louisiana

Content tagged with "louisiana"

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LUS Files Complaint: Cox and NCTC Limit Competition

Lafayette Utilities System has filed a complaint with the FCC following what seems to be a rather arbitrary decision by the National Cable Television Cooperative (NCTC) to deny Lafayette as a member. This is a crucial issue for communities that want to build fiber-optic networks, so we will dig in and offer an in-depth explanation. It all starts with the business model. Fiber-optic networks are fantastically expensive and are expected to be financed entirely with revenues from subscribers. Though communities typically want fiber-optic networks for the broadband capacity, they find themselves having to offer cable television services also to ensure they will attract enough subscribers to make the debt payments on the network. Unfortunately, cable television services are the most difficult and expensive part of the triple-play (broadband, telephone, cable tv). A community network has to sign deals with different content providers in order to put together its channel lineup. Even a community network with 100,000 subscribers has little power over the companies with channels like ESPN, the Disney Channel, Discovery, MTV, Food Network, and others. Thus, it will have to pay more for those channels than massive networks like Comcast that have many millions of subscribers and therefore a stronger negotiating position. LUS has noted that video programming is the "largest single on-going cost" it incurs in the network. Enter the NCTC. By forming a cooperative, many small providers (public and private) were able to gain negotiating power over content owners and even hardware manufacturers to cut costs to members by buying in bulk. In recent years, the size of NCTC rivaled that of major national providers like Charter and Cox cable. All three parties stood to gain by bringing Cox and Charter into NCTC in 2009. The addition grew NCTC significantly -- only Comcast has more subscribers currently. The advantages of NCTC are quite significant and worth reiterating because it is a reminder of the ways in which massive private companies have the playing field tilted in their direction. Without access to NCTC, communities have to pay more for the same content and equipment (NCTC savings may start at 15%-20%.

Lafayette and a Level Playing Field

This is a great inside look at how one community built a globally competitive broadband network (probably the best citywide network in the US) and the barriers they faced from incumbent providers Cox and BellSouth. Terry Huval, the Director of Lafayette Utilities System in Louisiana, spoke to the U.S. Senate Committee on Small Businesses Entrepreneurship on April 27, 2010, on the topic of: "Connecting Main Street to the World: Federal Efforts to Expand Small Business Internet Access." Huval's full testimony is available here. Huval's presentation told the back story of LUS Fiber, focusing on the barriers to publicly owned networks in Louisiana.
The FCC National Broadband Plan, on page 153, includes Louisiana as one of 18 states that “have passed laws to restrict or explicitly prohibit municipalities from offering broadband services.” While the Louisiana law did not prohibit Lafayette from providing broadband services, its mere presence provided, and continues to provide, a fertile playground for BellSouth (and its successor AT&T), Cox and their allies to create mischief, resulting in discouraging local governments from stepping in to provide these services even when the private telecom companies refuse to do so.
Louisiana, as with many other states including North Carolina, has powerful incumbents that claim there is an "unlevel playing field" and that local governments have too many advantages in building broadband networks (incomprehensibly, they simultaneously claim that local governments are incompetent and publicly owned networks always fail).

Lafayette: 100Mbps and Now What?

One of the focuses of the recent FiberFete conference is what do communities do once they have built a next-generation network. Lafayette had lots of ideas. Let's start with counting new jobs. Lafayette Pro Fiber recently discussed one of the employers adding jobs. The post acknowledges that the fiber network is not the sole reason for these particular jobs, but it does play an important role:
You have to know if you've been down to "the egg" at the LITE building that they're not going to put 100 cubicle workers in that facility. No way they'd fit. However they do have to do the tedious work in Louisiana to get those credits. So some large percentage of those 100 workers will have to be off-site. But they'll have to be able to do their work as if they were in the same building with, at a minimum, the 100 megs of connectivity that standard ethernet LANs provide. That, of course, is exactly what LUS provides on its justly acclaimed 100 meg intranet. A person setting behind a nice workstation setup on Moss Avenue with a nice VLAN setup could work within the Pixel Magic network as if they were just down the hall from the boss's glossy corner office (something both would probably prefer). The ultimate in working from home. I'll not be surprised if Pixel Magic opts for an offsite work center like NuConn did—but there too LUS' fiber-to-every-nook-and-cranny make it possible to shop for the cheapest appropriate location rather than the cheapest location that has something close to real connectivity. In that sort of situation it would be easy and damned inexpensive to leverage LUS Fiber to provide a gig or several of commercial grade connection between the two points.
This is only one of several employers who have added many jobs in Lafayette because of the publicly owned fiber network. Another avenue Lafayette is exploring is high-bandwidth classrooms.

