Tag: "incumbent"

Posted October 20, 2015 by ternste

Shocking horror stories about incumbent ISPs reaching new lows for poor service are now so common that they have become routine. A story from Ars that recently went viral puts a human face on the frustration millions of Americans endure just trying to determine if Internet access is available where they choose to live. First, here is the gist of the story.

Cole Marshall, a work-from-home web developer, decided he wanted to build a new home on the outskirts of Sun Prairie, Wisconsin. While scouting properties, he confirmed with local incumbent ISPs Comcast and Frontier online and by phone that they could offer sufficient Internet access to his favored lot.

When Marshall completed construction and contacted Charter, the cable company offered to provide the service only if he paid $117,000 to extend their network to his home. And Frontier? Frontier mislead him too, pricing the job at $42,000 to bring him the 24 Mbps service they’d promised they could provide. 

When all was said and done, Charter couldn’t provide affordable service at all. Marshall is now stuck with Frontier’s sloth-like DSL broadband speeds of 3 Mbps download / 1 Mbps upload for all of his small business needs. These speeds fall well short of the 25 Mbps download / 4 Mbps upload the FCC defines as “broadband.” 

Marshall’s story illustrates well the problems with existing broadband services in and around the city of Sun Prairie that led citizens and city leaders to recently pass a resolution to build a municipal broadband network in some areas within the city limits. While Marshall’s address is outside the purview of Sun Prairie’s planned network buildout, the potential for future expansion of this publicly-owned network may be Marshall’s only hope for a solution to his broadband connectivity problems.

logo-frontier.png...

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Posted September 22, 2015 by christopher

For this week's Community Broadband Bits, we are delving into an area of law and practice that is quite important for Internet network deployment but tends to be dry and confusing. Not for us today though, we have Sean Stokes, a Principal at Baller Herbst Stokes & Lide, joining us to explain Right-of-Way basics.

We talk about what the public Right-of-Way (ROW) is, who is responsible for maintaining it, how entities can get access to it and how poles are distinct from the ROW. We discuss how much power local governments and pole owners have to deny access to these assets and some of the costs associated with make-ready. If you don't know what make-ready is, you'll know in less than thirty minutes.

We finish our discussion by exploring the "Municipal Gain" policy in Connecticut, where munis are entitled to some space on the poles for any purpose they choose to use it. Historically, this was used only for public safety, but it was recently broadened. Sean also explores how he believes we should simplify access for fiber-optics rather than basing access on the particular end service being offered.

Read the transcript from this episode here.

We want your feedback and suggestions for the show - please e-mail us or leave a comment below.

This show is 30 minutes long and can be played below on this page or via iTunes or via the tool of your choice using this feed.

Listen to other episodes here or view all episodes in our index. You can can download this Mp3 file directly from here.

Thanks to bkfm-b-side for the music, licensed using Creative Commons. The song is "Raise Your Hands."

Posted May 22, 2015 by lgonzalez

The people in Kemp, population 1,100, have officially said "adios" to CenturyLink and now give their business to a local wireless provider, reports Government Technology. According to the article, the community grew tired of slipshod service and repeated service interruptions:

At one point, the city lost its Internet connection for five days. “That was the last straw because that was detrimental to us, because we depend on the Internet so much more, especially with our phone system," said [City Administrator Regina] Kiser. "We had just gone with the voice over IP [Internet protocol] when our system went down for five days, so you try to call city hall about various things, including the police department, and there was no phone. So, that was horrible.”

After a year of requests from the municipality for better service went unheeded, government officials decided it was time to make some changes:

“If you’re a government entity and you call in, they send you into cyberspace somewhere and your phone just rings and rings and rings, and I guess there’s just not any commission to be made on cities from what I’m understanding,” Kiser said. “This problem’s been going on for about a year, as far as not having the power we need to run our court program. So we tried, but it was just impossible to deal with CenturyLink.”

Kemp now works with One Ring Networks, where they receive service for a rate of $450 per month. There was no installation charge and in exchange, One Ring Networks is able to expand its network in the community. It now has the opportunity to sell service to residents and businesses in Kemp.

