not for AT&T by afidel · · Score: 1

      Bullshit, it's called the common good. We have been paying a universal cost recovery fee to the telco's for most of a century so they can build up their infrastructure, maintain it, etc. Yet the fund has mostly been a profit center for the telco's. It's time they use those billions we have been paying to make sure that a segment of the population isn't left out of the 21st century. Telecom isn't a purely capitalist venture because it is a natural monopoly that needs to be regulated by the state, and one of the goals of the state is to insure that all people have at least a shot at bettering their life. In the decades to come high speed two way access will essentially become necessary to function in society and so the telco's should be required to keep up the promise of universal access.

      --
      There are 4 boxes to use in the defense of liberty: soap, ballot, jury, ammo. Use in that order. Starting now.
    103. Re:This is not for AT&T by ealar+dlanvuli · · Score: 1

      You seem to operate under the false assumption that you are more important than society. You are not.

      ealar

      --
      I live in a giant bucket.
    104. Re:This is not for AT&T by Omestes · · Score: 1

      Which is bad how, exactly?

      Which is good how, exactly?

      Flip answer aside, what is so special about some suit getting richer at the cost of the community? The money sure as hell won't be passed back to us, so that isn't good for us, since we are paying more for less service. I'm not going to see any big market money, since most people (contrary to popular belief) has nothing in the stock market besides a meager 401k, more money for the rich. Said suit isn't going to reinvest in the community, so no benefit there. Said suit isn't going to go buy services in your city, since he doesn't live there (odd are), and that money is going into a bank, not to shopping at Sears.

      So far I'm missing the bright side.

      I'm not trolling, I'm genuinely curious, I've never quite understood the uber-capitalism thing, and how /.ers can be so rabidly anti-regulation on everything, even when removing regulation has generally lead to negative consequences.

      --
      A patriot must always be ready to defend his country against his government. -edward abbey
    105. Re:This is not for AT&T by n00854180t · · Score: 1

      Indeed! We all know how being for any laws, as long as they benefit corporations in some way, will ultimately help all of us. Of course, why didn't I see before? You must be a fan of "trick down" economics or something, right? You probably think that allowing corporations guaranteed high profits by the government, the entire planet will bloom with flowers, and every human will suddenly declare peace and goodwill. How careless I overlooked something SO OBVIOUS! /sarcasm

    106. Re:This is not for AT&T by n00854180t · · Score: 1

      As soon as every citizen was FORCED to pay taxes to pay for those services, i.e., such as the case of telecoms' copper and fibre lines. So yes, we do have a RIGHT to these services, which the telcos are now REQUIRED to supply, because they were given government subsidies PAID for by tax payers. Not providing those services in areas they WERE PAID TO PROVIDE THEM TO is what this is about. Just because you and a few select others that have commented are too thickwitted or ignorant of the facts to realize this does not change the fact that its true.

    107. Re:This is not for AT&T by n00854180t · · Score: 1

      WRONG. You are absolutely incorrect. This does NOT open the market for smaller players, it simply means that AT&T et al will never be required to fulfill the contracts they entered into when they were given absurd government subsidies paid for by taxpayer money. It will still be prohibitively expensive to start in the field due to the monopoly imposed by AT&T et al and perpetuated by the fact that they have pipes running through private property (which is why they're REQUIRED to provide equal access to services).

    108. Re:This is not for AT&T by n00854180t · · Score: 1

      You need to pick a better example, because the US is FAR FAR from even near the top of the list of most broadband penetrated countries.

    109. Re:This is not for AT&T by fingusernames · · Score: 1

      A friend of mine is a rather small CLEC servicing smaller towns and rural areas. He is laying fiber to the door. He is getting money from the feds, out of that that rural buildout fund, at low interest financed over 30 years.

      Do you have some money, or can you get some partners? Become a CLEC and compete. I believe that there is still lots of opportunity in the underserved areas, as the big ILECs have no interest in providing more than minimal services for them.

      Larry

    110. Re:This is not for AT&T by fingusernames · · Score: 1

      In an ideal world, that would be great. But in that ideal world, there would also be a need for some way to get the facilities operator to do research into improving what they do provide, and to encourage investment in new infrastructure (building out FTTD to replace copper, for instance). I suppose as a regulated industry, a panel of technical experts and public monitors could function as a board providing direction... but this is pie in the sky nowadays. The FCC has decided that competition should be provided in three ways: incumbent telco, incumbent cable, and wireless non-incumbents. No more compelling line-sharing, except legacy copper for now.

      Larry

    111. Re:This is not for AT&T by Artifakt · · Score: 1

      One of the taxes I'm referring to was added to everyone's phone bill. There are plenty of poor people who have a phone. I guess the poor's job is to pay for the rich's services and not recive any themselves. Frankly, I didn't play the rich vrs. poor card, you did, and considering where you played it you're making a great argument for classic Marxism. You just actually, really, and most sincerely said the equivalent of "let them eat cake!".
              Another source of funding has been easments on broadcast bandwidth. The FCC has let phone and cable companies have lots of bandwidth cheap or rebated, based on build out promises. (And yes, the phone companies use lots of broadcast links). Those airwaves could have been sold for much more, easing the tax burden for everyone, rich or poor.
              Both those are federally controlled rebates and taxes. Then there's the state situation. Both phone and cable co's have sponsored legislation or filed court petitions that prevent local governments from choosing to enter contracts in this field, bumping that up to the whole-state or regional level. So, in the name of capitalist freedom, they are advocating taking power away from local governments to give it to bigger governments. Then there's the cases where state tax rebates and land easments were contingent on a specific promise, such as wireing all the secondary schools in the area by 1997, oops 2001, oops 2004, oops...
              The reason you don't see my point is you believe a whole lot about the classes that just plain isn't true. You've fallen for a corporate line of bull that says this is a class struggle, and the liberals are trying to buy votes with the productive class's money, and all that. It's not - it's about good old fashioned keeping one's promises.

      --
      Who is John Cabal?
  2. You can't beat the 'phone company. by Anonymous Coward · · Score: 4, Funny

    Especially when they own the regulators.

    Good to see corruption and graft still thriving in the USA.

    1. Re:You can't beat the 'phone company. by coolgeek · · Score: 1

      Meh corruption. The FCC is going to get a very public spanking from Congress in the new session. There will be some legislation reversing this decision, and they will probably throw in some boundaries to rein the FCC in.

      --

      cat /dev/null >sig
    2. Re:You can't beat the 'phone company. by sethstorm · · Score: 1

      Followed by some "investigations" of various members of his administration to the point where Michelle "Blabbermouth" Malkin gives up on trying to spin things.

      It's not like there's not enough material to cover 2 years straight to make it worthwhile enough to use a veto.

      --
      Twitter supports and protects racists - by smearing their critics with the "Hate Speech" label.
  3. who is getting paid off? by bakana · · Score: 4, Interesting

    Somebody just got a brand new phantom in their driveway via payouts from Telecoms. The FCC are the ones that required cable companies and sat companies to sign individual franchise agreements with each city that service was offered. Why would they go and allow telecoms to skip that step with their services? At the minimum mandate that they have to roll out their products to everyone. Crazy!

    1. Re:who is getting paid off? by kfg · · Score: 3, Funny

      Why would they go and allow telecoms to skip that step with their services?

      There has been a revolution. It was even televised, so I'm not sure what your excuse for missing it is.

      KFG

    2. Re:who is getting paid off? by jonwil · · Score: 1

      The problem is, as we have seen in some cases already is that if Verizon, AT&T and the other companies rolling out various kinds of fibre data networks are required to roll it out to everyone (including all the non profitable areas) they wont roll it out at all.

    3. Re:who is getting paid off? by masklinn · · Score: 1

      Srip them from their monopolies, use public money to roll out (dense) fiber data networks (instead of buying bridges to nowhere), then rent fiber to any private companies (for a fee).

      The current telcos lose their power, everyone gets potential access to the network, new (disruptive) telcos can appear on the market without being strangled by teh mini bells.

      Not going to happen of course (since the mini bells have pretty much bought out every telco-related regulator), but that's the best thing you guys could do.

      --
      "The way we can tell it's C# instead of Haskell is because it's nine lines instead of two." -- wadler
    4. Re:who is getting paid off? by Anonymous Coward · · Score: 1, Informative
      The problem is, as we have seen in some cases already is that if Verizon, AT&T and the other companies rolling out various kinds of fibre data networks are required to roll it out to everyone (including all the non profitable areas) they wont roll it out at all.


      No, the problem is we have already paid them to roll it out. Not just once but many times over and by multiple levels of government. The Bells were supposed to have had fiber directly to most homes in America years ago by their promises given to obtain huge tax breaks and credits. Instead they have used these increased profits from lower taxes to expand around the world while providing very limited and relatively slow broadband in the US.
    5. Re:who is getting paid off? by jez9999 · · Score: 1

      Somebody just got a brand new phantom in their driveway

      Did they bribe Infinium to actually build one then?

    6. Re:who is getting paid off? by moeinvt · · Score: 1

      " . . . we have already paid them to roll it out. Not just once but many times over and by multiple levels of government."

      (I'm not trolling) Could you please provide some links or references to back this up?

    7. Re:who is getting paid off? by Anonymous Coward · · Score: 0

      I wouldn't have, except the local cable company didn't have to provide service to my area.

    8. Re:who is getting paid off? by Jtheletter · · Score: 1

      There has been a revolution. It was even televised, so I'm not sure what your excuse for missing it is.

      Verizon decided not to lay fiber to my neighborhood because it was not cost-effective and this decision allowed them to do so. That's why I missed it.

      --
      -- I'm not a pessimist, I'm a realist. It's not my fault that life sucks so much. --
    9. Re:who is getting paid off? by kfg · · Score: 1

      . . .the local cable company didn't have to provide service to my area.

      WWVA, man! Coming to you at 50,000 watts from beautiful, downtown Wheeling, West Virginia (well, St. Clairesville, Ohio really, but pay no attention to that man behind the curtain); now with all that yummy Clear Channel goodness!

      They're gonna tear down the Captial Music Hall. They're gonna tear down the sound that goes around our song. . .

      KFG

    10. Re:who is getting paid off? by M-G · · Score: 1
    11. Re:who is getting paid off? by permawired · · Score: 0

      I have an excuse... I haven't owned a TV for over 3 years now :P

    12. Re:who is getting paid off? by Anonymous Coward · · Score: 0

      References? I used a link to a Harvard University watchdog group well over a hour before making the grandparent comment in hopes of starting a good thread on the subject with a simple question, but it was ignored. Frankly IMO they are using this as a way to dodge their previous promises to the various government regulative bodies to roll out fiber to everyone.

    13. Re:who is getting paid off? by bakana · · Score: 1

      I was talking about the phantom, it is a car from Rolls Royce. What are you talking about?

    14. Re:who is getting paid off? by mabhatter654 · · Score: 1
      the telcoms cried that they could not possibly manage to re-license all their existing phone lines as cable devices in all the places they serve... after all, most are state-wide agencies. There is an element of truth to that in that it would be hard to deal with all the individual localites making special demands when the telephone companies are set up as state wide networks...they have nework links (i.e. 1 piece of fiber) that probably cross 3 cable juristictions after all. It would be innapproperiate to subject every telco repair to regulations... just get the work done.

      BUT it's also a ploy to get around localities trying to sync services and infrastructure. Being as a fair portion of cable companies already have fiber to the neighborhood access point, many localities would probably rather have the telco SHARE those pipes!!! That would be really BAD for the telcos. They want to play both sides.. they don't want to be accountable to local rules for their telco equipment, and line maintenance with which they get considerable privellage as telco is a mandatory service and you MUST accept it's presence. Cable does not have privillages to do things like remove trees or aquire property thru emmient domain for the new bigger badder distribution points... cable has to really fight to stay in public right of way. Also, localities get some revenue from cable companies, this exempts telcos from that as well...they get to provide the service under "telcom" protected mandatory lines AND they don't have to follow local regulation or pay local franchise fees. Essentially to houses like mine that already have 3MB DSL they get to roll out a service for FREE.. and step on somebody else's monopoly.

      For contrast look at where ethernet over Power line is going... that would make even MORE sense as then you'd need only 2 wires for EVERYTHING!!! and only 1 set of lines and one set of distribution towers... we could eliminate 2 utility bills per month for everybody! Power companies get even MORE monopoly power than telco... they can dig up yards, move poles, add transformers, knock down trees pretty much at will to keep the juice going. you can see why that would NEVER fly, it would make telephone lines obsolete overnight! but it's what they're doing to the cable companies..

  4. wow, so naive... by Anonymous Coward · · Score: 2, Informative

    ...to think monopolies are reigned in by market forces.

    Last I checked, the raison d'etre of monopoly regulation was because market forces had failed.

    1. Re:wow, so naive... by suv4x4 · · Score: 1

      wow so naive...to think monopolies are reigned in by market forces.

      I don't see the world in black and white, I said:

      There are cases where even "evil monopolists" should be left to do certain aspects of their business without regulators messing in it.

      Which part of "there are cases" and "certain aspects" is unclear to you? There also such thing as overregulation, heard of it?

    2. Re:wow, so naive... by Anonymous Coward · · Score: 0

      the *only* source of monopoly is from government interventions stopping competition. Your view is upside down.

    3. Re:wow, so naive... by Toby+The+Economist · · Score: 1

      > ...to think monopolies are reigned in by market forces.

      Of course they are. The market IS what you get, when all is taken into account.

      So for example, monopolies, as guided by market forces, charge the highest rate the market can bear.

      I think what you mean is something more like monopolies will take full advantage of their position to make as much money as possible. This is correct.

      All companies try to take full advantage of their position to make as much money as possible.

      The difference between a normal company and a monopoly is the presence of competition, and that presence in the former case leads to the company charging at the lowest rate they can while still maintaining a reasonable long term profit, and in the latter case, to charging at the highest rate the market can bear.

      This is why it's so vital to avoid State interference which leads to monopolies, and to have regulation which makes monopolies illegal.

      By and large, though, monopolies are inherently unstable - they usually require State ledgeslation to exist, which outlaws competition. (E.g. first class post in the USA is a monopoly, and is so because it is *illegal* to offer such a service, and so if you do, you will be jailed or fined).

    4. Re:wow, so naive... by Rob+the+Bold · · Score: 1
      Which part of "there are cases" and "certain aspects" is unclear to you?

      The part where you give an example, or a list, or a description, or even a general idea or gist of the aforementioned "cases" or "aspects". You rebut an argument by saying "certain aspects" and still don't give any suggestion about what you're talking about.

      Maybe you don't have any examples in mind, because you don't have intimate knowledge of utility regulation. That's OK, but you can't just restate "there are cases" again without expecting someone to ask -- particularly when you literally beg the question with "which part of . . .".

      So, please put up. Tell us what "certain cases" you're referring to. Describe them as specifically or generally as you want. Don't just give us that O'Reilly-style belittling and condescension ("heard of it?"). That's not a counter-argument, that's just just being mean. It's certainly not the "nuance" you implied with: "I don't see the world in black and white".

