Tag: "competition"

Posted May 19, 2015 by christopher

Back in March, I spoke at the Iowa Association of Municipal Utilities Telecom conference, which is always an event with interesting people. While there, I met Doug Hammer and Krista Allen of Harlan Utilities. With just over 5,000 people, Harlan is small but they actually have better Internet and cable choices than most of us, in large part due to the municipal utility.

Doug is the Director of Marketing and Krista the Director of Finance & Customer Service. We spoke again for this week's show about the challenge small ISPs have in just completing the paperwork required of ISPs by the federal government. Though small utilities like Harlan have only a few staff people, they are subject to many of the same forms as much larger companies.

We talk about the paperwork, but also some of the benefits that Harlan's municipal utility brings to the community.

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 22 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 Persson for the music, licensed using Creative Commons. The song is "Blues walk."

Posted May 19, 2015 by lgonzalez

In a recent report, WBIR Knoxville shined the spotlight on Morristown. The article and video discuss how FiberNET has improved its telecommunications landscape by inspiring competition, offered better connectivity to the region, and how state law prevents other towns from reaping similar benefits. We encourage you to watch both of the videos below.

Morristown's utility head describes how it considers high-speed Internet access to be a necessary utility:

"You had railroads, you had interstates, and this is the new infrastructure cities need to have," said Jody Wigington, CEO of Morristown Utility Systems (MUS). "To us, this really is as essential to economic development as having electricity or water."

Morristown began offering gigabit service via its FTTH network in 2012. It began serving residents and businesses in 2006 because the community was fed up with poor service from incumbents. Since then, FiberNET has stimulated economic development, saved public dollars, and boosted competition from private providers. 

Prices for Internet access are considerably lower in Morristown than similar communities. From the article:

Morristown's Internet service is more expensive than Chattanooga, but much faster than the rest of the region at a comparable price. A 100 Mbps synchronous connection is $75 per month. Advertised rates for Comcast in Knoxville show a price of almost $80 per month for a 50 Mbps connection with much slower upload speeds. A 50 Mbps connection in Morristown costs $40 per month. The cable Internet option in Morristown is Charter, with an advertised price of 35 Mbps for $40 a month.

As we have seen time and again, the presence of a municipal network (nay, just the rumor of one!) inspires private providers to improve their services. AT&T offers gigabit service in Morristown and Comcast has announced it plans on offering 2 gigabit service in Chattanooga.

"Without a major disruptor like we've seen in Chattanooga and in Morristown, there's really no reason for these guys [private companies] to go out of their way to make a big spend to make bandwidth faster. It just simply doesn't make good business sense," said [Dan] Thompson...

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Posted April 7, 2015 by lgonzalez

Ideally, working from home allows one to choose the environment where he or she can be most productive. In the case of Seth that was Kitsap County in Washington State. Unfortunately, incompetence on the part of Comcast, CenturyLink, and official broadband maps led Seth down a road of frustration that will ultimately require him to sell his house in order to work from home.

The Consumerist recently reported on Seth's story, the details of which ring true to many readers who have ever dealt with the cable behemoth. This incident is another example of how the cable giant has managed to retain its spotless record as one of the most hated companies in America

Seth, a software developer, provides a detailed timeline of his experience on his blog. In his intro:

Late last year we bought a house in Kitsap County, Washington — the first house I’ve ever owned, actually. I work remotely full time as a software developer, so my core concern was having good, solid, fast broadband available. In Kitsap County, that’s pretty much limited to Comcast, so finding a place with Comcast already installed was number one on our priority list.

We found just such a place. It met all of our criteria, and more. It had a lovely secluded view of trees, a nice kitchen, and a great home office with a separate entrance. After we called (twice!) to verify that Comcast was available, we made an offer.

The Consumerist correctly describes the next three months as "Kafkaesque." Comcast Technicians appear with no notice, do not appear for scheduled appointments, and file mysteriously misplaced "tickets" and "requests." When technicians did appear as scheduled, they are always surprised by what they saw: no connection to the house, no Comcast box on the dwelling, a home too far away from Comcast infrastructure to be hooked up. Every technician sent to work on the problem appeared with no notes or no prior knowledge of the situation.

It was the typical endless hamster wheel with cruel emotional torture thrown in for sport. At times customer service representatives Seth managed...