FiberFête

FiberFête, a conference in Lafayette celebrating "our connected future," continues today. The press release is below for more information, but be sure to check out the agenda and tune into the FiberFête free Live Stream. This is a terrific collection of folks dedicated to building next generation networks - and many people who have built impressive publicly owned networks are here. Additionally, we will be learning a lot about how Lafayette plans to use their network. Press Release:

FiberFête Conference Launches Tuesday

Technology and Community Leaders to Dream up Possibilities for Our Most Wired Cities LAFAYETTE, La. (Apr. 19) – FiberFête, a conference featuring Internet innovators from around the world, will be held April 20-22 at Louisiana Immersive Technologies Enterprise (LITE) in Lafayette. FiberFête celebrates Lafayette's deployment of a community-owned fiber network and explores the potential of fiber-powered communities. FiberFête brings global technology entrepreneurs and activists together with local community leaders to explore how fiber networks can help other cities like Lafayette enhance economic development, community participation and quality of life. “The people of Lafayette have led the country in equipping their community with fiber,” says FiberFête co-producer Geoff Daily. “Now they're committed to driving the conversation around what innovative things fiber can enable them to do.” Welcoming FiberFête guests Tuesday will be Louisiana Economic Development Secretary Stephen Moret and Lafayette City-Parish President Joey Durel. “We have a story to tell, to share with America and the world,” says Durel. “The future of fiber optic networking isn’t a dream. For us, it’s a reality, it’s here, it’s working, and it’s an example of what is not only possible, but of what will be the future in America.” FiberFête speakers include representatives from Google, Cisco, Harvard University and Case Western Reserve University, as well as municipal officials from Seattle and San Francisco. A full agenda is available online at www.FiberFete.com. While an invitation-only event, FiberFête is also open to the world live via the Internet.

University of Louisiana on Lafayette Network

Joe Abraham, from the University of Louisiana, recently addressed the LUS Fiber network in Lafayette. This is possibly the fastest and most affordable network in the entire country. Apparently, Joe has been asked by friends if they should switch to the new municipally owned network. His answer is an unequivocal yes - backed up by several points like it is a faster, cheaper service that strengthens the whole community. But really, I like this point:
Inherent in democracy, in the First Amendment, and in free markets, is a central concept: we have no idea what these things will produce. We only know that they are the means-- they are the how-- to produce an endless supply of very important & valuable things. The Internet has proven to be the same, it produces a continuous stream of innovative, valuable things. It should be obvious that building the most advanced community Intranet will attract a lot of innovative people to our city, and encourage our own people to be innovative, as well.
To the extent we require these networks to produce profits, they will not be the "how" of the new economy. Infrastructure rarely pays for itself directly, but pays for itself many times over indirectly. He also has a response to those who fear the public should not compete with the private:
But what if, instead of public vs. private fiberoptic lines early in the 21st century, you find yourself in the early 18th century, and the question is building state-owned roads and bridges that will decrease the profitability of privately-held services? What if you live in the early 19th century, and the question is building public libraries that will compete with for-profit bookstores? What if it is the early 20th century, and the question is creating public schools that will pull students from private institutions?
Well done, Joe! Another article from the same paper interviews Director of Utilities for Lafayette, Terry Huval. This is a guy that understands the value of publicly owned fiber networks:
In addition, we will launch a digital divide product that will provide Internet accessibility in homes where there are no computers, and no Internet services today. All of this is just the tip of the iceberg. There is much more to come, and much of those are things that I don't even envision myself.

