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halfband
Premium
join:2002-06-01
Huntsville, AL
Reviews:
·Comcast

reply to patcat88

Re: USF causes this

Fiber maintenance is supposed to be cheap, far cheaper than copper. They are trying to reduce build out costs. Fiber builds while far cheaper than 2 years ago are still very expensive. In very rural areas it does not make any kind of economic sense yet, they are looking for alternatives.
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rahvin112

join:2002-05-24
Sandy, UT

My father in-law works for a rural telcom that you have never heard of in a county in nevada you have never heard of. Total number of residents in the county is probably about 5000 spread over 100's of square miles, most residents are concentrated in 3 towns of approximately 300, 600 and 1500 people respectively with the remaining residents in farmsteads. They are building out a FTTP network because it does make economic sense. Fiber has many many benefits over copper, resistance to water infiltration and EM interferance are just a couple that are huge maintenance issues with copper. According to what he has told me the installed cost per resident is around $1200 right now and costs are falling dramatically year on year. Conduit has all been purchased and is currently being installed using in-house crews. In a year or two they will buy the fiber and pull and splice and probably in about 5 the entire county will be FTTP.

You don't get more rural than the telecom in question and they are confident that fiber makes sense. As someone else said, Wall street and their short sided vision of quarterly profits, not long term viability are the difficult sell. Any CEO worth his money will take the short 5 year hit to the stock to build out the fiber and realize the long term benefits of a fully fiber network.



Dogfather
Premium
join:2007-12-26
Laguna Hills, CA

3 edits

In this era of investor activism I wouldn't be surprised if it was argued that a CEO is in breach of fiduciary duty if they take actions that negatively affect the stock price like building a a very expensive network, even if there is a ROI later on. A lot of investors, even institutional investors are extremely short-sighted and don't give a crap about long term viability. They want their profits yesterday, the future be damned. That's why companies like Cox are in a great position.



cdru
Go Colts
Premium,MVM
join:2003-05-14
Fort Wayne, IN
kudos:5

reply to rahvin112
Scale also has a major deciding factor. What makes sense for your F-i-L in one county doesn't necessarily equate to making sense for Verizon for hundreds of counties.


Ulmo

join:2005-09-22
San Jose, CA
Reviews:
·SONIC.NET

reply to rahvin112

said by rahvin112:

My father in-law works for a rural telcom that you have never heard of in a county in nevada you have never heard of.

...

You don't get more rural than the telecom in question and they are confident that fiber makes sense. As someone else said, Wall street and their short sided vision of quarterly profits, not long term viability are the difficult sell. Any CEO worth his money will take the short 5 year hit to the stock to build out the fiber and realize the long term benefits of a fully fiber network.
Of course this is true.

I think Verizon is trying to placate some of the heavy-handed anti-FTTP crowd that's attacking them while at the same time placate the "cherry-picking" extremists who insist everyone must use the lowest common denominator. I hope they actually fail to achieve that threatened placation, though. It'd be better if they don't build anything at all, and leave it to some other rural provider that is willing to invest in it properly.


Tzale
Proud Libertarian Conservative
Premium
join:2004-01-06
NYC Metro

reply to rahvin112

said by rahvin112:

My father in-law works for a rural telcom that you have never heard of in a county in nevada you have never heard of. Total number of residents in the county is probably about 5000 spread over 100's of square miles, most residents are concentrated in 3 towns of approximately 300, 600 and 1500 people respectively with the remaining residents in farmsteads. They are building out a FTTP network because it does make economic sense. Fiber has many many benefits over copper, resistance to water infiltration and EM interferance are just a couple that are huge maintenance issues with copper. According to what he has told me the installed cost per resident is around $1200 right now and costs are falling dramatically year on year. Conduit has all been purchased and is currently being installed using in-house crews. In a year or two they will buy the fiber and pull and splice and probably in about 5 the entire county will be FTTP.

You don't get more rural than the telecom in question and they are confident that fiber makes sense. As someone else said, Wall street and their short sided vision of quarterly profits, not long term viability are the difficult sell. Any CEO worth his money will take the short 5 year hit to the stock to build out the fiber and realize the long term benefits of a fully fiber network.
As I sit here typing this from a building on Wall Street, I have to respectively disagree....