      --
      I am not a crackpot.
    5. Re:wow, so naive... by sethawoolley · · Score: 1

      How is Microsoft a state-assisted monopoly?

      Did the state interfere with them, making them too big and powerful?

      Oh, right! Copyright law grants a limited monopoly! I get it now.

      But you think copyright should have infinite duration. I wonder why.

    6. Re:wow, so naive... by Toby+The+Economist · · Score: 1

      > How is Microsoft a state-assisted monopoly?

      I never said it was.

      However, I note the State's failure to break Microsoft up when it had the chance; and Microsoft is obviously a monopoly. I see a certain degree of collusion or lobbying.

      > Oh, right! Copyright law grants a limited monopoly! I get it now.

      No, you don't. You've fabricated a set of arguments I've never made and accused me of making them.

      Your behaviour has no place in a debate - it does however serve you well for shouting down that which you deeply wish to be wrong and so have absolutely no interest in listening to or understanding.

    7. Re:wow, so naive... by sethawoolley · · Score: 1

      You said that monopolies are supported by state intervention. If you didn't mean it in all cases, then it's not a good counter to my argument that _some_ monopolies required no help from the state to be created. If you use incoherent arguments, I don't know which version of the bad argument to assume you're using to counter. Should I just make my posts extra long to counter every possible variation of stupidity you could have passed on to us?

      For the record, the above error is a not all that uncommon. If you confuse logical quantifiers (some/most/none/all/etc) by leaving them out, I'm going to pick the quantifier that potentially addresses my examples. I didn't realize you weren't even bothering to address my argument and instead wanted to retreat into a non-argument. I was trying to be faithful to your argument.

      You did, however, say that monopolies are unstable. I told you to look up ESS to show that they can be stable (in another thread).

      Microsoft is a stable monopoly. It merely needs to continue on in its anti-trust behaviors to stay big and powerful. Its behavior is a near perfect example of an ESS.

      Only governments enforcing their own anti-trust laws will stop them now.

      And about the copyright law jab, again, I was trying to construct your argument since you left it out, again. If you want to make assertions with no founding, I'm merely going to continue ridiculing your feeble attempts at argument by mocking your ideological peers.

  5. Its the FCC on monopoly and duopoly by AHuxley · · Score: 0, Troll

    In Capitalist West US government only listen to rich telco.
    In Soviet Union everybody listen to you!

    --
    Domestic spying is now "Benign Information Gathering"
    1. Re:Its the FCC on monopoly and duopoly by Umbral+Blot · · Score: 2, Funny

      Should be:
      In capitalist West the government listens to rich telcos.
      In the Soviet Union the rich telcos listen to the government!

      some days I really do wonder who is in charge

    2. Re:Its the FCC on monopoly and duopoly by bockelboy · · Score: 1

      No, you got it all wrong:

      In capitalist West, rich telcos own government.
      In Soviet Russia, government owns telcos!

      (no really, no joke)

  6. Well said by Travoltus · · Score: 2, Insightful

    I say we go back into time and repeal the Tennessee Valley Authority and the Rural Electrification Act so that neo conservatives like your forefathers would not get electrical service in the rural areas of the country.

    This way, the electric companies would not have to serve you and your parents most likely would have never survived to spawn you as they would have died of exposure.

    Or, more likely, they would never have learned about the world beyond their tiny little farm, and would never have Beverly Hillbillied their way out to whatever sub/urban place you live now that has electricity.

    We in the Blue States proudly endorse the FCC's move - in the hopes that more rural neo cons will be denied high speed internet access, thus hindering the spread of the plague that is your corporate statist "let them eat cake" line of thinking.

    --
    --- Grow a pair, liberals... stop letting the Republicans bully you!
    1. Re:Well said by edumacator · · Score: 1
      We in the Blue States proudly endorse the FCC's move - in the hopes that more rural neo cons will be denied high speed internet access, thus hindering the spread of the plague that is your corporate statist "let them eat cake" line of thinking.

      While I don't disagree with your position, would you mind toning down the rhetoric a little. I actually live in a "red" state and am tired of the over-generalizations people keep making. This is a complicated issue, without the black and white outcome both sides are claiming. The fact is, without some movement in the system, it is not profitable at all for the telcos to build their infrastructure nationally, if every single municipality they go through is able to negotiate individual terms. Which would be bad for consumers as the infrastructure remains stagnant. At the same time, the telcos have done an excellent job of $elling the politicians on the idea that no regulation is the way to go. I think it's obvious that they are doing this to have a freehand in maximizing their profits.

      But the way both sides in this discussion are allowing a political and philosophical discussion to degenerate into name calling is about as productive as beating each other over the heads with bats. It might feel good, but it doesn't accomplish anything. Whatever happened to the days when people were actually willing to consider the other side of an argument, and at least concede that smart people are going to disagree on just about anything.

      Now before anyone shoots back with the "I do consider the other side, but they are just stupid," line, take a moment, breathe, and consider the possibility, however remote, that you might be responding emotionally to a logical issue. When you dismantle a bomb, you don't cut the red wire because you think it's an ugly color.

    2. Re:Well said by Anonymous Coward · · Score: 0
      Whatever happened to the days when people were actually willing to consider the other side of an argument, and at least concede that smart people are going to disagree on just about anything.

      They never existed.

    3. Re:Well said by Anonymous Coward · · Score: 0

      corporate statist

      There's no need for a new phrase. The word you are looking for is "Facist". Really.

    4. Re:Well said by Anonymous Coward · · Score: 0

      I say we go back in time and ban the Pacific Railway Acts so that defeatocrats like your forefathers would not get food, freight and interstate communications in the metropolitan areas of the country.

      This way, the railroads and telecommunications companies would not have to serve you and your parents most likely would never survived to span you as they would have died of starvation.

      Or, more likely, they would have never learned about the world that facilitates their cosmopolitan life, and would never have sprawled their way out to whatever sub/urban place you live in now that has food.

      We in the Red States proudly endorse President Lincoln's veto - in the hopes that more metropolitan self righteous defeatocrats will be denied food and communications, thus hindering the spread of the plague that is your communist oligarchy "let them serve me cake" line of thinking.

    5. Re:Well said by Anonymous Coward · · Score: 0

      Oh yes they did.

    6. Re:Well said by smchris · · Score: 4, Insightful

      OK. moment. moment. moment.

      No, it's stupid.

      I'm so old and grew up in so rural an area, I realized very young that I profited from rural electrification. My mother still displays an "antique" kerosene lamp. Didn't purchase it. Family possession.

      Sure, people complained that rural electrification was unprofitable. We could probably find some blowhard who complained at the time that it destroyed the opportunity for rich people to experience a Deliverance Weekend amongst the simple people who still played banjo on the porch in the evening. But can't most of us agree that _some_ national infrastructure standards are good for everybody? The libertarian miserliness screaming that somebody else is getting a few of their projected pennies of savings makes a mockery of the idea that there is an "American People" and that we are a "society" that share anything at all.

    7. Re:Well said by keraneuology · · Score: 1
      I say we go back into time and repeal the Tennessee Valley Authority and the Rural Electrification Act so that neo conservatives like your forefathers would not get electrical service in the rural areas of the country.

      Except for those small communities who built their own power plants and now sell electricity to the locals for less than what the big boys are willing to charge. I don't recall the city offhand, but within the past couple of days I saw a blurb about a city that runs their own generating plant and charges only 2/3 of what everybody else in the area pays.

      If there is a demand for electricity and the locals aren't too lazy they will find a way to get it.

      --
      If the g'vt kept the data on you that google does you'd better believe you'd be calling it "doing evil"
    8. Re:Well said by edumacator · · Score: 1
      OK. moment. moment. moment.

      Hey, at least you tried... ;)

      No, it's stupid.

      I agree that giving telcos carte blanche is a bad idea. But I can't tell if you mean your comment to reflect that or not. If you are saying making any compromise on the role municipalities have in controlling all areas of build outs is stupid, I don't think that is the answer either. If a telcom had to go through 20 municipalities to get a line through, and each one could take up to six months of negotiations, town hall meetings, public forums, and some litigation, then you are looking at years just to get the rights to lay the lines. So I'm arguing that the other side has at least some logical stance for their position. So instead of calling them stupid, would it not be more useful to suggest a solution for a very real, practical problem?

      The libertarian miserliness screaming that somebody else is getting a few of their projected pennies of savings

      This is the type of over simplification I was referring to. You are understating the issue. We aren't talking about a few pennies, we are talking about millions of dollars. Now, if you want to make the argument that even though the issue is about millions and millions of dollars, fine. But to paint the other side as stingy bastards who only want to save a few pennies, begs a visceral and caustic response. Then you perpetuate the issue.

    9. Re:Well said by Toby+The+Economist · · Score: 1

      > I say we go back in time and ban the Pacific Railway Acts so that defeatocrats like your forefathers would
      > not get food, freight and interstate communications in the metropolitan areas of the country.

      The railways, if they were worth building (financially, which is to say, people would have paid what was necessary for their services, which meant they really did need them, since they were putting their money where their mouth was) would have been built *absolutely regardless of State intervention*.

      Picking something which would have happened anyway, and which could well have been retarded by State intervention, and then claiming they never would have been built if it wasn't *FOR* State intervention, is not useful.

      What's more, if the State hadn't have intervened, and the railways then were not built, that means they should NOT have been built - because people were NOT prepared to pay for the services they offered, which means there were better things for people to spend their money on, and if this was so and the State intervened and forced the railways to be built, then the State would have taken their money and spent it *badly*.

    10. Re:Well said by doctorcisco · · Score: 1

      Ummmmm ... you're no economist, that's for sure.

      One concept you do not grasp is "Barriers to Entry/Cost of Entry." The capital costs to build the railroads were staggering. The government gave huge swaths of land to the railroad companies, because otherwise those railroads could not have been built. Everybody won. The railroad got to make money. The government got to have homesteaders settle big parts of the country and start paying taxes. The homesteaders got to own land.

      Try building a railroad to compete with one that's already there. You'll go bankrupt really fast. Try entering the telecommunications industry to compete with AT&T. Before you can earn a dime, you have to spend $BIGBUKU stringing wires/fibers to your potential customers. Just to do business in the Chicago metro area (where I live), you'd have to spend more than the GDP of many nations. Who's going to loan/invest that kind of money when two huge competitors (AT&T, Comcast) already have wires in the ground? Who's going to invest in your company? Not me, that's for sure.

      You don't own the land your fibers need to cross. You need attorneys and lobbyists to get permission from every municipality in the Chicago area to use their rights of way. What, exactly, gives you the right to just use this property you don't own for your private interest (opening a new telco), without promising something back to compensate the public for your private use of public resources? How well do you think that's really going to go? I sure don't want your crews tearing up my streets. My commute sucks already, and by the time you're done spending $BIGBUKU, you will never be able to offer me quality service at a competitive price. Your new telco will have WAY too much debt to do so.

      That's where this economists' term, "natural monopoly," comes from. When the barriers to entry are that high, when it's not economically efficient to build multiple infrastructures, you permit the monopoly. Why? *Market forces* will create the monopoly anyway. That's why they call em "natural" monopolies -- get it?

      You also need to regulate the hell out of it. Because if you don't, the natural monopolist will screw as many people as much as possible to make more cash. Witness Comcast, which has *doubled* my cost for *less* service in just 8 years. Have their costs doubled? Absolutely not. Their profits are going through the roof. How do they get away with it? There's no other cable company competing with them, and for various reasons dish isn't an option for me.

      So no, government intervention isn't the problem here. As far as wanting to require AT&T to follow franchise agreements ... that's the price they ought to pay for their monopoly, and for using all the public resources they need to do business. Instead, they've whined/lobbied/bribed/whatever their way into getting to do what they want, while the nature of their market *prevents* rather than encourages competition too keep the greed and inefficiency under control.

      Be a conservative -- I'm a conservative too. Just don't deny economic realities in favor of ideology. Sound economics != laissez faire capitalism when you're talking about high barriers to entry and natural monopolies.

      doc

    11. Re:Well said by Toby+The+Economist · · Score: 1

      > Ummmmm ... you're no economist, that's for sure.

      Well I'm impressed that you know me so well, having read perhaps one post of mine? and have such a good understanding of the subject, that you can be so sure.

      > One concept you do not grasp is "Barriers to Entry/Cost of Entry." The capital costs to build the
      > railroads were staggering.

      So? it all go paid for, one way or another - and the only source of money is the people who work. The Government may intermediate, but that's all.

      > The government gave huge swaths of land to the railroad companies,

      Which is to say, the Government took the vast amount of money represented by that land, which somehow *it* owned rather than individual citizens, and gave that to another set of individuals, who happened to own railroad companies.

      What on earth is the State doing owning all this land? how did it come to own all that territory? what was it doing giving all that value away to particular groups of private citizens?

      If that land had been owned by individuals, the railroad companies would have had to have paid for what they were doing - and rightly so. Those people, who never had that land, were robbed blind of what they never owned in the first place.

    12. Re:Well said by ultranova · · Score: 1

      The railways, if they were worth building (financially, which is to say, people would have paid what was necessary for their services, which meant they really did need them, since they were putting their money where their mouth was)

      Which, of course, assumes that the people in the community has sufficient funds available to build a railroad there. Something may well be absolutely neccessary for the people to survive, but still cost more than they have money available.

      Your argument works fine for luxuries in a situation where a person can afford some, but not all, of them; it does not work when one lacks the funds to get basic neccesities - which both telecommunications and transportation are nowadays.

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

    13. Re:Well said by Anonymous Coward · · Score: 0

      What on earth is the State doing owning all this land?

      It just does. It's one of the unfortunate holdovers from British law, the government owns all of the land, and gives you a title to use it for particular purposes. This is the grounds for eminent domain and the government's ability to charge property tax. It's also the basis for neighborhood associations and deed restrictions (you do not "own" your house/property, you own a transferable deed specifying under X conditions you may use the house/property, which is how little old ladies get evicted for not mowing their yard.) The fact that you are not the lord of your land is well-entrenched in America.

      Some of the land passed down over generations from colonial pre-America still has "alloidal" title. Due to restrictions on transfer of alloidal titles, there is not much left.

    14. Re:Well said by Travoltus · · Score: 1

      Really? Then I guess you know what their power source was, right?

      Coal?
      Natural gas?

      ???

      --
      --- Grow a pair, liberals... stop letting the Republicans bully you!
    15. Re:Well said by keraneuology · · Score: 1

      Presumably coal fired or natural gas.

      --
      If the g'vt kept the data on you that google does you'd better believe you'd be calling it "doing evil"
  7. still so naive... by sethawoolley · · Score: 1

    Monopolies are forbidden from entering other markets because their effective subsidy on another market makes them able to grant their own entrance to the other markets without the same growing pains everybody else has. No, certain aspects of their business should not be left to deregulation. The only way to control a monopoly is to actually control it, not slap it on the wrist and tell it to turn away. It will turn away, onto other markets, if left to its own devices.

    1. Re:still so naive... by suv4x4 · · Score: 1

      Monopolies are forbidden from entering other markets because their effective subsidy on another market makes them able to grant their own entrance to the other markets without the same growing pains everybody else has. No, certain aspects of their business should not be left to deregulation. The only way to control a monopoly is to actually control it, not slap it on the wrist and tell it to turn away. It will turn away, onto other markets, if left to its own devices.

