Tag: "centurylink"

Posted June 1, 2018 by htrostle

It took an extra year for a community in Minnesota to finally see high-quality Internet service. Balaton spent an extra year in connectivity purgatory while Frontier delayed a much-needed project. To learn more, we connected with the Balaton and Marshall Economic Development Director Tara Onken and Woodstock Communications Vice President and General Manager Terry Nelson.

Balaton: An Underserved Community

Balaton, is a small town of 600 people in Lyon County, located in the southwest area of the state. Balaton’s Internet service is dismal; residents have access to satellite, fixed wireless, or DSL. Satellite is unreliable, and the fixed wireless services’ max speed is 5 - 10 Mbps. DSL service varies based on how far the home is from the central office. In some places in town, DSL should be able to reach broadband speed -- 25 Mbps (download) / 3 Mbps (upload), but in reality, DSL is slow and unreliable because it is based on old copper lines. 

In 2016, the small private company Woodstock Communications decided to improve connectivity in Balaton. Woodstock already had service to a few local businesses and other members of the community were asking for service. When the Minnesota Border-to-Border Broadband Program grant applications opened, the company requested a grant of about $413,000

The goal was to bring Fiber-to-the-Home (FTTH) service of 1 Gigabit-per-second (Gbps), upload and download, to the underserved residents -- 40 times faster than broadband. FTTH is the fastest, most reliable technology available but also most capital-intensive. It’s available to only about 25 percent of the U.S. population.

Minnesota’s Border-to-Border Broadband Program offers matching grants to broadband projects in unserved and underserved areas. The program aims to meet certain speed goals set by state law: By 2022, all...

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Posted March 26, 2018 by lgonzalez

A bill making its way through the Colorado General Assembly is tackling one of the tools that big incumbent ISPs use to secure their positions as monopoly Internet access providers - the right of first refusal. If HB 1099 passes, and other states see the savvy behind this approach, community leaders and advocates for a competitive broadband market will be able to put a chink in the monopoly armor.

Update: HB 1099 passed the Legislature and the Governor signed the bill into law on April 2nd, 2018. Yay!

A Familiar Story

ISP entrepreneurs, cooperatives that want to offer high-quality Internet access, and entities planning publicly owned projects know the story. Grants are available, usually for an unserved or underserved area that the incumbent DSL provider has ignored. Said entity invests the time and money into developing a plan and applying for the grant, feeling good about the fact that they will likely be able to serve this community that no one else seems to want to serve. 

They apply for the grant, may even receive a preliminary approval, BUT then the incumbent ISP exercises its right of first refusal, which throws a very big wrench into the plans of the ISP entrepreneur, cooperative, or entity.

In June 2017, we interviewed Doug Seacat from Clearnetworx and Deeply Digital in Colorado who told us the story of how his company had applied for and won grant funding through the Colorado Broadband Fund to develop fiber Internet network infrastructure near Ridgway. CenturyLink exercised its right of first refusal, which meant that unless Seacat could change the mind of the board that considered the appeal, CenturyLink would get the funding rather than Clearnetworx.

CenturyLink prevailed because it had the attorneys and the experience to wield the right of first refusal as a weapon. When all was said and done, however, the people in the project area did not have access to the fast, affordable, reliable fiber connectivity they would have obtained from Clearnetworx. CenturyLink instead obtained state subsidies to deploy DSL that was better than the services it was already offering, but no where near as useful as the Internet access Seacat’s company had planned to deploy....

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Posted January 15, 2018 by lgonzalez

Directly north of Springfield, Missouri, sits Hermitage, a rural community of less than 500 residents. With only a few more than 200 households in Hermitage, it isn’t surprising that none of the big incumbent providers want to install the infrastructure to offer businesses or residents high-quality connectivity. A  recent Missourian article described what it’s like for businesses in a community whose owners need fast, affordable, reliable Internet access when it just isn’t available from the national ISPs.

Failure Expected

In Hermitage, entrepreneurs like local storekeepers cringe on the days when customers want to pay with credit or debit cards. Often their unreliable CenturyLink DSL service fails, sometimes for extended periods, which cuts into their revenue. Cindy Gilmore, who owns a local convenience store, has to either track down customers or take a loss when Internet access fails during mid-transaction and she restarts her modem.

Gilmore pays $89 per month to CenturyLink for service that is advertised as “up to” 1.5 Megabits per second (Mbps) download. Her speed test result on November 12th was .5 Mbps. Two weeks later a similar test reached the advertised speed and then two days later fell to .4 Mbps, which eliminated her ability to process credit card transactions, work from the office, or look up information she needed for supplies.

Rufus Harris works from home as an online car dealer and relies heavily on Internet access. As part of his work, he researches auto recalls and Carfax reports. The only option for Harris at his home office is CenturyLink and he pays $39 per month for residential “up to” 1.5 Mbps Internet access. He often finds himself, however, renting motel rooms for up to $400 per month because his Internet service at home goes down.