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Posted March 23, 2015 by rebecca

The Orlando Sentinel published this op-ed about local government action for broadband networks on March 11, 2015. 

Local governments should make broadband choices
By Christopher Mitchell

Community broadband must be a local choice, a guest columnist writes.

When Comcast announced plans last year to invest hundreds of millions in theme parks in Florida and California, its customers may have wondered why the cable giant wasn't using those funds to deliver a faster or more reliable Internet connection. While Comcast's Universal Studios faces competition from Walt Disney World, most people don't have a real choice in high-speed Internet access.

The Federal Communications Commission has just boosted the broadband definition from 4 megabits per second to 25 mbps. At that speed, some 75 percent of Americans have no choice in providers — they are stuck with one or none.

The rest of America is living in the future, often because their local government rolled up its sleeves and got involved. In some of these communities, the local government built its own network and others worked with a trusted partner. Chattanooga's city-owned electric utility built the nation's first citywide gigabit network, which is about 100 times faster than the average connection today.

Google is famously working with some bigger cities, whereas local provider GWI in Maine has partnered with several local governments to expand gigabit access.

However, the big cable and telephone companies have almost always refused to work with local governments. Instead, they've lobbied states to restrict the right of local governments to build or partner in this essential infrastructure.

In Florida, the law puts restrictions on local governments that do not apply to the private sector, such as a strict profitability timetable that can be unrealistic for large capital investments regardless of being privately or publicly owned. Some 20 states have such barriers that limit competition by effectively taking the decision away from communities.

In January, President Obama spoke out in favor of local governments being able to make these investments and partnerships without state interference. He was in Cedar Falls, Iowa, which has one of the oldest municipal broadband...

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Posted March 5, 2015 by lgonzalez

Islesboro, the Maine island community of 566, will decide in May whether or not they want to bond to build a municipal fiber network, reports The Working Waterfront. The network will be owned by the town who plans to partner with GWI to operate and manage it. 

Currently, about 2/3 of residents on the island use DSL from Fairpoint. While a few locations can reach 15 Mbps download, most residents pay from $20 - $70 for around 3 Mbps download. Upload speeds are much less. GWI also offers point-to-point wireless from the mainland and one side of the island has cellphone.

The firm estimated costs to cover the island to be between $2.5 and $3 million, which would include construction and leasing of poles from Central Maine Power (CMP).  Community leaders will ask voters to approve a municipal bond to fund the project:

The $3 million bond would raise property taxes on a house assessed at $300,000 by about $13.77 per month ($164.25 per year). As a per-month cost, with both the pay-back on the bond and the standard service fee for Internet, the resident of a house valued at $300,000 would pay $48.77, according to [Arch] Gillies, [chairman of the Board of Selectmen]. (This appears to be for the lowest level of service.)

In 2012, the community formed a Broadband Working Group to dig deeper in to the state of broadband on the island and search for ways to improve it. The community hired a consultant to do an assessment and make recommendations. Traditional large scale providers do not find the community ripe for investment with its small number of households.

After reviewing the recommendations, community leaders decided it was in the community's best interest to deploy a network that would be owned by the public. They then engaged in a Request for Information process and received responses from three vendors. Eventually, they chose to work with GWI, in part because it is a local company. Fairpont and Time Warner Cable also responded, but their proposals did not stipulate that the infrastructure would belong to the town. There were other inferiorities in their proposals.

Community leaders have determined that they will need approximately 50% of the community to...

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Posted February 24, 2015 by christopher

Arizona's city of Mesa is one of the largest communities in the nation to benefit from the city taking role in ensuring conduit and fiber are available throughout the area. This week we talk with Alex Deshuk, the city's Manager of Technology and Innovation that was brought on in 2008.

We talk about how Mesa has, for longer than a decade, ensured that it was putting conduit in the ground and making fiber available to independent providers as needed to ensure they had multiple options around town and especially to select areas where they wanted to encourage development.

Having this fiber available has helped to encourage high tech investment, including the new Apple Global Command Center.

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 20 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 previous episodes here. You can can download this Mp3 file directly from here.

Find more episodes in our podcast index.

Thanks to Persson for the music, licensed using Creative Commons. The song is "Blues walk."