      Congratulations, you've just managed to be 100% irrelevant to the particular issue we're discussing (built-out requirements).

    2. Re:still so naive... by sethawoolley · · Score: 3, Insightful

      build-out requirements are part of the franchise bargain that telcos get when they want to run their lines through public property. Franchises are a form of monopoly. How is my discussion of monopolies and regulation irrelevant to franchises without a regulatory balance?

      Would you rather nobody be allowed to burrow on public property to build out the infrastructure for the Internet? That's what we'd have if the city were not allowed to make such bargains. Unless, of course, you want the city paying for all its own infrastructure, and owning it directly. You'd like that, wouldn't you?

      I'd take either, but you can't pick and choose who wins in such a bargain unless you want to be thought of as interfering in a business negotiation.

      How many other ways can I deduce your philosophy into a contradiction? Shall I continue?

    3. Re:still so naive... by suv4x4 · · Score: 1

      How many other ways can I deduce your philosophy into a contradiction? Shall I continue?

      Feel free to continue, you're apparently not even reading what I'm writing. I just said the FCC decided properly in THIS EXACT CASE, I have neither "philosophy" nor I'm saying "hey let's take this special case and apply it to everything".

      But I clarified myself 3 or 4 times. It's getting boring.

    4. Re:still so naive... by sethawoolley · · Score: 2, Insightful

      You gave a sentence that gave a general rule that was then specified to apply to this case.

      I challenged your general rule. If it's not applicable, and if it's not your philosophy then something doesn't connect.

      If you think this case is an exception to other philosophies regarding monopolies, then you have yet to give a basis. Build-out requirements are one of the fundamental bargains telcos make to become a franchise operator.

      This is big government interfering with the market-based decisions of a local government. How you sided with big government in this case is beyond me. I'm still searching for why.

    5. Re:still so naive... by Anonymous Coward · · Score: 0
      Unless, of course, you want the city paying for all its own infrastructure, and owning it directly. You'd like that, wouldn't you?

      You seem to assume that we all deem it A Bad Thing. Please explain why we should consider it bad? IMHO, city should have right of ownership on own infrastructure and use this right to offer limited concessions to companies who find interest in maintaining services on it for profit. That way, city "holds the key" and can ditch maintainers if they fail to comply to regulations and city policies. If public infrastructure is fully owned by monopolist service providers it is far worse situation for citizens then if service providers are just "hired". Bargaining, of course, stays.

      In fact, every monopoly should be regulated by laws (established by people voted, people-representing lawmakers), as most important necessary ones already are: monopolies on abduction (arresting), enslaving (detaining and imprisonment), murder (death sentence and police and army permits to use lethal force under certain circumstances) and extortion (taxing, fining... "Pay or else..." see previous monopolies), otherwise the freedom is void. Now, I hope this didn't give "deregulate!" proponents any dangerous ideas...
    6. Re:still so naive... by Toby+The+Economist · · Score: 1

      > Monopolies are forbidden from entering other markets because their effective subsidy on another market
      > makes them able to grant their own entrance to the other markets without the same growing pains everybody
      > else has.

      I ***think*** what you mean is that because monopolies make so much money from their monopoly, they find it easy to enter new markets - they have money to burn?

      > No, certain aspects of their business should not be left to deregulation. The only way to control a
      > monopoly is to actually control it, not slap it on the wrist and tell it to turn away. It will turn away,
      > onto other markets, if left to its own devices.

      You cannot politically control a monopoly. Look at Microsoft. Monopolies are too effective at lobbying. "We employ lots of people, we pay lots of taxes, etc".

      Also, how does this help you when the State creates monoplies? in those situations, the monopolies are entirely gratitious. All they do is charge as much as they can (barring artifically, inaccurate, rarely changed political football price caps from the State) and offer an awful service.

    7. Re:still so naive... by sethawoolley · · Score: 1

      Monopolies created via anti-trust behaviors are different than government-granted monopolies.

      No need to confuse the two in your examples. Were it not for right-wing naivetarians like you, Microsoft would be controlled just fine.

      On the one hand we're told how governments are too effective at control, and on the other, how they aren't. Pick one and stick to it.

      Just because you don't believe in the power of representative democracy to perform effective regulation doesn't mean we shouldn't have it and instead should be subject to economic anarchy.

      If the people refuse to institute regulation on an anti-trust monopoly (any monopoly for that matter), then it's their own undoing, not the state. The state was merely reflecting their will.

      You've also said in other posts that monopolies only exist via government intervention. What did the state do to help Microsoft become a monopoly? That was entirely their own anti-trust behavior. Or are you under some grand illusion that anti-trust laws should be thrown out so that we're all left to pay the Microsoft tax, which, in your world view would be entirely fair since we didn't withhold our money from companies that didn't get bullied by Microsoft into charging their tax.

      You completely fail to understand monopolies and your arguments conveniently ignore how long it takes for markets to correct themselves without intervention in the face of an evolutionarily stable strategy such as anti-trust behavior. We outlaw anti-trust behavior because if led to its own devices, prevents self-correction. That doesn't mean it just may take a while to self-correct. It means the behavior may _never_ correct without a larger power intervening.

      Research complex adaptive systems (CAS) and evolutionarily stable strategies (ESS) sometime. Other people have and thus are not as naive as you are.

    8. Re:still so naive... by sethawoolley · · Score: 1

      I was talking to a libertarian who believes that privatization is a good thing. I take it you didn't detect the sarcasm.

      To be clear, my next paragraph said I'd "take either", which referred to the city paying for all its own infrastructure OR using franchise agreements to maintain equality and fairness.

      I am and have been a forceful proponent of public ownership of utilities, but franchise agreements have been a good stopgap until we can achieve public ownership.

    9. Re:still so naive... by Toby+The+Economist · · Score: 1

      > Monopolies created via anti-trust behaviors are different than government-granted monopolies.

      > No need to confuse the two in your examples. Were it not for right-wing naivetarians like you,
      > Microsoft would be controlled just fine.

      Ah. How fine it is, to be so certain that insulting others comes naturally and without concern.

      > You've also said in other posts that monopolies only exist via government intervention.

      No. I said;

      "By and large, though, monopolies are inherently unstable - they usually require State ledgeslation to exist, which outlaws competition. (E.g. first class post in the USA is a monopoly, and is so because it is *illegal* to offer such a service, and so if you do, you will be jailed or fined)."

      You have badly misquoted my statement.

      > You completely fail to understand monopolies

      Your assessment appears to be based on your misquote of my position.

      > and your arguments conveniently ignore how long it takes for markets to correct themselves without
      > intervention in the face of an evolutionarily stable strategy such as anti-trust behavior.

      I have however stated that one of the roles of State is to break up monopolies.

      You appear to be selectively attending to my statements.

      > Research complex adaptive systems (CAS) and evolutionarily stable strategies (ESS) sometime. Other
      > people have and thus are not as naive as you are.

      Thank God other people are not as patronizing as you are.

    10. Re:still so naive... by dryeo · · Score: 1

      What did the state do to help Microsoft become a monopoly?

      Actually Microsoft's monopoly can be attributed to the IBM antitrust case. IBM contracted out the OS for the PC so as not to get in trouble with the justice department and likely gave MS a good deal, eg allowing MS to still have rights to DOS.
      Also IBM was scared to truly compete during the OS/2 Windows wars for the same reasons.
      One thing about IBM is that they were interested in obeying the law unlike Microsoft.

      --
      https://en.wikipedia.org/wiki/Inverted_totalitarianism
  8. That's alot of power / control by It's+Atomic · · Score: 5, Interesting

    I'm not from around your neck of the woods, and honestly couldn't tell you if the decision was a good or a bad one. Nor do I understand the consequences or background to the situation, even after RTFAs.

    The very fact that the decision had to be made leads me to believe there are communities, cities, populaces with many thousands if not millions of people who want a say in how their town is serviced by a telecommunications company. Some kind of kickback, like a swimming pool, or some franchise fees.

    To my naive way of thinking, it seems incredible that 5 (3-2) people can veto the decision making process / power of entire cities or possibly even states, throughout the entire country.

    It also seems kind of wrong. Power, corruption, ultimate power, you know, that kind of wrong.

    1. Re:That's alot of power / control by ObsessiveMathsFreak · · Score: 5, Funny
      To my naive way of thinking, it seems incredible that 5 (3-2) people can veto the decision making process / power of entire cities or possibly even states, throughout the entire country.
      Look pal, a modern economy needs efficient, lean companies squeezing every last drop out of their emloyees and resources so CEOs can be amply rewarded for growth at any cost. How are our companies supposed to remain lean if they have to go chasing 30, 40 500 or 5000 or whatever other communistic amount of regulartory board members so they can be given their brown paper envelopes containing unmarked used dollar bills?

      No, I say. No. What we need is a small manageable amount of bribable individuals so companies can spend less resources on bribery, and more on running their business more efficiently.... into the ground. The current number is great. Sometimes you don't even have to pay them. You can just bombard them with marketers, PR guys, dime a dozen scientists and regatta parties and they mostly just end up actually believing what you say. Great stuff.
      --
      May the Maths Be with you!
    2. Re:That's alot of power / control by kfg · · Score: 1

      No, I say. No. What we need is a small manageable amount of bribable individuals so companies can spend less resources on bribery. . .

      And this is why socialists want strong, central government, because only a strong central government has the power to fight corruption.

      KFG

    3. Re:That's alot of power / control by speculatrix · · Score: 3, Insightful

      whilst I applaud your irony, as with the best irony there is truth in it. The snag is that we the public are responsible for rapacious control by the big corporates. Yes, really, because our pensions are invested in corporations and we demand the highest growth in our savings and most people have no interest in how the money is invested or the consequences of the pressures to perform placed on the investees. If a corporation fails to meet the demands of its shareholders, it is punished hard. The snag is that people most dependent on managed pension funds are those most likely to be hurt by their actions - people who can manage their own pensions are likely to be wealthy enough and high enough up the corporate ladder to have some say in their life.

    4. Re:That's alot of power / control by Bastard+of+Subhumani · · Score: 1
      because only a strong central government has the power to fight corruption
      ... and no intention of using it.
      --
      Only three things are certain; death, taxes, and apocryphal quotations - Ben Franklin.
    5. Re:That's alot of power / control by kfg · · Score: 1
      because only a strong central government has the power to fight corruption
      ... and no intention of using it.

      Well of course not, that would only interupt the flow of bribes.

      KFG
    6. Re:That's alot of power / control by WhiteWolf666 · · Score: 1

      That's not always true.

      There have been a series of socialist governments which, indeed, did everything in their power to fight "corruption".

      Here's a short list:
      1. The Taliban.
      2. Kim Jong-Il land, ahem, I mean North Korea.
      3. Cambodia's Khmer Rouge
      4. Mao's China, in the beginning.
      5. Soviet Russia, under Stalin's purges.
      6. Saudi Arabia, which remains a feudal state. No need for bribes; the rich already run the place. And they fight really, really hard to keep those corrupt Woman and the Plebs out of the government.
      7. Cuba. Fidel is crazy enough to really believe in his vision. Bribes don't work with those people that have a god complex.

      It's not hard to find a socialist government that truly tries to fight corruption. All you have to do is find a dictatorship run by a "true" believer; generally, the telltale signs include a river of blood in their wake.

      These people aren't interested in corruption, and although, since they generally have a warped view point, they find it difficult to "fight" corruption, they actually do try to eliminate marketering and corrupt bureaucrats.

      Unfortunately, their definition of corrupt generally includes things like Jews, Homosexuals, Rich People, Educated People, People who try to Exercise Free Speech, and Anything that Goes Against The State Karma.

      --
      WhiteWolf666 an exBush supporter. All you new-school,compassionate,save the children Republicans can rot in hell
    7. Re:That's alot of power / control by James+McGuigan · · Score: 1

      Part of the issue where the "free-market" can be counter-productive, is with things like utilities (such as phones, internet, roads, water, electricity).

      While there is a cost to providing the service, these services provide a foundation to the productivity and ability of the rest of the economy to function.

      In some cases, the best optimization for the economy as a whole may seem inefficent when only viewed in terms of a profit orientated product.

      My point is not that this news is good or bad, but that all optimizations require trade-offs, and sometimes its important to look at the effects of these trade-offs on the larger picture.

    8. Re:That's alot of power / control by isaac · · Score: 1, Insightful

      That certainly explains why the 5 nations of Scandinavia (socialist hellholes all) regularly top the list of the world's least corrupt countries. I'm sure it's their brutal, dictatorial regimes that makes the difference.

      Good thing we live in America (which barely makes the top 20), land of the free. I can't imagine how horrible and repressive life would be with socialized medicine and $20/mo 10 megabit (up/down) broadband in my home.

      -Isaac

      --
      I am not a lawyer, and this is not legal advice. For Entertainment Purposes Only.
    9. Re:That's alot of power / control by WhiteWolf666 · · Score: 1

      That's because you are misusing the term "socialism".

      Maybe the definition should be modernized, but traditionally, and academically, socialism means,
      "This control may be either direct--exercised through popular collectives such as workers' councils--or it may be indirect--exercised on behalf of the people by the state. As an economic system, socialism is often associated with state, community or worker ownership of the means of production.

      The modern socialist movement had its origin largely in the working class movement of the late-19th century. In this period, the term "socialism" was first used in connection with European social critics who condemned capitalism and private property. For Karl Marx, who helped establish and define the modern socialist movement, socialism implied the abolition of money, markets, capital, and labor as a commodity."
      From http://en.wikipedia.org/wiki/Socialism

      Of course, the article then goes on to discuss how that definition has grown softer in recent years.

      Let's see what wikipedia says about Finland:
      "Despite the hindrance caused by an influential neighbouring country, Finland eventually became one of the most globalised nations in the world. After the Second World War, the growth rate of the GDP was high compared to other Europe, and Finland was often called "Japan of the north". In the beginning of the 1970's, Finland's GDP reached the level of Japan and the UK.

      For decades now, Finland has had a highly industrialised, largely free-market economy "

      Let's see what wikipedia says about Iceland:
      "
      The centre-right government plans to continue its policies of reducing the budget and current account deficits, limiting foreign borrowing, containing inflation, revising agricultural and fishing policies, diversifying the economy, and privatising state-owned industries. The government remains opposed to EU membership, primarily because of Icelanders' concern about losing control over their fishing resources."

      Let's see about New Zealand:
      "
      Since 1984, successive governments have engaged in major macroeconomic restructuring, transforming New Zealand from a highly protectionist and regulated economy to a liberalised free-trade economy. Pursuant to this policy, during the late 1980s and early 1990s the New Zealand Government sold a number of former government-owned enterprises including its telecommunications company, railway network, a number of radio stations, and two financial institutions."

      Denmark, with a rank of 4, is the first country on the list which is NOT moving towards economic liberalization, and which does is NOT defined, economically, by being "market oriented". Rather, Denmark's economy is governed by extensive trade unions, which have a close relationship to the government; not unlike Japan's system, where corporations (whom truly value their employees) have a close relationship with the government. This might qualify as informal socialism; but I would argue that is does NOT represent a strong central government.

