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Big Telecoms Strangling Municipal Broadband, FCC Intervention May Provide Relief

MojoKid writes: With limited choice and often dismal upstream speeds, it's no wonder many people are excited to hear that newcomers like Google Fiber are expanding super-fast gigabit internet across the country. But some Americans also have access to other high-speed fiber internet options that compete with the big guys like Comcast and Time Warner Cable: municipal internet. In the case of the small town of Wilson, NC, town officials first approached Time Warner Cable and Embarq, requesting faster Internet access for their residents and businesses. Both companies, likely not seeing a need to "waste" resources on a town of just 47,000 residents, rebuffed their demands. So what did Wilson do? It spent $28 million dollars to build its own high-speed Internet network, Greenlight, for its residents, offering faster speeds and lower prices than what the big guys could offer. And wouldn't you know it; that finally got the big telecoms to respond.

However, the response wasn't to build-out infrastructure in Wilson or compete on price; it was to try and kill municipal broadband efforts altogether in NC, citing unfair competition. NC's governor at the time, Bev Perdue, had the opportunity to veto the House bill that was introduced, but instead allowed it to become law. However, a new report indicates that the FCC is prepared to side with these smaller towns that ran into roadblocks deploying and maintaining their own high-speed Internet networks. The two towns in question include aforementioned Wilson, and Chattanooga, TN. Action by the FCC would effectively strike down the laws — like those that strangle Greenlight in Wilson — which prevent cities from undercutting established players on price.
The FCC is also expected to propose regulating internet service as a utility later this week.

2 of 204 comments (clear)

  1. We the Government by ignavus · · Score: 5, Insightful

    We the Government of the corporations, by the corporations, for the corporations, will not allow the democratic process to interfere with the rights of business to dictate monopolistic and oligopolistic solutions to citize ... erh, customers.

    In particular, you have no right to competition nor to form any "more perfect union" that reeks of socialism or even just consumers rights.

    Business must be allowed perfect freedom. All other freedoms are coincidental.

    Signed.

    Your governor.

    --
    I am anarch of all I survey.
  2. Re:or $2,000 per household, owed by non-subscriber by Shadow99_1 · · Score: 5, Informative

    Probably because the people at the ISP's don't give a shit what services the people there need/want?

    I briefly tried to take a blog on technology issues into the domain of a youtube channel. However my internet is a 20/1 connection, at 1 mbps it takes me 3-4 hours to upload one ~40 minute segment. While I'm uploading I can't even use the internet for anything else. I need much faster up, but those big companies don't give a rats ass what I need. My best option for internet is what I have now. No business options even exist beyond what I have for residential service (a 3x bill just gets me 24/7 support and a change of name to 'business service').

    These companies want to milk existing infrastructure for their own profit with no benefit to their customers. The other big businesses and financial services who own their stock get a good return though.

    --
    we are all invisible unless we choose otherwise