Unlike the typical "up to" speeds the big incumbents offer, One Ring Networks claims it "carves out" 5 Mbps download and upload for each subscriber, says Kris Maher from One Ring Networks:

“With the other carriers, that 10 Mbps by whatever is a best effort service, which means it can go up to 10 Mbps, but 10 Mbps isn’t guaranteed. Ours is right at 5 and it’s always going to be at 5, no matter who else is on our network.”

Kiser notes that residents are happy with their new provider and that, despite a brief delay caused by inclement weather, the upgrade was a simple task:

“CenturyLink’s been the only game in town for so long,...

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Posted March 25, 2015 by lgonzalez

We have long applauded communities that have built their own fiber networks and then elect to expand them to neighboring communities. In Louisiana for example, Lafayette could hoard its network, forcing people that want the best connectivity in the region to move within its borders. But instead, it is preparing to expand the network.

City-Parish President Joey Durel announced that the municipal network would begin expanding beyond Lafayette city limits. An article in The Advocate quoted Durel:

“As I have traveled this parish, one of the most common things I am asked is, ‘When will we get fiber?’ That answer depended in large part on making fiber successful in Lafayette. We’re there,” Durel told the crowd that filled the Cajundome Convention Center.

Durel noted that municipalities that make agreements with Lafayette based on future annexation will be considered if they are willing to pay for the cost of expansion in their communities. Youngsville is reported to be the first town be consider Lafayette's proposal for bringing better local residential and business connectivity.

Any expansion of municipal networks has to answer some of the same important questions of any partnerships - how to allocate risk and benefits. It doesn't seem appropriate for Lafayette to assume the full risk of expanding the network to Youngsville, for example. Those who receive the benefits should assume some risk, and those who assume risk should be compensated in some measure.

One community, Broussard, is balking. Apparently, the town of 6,800 people located just outside Lafayette city limits does not want to contribute to the cost of fiber in their community, reports The Advocate. Understanding these fights from afar is always challenging because neighboring communities have often developed animosity over decades from both real and imagined slights.

Broussard has taken a hard line:

“There is no way we are going to give LUS the money to extend their fiber lines in Broussard for them to profit off of our infrastructure and the business of our citizens,” Broussard Councilman and Mayor Pro-Tem Johnnie Foco said in a statement…

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Posted December 16, 2014 by lgonzalez

The Kansas Corporation Commission (KCC) will allow the city of Chanute move forward with its plan to serve residents and local businesses with its municipal network reports the Wichita Eagle. KCC staff had recommended that the community, which has built out a network over the course of decades, receive KCC approval. 

In keeping with an antiquated 1947 state law, K.S.A. 10-123, the city needed KCC approval to issue the revenue bonds. In keeping with the statutory requirements, the KCC found that the expansion is necessary and appropriate for the city, its consumers and investors. The KCC also also determined that the expansion will not duplicate an existing utility service.

In its filing [PDF], Chanute indicated that its network is an essential part of the local economy and the community's future:

Chanute is a rural community, and like all rural communities, access to broadband is fundamental to the well-being of its citizens and even to the survival of the community itself. Chanute does not need to convince the Commission of the importance of having access to a high- speed broadband network. The Commission is well aware of that need. The investments contemplated for Chanute's broadband network are necessary and appropriate to allow Chanute to meet that need in its territory.

As the city points out, incumbents AT&T and Cable One, do not offer anything close to the level of service of the planned gigabit FTTH network. As we cover in our 2012 report on Chanute, AT&T and Cable One seem to have no interest in serving the community beyond minimum expectations. It was the need for better services that inspired the city to build out its infrastructure and offer services to local businesses.

Prior the the KCC ruling, the Wichita Eagle reported that AT&T requested and obtained permission to intervene in the proceeding. AT&T's subsidiary Southwestern Bell Telephone Company (...