      Singapore? Market-oriented. And a strict dictatorship.

      Sweden? Market-oriented.

      Switzerland? Market-based.

      Shall I go on?

      I continue to hold my position that strong, centralized government is a bad idea. And I'll argue that what you are calling socialist really isn't; the non-corrupt countries you point at are at best diet socialism, and really are closer to representing responsible capitalism.

      Just because the U.S. policy makers call themselves the idols of capitalism doesn't mean it's true. The U.S. economic system demonstrates serious tendancies towards cronyism, and the issue is far more complicated that merely saying "More Government=Good, Less Government=Bad."

      And on that note, I hate socialized medicine. I've watched my European relatives sicken and die under socialized medicine, not receiving proper care because the system was overburdened and slow. The American system is becoming more

      --
      WhiteWolf666 an exBush supporter. All you new-school,compassionate,save the children Republicans can rot in hell
    10. Re:That's alot of power / control by isaac · · Score: 1

      This is all off-topic, but I think you're conflating socialism with communism. This is mere semantics, so let's move on.

      On health care, the UK's NHS is not a sterling example of socialized medicine, but even that system produces better outcomes (longer life expectancy, lower infant mortality) for less money. Per-capita health care spending in the US is twice that of the UK. In fact, the US government spends more per patient than any other country in the world besides Switzerland without even providing universal coverage.

      http://content.healthaffairs.org/cgi/content/abstr act/21/4/88?ijkey=04dd1e69c6cd96f69bfbc7aa987d8aad 057415d2&keytype2=tf_ipsecsha

      I'll see your anecdotal evidence and raise you facts.

      Respectfully,
      -Isaac

      --
      I am not a lawyer, and this is not legal advice. For Entertainment Purposes Only.
    11. Re:That's alot of power / control by Pfhorrest · · Score: 1

      whilst I applaud your irony, as with the best irony there is truth in it. The snag is that we the public are responsible for rapacious control by the big corporates. Yes, really, because our pensions are invested in corporations and we demand the highest growth in our savings and most people have no interest in how the money is invested or the consequences of the pressures to perform placed on the investees. If a corporation fails to meet the demands of its shareholders, it is punished hard. The snag is that people most dependent on managed pension funds are those most likely to be hurt by their actions - people who can manage their own pensions are likely to be wealthy enough and high enough up the corporate ladder to have some say in their life.

      You seem to be overlooking a certain chunk of the populace in your analysis here: people who don't HAVE pension funds, because they don't work for big corporations. It seems to me that THOSE are the kind of people out in the middle of bumfuck nowhere most likely to be hurt by this sort of decision.

      --
      -Forrest Cameranesi, Geek of all Trades
      "I am Sam. Sam I am. I do not like trolls, flames, or spam."
    12. Re:That's alot of power / control by speculatrix · · Score: 1

      yes, but people without pensions therefore have no money invested and therefore aren't shareholders and big corporates don't have to answer to them, which is a different problem.

      perhaps then those of us who do have pension funds should consider whether we care about having them ethically invested in decent organisations, or, have don't car and allow the the money to be put into alcohol/tobacco/gambling/munitions etc?

      if people want to be able to have a safe and peaceful retirement then they need to consider what sort of investment they need to make into society to ensure society will let them enjoy retirement!

    13. Re:That's alot of power / control by Pfhorrest · · Score: 1

      perhaps then those of us who do have pension funds should consider whether we care about having them ethically invested in decent organisations, or, have don't car and allow the the money to be put into alcohol/tobacco/gambling/munitions etc?

      I seem to have missed a segue here. Where do alcohol/tobacco/gambling/munitions/etc factor in to the ethics of a corporation? You seem to be (maybe?) conflating two different senses of "ethics". There's the one sense where some consider activities concerning the above things immoral and thus supporting those who manufacture or trade in such things an "unethical" investment. Then there's another sense (which I thought we were talking about) where the behavior of the companies is ethical or unethical (as in, how they deal with other companies, governments, individuals, the environment; regardless of what it is they make or sell), and thus supporting those companies likewise ethical or unethical.

      Personally I don't care what a company makes or sells (even if it's things I'd rather not use, or even sometimes things I'd rather others not use), so long as they're not abusing monopoly power, bribing governments, exploiting the law, screwing over their customers, dumping toxic crap into the environment, etc.

      --
      -Forrest Cameranesi, Geek of all Trades
      "I am Sam. Sam I am. I do not like trolls, flames, or spam."
  9. Why is the FCC making policy? by dircha · · Score: 3, Insightful

    Presidents adding oral ammendments to bills and unelected agencies enacting legislation.

    This is just yet another example; it is rediculous. Where is the mass outrage? Shouldn't Republicans be outraged by our government wiping its ass with the Constitution - limited government and separation of powers? Shouldn't Democrats be outraged as the government continues to redistribute our hard earned money into the pockets of its corporate sponsors?

    I mean ordinary people. I'd like to think I'm an ordinary person, but polls say otherwise. Why aren't ordinary people outraged when they see these abuses and corruptions?

    1. Re:Why is the FCC making policy? by mpoulton · · Score: 1

      Why aren't ordinary people outraged when they see these abuses and corruptions?

      Ordinary people *don't* see these abuses, because they aren't paying any attention. If they took the time to understand how our government actually works, they probably would be outraged at the regulatory power wielded by unelected agencies -- most attorneys I know are!

      --
      I am a geek attorney, but not your geek attorney unless you've already retained me. This is not legal advice.
    2. Re:Why is the FCC making policy? by Rix · · Score: 1

      Franchise agreements are pretty stupid, and it would be fair to say they play a large part in holding back progress in the US. Why should every little podunk suburb have a say in national networks? If you want to regulate them, fine, but that's the wrong level of government.

    3. Re:Why is the FCC making policy? by sethawoolley · · Score: 1

      What is wrong with you people? Local governments should always usurp the interference of larger governments unless the tenth amendment deactivates and the fourteenth amendment activates (btw, that combination is not met in this case). Did they miss out on The Constitution in all your collective civics classes?

    4. Re:Why is the FCC making policy? by Detritus · · Score: 4, Informative

      The FCC makes telecommunications policy via regulations because that limited power was expressly given to them by an act of Congress. Congress has the power to modify the FCC's authority, and has done so on numerous occasions. If you actually read the proceedings of the FCC, they often make reference to the statutory authority that empowers them to deal with an issue, or that limits what they can do.

      --
      Mea navis aericumbens anguillis abundat
    5. Re:Why is the FCC making policy? by bky1701 · · Score: 1

      "If they took the time to understand how our government actually works, they probably would be outraged at the regulatory power wielded by unelected agencies -- most attorneys I know are!"

      You mean the demons are mad that the devil is having all the fun? [/Lawyer joke]

    6. Re:Why is the FCC making policy? by shams42 · · Score: 1

      > Shouldn't Democrats be outraged as the government continues to redistribute our easily borrowed money into the pockets of its corporate sponsors?

      There, I fixed it for you.

    7. Re:Why is the FCC making policy? by Marillion · · Score: 1

      OMG - Someone who understands government.

      It should go without saying that other agencies derive their authority from similar Acts of Congress.

      So the mystery committee of five people was created (albiet through layers of abstraction and indirection) from the electorate.

      A take home lesson from this is that if you like or dislike the regulations of some government agency, let you elected representatives know. What regulatory powers Congress give to agencies, Congress can increase or decrease.

      --
      This is a boring sig
    8. Re:Why is the FCC making policy? by afidel · · Score: 1

      Franchise agreements were the only thing that ensured that I eventually got cable modem service at my last apartment. Adelphia was too busy giving all its money to the founders to spend it on the local digital buildout and it was only the local cable board bringing out the fines for missing the project completion date (which was possible due to franchise agreements) that finally got them off their duff. They were still almost a year late finishing the project, but at least I eventually able to get service. Without the agreement that area would probably still not have highspeed 4 years later.

      --
      There are 4 boxes to use in the defense of liberty: soap, ballot, jury, ammo. Use in that order. Starting now.
    9. Re:Why is the FCC making policy? by permawired · · Score: 0

      Look at the world we live in (at least int he USA)... It's all distraction and gratification based. People don't care about their rights, what we're doing in other country's or any of that non sense. They want they're TV, microwave dinner, and Playboy magazine. Until something comes along that steps on those "rights" the average joe isn't going to do anything about it. I mean who wants to miss an episode of to go vote or protest??

    10. Re:Why is the FCC making policy? by Danse · · Score: 1
      Adelphia was too busy giving all its money to the founders to spend it on the local digital buildout and it was only the local cable board bringing out the fines for missing the project completion date (which was possible due to franchise agreements) that finally got them off their duff.

      It was the franchise agreement that contributed to the problem in the first place though. That's why the infrastructure shouldn't be controlled by the service provider. The city should run the infrastructure, and the service providers should be allowed access to it to provide services to the area. That way there is no way for the service provider to hold the city hostage by limiting access to the fiber. If they don't want to offer service, someone else will. There would be many service providers to choose from, and prices would be lower. Until that happens, we're all going to continue to be at the mercy of the local monopolies. WiMax is the only thing that might improve the situation, aside from a massive change in policies around the country (yeah right).
      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
    11. Re:Why is the FCC making policy? by Vitriol+Angst · · Score: 1

      Would it be a big stretch of the imagination to think that our system is so cynical, that the decision is based on keeping quiet about their help in the data mining of the public.

      --
      >>"ad space available -- low rates!!!"
  10. Your tax dollars at work? by Anonymous Coward · · Score: 0

    So, they are using changes to cable regulations to avoid telco obligations?

    -quickly Googled link, there are more and possibly better. Certainly been considerable Slashdot comments in the past on this.

  11. another explanation is at hand by sethawoolley · · Score: 1

    You do realize the market has been steadily deregulated as the prices have increased and quality has dropped, no? Maybe we need some more deregulation to help drop prices and increase quality? Right? Not deregulating fast enough? That's what Enron told us was the big mistake in California's deregulated market. Those lousy (and insanely high) price caps did deregulation in again! The Marketistas will always find some regulatory excuse for their own failing. Pretty soon it will be the prohibition on murder, I can see it now! Lousy beat cops holding the white collar down so he can't kill his rival and maximize his profits (and our 401(k))!

    1. Re:another explanation is at hand by Toby+The+Economist · · Score: 1

      > You do realize the market has been steadily deregulated as the prices have increased and quality has
      > dropped, no?

      No so much, no.

      I used to pay 150 dollars a month for pay-per-minute 56k access.

      I now pay 25 dollars a month for 4 mbit/sec cable, no bandwidth limit.

      British Telecom, while they had the monopoly, fought off broadband because they were making money hand over fist from ISDN. It was deregulation which brought in companies who wanted to beat BT and *they* started offering broadband to achieve that, which forced BT to do so as well.

    2. Re:another explanation is at hand by sethawoolley · · Score: 1

      Thanks for proving my point, that monopolies shouldn't be in charge of their own decisions. Had the British government made them offer broadband through subsidy, it never would have been an issue. Right wing so-called "economists" are so good at ignoring the point and talking past the political experts.

    3. Re:another explanation is at hand by tacocat · · Score: 1

      It all varies. I went from $20 for a T-1 to $50 for a Broadband. I would rather have the T-1. It was a static IP address and the data rate was so consistent you could set your watch by it. Broadband varies a lot and sometimes they change stuff without really mentioning it to anyone.

      I'm developing the opinion that the internet should be managed like the Department of Transportation. The Government makes sure that everyone has a wire that can correctly ping the internet. After that you are on your own. Get your own email service (gmail?) and get your own portal services if you must (fark, slashdot, news.google.com, foobies.com...) But get the heck out of the way.

      That how you can boost market competition. Everyone is on a minimum fixed bandwidth up/down. You pay for more if you want it. But after that everyone can scream and moan over providing services rather than connectivity.

      It's not like a tube, it's like a highway. But if it were a tube... then you have government provided plumbing...

  12. good by SlashDread · · Score: 1

    Everyone knows the rights of megabusiness count for -two- citizins.
    In case of a conflict, choose megamoney. Always.

    1. Re:good by garcia · · Score: 1

      Maybe, but more importantly, how many citizens does it count for?

  13. This IS A Good Thing!! by sciop101 · · Score: 0, Troll
    Local governments still have the authority to say "NO!" If the local government does not like the telecoms plan, the plan can be killed in entirety. No foul, No gain!

    Other businesses have the privilege of deciding where to do business and open/close stores. Telecoms deserve the same right!

    Resources should not be wasted on installations that cannot be profitable, or at least break even!

    --
    The only thing new in this world is the history that you don't know.[Harry Truman]
    1. Re:This IS A Good Thing!! by bky1701 · · Score: 1

      Just see how that idea works out.

      "Oh, so you are telling us we have to play fair in your city?"
      "That's right."
      "Oh, ok. Then we are leaving. We will be waiting here when you... want us to come back."

    2. Re:This IS A Good Thing!! by Anonymous Coward · · Score: 0

      Yeah! And stop plumbing too where it can't be profitable! Damn hicks don't deserve amenities!

    3. Re:This IS A Good Thing!! by Tim+C · · Score: 1

      Other businesses have the privilege of deciding where to do business and open/close stores. Telecoms deserve the same right!

      Any company that has a (local) monopoly or near-monopoly on an essential service does not deserve that right. Your comparison to other businesses is a red herring, unless those businesses also provide essential services. Utility companies should be compelled to offer service to all in a serviced area; some things are more important than maximising profit.

    4. Re:This IS A Good Thing!! by Phoobarnvaz · · Score: 2, Interesting

      Local governments still have the authority to say "NO!" If the local government does not like the telecoms plan, the plan can be killed in entirety. No foul, No gain! Other businesses have the privilege of deciding where to do business and open/close stores. Telecoms deserve the same right! Resources should not be wasted on installations that cannot be profitable, or at least break even!

      If this is the case...I demand the Congress IMMEDIATELY repeal the USF. Since the telecoms will no longer be required to service areas where they don't break even or even make a profit...no one needs to pay this boondoggle any longer. Still irritates me that I have been required to pay it...even when I use VOIP with an out of area phone number!!!

      --
      Don't worry about the world coming to an end today. It's already tomorrow in Australia. - Charles M. Schulz
    5. Re:This IS A Good Thing!! by Anonymous Coward · · Score: 0

      I would be all for the "leave your hands off it and let market forces determine how it works!" line of thinking, were we not talking about a government granted monopoly. In case those words don't sink in entirely, let me spell it out for you:

      The government exists solely to serve the people by providing public services like roads, electricity, phone, and other essential infrastructure in exchange for your tax dollars. If the people not being serviced by the phone companies aren't getting tax refunds, something's wrong. If the phone companies don't lose some of their subsidies every time they refuse service to someone, something's wrong. And yet, you say it's good for them to be able to not service people who have subsidized them and granted them a monopoly in the exchange for promise of service?