“It’s a shame when you pay for a service that you don’t receive,” Harris said. “We’re supposed to get at least 1.5 (Mbps) or up to, and most of the time it’s not near that good. A lot of the time, it might take 2 minutes to change from one page to the next.”

No Co-ops Yet

Unfortunately for Harris and Gilmore, no cooperatives are offering Internet access in their areas. We’ve documented several co-ops in Missouri, such as...

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Posted November 2, 2017 by lgonzalez

December 8th Update: WOW! The latest campaign report discloses that Priorities First spent a total of $901,000 during this campaign. Congrats on overcoming that Goliath, Fort Collins!

Fort Collins Update: On November 3rd, Comcast's front group Priorities First filed their most recent campaign report. The report showed that the group spent and additional $256,326 on the Fort Collins campaign between October 23rd and November 1st. This brings big incumbent spending to stop compeition to almost half a million dollars. 

As the company with one of the largest ISPs in the nation, Comcast Corporation makes daily investment decisions. They choose to put company funds into a variety of ventures, from theme parks to hair color; all that matters is that the investment pays off. This election season, Comcast is once again devoting funds to an investment it considers necessary - influencing elections in Seattle and Fort Collins, Colorado. We've prepared a policy brief to look deeper into Comcast's investment into the elections.

Download the brief hereComcast Spends Big on Local Elections: Would Lose Millions in Revenue from Real Broadband Competition.

We’ve written about lobbying dollars from big national incumbents so many times we can do it in our sleep. Comcast doesn’t want competition from any other provider. We know that subscribers complain year after year in surveys about the ISP and each year Comcast makes it at or near the top of the list of most hated companies. It’s reasonable to expect residents and businesses to switch to some other ISP if given the opportunity. If the new entrant happens to be managed by a utility they know and trust, the chances of them...

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Posted November 2, 2017 by lgonzalez

As the company with one of the largest ISPs in the nation, Comcast Corporation makes daily investment decisions. They choose to put company funds into a variety of ventures, from theme parks to hair color; all that matters is that the investment pays off. During the 2017 election season, Comcast once again devoted funds to an investment it considered necessary - influencing elections in Seattle and Fort Collins, Colorado. We prepared a policy brief to look deeper into Comcast's investment into the elections.

Download the brief hereComcast Spends Big on Local Elections: Would Lose Millions in Revenue from Real Broadband Competition. 

Seattle

In Seattle, Comcast and CenturyLink donated $50,000 to a political action committee that supports a candidate opposed to publicly owned Internet infrastructure. This is only the latest attempt of the two national ISPs to influence the city’s mayoral elections; in 2013, they contributed similarly to Ed Murray, who went on to win the election. Murray was also opposed to the publicly owned option.

In our analysis, we ran a range of possible scenarios and offered both a conservative Comcast loss estimate and figures based on higher loss of subscribership. We also accounted for rate adjustments due to the effects of competition and considered the losses Comcast would face when subscribers abandoned video services. Check out the policy brief for more results and details on our methodology.

Fort Collins

While the election in Seattle was to fill a position of power, the Fort Collins, Colorado, vote had a more direct impact on Comcast’s potential position in the community. Voters in the north central town of about 59,000 households decided whether or...

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Posted October 31, 2017 by lgonzalez

What monster makes you tremble? Chills you to the core? Sends shivers through your soul? Could it be…the Monopoly Monster? Count Comcast? The Mummy from the Last CenturyLink?

We know how you feel and to help ease the fears that quicken your pulse when your open your monthly Internet access bill, we’re reanimating several goodies from Halloween 2015. We’re haunted by how these still ring true!

Enjoy, download, share!

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Posted October 25, 2017 by lgonzalez

With their back against the wall, Comcast is pulling out it’s well manicured, sharp claws in Fort Collins, Colorado. Voters will be asked to approve measure 2B on November 7th, which would allow the city to take steps toward establishing their own municipal telecommunications utility. In order to preserve the lack of competition, incumbent Internet access providers are on track to spending more during this election than has been spent on any other issue in Fort Collins’ history.

Behind The Name Of "Citizen"

As we’ve come to see time and again, when a local community like Fort Collins takes steps to invest in the infrastructure they need for economic development, incumbents move in to prevent municipal efforts. Comcast and CenturyLink aren’t offering the types of connectivity that Fort Collins wants to progress, so the city has decided to ask the voters whether or not they feel a publicly owned broadband utility will meet their needs.

logo-comcast.png In keeping with the usual modus operandi, out of the woodwork emerge lobbying groups that not-so-artfully mask incumbents like Comcast and CenturyLink. These groups are able to contribute large sums of money to whatever organization has been established, often in the form of a “citizens group,” to bombard local media with misinformation about municipal networks to try to convince voters to vote against the initiative. In Fort Collins, the “citizens group” happens to call itself Priorities of Fort Collins (PFC).