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Posted November 13, 2014 by lgonzalez

Lake County has faced a number of challenges since it began deploying its fiber network in 2012. The latest wrinkle comes as the Rural Utility Service (RUS) is late in distributing funds to pay contractors. The agency is administering the stimulus funds used to build the $66 million project. The Lake County News Chronicle recently reported that the County Board of Commissioners will pay $500,000 to cover expenses until federal funds arrive.

The Chronicle reports:

County Administrator Matt Huddleston said the County typically submits financial requirement statements (FRS) to RUS, and the federal agency usually processes the request for funds within 20 days. FRS 15 was filed more than 50 days ago and RUS still hasn't paid the County. A second, more recent FRS has also been delayed.

Commissioners were concerned delayed payments to contractors would further delay the project, scheduled for completion by September 2015.

After the original partner and the County dissolved their partnership and a threat of a lawsuit from Mediacom slowed deployment, Frontier asserted ownership of a number of utility poles within Two Harbors. According to the Chronicle, Lake Connections and the County recently made the decision to bury fiber instead of stringing them on poles as a way to avoid more delays.

Commissioner Rick Goutermont said he was hopeful after speaking to RUS officials on a conference call Monday that RUS would approve the new plan, the project would move forward and RUS would reimburse the $500,000 quickly.

"If we make some kind of movement in the form of some gap financing ... to keep the boots on the ground out there working on it, I believe that would send a stronger message to RUS of our commitment and that we want to move forward," Goutermont said Tuesday.

We documented Lake County's story in our report, All Hands On Deck: Minnesota Local Government Models for Expanding...

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Posted September 12, 2014 by tanderson

Last week, the Vermont Department of Public Service began a series of public hearings on the public comment draft of its State Telecommunications Plan. The plan is intended to asses the current state of the telecom landscape in Vermont, map out goals and benchmarks for the next 10 years, and provide recommendations for how to achieve them. The plan sets a target of 100 megabit per second symmetrical connections for every home and business in the state by 2024.

Oddly enough, achieving that even today would put them behind many metropolitan areas across the United States. The technology needed to deliver 100 Mbps connections is essentially the same that would be used to deliver 1 Gbps, begging the question why such a limited goal?

The 100/100 mbps symmetrical target is for 10 years into the future, but in the nearer term the plan calls for universal 4/1 Mbps coverage, raised to 10/1 Mbps coverage by 2020. While it may at first glance seem reasonable to set gradually rising targets, these long and short term goals actually have the potential to conflict with each other.

As pointed out by Vermont Public Radio, the 100/100 Mbps standard would likely require universal FTTH, or at least fiber to the node combined with other technological advances and investments. Meeting this goal would require a huge investment in next generation fiber optic infrastructure, yet the Telecommunications Plan calls for funding priorities to be focused on achieving universal 4/1 mbps coverage for the next 6 years. This lower standard will likely be met with a combination of last generation technologies like copper wire DSL and wireless that are incapable of meeting the 100/100 standard.

Continuing to build out older systems while deferring investments in fiber, which is adaptable to meet just about any future need, seems illogical. It’s a bit like saying you’re going to put all your expendable income for the next six years into repairing your VCR and buying tapes, while promising you’ll buy a DVD player immediately after. 

While the goal of first guaranteeing all Vermonters some basic level of coverage is admirable, Vermont can do better by setting higher goals for...

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Posted May 7, 2014 by lgonzalez

We reported in February that the FCC sought "expressions of interest" from entities that want a share of Connect America funds. The agency sought feedback on the need and desire for projects across the country from entities that have not traditionally received universal service funds. The FCC received over 1,000 expressions of interest.

Minnesota leads the U.S. in proposed projects. According to a recent MPR News Ground Level article, 62 expressions of interests come from Minnesota. Projects vary in size; some focus on a small number of homes while others plan to bring services to many people.

All of the proposed projects address gaps in rural broadband service. MPR noted that several of the expressions of interest describe community experience with CenturyLink, Frontier, and Mediacom. The RS Fiber cooperative wrote:

“The communities have approached all three providers [CenturyLink, Windstream, and MediaCom] and asked them to work with the communities to build the fiber network. They all refused. Then the communities offered to put up the money to construct the network and the providers could operate and eventually own the network. None of them were interested.”