      This debate isn't about what's profitable or what isn't. It's ENTIRELY about what they agreed to long ago and how now they're suddenly wanting to back out of every agreement they made because it "isn't fair". They're backing out on a contract they agreed to because they exchanged some rights for some amazing privileges. Expecting to reclaim those rights without giving up the privileges is total horseshit. I call shenanigans; somebody fetch me my broom.

  14. Ammo for communities building their own fiber ? by StarsEnd · · Score: 3, Interesting

    As seen on slashdot before
    http://yro.slashdot.org/article.pl?sid=05/01/05/02 9222, various companies attempt to hinder broadband rollout by governments.
    Will this decision then reduce the resistance against municipalities building their own infrastructure? If my township isn't one of the cherries to be picked by the companies, we can pick it ourselves.

  15. Good for small telco's too by zaaj · · Score: 5, Interesting

    In my area, there's an ISP that's also a CLEC (Competing Local Exchange Carrier - they offer dialtone). They're building out fiber to buildings for Ethernet and telephony services, and would like to get into video (TV) but since they're a small company, they just can't do it if they're going to be required to build-out to the non-profitable areas. It's not just a matter of raising prices for everyone to subsidize the sparsely-populated areas, it's a matter of not having the access to the capital required to do such a build-out in the first place. That, and the "densely populated" areas around here are not big enough to make the subsidization idea feasable even if the build-out could be done.

    Here's another perspective - the telco's are only offering DSL in specific areas - sure it's probably primarily for technical reasons - certain radius from the CO for DSL to work, but if they can "cherry pick" for DSL, why not the rest of the services they offer.

    On the other hand, arguments about large numbers of rural residents not having phone or electric sevice now if the build-out requirements were never in place are hard to ignore, and high-speed internet is being considered a basic necessity by more and more people as time goes on. Perhaps the FCC doesn't agree about that, or perhaps they figure having wide-spread fiber deployments at all would be a better starting point to eventually get fiber to rural areas than if fiber wasn't in the city/town at all.

    1. Re:Good for small telco's too by karnal · · Score: 1

      can "cherry pick" for DSL

      I would think that cherry picking and "just don't fucking work over x number of meters" are two different things altogether. Admitted, installing a CO available to the places it doesn't work would provide service, that's probably not a thought for someone who provides dial tone first, DSL second.

      Although technical limitations could be one of the "excuses" that are used if DSL is denied to a certain household......

      --
      Karnal
  16. Franchise laws *need* to be repealed by Anonymous Coward · · Score: 1, Insightful

    Look - franchise laws are all about creating legal monopolies. It's wrong for a city to decide which company wins or loses. At least in a capitalist society. That's the job of the free market. The reason cable bills are so high, service so poor, and choice so limited is all because of franchise laws that give clowns like Comcast free reign.

    That said I hate Verizon and AT&T as much as the next guy. In fact my phone service comes from a Skype phone, and a cell, so I can choose my provider.

    I see the FCC decision as encouraging competition.

    1. Re:Franchise laws *need* to be repealed by WhiteWolf666 · · Score: 1

      How do you issue Right-of-Way for stringing lines without franchise laws?

      Do you let all companies string as much wire as they want everwhere?

      --
      WhiteWolf666 an exBush supporter. All you new-school,compassionate,save the children Republicans can rot in hell
  17. LOl now municapalities can just say no by majortom1981 · · Score: 1

    So now if verizon comes to a town and these fcc rules are in effect wouldnt towns be more likely to say no now? This ruling still states that they have to gte a franchise from each town but they wont be these huge things, basically pay the town and they allow you in the town. Now wont towns be more likely to just say no ?

    1. Re:LOl now municapalities can just say no by Anonymous Coward · · Score: 0

      In Short, No. The Corp will just offer to pay for some pork and they will get in.

  18. Yes!! by sciop101 · · Score: 1
    Fair is fair!! If a city mandates full coverage, the city government can pay for it!

    This is a service sold by a business, NOT a service provided by a government.

    --
    The only thing new in this world is the history that you don't know.[Harry Truman]
    1. Re:Yes!! by Beyond_GoodandEvil · · Score: 1

      This is a service sold by a business, NOT a service provided by a government

      This is a monopoly granted by a govt., not a promise of unlimited profits provided by a government.
        There fixed it for you.

      --
      I laughed at the weak who considered themselves good because they lacked claws.
  19. Re:This IS NOT A Good Thing!! by moeinvt · · Score: 4, Insightful

    No, this sucks.

    You're talking about marginal profits and not aggregate profit. The local government is making a deal which guarantees that the provider has a monopoly on the market. What's wrong with them negotiating a part of the contract which mandates a rollout plan to all citizens?

    So, they have the right to say "NO" but they don't have the power to negotiate if they say "YES"?

    Your "other business" comparison is generally ridiculous. Although you could probably come up with some parallels, these would be the exception. What other business has a barrier to entry like the cable and telecom industry? A more appropriate parallel would be giving a convenience store exclusive rights to the market in a particular town, and allowing them to refuse to sell to anyone that isn't within 20 miles of the town center.

    Local control is best. We don't need the draconian FCC enforcing the will of the empire on every town and city in the U.S.

  20. all levels of govrnment are corrupt. by Shivetya · · Score: 1

    a local municipality here was doing exactly what the FCC blocked, trying to get some sweetness to permit some services.

    of course who would be wired first? well, gee, the government itself, followed by certain neighborhoods that a paper determined to be, guess where, the same people voting to approve it lived.

    sorry, but I understand that it may annoy people that businesses putting down high speed means of access should be allowed to determine where their market is, let alone where they start deployment. It only makes sense to take it where you will make the most of your money back the quickest and then deploy from there. High speed internet service is not a right and locals should have no say in how its deployed unless said local government is going to subsidies it or pay for it outright.

    In other words, its not being paid for with government money then the government should not be able to set service requirements, the market will clobber anyone who doesn't do it right. It has before and is quite capable of doing it again

    --
    * Winners compare their achievements to their goals, losers compare theirs to that of others.
    1. Re:all levels of govrnment are corrupt. by Toby+The+Economist · · Score: 1

      > It only makes sense to take it where you will make the most of your money back the quickest and then deploy
      > from there.

      Which, interestingly, is going to be city centers, which is to say, the most densely populated parts of the country, thus bringing the most possible high speed access to the most possible people in the shortest possible time.

      Isn't this the exact outcome we would wish for, if we were thinking of the "common good"?

  21. Re:friendly amendment by Anonymous Coward · · Score: 0

    Hmm. I thought it was the House that provided unequal representation -- the Senate's two reps per state was to make sure my state's 50 million people didn't automatically trump your state's 10 million people.

  22. You are assuming by Gr8Apes · · Score: 4, Insightful

    Your assumption is that others can enter the market. In the US, in most localities, both the physical phone and cable networks are monopolies, so you only have a single supplier for each. Until the service and the carrier are separated, this will continue to be a problem. Especially when the existing networks were built at taxpayer expense, and new systems would have to be built at cost.

    The fair thing to do would be for localities/states/feds to divest the various companies of their physical networks, much as was done with electricity deregulation, which at least levels the playing field for everyone. After all, they were paid for with taxpayer dollars, so it only seems fair that the taxpayer owns them. That'd be us, btw.

    --
    The cesspool just got a check and balance.
    1. Re:You are assuming by arminw · · Score: 1

      ......much as was done with electricity deregulation.......

      I got a real laugh out of that phrase. Just ask the folks in California about what happened to their electric bills after 'deregulation'. Their playing field is very level still, but sharply tilted in the favor of the likes of Enron.

      --
      All theory is gray
    2. Re:You are assuming by Gr8Apes · · Score: 1

      if you contrast my full statement and what CA did, you'll find the exact opposite situation in CA. CA is a prime example of how not to deregulate. I'd go so far as to state that CA deregulated electricity much as the fed deregulated AT&T. And look at that, the phone monopoly is effectively back together again. (ie - deregulation didn't work)

      Look outside CA for instances where dergulation fomented competition but due to the market deregulation hasn't really realized large savings. However, there's no danger of the locked in monopoly coming back, because carriers and service providers are two separate entities.

      --
      The cesspool just got a check and balance.
    3. Re:You are assuming by Doctor+Faustus · · Score: 1

      In the US, in most localities, both the physical phone and cable networks are monopolies, so you only have a single supplier for each.
      If you haven't noticed, the phone and cable networks are starting to compete with each other on telephone and TV (plus, there's satellite for TV and pure cellular for phone), and they've been competing with each other on data services for a while now.

    4. Re:You are assuming by Gr8Apes · · Score: 1

      Great. I have a choice between TelCo A and Cable Co 1. My Cable Co was recently bought by TimeWarner, with their absolutely wonderful RoadRunner solution. So I'm down to just my Telco A option, which I'm taking, as they just ran fiber to my house. Now, about 1/2 mile down the road, there's TelCo B, with a different fiber solution that's actually preferable, but I can't get it because they don't serve Telco A's area and vice-versa. Where's TelCo's C, D, and E or Cable Co's 2, 3, and 4? Hint, they don't exist in the same area except for very very unusual areas that comprise less than 1% of the potential client base in the US due to monopoly franchises.

      Having 2 monopolies start competing against each other still doesn't address the issue that each is a monopoly in the first place.

      --
      The cesspool just got a check and balance.
  23. Anyone who thinks local control is best... by Rix · · Score: 1

    Has never actually dealt with local politics.

  24. Oh shut the feck up by Anonymous Coward · · Score: 0

    You keep peddling your version of "economics" and complain when you're modded down as Troll when the problem is that there is no "-1 idiot" mod.

    The OP gets modded down because they state that government shouldn't get involved in business decisions (something you get a 100% hard-on for) yet neglect to address the point that the only reason why they can roll out fibre ANYWHERE is because of government intervention.

    Think of it this way: the cable company gets paid per eyeball watching by advertisers. They are benefiting from my being a subscriber beyond my payment for the service.

    But they are using MY private property for this! So why can't I get a cut for their profit of using my property?

    Government intervention.

    Why can't I start my own cable and use public wires (government subsidy) to show what I want people to see?

    Government intervention.

    Why can't I start up a USP with wireless access?

    Government intervention.

    However, the reduction of these interventions into the market are benefiting AT&T et al and you nor the OP nor the sycophant who posted alongside this seem to have a problem with THAT intervention.

    If you want reduced government intervention, then why not remove the cable right of access through private properties? Less goverment intervention is, after all, what you say you want less of.

    1. Re:Oh shut the feck up by Toby+The+Economist · · Score: 1

      > You keep peddling your version of "economics" and complain when you're modded down as Troll when the
      > problem is that there is no "-1 idiot" mod.

      Whereas you yourself are clearly aiming squarely for the "+1 Tolerant and Unbiased" mod?

  25. required buildout is good by theBeak · · Score: 4, Insightful

    Having lived most of my life in a rural area only minutes from a major metro area, I can tell you if it weren't for buildout requirements, I wouldn't have phone, garbage or power service. Utility companies are GIVEN many privileges when it comes to their for-profit business, such as easements through public and private property to run cabling. Do you really think anyone would WANT a string of 200-foot electrical towers going through their property? Of course not. But the government allows easements through properties for the GOOD OF ALL. In exchange for these privileges, the companies are expected to service everyone. Also, requiring these infrastructure providers to service every area helps promote growth of both residential and business areas. How quickly do you think an area would develop if the basics like power and data had not been provided for during infrastructure installs and upgrades? There are those who say this sort of situation fosters competition, i.e., some upstart little company will come along and service those who the big boys won't. That may be true in some areas, but not telecom. If a company says area A isn't profitable, so we won't service them, how will another company be able to service them without the profitable areas to make up for it? The answer: they won't be able to. That's why these buildout requirements were set up in the first place. The goverment was essentially saying to the providers, "Look. You have to analyze your profitability across the board, regardless of whether that two square miles at the edge of your service area are profitable in and of themselves." Every business has an area (or more than one) that is less- or even non-profitable. It's called the cost of doing business.

    1. Re:required buildout is good by BrianRoach · · Score: 1

      I can tell you if it weren't for buildout requirements, I wouldn't have phone, garbage or power service.

      When not having internet access or cable TV can cause you to die (Like not having power, or a phone to contact someone in an emergency), come talk to us. I'm glad you have garbage service - where i grew up (rural Ohio), we burned it out back or took it to the dump in our pickup.

      Buildout requirements for necessities makes sense. Buildout requirements for your entertainment don't. When you choose to live far away from other people, why should those other people have to foot the bill for non-necessities?

      I'm guessing you have a well and septic if you're in a rural area ... are you also complaining that you don't have water and sewer services? Much like water, anyone living in rural areas aleady has a viable alternative for both TV and Internet - Satellite.

      - Roach

    2. Re:required buildout is good by Rotten168 · · Score: 1

      On the other hand, we'd have less "sprawl" if we didn't force companies to deliver services to customers in unprofitable areas.

  26. Not even close by WindBourne · · Score: 1

    Actually, the phone bills do reflect much lower costs after the breakup. Back in the late 79, my phone bill was 100. That was unlimited local calling AND a few calls from Colorado to Illinois and maybe one or 2 other states. Now, it costs me less than a 100 to have unlimited calling all over the states. In addition, calling Canada, Mexico and most of EU is not cost prohibitive. And there was no such thing as high speed access. The high-speed access is rising high because of the FCC (for the last 10 years). They are currently de-regulating the companies, but still allowing them their local monopolies. Until they force all monopolies out (i.e. do not allow state or even local monopolies except for limited time) or better yet minimize it (small monopoly from home to either green box or a CO), the prices will be high.

    --
    I prefer the "u" in honour as it seems to be missing these days.
  27. No, you need to think into the future. by raehl · · Score: 3, Interesting

    We have two kinds of companies offering broadband services, the cable companies, which have to offer service to everybody, and the phone companies, which only have to offer service where it is the most profitable. The most profitable place to offer service will be where it is cheapest to offer service.

    The problem is, the phone company is allowed to set their prices based on the cost of providing service to a particular customer. If providing service toa customer is expensive, the phone company doesn't have to do it. The cable company doesn't have that option - it has to provide service to everybody. So the phone company drives down the price in the profitable areas, and the cable company is screwed - if they lower prices to compete, they still have to provide service to the unprofitable customers, and are eventually forced out of business because they arn't making any money. IF they don't lower prices, the phone company will just lower prices JUST ENOUGH to undercut the cable company, not really saving the cable company any money, while the cable company will probably have to raise rates for everyone because, now that they've lost their profitable customers to the phone company undercutting them, need to cover the increased per-customer costs of being saddled with only the expensive customers.

    So, everybody loses - the profitable customers end up paying higher rates to the phone company because the cable company can't compete, and the unprofitable customers end up paying higher rates because they're not being subsidized by the profitable ones.

    Now, I'm not saying that unprofitable customers should have the same rates as profitable ones - if you choose to live out in the boonies, that's your choice. But if we're not going to force phone companies to build out to everyone, then we shouldn't be forcing cable companies to do so either.