Posted February 3, 2015 by christopher

Like many states, Minnesota has a major metro area that generally has higher quality Internet access than non-metro communities. The Greater Minnesota Partnership, a coalition of businesses, chambers, nonprofits, and cities from across the state, have made improving Internet access a major priority in their efforts to influence the state legislature.

This week, we talk with Dan Dorman, Executive Director of the Greater Minnesota Partnership. He is also a former Minnesota state Rep and remains a small business owner. We discuss the need to improve access even as major cable lobbyists fight in the capital to preserve the status quo. The Partnership believes state barriers to community networks should be removed.

Dorman offers a unique perspective as a former member of the Minnesota Legislature. He knows what it is like to be lobbied constantly by one side of the issue but rarely hear from the other. Fortunately, the Greater Minnesota Partnership is working to provide that other side as best it can.

We previously discussed the Border-to-Border fund in episode 119.

Read the transcript from this conversation here.

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

This show is 28 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 previous episodes here. You can can download this Mp3 file directly from here.

Find more episodes in our podcast index.

Thanks to Persson for the music, licensed using Creative Commons. The song is "Blues walk."

Posted January 23, 2015 by lgonzalez

President Obama's recent appearance in Cedar Falls infused adrenaline into the debate about local authority for telecommunications decisions. As a result, some of the media outlets from large cities are now coming out in support of local authority. The Editorial Board of the LA Times published an opinion on January 21st supporting the notion of restoring local authority in states where laws prevent community decision making.

The Times recognizes that rural areas will benefit most from reversing these restrictions, that the restrictions need to be removed for us to compete globally, and that there are numerous municipal networks that are up to the challenge of improving connectivity. The LA Times also recognizes the value of public-private partnerships in New York and in other places where local government has forged productive relationships with the private sector.

Editors at the LA Times boil it down to one tenet:

Regardless, the decision about whether a local agency should get into the broadband business should be left to the people who bear the risk — local officials and the people who elect them.

Posted January 22, 2015 by christopher

Senator Booker has taken the lead in introducing the Community Broadband Act to the U.S. Senate along with Senators McCaskill and Markey. We are thankful for their leadership on the issue. As part of their announcement, they included the following statements:

“As Mayor of Newark, I saw firsthand the value of empowering local communities to invest and innovate. The Community Broadband Act provides cities the flexibility they need to meet the needs of their residents,” Sen. Booker said. “This legislation will enhance economic development, improve access to education and health care services, and provide increased opportunity to individuals in underserved areas. At a time when local governments are looking for ways to ensure their communities are connected and have access to advanced and reliable networks, the Community Broadband Act empowers local governments to respond to this ever-increasing demand.”

"Barriers at the state level are preventing communities from developing local solutions when there is little or no choice in their Internet service provider,” Sen. Markey said. “This legislation will support the ability of cities to decide for themselves whether or not they would like to build their own broadband networks and provide community members with high speed Internet service. I thank Senator Booker for his leadership introducing the Community Broadband Act, which will support more options in the broadband market and greater local choice. I also continue to urge the FCC to act now to use its authority to end any restrictions placed upon local communities to make these decisions for themselves.”

“Folks in small towns and rural communities should have the same access as everyone else to the Internet, and the jobs and business opportunities it brings,” Sen. McCaskill said. “Large Internet providers too often aren’t willing to offer service in rural America, so this bill ensures local communities can come together to provide their residents with access to the opportunities high-speed broadband offers.”

And we included this statement:

We believe these decisions about how best to expand Internet access are best made by local governments, who are most informed of the need and challenges. We applaud Senator Booker for this bill to ensure communities can decide for themselves if a partnership or an investment in...

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Posted January 13, 2015 by christopher

While at the Broadband Communities Economic Development conference in Springfield last year, I had the good fortune to catch a panel with Chris Merdon, the CIO of Howard County, Maryland.

Howard County has become an Internet Service Provider, not just to itself, but to private firms as well. To improve Internet access for businesses, it is both leasing dark fiber to existing providers and directly offering services to businesses and buildings.

We are grateful that Chris could join us for a Chris2 interview! We discuss how and why Howard County chose this strategy and how it is benefiting the community.

Read the transcript of our discussion here.

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

This show is 19 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 previous episodes here. You can can download this Mp3 file directly from here.

Find more episodes in our podcast index.

Thanks to Persson for the music, licensed using Creative Commons. The song is "Blues walk."

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