The MPR article reports the FCC will likely offer approximately $86 million to the three incumbents to bring broadband to unserved and underserved areas. If they refuse, a long line of interested parties are waiting.

Minnesota's desire for broadband caught the attention of state lawmakers. A bill to earmark funds for rural broadband was introduced earlier this session and has received bipartisan support. From the MPR article:

Even if the Minnesota projects go nowhere with the FCC, they already may have had an impact here in the state.

For the first time, lawmakers here are considering whether to spend money on broadband infrastructure, and the idea has backing from Gov. Mark Dayton. But “there was concern from the governor and others there might not be enough interest,” said...

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Posted January 22, 2014 by christopher

To finalize our series on reflections from Seattle and Gigabit Squared, I discuss open access networks and how the requirement that a network directly pay all its costs effectively dooms it in the U.S. Read part one here and part two here. I started this series because I felt that the Gigabit Squared failure in Seattle revealed some important truths that can be glossed over in our rush to expand access to fast, affordable, and reliable Internet connections.

The benefits of public-private-partnerships in these networks have often been overstated while the risks and challenges have been understated. We have seen them work and believe communities should continue to seek them where appropriate, but they should not be rushed into because they are less controversial than other solutions.

Sometimes we have to stop and remember that we will live for decades with the choices we make now. It was true when communities starting building their own electrical networks and is still true today. I hope the series has provided some context of how challenging it can be without removing all hope that we can stop Comcast, AT&T, and others from monopolizing our access to the Internet.

In this final piece, I want to turn to a different form of partnership - the open access network. I think it follows naturally as many in Seattle and other large cities would be more likely to invest in publicly owned fiber networks if they did not have to offer services - that being the most competitive, entreprenuerial, and difficult aspect of modern fiber networks.

Chattanooga construction

The desire to focus on long term investments rather than rapidly evolving services is a natural reaction given the historic role of local governments in long term infrastructure investments. Fiber certainly fits in that description and as many have noted, the comparison to roads is apt. An open access fiber network allows many businesses to reach end users just as roads allow Fedex, UPS, and even the Post Office, to compete on a level playing field.

In an open access approach, the local government would build...

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Posted July 24, 2013 by lgonzalez

We introduced you to Olds, Alberta and their community network O-Net in 2012. Now this community of 8,500 will be the first Canadian "gig town" where residents will have access to a gig at incredibly low prices. 

CBC News reports that the Olds Institute for Community and Regional Development, the nonprofit organization building the network, recently approved the upgrade. Residents with 100 Mbps will have access to a gigabit with no increase in price. Depending on how they bundle, the price for Internet will range between $57-90 per month.

CBC's Emily Chung noted how much of rural Canada offers only dial-up or satellite. Olds used to have the same problem; businesses were considering leaving town:

"We had engineering companies here who were sending memory chips by courier because there wasn't enough bandwidth to deal with their stuff," recalls Joe Gustafson, who spearheaded the project to bring a fibre network to Olds.

...

"Now there's no talk about people leaving because of bandwidth challenges."

The $13-14 million project, which also included a video conference center and 15 public use terminals for residents, launched in July 2012. The organization acquired a $2.5 million grant from the province of Alberta and a $6 million loan from the town of Olds. When incumbents were not interested in providing service over the network, O-Net adapted:

"We said, 'Well I guess if we're going to do this, we have to do our own services,'" Gustafson recalled.

The Olds Institute spent $3.5 million to buy the necessary electronic equipment to run internet and other services on the network and to build a central office to house it all. Last July, it launched O-Net.

The community-owned service offers not just internet, but also phone and IPTV services — TV signals carried on the network that includes dozens of SD and HD channels, and movies on demand that can be paused and later resumed.

The network will be available to the entire town by 2014. The residential plan brings one gig to access points in town that each serve four or five households. According to [Director of...

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