    1. Re:No, you need to think into the future. by tinkerghost · · Score: 1
      then we shouldn't be forcing cable companies to do so either.
      That's the even dumber part of this. This change in structure says that cable companies won't have to do full build outs either, in the future. However, if they are currently under a contract, they have to finish the full build out. So the phone company still gets to come out ahead. They can finish their partial build-outs & be reaping huge profits in tiny areas, while the cable companies are still bound by last years build-out agreements & are spending billions on installing fiber lines to everyone.
    2. Re:No, you need to think into the future. by beckerist · · Score: 1

      This is simply not true, at least in America. I lived in the middle of nowhere for more than 10 years. With the rise of the Internet during this time, I fought and fought and struggled with both Phone and Cable companies to provide me with a higher speed internet access than the crappy 56k modem (that, given I was so far out really only turned out to be 20k, and yes, that's KILOBITS).
      Not only did the cable company do NOTHING (except inform me that I would have service by approximately 2016, no joke) but the phone company HAD to provide at least the minimal service I had, as it was a "regulated resource." YET they charged me MORE for my phone line as I was the only one in the general area requiring their service (130$ a month for a standard line with NO long distance service, the price you pay for living in the country!)
      Moral of the story: I bought a satellite dish for my internet and a cell phone for everything else. Both combined are cheaper than the single ($#!TTY) phone service! Screw cable AND phone companies!

    3. Re:No, you need to think into the future. by henryhbk · · Score: 1
      Actually the Bells already had to lug telephone cable out to the XK Ranch on old dirt road #1, while the cable companies rarely had to if the person was far from a public right of way. The cable companies also got relatively unrestricted access to offer phone (for instance they were under very few of the restrictions that the bells were for their phone service) and directly compete against the bells, without the bells being able to offer tv in return.


      I have very little sympathy for the large cable companies (in my town we have 3 providers of all services comcast, RCN and Verizon). This is not david vs. goliath, as comcast is a huge corporation as well. Verizon ran fiber all the way to my house when I called, their FIOS tv is cheaper than comcast was, the broadband is faster, and their customer service was better, so I switched. Comcast could have cared enough to fix the cable draped over my back fence and across my backyard for months (oh, they're supposed to be underground?), but they didn't despite repeated calls (including 1 to the utilities board); when my fios had problems verizon was more than happy to come out, so I changed; I didn't feel forced to by some evil monopoly.

    4. Re:No, you need to think into the future. by Anonymous Coward · · Score: 0

      The two big cell providers are owned by Bells. Which are you with?

  28. City Slickers by Comboman · · Score: 1
    Living in a city is better for the environment (less transport) and better for the community (public transport, utilities, schools...). It should be rewarded.

    Yes, everyone should live in the city and food will magically appear in the grocery stores (or maybe we'll just switch to eating Soylent Green).

    Honestly, do you really believe the crap you're spouting? Cities might be slightly better for the environment than sprawling commuter suburbs but they are certainly not better for the environment than self-sufficient rural communities (you know, the ones that put food on your plate).

    --
    Support Right To Repair Legislation.
    1. Re:City Slickers by Abcd1234 · · Score: 1

      No rural community is self-sufficient. They very idea is, frankly, ridiculous. Or, do you pump your own gas, weave your own cloth, chop down your own trees for wood, produce all your own food, etc?

      On the flip side, New York is the most energy efficient city in the United States, thanks to it's massive population density combined with a top-notch public transportation system. That should tell you something.

      And compared to suburbs, there's no contest. High-density living is *significantly* better for the environment, largely thanks to reduced dependency on oil for personal transportation. Hell, over half of people in New York don't own a car (75% in Manhattan!). See this article for more details.

    2. Re:City Slickers by jceaser · · Score: 1

      No food does not magically appear in the grocery store and yes farmers do play a very important role in society. However, there are costs for living in the middle of no where, once I might point out should be expected. Most people choice to "get away from it all" by living out there, why then do these same people need all the comforts of a city? How can you have access to everything a city has to offer and not be in the country. Farmers and small towns need to understand that if they start demanding that they have everything the "big city" has then they are the big city and they will loose what they once loved, their small town/vilage.

      You want cable, live in the city. Besides, there's nothing good on anyways.

    3. Re:City Slickers by mabhatter654 · · Score: 1
      your definition of "country" and the phone companies are drastically different. In my city "country" as defined by the telco is about 3 miles out of town. never mind the houses have been there for 40 years+ and some Subdivisions are just as old.. you don't get cable or DSL because they're too stingy to build it out. You'd think in 40 years, they'd upgrade equipment as the network grew to support the new features for end users but they DON'T. If nobody makes them do it, they upgrade equipment to make THEIR jobs easier, when for an almost equal amount of money and trenching and labor they could give the end users the same features. My parent's house has been rewired by all the major services in the last 10 years or so...They've even trenched for Fiber for some other purpose along their road!!! there's no reason they SHOULDN'T be able to have those things...but they're still over 2 wire copper that is barely capable of 33.6k.

      The Telcos took big money to upgrade EVERYBODY 10 years ago. Now they'll be doing it as they were orginally granted tax breaks for.. but only for customers of the new "profitable" cable business. They've fucked around what the govt nicely requested and paid them to do for 10 years!!!! They're just waiting it out for the bar to get lower and lower until they get free money and gross profits...and get to kill the only other competition for wired data to your house!!! They're playing regulators for fools!!!

    4. Re:City Slickers by jceaser · · Score: 1

      If there was money in it they would have upgraded you a long time ago. Their not _that_ stuppid. I understand your pain though, as I grew up in subdivisions. However, I now live in the city and I now see subdivisions as a horible mistake causing unneeded trafic and distribution problems. People should live near the services where its cheeper to deliver them, not speed out over as far as possible range. You implicitly made the choice to live with less by living inside the city.

  29. You're mistaken. by raehl · · Score: 2, Interesting

    California's market was never deregulated. That was just utility marketing speak. It was RE-regulated. They changed the old regulations to new different regulations. And the new regulations sucked. The REGULATIONS about how you could charge for power are what allowed Enron to do their dirty tricks.

    1. Re:You're mistaken. by sethawoolley · · Score: 1

      I'll assume that you never read the deregulation law. That's fine, just don't imply to people that you know what you're talking about. Cite just one example of something bad that Enron did that was due to _being forced_ to do it by regulation. Can't find it? That's right, they were _free_ to do it by the _deregulation_. You're trying to make it sound like the state was _forcing_ Enron to overcharge and undersupply. Sorry, that's not going to work on people in the know. I normally wouldn't expect right-wing bullshit disseminators to grok the difference, so I'm not expecting a coherent reply for an opportunity for counterexample. I'm amazed how utilities deregulated themselves and then passed it off as state hand-holding. You just ate that marketing-speak up, man.

  30. And in that time by Anonymous Coward · · Score: 0

    computers went from 1MHz costing $5000+ to 33MHz costing $2000+ and now 3GHz at $1000.

    Cable: 1,000 x faster and about the same price
    Computers: 3,000x faster and 1/5 the price

    NOTE: digital telecoms infrastructure speed depends on the speed of the hardware not the cabling, so the speed should scale with the speed of comuters.

    1. Re:And in that time by Dun+Malg · · Score: 2

      computers went from 1MHz costing $5000+ to 33MHz costing $2000+ and now 3GHz at $1000.

      Cable: 1,000 x faster and about the same price
      Computers: 3,000x faster and 1/5 the price

      NOTE: digital telecoms infrastructure speed depends on the speed of the hardware not the cabling, so the speed should scale with the speed of comuters. You're an idiot. Bandwidth is not merely limited by how fast you can toggle a bloody transistor. And while we all can have an example of the fastest existing PC on our desk, we can't all have the fastest existing network connection because it's a shared resource.
      --
      If a job's not worth doing, it's not worth doing right.
    2. Re:And in that time by fingusernames · · Score: 1

      NOTE: no it does not, and no it should not.

  31. OK, forget about the slums. by brennanw · · Score: 5, Insightful
    Think instead of remote rural communities where the cost of setting up the infrastructure is too high for big companies to want to bother when they can spend all their time making money off of cities.

    Rural communities already went through this with cable tv -- cable companies wouldn't put down the cable because it was too far away, and then when some communities tried to go with satellite TV instead the cable companies got a COURT ORDER forbidding them to do so because the cable companies had exclusive agreements with the states.

    Profit is made off of these services because the companies that sell them want the services to be *indespensible*. Trying to market a service as indespensible while refusing to provide it to certain segments of society does not make for a healthy society.

    So in answer to the question:

    And just why should we want companies to have to market in areas where there are small / no profits to be made?


    When a company decides to claim a monopoly on a service (and when you purchase a franchise from a community or state government you generally wind up having a monopoly in that area) then they have a responsibility to make that service available to all citizens. A monopoly is a different beast from standard business practices, because there are no other choices to make.
    --
    Eviscerati.Org: All Hail the Eviscerati
    1. Re:OK, forget about the slums. by vokyvsd · · Score: 4, Interesting

      I'm asking this honestly, because I want to know: do you have citations for that info about cable companies getting court orders preventing rural consumers from obtaining satellite? I haven't heard about it before, but I don't follow that particular market too closely, either. If what you say is true, I would like to read about the circumstances.

      Anecdotally, I can tell you about my situation. I live in a rural area myself, where cable stops about a half a mile from my house. It sucks, but I don't feel that I'm *entitled* to cable internet. Sure, there is only one cable provider in the area, but when we got wireless a few months ago (the antenna is on top of the local grain silos, how's that for rural?) the cable company didn't complain. There is no bad blood on either part. It simply wouldn't be profitable to run cable half a mile for one customer, and we understand that. So, we go to a competitor, and they understand that. I don't see why the law should force them to run their cable out to us if it won't be profitable. It is not paid for by my taxes.

      I know it sounds like I'm sacrificing my soul at the altar of profit or whatever, but think about this: if the state forced the cable company to build out to my house, or beyond, the start-up that provides wireless would probably not have come to our area (we were in close contact with the company, trying to get them to come out here). If the state forced build-out, it would have (1) lowered the profits of the cable company, (2) lowered the profits of the wireless company, and (3) probably prevented the wireless company from even coming here and providing internet to others who are quite a bit farther from the cable line than we are. As it is, we and our neighbors get our internet, the cable company doesn't have to worry about unprofitable build-out, and the wireless company is making some good money in a new area. Like I said, this is purely anecdotal, but the theory applies elsewhere: don't force companies to provide a service, let the demand from the consumers make it desirable to provide the service.

      This is why I am so interested in reading more about cable companies claiming monopolies. Build-out laws would have hurt my area, but if they really are stopping competitors while still not providing the service themselves, then yes I agree with you, they should be subject to such laws.

    2. Re:OK, forget about the slums. by dgatwood · · Score: 1

      I don't see why the law should force them to run their cable out to us if it won't be profitable. It is not paid for by my taxes.

      Because the initial roll-out of telephone WAS, in large part, paid for by your taxes. These rules are an expectation that in exchange for the government helping them build out their infrastructure initially, and in exchange for the huge gains that they got as a result of that government aid, they (the Baby Bells in particular) must give something back. This is just another case of rich, greedy businesses getting something for nothing, and it's sick.

      --

      Check out my sci-fi/humor trilogy at PatriotsBooks.

    3. Re:OK, forget about the slums. by Fulcrum+of+Evil · · Score: 2, Interesting

      I'm asking this honestly, because I want to know: do you have citations for that info about cable companies getting court orders preventing rural consumers from obtaining satellite?

      I remember the cable companies suing to prevent municipal broadband projects a couple of years back. This was back when some cities didn't have broadband or even planned rollouts.

      live in a rural area myself, where cable stops about a half a mile from my house. It sucks, but I don't feel that I'm *entitled* to cable internet.

      Well, you actually are. You got that entitlement in exchange for the cable company being the only cable company in the area. At least until this latest thing.

      --
      "We returned the General to El Salvador, or maybe Guatemala, it's difficult to tell from 10,000 feet"
    4. Re:OK, forget about the slums. by NetCynicism · · Score: 1

      When a company decides to claim a monopoly on a service (and when you purchase a franchise from a community or state government you generally wind up having a monopoly in that area)
      Bzzzzt. The telephone companies would not be having to ask any local government for permission to do anything if they were not offering TV. It's illegal already for a local government to interfere with a purely telecom-related upgrade. And there is a minimum of two providers (the two satellite companies) available to every American, before considering cable or the telecoms. Hence, no monopoly.

    5. Re:OK, forget about the slums. by Danse · · Score: 1
      And there is a minimum of two providers (the two satellite companies) available to every American, before considering cable or the telecoms. Hence, no monopoly.

      Satellite is definitely not equivalent to cable. Satellite can't offer the same features, synchronous speeds, interactivity (2-way), or latency levels. It's just not even close to the same. So yes, many areas do have to deal with a cable monopoly.
      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
    6. Re:OK, forget about the slums. by Elfboy · · Score: 1

      Well look at it this way.
      You live in a rural part of town.
      The town as an entity grants a monopoly contract to a provider.
      Said provider refuses to give service to the entire town (outlying rural areas).
      Yet you still pay property taxes and the like to the town...
      So you are paying to support services you can never use...

      (we had to fight in town meeting to get cable rolled out to us when they came through...) we pay the taxes, we get a say in the service agreements.

      --
      * We dance where angels fear to tread *
    7. Re:OK, forget about the slums. by trix7117 · · Score: 1
      and there is a minimum of two providers (the two satellite companies) available to every American
      Every American except those living in a home that can't receive a satellite signal. You know, like people who live in areas with tall buildings that make satellite reception impossible. Of course, there couldn't possibly be any place like that in America.
    8. Re:OK, forget about the slums. by mabhatter654 · · Score: 1

      this is about the TELEPHONE companies wanting to roll out cable services. But they want the exemption so they don't have to roll out the high-bandwidth services everywhere, just where it's profitable... that's not really fair to grant one state-wide monopoly (phones) rights into another local-area monopoly's (cable) rights but then not expect them to upgrade.. not furnish, all their existing customers to the new stuff. What are we EXCHANGING with the telcos their right to show TV for WHAT? Remember, we're putting local Cable and third party phone companies out of business with this new rule!!! We already pay a little extra fee on our bills to get rural areas phone service... if we're granting telcos the right to show TV over the lines why SHOULDN'T they do that for everybody who has phones already... they've already taken money to get phone lines all over. It's a UTILITY to now have data/cable service on those lines. For example my parents live in a populated area, but they're still on an old fashioned, Party line... very crappy. They are close to town and should be getting something better.

    9. Re:OK, forget about the slums. by bobcote · · Score: 1

      I'd like to know where this happened. Since dishes are regulated by the FCC and states cannot prevent their installation and use; providing it does create a safety hazard.

    10. Re:OK, forget about the slums. by n00854180t · · Score: 1

      Unfortunately, you get all the idiots(see half of the comments on this thread claiming AT&T should just be GIVEN profits by the government, in return for performing NO service at all) that are too stupid to grasp the fact that they're OWED these services, since everyone was REQUIRED to pay for them.