A closer look at who is funding PFC’s website and professional videos takes one to the recently filed campaign report. The City Clerk’s Office has a copy of this document on file and shows that PFC has only three contributors, none of whom are individual “citizens” but are associated with big telecom:

  • $125,000 from the Colorado Cable Telecommunications Association (CCTA): This organization was the same mask Comcast used back in 2011 when it spent approximately $300,000 to stop a similar effort...
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Posted July 11, 2017 by htrostle

Huntsville, Alabama, already has high-speed Internet service through Google Fiber, but the surrounding rural areas must look to their local cooperative for better connectivity. Tombigbee Electric Cooperative has started an ambitious Fiber-to-the-Home (FTTH) project to eventually cover its entire service area over four counties in northwestern Alabama.

In a press release, Tombigbee Electric announced that their Freedom FIBER network will start providing Internet service in the towns of Hamilton and Winfield in September 2017. It’ll take about a year to get the new network to everyone in the designated build out area.

Much Needed Connectivity

Hamilton is the seat of Marion county with about 7,000 residents; 20 miles to the south, Winfield has a population of 5,000. As of June 2016, about 75 percent of the population in Marion County does not currently have access to FCC-defined 25 Megabits-per-second (Mbps) download speeds.

With Freedom FIBER, residents will have a choice between two tiers of Internet service: 100 Mbps for $49.95 per month or 1 gigabit (1,000 Mbps) for $79.95 per month. The co-op will also offer phone service for an additional $29.95 each month. The fiber network will be much more reliable than CenturyLink’s DSL network, which is currently the only choice in the towns.

An Incremental Plan

Tombigbee Electric’s plan will eventually cover much of Marion, Fayette, Lamar, and Winston counties. That’s about 1,600 miles across northwest Alabama, and the co-op has set a goal of covering this area in only 5 years. The expected cost is...

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Posted May 30, 2017 by christopher

In an exciting milestone, this is podcast 100000000. Or 256 in decimal - you know, for the squares. While at the always-amazing Mountain Connect event in Colorado, I snagged an interview with Doug Seacat of Deeply Digital and Clearnetworx. They sought a grant from the Colorado Broadband Fund to deploy fiber and wireless to underserved Ridgway in western Colorado. 

What happened next is shocking but hardly an anomaly. Using what is often called the "Right of First Refusal," where incumbents get to prevent competition in state broadband programs, CenturyLink not only blocked Clearnetworx from getting the grant but got itself a hefty subsidy for a very modest improvement in services.

Ridgway residents went from almost certainly having a choice in providers and gigabit access to seeing their taxpayer dollars used to not only make competition less likely but also effectively blocking the gig from coming to everyone in town. In this interview, we discuss the details. 

Read the transcript of the show 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 on this page or via iTunes or the tool of your choice using this feed.

You can download this mp3 file directly from here. Listen to other episodes here or view all episodes in our index.

Thanks to Arne Huseby for the music. The song is Warm Duck Shuffle and is licensed under a Creative Commons Attribution (3.0) license.

Posted May 15, 2017 by lgonzalez

Indianola Municipal Utilities (IMU) in Iowa finalized its business plan for citywide Fiber-to-the-Home (FTTH) service earlier this month. The decision marks a shift in how residents receive services in the community; IMU will take over from current partner Mahaska Communications Group (MCG) and expand to offer triple-play citywide.

Up To Now

Indianola created its municipally owned broadband utility back in 1997 and invested in fiber-optic backbone infrastructure a year later. They used the investment to backhaul fixed wireless service beginning in 2002 and by 2006 had developed a partnership with MCG. Expanding fiber to residents didn’t start until 2010 and two years later, MCG began offering triple-play services within certain areas of the city. Last year, the community commissioned a feasibility study to examine the possibility of using existing fiber resources to all premises in Indianola.

Under the current agreement between IMU and MCG, wholesale rates for residential connections are $30 per month and $100 per month for commercial connections. The feasibility study determined that the current rates “did not support expansion” to the entire Indianola community.

Trustees Say OK

Under the business plan approved by the Trustees at the May 8th meeting, IMU will step into MCG’s shoes and will buy out MCG’s existing 596 customers. IMU will be the FTTH retail services provider, offering triple-play of Internet access, VoIP, and IPTV. The network will work with Cedar Falls Utilities (CFU) on video services, connecting at the Des Moines regional data facility in order to reach them. IMU will have the opportunity to tap into about 7,350 potential residents and businesses in addition to MCG’s current customers.

The plan for expansion divides the city into 26 service areas but subscribers need to sign up early in order for the utility to connect their home. People who participate in early sign up will all have services activated at the same time. IMU has proposed rates for different services including:

  • Residential gigabit Internet access: $119 per month
  • Residential...
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