Lafayette Fiber Network Ahead of Schedule

Good news out of Louisiana - the LUS Fiber deployment in Lafayette is running considerably ahead of schedule. This is especially important because Louisiana law makes requirements on publicly owned networks to break even within a relatively short time period, explicitly favoring private companies in law. The city should be fully passed this summer, allowing anyone to take one or more of the triple play services. Fortunately, many are taking the full triple-play:
Although LUS is not releasing the exact number of customers who have signed up for fiber services, Huval said it is "many thousands" and that a higher-than-expected number are signing up for all three services at once.
Networks succeed financially when they generate high amounts of revenue per user - ARPU in industry terms. Because the fixed costs are so high to connect users, the low revenues generated by only a single service (like telephone) may take many years to pay off the connection expense. The schools are also making use of the network:
Besides serving residences, LUS Fiber is also being offered to businesses throughout the city, and the wholesale numbers have been at or above expected, Huval said. All Lafayette Parish public schools also are connected to the system, and the technology was used for a partnership among Carencro High School, LITE, Louisiana Public Broadcasting and a San Francisco, Calif. school system, during which students were able to teleconference and collaborate with each other.

Geoff Daily VidChat with Director of LUS Fiber, Terry Huvall

Terry Huvall, the head of Lafayette's municipally owned fiber to the home network, discusses the history and motivations behind the community fighting for four years to build their own network. Lafayette has a strong tradition of publicly owned utilities -- they were the first community in Louisiana to build a municipally-owned water and electricity utility, voting to tax themselves to fund it in 1896. That investment allowed Lafayette to prosper and surpass other communities in the following decades. This investment will have the same effects. This video is no longer available.

Slick Sam and Bandwidth on the Bayou

As promised a few weeks ago, Ellen Perlman has written a piece on the story behind the Lafayette, Louisiana publicly owned FTTH network. This might just be the best network available in the U.S. in terms of offering the fastest speeds at the more affordable prices and offering the most benefit to the community. The path was certainly not easy nor quick but they are now offering services. The video below is a good example of how communities can respond to incumbents that prefer to advertise and lie rather than invest in networks. Fortunately the folks down in Louisiana didn't take Slick Sam lying down - they confronted him and are building a modern network to ensure Lafayette can flourish in the future. They no longer have to beg absentee-run networks for upgrades.

Roundup: Lafayette, Syracuse, Incumbent Bailout, and MAIN

Another roundup of semi-recent news:
  • Lafayette's groundbreaking network is exciting the folks at Governing.com - they say, "The Future of the Internet is in Lafayette, Louisiana." Ellen Perlman hints are future coverage of the network as well:
    To put it in perspective, that's 10 times faster than already very fast Internet. And more than 100 times faster than the Internet "starter" plan that, for example, Verizon is offering. Basically, Lafayette will have a city Intranet, the way universities and technology companies do. So residents will have a very fast connection within the city-parish "campus." Critics wonder why residents need such speeds and why the city had to build its own network. An August story in Governing will get into detail about that.
  • Green Party Candidate for the Syracuse City Council speaks out on the need for a publicly owned fiber network in the city:
    Hundreds of US cities have municipal ownership of their broadband utilities and their customers pay 30% less on average for cable TV, internet, and phone. Time Warner’s cable franchise is up for renewal. Now is the time to municipalize our broadband utility for (1) lower fees, (2) community control of available channels (from Democracy Now to the NFL Network), (3) quality Public Access, Education, and Government (PEG) programming, (4) universal access to high-speed internet, and (5) up-to-date public access video and web-based media creation centers. Every Syracuse should have first-class, affordable access to internet, cable, and phone communications. The Syracuse economy needs first-rate affordable broadband to progress. The profits now exported to Time-Warner can stay in the community for our own benefit through municipal cable.

    Advocates for such a fiber network in Syracuse have a website loaded with resources.