  32. Join a Mesh Network Project! by mailseth · · Score: 3, Informative

    Please allow me to plug the open source mesh network project that I've been involved with. If the residents feel that they are being treated unfairly, they should just put up CUWiN nodes, and share to all areas in the city with minimal cost.

    http://cuwireless.net/

  33. Re:Welcome to slashdot by Toby+The+Economist · · Score: 1

    > home of the libertarian trotskyite.

    My thoughts have recently been leading me to that same view.

    Readership seems to be all in favour of freedom and liberty, except when it comes to business, where the State should provide pretty much everything and private business is a Bad Thing.

    The fact is that the more the State does, the less freedom you have.

    This issue is not perceived.

  34. This is a great thing by cfulmer · · Score: 1

    There are a lot of people complaining about this like it's a bad thing. A prime reason that the franchising regulations started was the fear of monopolization. The idea was that if you had a single company providing cable TV service, they would do things like limit service and cherry-pick deployment areas for the purpose of maximizing their profits. Franchising gives the local government power to force the cable TV company to offer services and pricing that would not have done if left to its own devices. But, it's not a perfect solution since (1) the government has its own interests separate from that of the community (which is why you always see a few horribly used public access channels), and (2) the government often doesn't really know what the citizens want.

    That landscape changes dramatically when you have multiple players -- instead of the cable company dictating what the market will get, the market dictates what the cable company will provide. (If company A doesn't give you what you want, you will switch to company B.) Franchising authorities are no longer needed.

    Competition also gives incentives to build-out to rural customers. Sure, they may have to pay more than city-dwellers, but why should somebody in the city subsidize internet access for somebody in the country? There are lots of things that are more expensive in the country -- why should internet service be kept artificially cheap. Besides, wireless technologies have already made reaching rural areas much less expensive. If you force wired technologies to deliver service to rural areas, you will supplant the more efficient wireless services.

    1. Re:This is a great thing by M-G · · Score: 1

      That landscape changes dramatically when you have multiple players -- instead of the cable company dictating what the market will get, the market dictates what the cable company will provide. (If company A doesn't give you what you want, you will switch to company B.) Franchising authorities are no longer needed.

      There are a few problems with this. First, the cable companies played by the rules when it came to franchising. Now that the telcos want in on it, they want the rules changed. This creates a very uneven playing field.

      The idea that you can go to Company B to get what Company A doesn't offer isn't a great one. If Company A doesn't think it's profitable to wire your block, Company B probably won't either.

      Competition also gives incentives to build-out to rural customers. Sure, they may have to pay more than city-dwellers, but why should somebody in the city subsidize internet access for somebody in the country? There are lots of things that are more expensive in the country -- why should internet service be kept artificially cheap. Besides, wireless technologies have already made reaching rural areas much less expensive. If you force wired technologies to deliver service to rural areas, you will supplant the more efficient wireless services.

      Who said anything about subsidizing rural areas? The build-out requirements are/were part of the franchising laws. A franchise in a municipality has nothing to do with providing service to rural customers.

    2. Re:This is a great thing by cfulmer · · Score: 1

      You're absolutely right about the uneven playing field -- as I understand the decision, once the current franchise agreements run out, the cable operators won't have to go after them.

      As to your second point, you're missing how monopolies distort the market: they only go after the opportunities that maximize their total profit, whereas competitive firms will go after a market opportunity so long as its cost of providing that service isn't higher than the price it can receive. (These two things may appear to be the same thing, but they're not. The reasoning takes more economic explanation than I'm willing to write now. Much easier with graphs....)

      Plus, your second point assumes that Company B is going to run wires. Company B may be putting a big antenna on a pole. Or, they may be going over existing wires.

  35. No; Good for cities that want a say... by randomjohndoe · · Score: 3, Insightful

    Break the monopoly! Local governments want universal access? Then they should build it. Fund it through long term bonds like other infrastructure. Let ISPs, Telcos and Cable TV companies compete to provide service through the community owned fiber. Now you're not locked into carrier owned infrastructure. End of monopoly. Watch for the big companies to hate this as much as they do municipal wireless. Then you'll know it's good for the consumer.

  36. Required buildout NOT so good by alteran · · Score: 4, Insightful

    I understand how someone living in a rural area might want build-out requirements for cable francising. But let's face it-- TV viewing and internet access are NOT phone service or electricity.

    Living in rural areas with our current lifestyle incurrs a lot of societal costs in terms of pollution and infrastucture expenses. Rural development uses more land. Rural areas create more transportation costs, most indirect causes of which are born disproportunately by urbanitees. I could go on. In short, EVERYONE pays for those expenses, NOT just the folks living out in rural areas. It is not only unfair to ask urban dwellers to finance these inequities, it also creates an artificial incentive to develop rural areas and encroach on natural preserves.

    It's bad policy. For phone and electric, I'm willing to hold keep my peace and underwrite expensive outlays to rural areas-- these are necessities, and I'm willing to take a hit so that other people can have those necessities. But to incurr those costs for entertainment seems a bit much-- particularly since for broadband and TV, viable alternatives do, in fact, exist. Sure, there aren't as many choices, but that applies to everything out in the country, from everything from stores to restuarants to places of worship.

    Why should broadband/TV access be any different?

    --
    Who is RTFM and when will he help me with Unix?
    1. Re:Required buildout NOT so good by bogjobber · · Score: 1

      I have lived in rural areas most of entire life (I'm 20), often hundreds of miles away from anything most Americans consider a city. If it wasn't for the internet I wouldn't have access to things such as balanced national and international news, not to mention things such as arts and entertainment. I can confidently say I would be much less informed if it were not for these requirements. Speaking from anecdotes, myself and many of my friends growing up would not be nearly as educated as we are if it weren't for internet access.

      So while you may have a point as far as an internet connection not being a necessity of life, we should also take into consideration the effects of depriving a large number of Americans of this link to the "outside world". The cost to the taxpayers is probably made up for by the fact that the rural areas are producing intelligent, productive people that then move to the cities. Regardless of what many urbanites think, rural areas are not just full of rusting farm equipment and slack-jawed yokels. If 20% of the population has little chance to access information as freely as those in more concentrated areas, that would be a very bad thing. A lot of people live in rural areas, so we need to be educating and providing services to those people whether it is a fair distribution of cost or not.

    2. Re:Required buildout NOT so good by Anonymous Coward · · Score: 0

      I think you have the history off slightly. When universal service started (~1913) the majority of Americans were rural. While it might have been good policy, it was more importantly good for getting elected. I also think you might be confusing rural and suburban.

      Lots of my neighbors (I'd say rural) are people that have lived on the land for generations. They fed America in the past, still do to some extent, and I'm pretty sure local food will become a necessity again by next century. I'm not sure why you think a wireline phone is a necessity, when a cell phone probably works. And cable tv can be replaced by rabbit ears. And the Amish seem to get by without electricity. I think Internet is more important than a phone line. Many of friends are starting to think of the net as a necessity. Satellite internet is getting better, but is still quite expensive, has high latency, probably download limits, certainly low upload speeds.

      I sense some resentment over suburbia in your posting. I can agree with that. But most subdivisions around here are sufficiently dense that cable companies will build out there voluntarily. The real rural people are the ones farther out, with few or no options.

    3. Re:Required buildout NOT so good by ivan256 · · Score: 1

      There aren't usually build-out requirements for internet service. That pretty much kills your argument.

    4. Re:Required buildout NOT so good by Hemlock+Stones · · Score: 1

      Your assumption that this would only affect rural locations is misplaced. I live in the north eastern corner of the city of Dallas, TX. This is at least twenty miles away from anythig that approaches rural. I have been waiting for over 6 YEARS for Southwestern Hell/ATT to deliver DSL service to my house. While I am all for Telcos being allowed to supply video and other services, they should at least be required (as the cable companies were) to do build outs. Otherwise it is not only rural customers that suffer.

  37. Welcome to Rural America by macdaddy · · Score: 2, Insightful
    Apparently you've never lived in a rural environment. You know, rural, like 99.99% of the United States. I can't close my eyes, and throw a rock in any direction and hit a McD's or a Starbucks. I can't walk to work and carry my groceries home at night for that one meal. I now live in a town of about 350k people. I work in a town of about 2100 people. You probably have more people living in your city than in my entire state. My home town had 231 people in it in the 2000 census. My 6th grade class had 5 kids in it, all boys. My high school graduating class had 32 people in it. My high school was made up of about 15 small rural communities. I live here in the heartland, smack dab in the dead center of this country. You know, the "World's Bread Basket." We feed you! How about we turn off your food supply. If you want my food, move to a place where I offer it, or buy someone else's food. Simple as that. Jackass.

    There are certain necessities in life, staples if you will, that are the building blocks of society and everyday life. Without regulation many utility companies would ignore the majority of the US and focus solely on the areas with the highest concentration of people, primarily the seaboards. Without regulation costs of delivery services to these areas would be levied solely on the shoulders of those in rural America. Why should my fuel cost me $10/gallon when your's only costs you $2/gallon? Regulations spread the load out evenly across all members of our society. Without regulation the country couldn't maintain a balance between producers and consumers. Without balance you consumers die. It's a simple as that.

    Before anyone goes off on a rant about me being a Republican or a Bush ass-kisser let me kick that in the nuts right now and say I am a Liberal.

    1. Re:Welcome to Rural America by Bob+Uhl · · Score: 1
      Why should my fuel cost me $10/gallon when yours only costs you $2/gallon?
      Ummm...'cause that's the fair market price, perhaps? If it's more expensive to live in a rural area, then raise prices on the goods you sell to urban areas (e.g. food). Subsidies lead to inefficiencies.
    2. Re:Welcome to Rural America by macdaddy · · Score: 1
      So we here in the Midwest would be justified in raising the price on a bushel of wheat to $50/bushel. You're ok with paying $10 for a loaf of bread? Raise the price of gas, up goes the price of beef and dairy products. How would you a $50 cheese burger? Want bacon? Add $10. Fries? We'll cut you a break: $9.95. Enjoy.

      It goes both ways. If you raise our costs then the we have to raise our prices. A free market can not be completely free. A free market is subject to abuse, skittishness, knee-jerk reactions, etc. It's a balancing act.

    3. Re:Welcome to Rural America by Fulcrum+of+Evil · · Score: 1

      If you want my food, move to a place where I offer it, or buy someone else's food. Simple as that. Jackass.

      No problem. I'll buy your crops, then resell them in the cities that demand them. If I'm savvy, I can eventually control most of the transport out of your town and buy most of your crop. When that happens, you'll pay what I choose to give you.

      Without balance you consumers die. It's a simple as that.

      No, you die. Go read the grapes of wrath.

      --
      "We returned the General to El Salvador, or maybe Guatemala, it's difficult to tell from 10,000 feet"
    4. Re:Welcome to Rural America by macdaddy · · Score: 1

      I'm surrounded by idiots. Didn't any of you people ever take Macro Economics? This isn't rocket science. It's basic Economics.

    5. Re:Welcome to Rural America by ivan256 · · Score: 1

      Before anyone goes off on a rant about me being a Republican or a Bush ass-kisser let me kick that in the nuts right now and say I am a Liberal.

      That was pretty obvious.

      Why should my fuel cost me $10/gallon when your's only costs you $2/gallon? Regulations spread the load out evenly across all members of our society.

      There are lots of posts in this thread from people who live in rural areas (I live in a tiny town, BTW. There is a field full of sheep in the 'center of downtown') who think they only have this that or the other service due to a regulation that forces big-business to play fair, when it reality there is no regulation, and the service is there simply because the company turns a profit. Your gas example is exactly that. The only thing stopping somebody from charging $10/gallon for gasoline in rural america is that somebody else will come in and charge $2.50/gallon and put them out of business.

      This particular regulation isn't about a building block of society. It's about cable TV. *NOBODY* needs cable TV. There is nothing you can get with it that you can't get without it. (With a dish and an antenna, for example)

      Regulation has its place. This isn't it.

      (Incidentally, even though all I can hear is mooing out my window at night, Verizon ran fiber to my house without any regulation saying that they had to. The old copper line satisfied all their obligations.)

    6. Re:Welcome to Rural America by Fulcrum+of+Evil · · Score: 1

      Yeah, um, the rules are different when you're dealing with monopolies. Never mind that the cable company probably promised to serve the whol area that it got the monopoly for.

      --
      "We returned the General to El Salvador, or maybe Guatemala, it's difficult to tell from 10,000 feet"
    7. Re:Welcome to Rural America by macdaddy · · Score: 1
      (Incidentally, even though all I can hear is mooing out my window at night, Verizon ran fiber to my house without any regulation saying that they had to. The old copper line satisfied all their obligations.)

      Actually they were subsidized to do this very thing by Uncle Sam well over a decade ago. They're just now getting around to doing it.

    8. Re:Welcome to Rural America by Bob+Uhl · · Score: 1

      Actually, I'd welcome realistic food prices. I even mentioned it in my original post. Things should cost what the market will pay for them--subsidising some types of food just makes them more affordable than they would otherwise be.

  38. FUSF? by dex22 · · Score: 3, Interesting

    If the telcos no longer have to service poorer or more remote or inconvenient areas, does that mean they will no longer receive Federal Universal Service Fund payments?

    Does that mean I can keep my FUSF fees?

    Of course not. Gah.

  39. Fairweather federalism... by Rotten168 · · Score: 3, Interesting

    Unfortunately, both parties only support federalism and the 10th amendment when it suits their interests.

    1. Re:Fairweather federalism... by SonicSpike · · Score: 1

      THANK YOU for posting this. I am surprised it took this long for someone to mention this.

      Since in when in the hell does the Federal government get to decide how my neighborhood gets wired?!?! And where is this written out? I don't see 'utility regulation' in Article 1 Section 8 of the US Constitution - powers delegated to Congress.

      I would like to see every law passed in Congress have a subsection in which it documents HOW it is tied to Article 1 Section 8.

      --
      Libertas in infinitum
    2. Re:Fairweather federalism... by Rotten168 · · Score: 1

      Since in when in the hell does the Federal government get to decide how my neighborhood gets wired?!?! And where is this written out? I don't see 'utility regulation' in Article 1 Section 8 of the US Constitution - powers delegated to Congress.

      It doesn't... what they use is the "interstate commerce" clause as an excuse for just about every unjustified expansion of federal government. And both parties do it.

    3. Re:Fairweather federalism... by SonicSpike · · Score: 1

      And that's exactly why I vote Libertarian!

      --
      Libertas in infinitum
  40. Why I can't get Verizon FIOS IPTV by glennrrr · · Score: 3, Informative

    Here in Nashua, New Hampshire, I've heard the reason Verizon does not offer TV service along with their fiber optic Internet service is that the mayor is insisting on universal access until he allows the franchise (and conveniently preventing competition with Comcast). So I get my TV via a ugly Dish Network dish on my roof, and my Internet via the zippy fast Verizon fiber optic service.
    This is not exactly pushing the limits of the bandwidth of the fiber.

  41. And to prove my point by Crashmarik · · Score: 1

    Nahh theres no agenda here.

  42. Cherries by alanjstr · · Score: 2, Insightful

    So a company wants to be profitable and everyone gets mad. This isn't about them not serving those remote areas at all; they already do that. They just want to deploy fiber to the areas that are most likely to pay for it. Also, some municipalities take more than a year to decide whether the telcos can deploy fiber. That means that YOU are waiting for more competition for more than a year.

    So why should I, the consumer, suffer?

    1. Re:Cherries by Anonymous Coward · · Score: 0

      I can pull in 1 TV station with a clear picture clearly and two more with a barely acceptable amount of static.
      I can't get cable.
      I can't get DSL.
      My phone line supports a max 21.6kbaud modem connection.

      In what backward portion of America do I live? Ohio. Not even rural Ohio. I am within half an hour from the downtown area of a major metropolitan area. I live in a dead zones between cities. Apparently there aren't enough of us here to warrant upgrading the infrastructure.

      I'd be pleased as punch of the rest of the country stopped complaining about not getting their desert when a lot of us still haven't made it through the buffet line.

    2. Re:Cherries by Danse · · Score: 1
      I'd be pleased as punch of the rest of the country stopped complaining about not getting their desert when a lot of us still haven't made it through the buffet line.

      I'd suggest you start backing the idea of municipalities controlling their own fiber infrastructure and allowing service providers to use it to offer service to end-users. Unless you want to continue to have your service provided (or not) on the whims of the providers. Build the infrastructure and own it yourself (municipally) and they will come.
      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
  43. oops, what I get for typing at 3am... by sethawoolley · · Score: 1

    I reversed red and blue inadvertently. :)

  44. So remove Gov power by Anonymous Coward · · Score: 0

    and take back the infrastructure that the taxpayers paid for. We lease the lines to the companies.

    They can either pay or find another way to get their product to us.

    Fair?

  45. This hurts the free market! by mutterc · · Score: 1

    The telcos have a choice. Nobody forces telcos to sign these franchise agreements. They could simply not provide service at all to a city if they don't want to provide service to the whole city.

    By restricting the free market in this way, the regulators are only going to hurt the industry, stifle competition, and make things worse for the consumer.

  46. Actually.... by Anonymous Coward · · Score: 0

    Actually, it's good news for smaller, neighborhood-based companies that can now move in where the giants don't. We shouldn't forget that monopolies tend to go even into areas that seem "unprofitable," because, if they don't, a competitor can grow up there, lean, mean and efficient, and beat the socks off them when it moves onto their turf. This is "good news" for giants like Comcast, only if they're stupid enough to regard it as such and 'redline' some neighborhoods--which they probably are.

    Interestingly, I'm told that getting a cable franchise in Seattle requires that all city-owned buildings get a full package cable feed for free. One consequence is that the city could offer everyone in low-income housing full cable, HBO and all, for little more than the cost of running cables to apartments. That they've carefully avoiding doing, fearing the political fallout. But then maybe I heard wrong.

  47. Re:Great news!!!! by Anonymous Coward · · Score: 1, Funny

    Sweet! Maybe when netbeans finishes loading next year I'll try it out.

  48. It's nice that.... by Anonymous Coward · · Score: 0

    ...Slashdot takes its web design cues from the Uno card game.

  49. quite the blanket assertion by sethawoolley · · Score: 2, Interesting

    You're asserting that governments can't "make money". I presume you mean they can't "make capital". But, they can. They make capital all the time. If you meant they can't "make value", under what theory of value are you assuming they can't make value? The labor theory? What theory? Come on? The CCC didn't make labor and thus make value?

    Wow, you really are deluded, or you just don't know the terminology. You call yourself an Economist?

    I include investors who invest via a representative. Even if they could match an institutional investor's baseline, the fees they charge are exorbitant and skim much of the profit out.

    1. Re:quite the blanket assertion by Toby+The+Economist · · Score: 1

      > You're asserting that governments can't "make money". I presume you mean they can't "make capital".

      No. I mean they cannot create genuine value. They are not productive industries. They do not create new real wealth; unless, that is, that there are State run enterprises which sell goods and services to the public.

      > Wow, you really are deluded, or you just don't know the terminology. You call yourself an Economist?

      Rather deluded than repulsive. I don't need to insult other people to hold a debate.

    2. Re:quite the blanket assertion by sethawoolley · · Score: 1

      Since when was productivity measured by direct sales of goods and services? Every economist should now know that indirect effects are sine qua non of economic analysis.

      Morever, they _do_ provide direct goods and services. The interstate highway system is a "concrete" example of both a good and a service. It's physical and provides a shared service for transportation of other goods and services. It's created immense quantities of wealth (value) through it. The New Deal took employment and goods and services directly into the hands of the government when the market system failed. The BPA, TVA, and other public utilities are also infrastructure utilities that have demonstrated consistent operating efficiency that have not been met by corporate utilities.

      Demoting your feeble attempt at anonymous self-title is not being repulsive. Somebody might be confused by your moniker and assume you have some expertise in the matter, which, after some honest investigation into your knowledge, clearly you do not.

      At no point have I relied on any titular endowment, but you do, true or false, as we only see an anonymous poster with a symbolic title. Questioning your title is perfectly valid.

      If you do have some credentials, feel free to publish them, so we can see what embarrassment may ensue.

  50. So the question becomes... by drinkypoo · · Score: 1

    ...what will the FCC do WRT frequency licensing of those frequencies that people want to use for last-mile solutions? Because basically by not running wires to everyone the cable companies and such are leaving the door wide open for a wireless solution.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
  51. can != does (EOM) by sethawoolley · · Score: 1

    can != does (EOM)

  52. 90 Day Limit by PPH · · Score: 1

    So, municipalities have a 90 day limit to make a decision on the franchise. It the telcos don't satisfy some local requirement to provide uniform service, the answer can always be 'No'.

    --
    Have gnu, will travel.
  53. Fine and well by Travoltus · · Score: 1

    Considering that California produces more food here than any other state in the country, that would mean that we can withhold our goods and our welfare dollars (which we contribute far more of and which you red states consume far more of) from you.

    You can keep your oil, too. We'll do fine with importing ours, while building up our biodiesel & hydrogen alternatives. When you burn through all your oil reserves well badebadebadebadethat's all folks!

    --
    --- Grow a pair, liberals... stop letting the Republicans bully you!
    1. Re:Fine and well by Anonymous Coward · · Score: 0

      If you think California would be where it is today without the railroads being built 140 years, you're an idiot. California is essentially walled off from the rest of the US by the Rockies. Good luck shipping anything produced in California without the railroads, good luck communicating with the rest of the country without telegraph lines, good luck getting textiles to clothe your people, etc. BTW, how's your energy production RIGHT NOW?

      Try not to get cross-eyed staring down your nose as the mere plebes oh all intelligent and self-righteous one.

      I can't wait until the big quake comes so the US can cut its smug production in half.

  54. Re:Ammo for communities building their own fiber ? by novus+ordo · · Score: 1

    I have seen this happen with phone, electricity and television. Some for of government local or national will have to provide the fiber network(not incentives) if Americans want to be able to have the kind of connection the rest of the world has had for years now. I don't see Corporations being able to pull off something like fiber rollout since they would have to invest now for future gains. The Corporate culture with their "shareholder value" mantra and nearsightedness will leave America in the dark ages of the Internet.

    If you want a good model look at what Utopia has been able to do despite bitches and cries by the likes of Qwest and Comcast. Also one should realize that fiber will be the last rollout of cables needed for the foreseeable future(unless of course we find something faster than the speed of light).

    --
    "You're everywhere. You're omnivorous."
  55. That's the truthiness by sethawoolley · · Score: 1

    speak from the gut, man!

    p.s. Look into the prisoner's dilemma for research info on this issue.

    1. Re:That's the truthiness by Toby+The+Economist · · Score: 1

      I'm familiar with the prisoner's dilemma.

      I'm not sure it's applicable here. It would only be so if those who invested in infrastructure could be taken advantage of by freeloaders. If the investors are in fact contributing to a company which owns the infrastructure and rents it out once made, all they've actually done is invested in producing an income stream, e.g. they hold shares in the company.

  56. The part you left out by budgenator · · Score: 1

    The part you left out is that while comcast is technicaly losing money in some areas, they are also make more money than we would expect the market to bear in other areas; AT&T on the other hand wants to earn more than the market would be expected to bear, while avoiding the areas that will lose money. Comcast for all of their faults, has struck a deal with communities to provide services to all in a juricdiction in return for the monopoly protection of the franchise. Citys will now have to renig on their end of the deal becuse the FCC made this decision, and they quite possibly don't have the authority to make the decision. A lot of cities are going to be seriously pissed off at AT&T, and hell hath no fury like a pissed of city zoning inspector.

    --
    Apocalypse Cancelled, Sorry, No Ticket Refunds
  57. if it really were optional, then they can bargain by sethawoolley · · Score: 1

    Economists call it externalization, not the neighborhood effect. At least those that care to trap all externalities. Only those that want to limit externality cost to those that affect close-in neighborhoods use such a couched term.

    And yes, you did imply force. You said "there's a solution". The other solution which you were abandoning in favor of yours was to not bargain with these people until they bore the cost -- the cost was repaid in build-out requirements.

    If it really were optional, then you'd have no problem with the public holding out for equal access, WHICH IS THEIR SPECIFIED PRICE. IF they can't demand this in return for what they supply, then the market "should not" make this arrangement. Even in your world view.

    Damn, you're so contradictory.

  58. more assertions by sethawoolley · · Score: 1

    > The fact is that the more the State does, the less freedom you have.

    If the state uses a progressive taxation system, then your association is no longer linear.

    In fact, you may end up getting more freedom as a result of an increase in progressive taxation and a corresponding increase in public service availability.

    An increase in progressive taxation may mean a tax break for the poorest majority. That consumer spending then drives up the economy more than the tax lessened it since money in the hands of aggregated wealth is much less likely to be spent than somebody living paycheck to paycheck. Trickle up.

    Do right-wingers try to institute regressive taxation schemes as a self-fulfilling prophesy for their own ideological "facts"?

    I used to consider that a remote conspiracy theory. Perhaps it's not as far-fetched as I thought.

  59. Re:Ammo for communities building their own fiber ? by ivan256 · · Score: 1

    It's not so much a community that gets cherry picked (though it can be), but individual households.

    For example, in my town Verizon has run fiber to every house serviced by overhead lines (though if only the last 250ft is buried, they will still offer you service).

    It is too expensive to pay to dig under streets to run cable and still turn a profit, so they simply choose not to offer their service in those neighborhoods, or even for individuals (who may be more than 250 feet from the nearest pole). This isn't a problem for telephone and internet, as they don't have to get local approval, but when they wanted to do television they had to accept build-out requirements. It sucks to be them. They signed the license with the requirement on the 12th of December.

  60. You poor fool by Travoltus · · Score: 1

    So cut us off then, retard. America's biggest food producer won't be able to supply the rest of you. That ought to drive your food prices up a tick or two. But don't worry about us - we can eat what we produce and survive on our own. Besides, we have the whole Pacific Ocean and endless fleets of supertankers to help us reach around the world. Don't even think for a moment that we're cut off.

    BTW, in California we have something else called trucks that move goods throughout our state and to other places. We'll survive without you, but you'd starve without us.

    And spare me about the energy b.s. If you had California's energy demands, you'd be knee deep in hot kimchi. As it is, storms rage through Jebediahland and cut you off from power for weeks at a time.

    And if an Earthquake takes us down, once again, there goes America's biggest supplier of food. And the world's sixth largest economy. And a major exporter of domestic WELFARE dollars (which the red states heavily depend on). We'll be dead, and you'll be envying us - at least until that New Madrid thrust fault out in the midwest hits you completely by surprise like it did in the last century. Boy, what a mess that was. But then again dem dar Category 5 hurricanes are already wreaking havoc on your trailer parks.

    --
    --- Grow a pair, liberals... stop letting the Republicans bully you!
    1. Re:You poor fool by Anonymous Coward · · Score: 0

      Uh, idiot... you're the one who said that you wish the TVA never existed so those rural neocons would never have been born. I said I wish the transcontinental railroad would never have been built so metropolitan snobs like you wouldn't have ever been born. Cities flat out can't survive without the people in the sticks that you detest so much so get off your high horse about how you're so much better than them. Cities don't provide their own energy, they have to transport it in from the sticks. Cities don't provide their own food, they have to transport it in from the sticks.

      Your elitist bashing is the equivalent of modern day plantation owners. Those people out in the middle of nowhere are there to grow your food, absorb the pollution from your energy needs and in the case of my town, supply your water. None of us people matter to you, we're all hicks who don't deserve a vote and, well, there's that whole senate to equal out our representation or else we should only count as 3/5ths of a person. Learn to be a little grateful to them for making your life so easy.

      Btw, as for your sig, you can't win debates because nobody other than an AC who is bored enough to stoop to your level will even bother to respond to your childish ad hominems and inability to stick to your train of thought. Oh, and for the record, I live in one of the bluest states in the northeast and our entire state is controlled by one city that has nothing in common with the rest of the state. Over the years, I've watched your big city elitism destroy the rest of the state. What you fail to understand is a one size fits all policy might work for the cities but they often have a vastly different effect once you get out passed the burbs, not that you care what our needs are as long as we continue to meet yours.

    2. Re:You poor fool by Travoltus · · Score: 1

      You just can't STFU, can you, you flaming retard?

      Yes, we can and do survive without you hicks in the sticks. You couldn't survive without us, though. California can feed itself and we also feed you fools. We also provide you with welfare dollars. After you starve we'll come in and co-opt those high polluting power plants you have, or replace 'em with nukes! :D

      The world, in fact, could do without you.

      I for one apologize for the Civil War - we should have let you go. Now we're paying the price in that we have to listen to your tripe.

      --
      --- Grow a pair, liberals... stop letting the Republicans bully you!
  61. Maybe by Rix · · Score: 1

    Or, maybe someone else would have come along and done it. Someone who wouldn't bother even considering it now, because they have to deal with your corrupt local government.

  62. Please Resubmit for Further Disapproval! by sciop101 · · Score: 1
    The major point is the community must decide in 90 days.

    If the community does not like the telecom project, the community can just say "NO!"

    Telecoms can then resubmit, revise, or cancel the project.

    I suggest a community make the local law default to reject the project if not approved by vote.

    --
    The only thing new in this world is the history that you don't know.[Harry Truman]
  63. so sorry old chap... by sethawoolley · · Score: 1

    I'm so sorry, I was slipped up by your use of a categorical "monopolies are inherently unstable" placed near a "most" qualifier.

    Please accept my apology. Now, please explain how they are "inherently" unstable "most of the time". If it's an inherent property that monopolies are unstable, then how can they be at all separated from this? What condition happens that makes monopolies inherently unstable? What then makes them stable other than government intervention?

    If there are any monopolies that are stable without government support, then your argument doesn't really address the problem that a free market is unable to control all monopolies, now is it?

    Are you retreating again?

  64. Pay me now or pay more later... by EricTheO · · Score: 1

    Some corporations and government entities seem to miss the fact that not fully deploying infrastructure cost more in the future to complete the task. If one uses forethought and not near term profit as a guideline we would be better off in many ways. Bet on a sure thing, in the short term, or create a market for the future.

    --
    -Eric
  65. Geez by d_54321 · · Score: 1

    Could this be anymore boring?