Companies only exist to turn a profit and make their employees richer... They don't exist as a charity... FTTH in a rural area is a waste. In a town of 300, 600 or 1500 people it WILL work... Hell, we have had people on this site provide fiber to the home service to one or two block areas (10 - 20 customers)... But it simply isn't worth running fiber to one customer every five miles... Think about what you're saying... Wherever there is relatively close locations that need to be linked, it will work.. But you also have to consider the profit ratio to cost.. Companies are not charities and aren't going to spend thousands of man hours and millions of dollars to make a couple thousand dollars per year from a small town in the middle of no where... This is where LOCAL telecoms (like the one you mentioned) shine compared to the conglomerate telecoms.

-Tzale


N10Cities
Premium
join:2002-05-07
Lavaca, AR
Reviews:
·Cox HSI
·World Lynx

said by Tzale:

said by rahvin112:

My father in-law works for a rural telcom that you have never heard of in a county in nevada you have never heard of. Total number of residents in the county is probably about 5000 spread over 100's of square miles, most residents are concentrated in 3 towns of approximately 300, 600 and 1500 people respectively with the remaining residents in farmsteads. They are building out a FTTP network because it does make economic sense. Fiber has many many benefits over copper, resistance to water infiltration and EM interferance are just a couple that are huge maintenance issues with copper. According to what he has told me the installed cost per resident is around $1200 right now and costs are falling dramatically year on year. Conduit has all been purchased and is currently being installed using in-house crews. In a year or two they will buy the fiber and pull and splice and probably in about 5 the entire county will be FTTP.

You don't get more rural than the telecom in question and they are confident that fiber makes sense. As someone else said, Wall street and their short sided vision of quarterly profits, not long term viability are the difficult sell. Any CEO worth his money will take the short 5 year hit to the stock to build out the fiber and realize the long term benefits of a fully fiber network.
As I sit here typing this from a building on Wall Street, I have to respectively disagree....

Publicly traded Companies only exist to turn a profit and make their shareholders and CEOs employees richer... They don't exist as a charity... FTTH in a rural area is a waste. In a town of 300, 600 or 1500 people it WILL work... Hell, we have had people on this site provide fiber to the home service to one or two block areas (10 - 20 customers)... But it simply isn't worth running fiber to one customer every five miles... Think about what you're saying... Wherever there is relatively close locations that need to be linked, it will work.. But you also have to consider the profit ratio to cost.. Companies are not charities and aren't going to spend thousands of man hours and millions of dollars to make a couple thousand dollars per year from a small town in the middle of no where... This is where LOCAL telecoms (like the one you mentioned) shine compared to the conglomerate telecoms.

-Tzale
Fixed it for ya!


Tzale
Proud Libertarian Conservative
Premium
join:2004-01-06
NYC Metro

said by N10Cities:

said by Tzale:

said by rahvin112:

My father in-law works for a rural telcom that you have never heard of in a county in nevada you have never heard of. Total number of residents in the county is probably about 5000 spread over 100's of square miles, most residents are concentrated in 3 towns of approximately 300, 600 and 1500 people respectively with the remaining residents in farmsteads. They are building out a FTTP network because it does make economic sense. Fiber has many many benefits over copper, resistance to water infiltration and EM interferance are just a couple that are huge maintenance issues with copper. According to what he has told me the installed cost per resident is around $1200 right now and costs are falling dramatically year on year. Conduit has all been purchased and is currently being installed using in-house crews. In a year or two they will buy the fiber and pull and splice and probably in about 5 the entire county will be FTTP.

You don't get more rural than the telecom in question and they are confident that fiber makes sense. As someone else said, Wall street and their short sided vision of quarterly profits, not long term viability are the difficult sell. Any CEO worth his money will take the short 5 year hit to the stock to build out the fiber and realize the long term benefits of a fully fiber network.
As I sit here typing this from a building on Wall Street, I have to respectively disagree....

Publicly traded Companies only exist to turn a profit and make their shareholders and CEOs employees richer... They don't exist as a charity... FTTH in a rural area is a waste. In a town of 300, 600 or 1500 people it WILL work... Hell, we have had people on this site provide fiber to the home service to one or two block areas (10 - 20 customers)... But it simply isn't worth running fiber to one customer every five miles... Think about what you're saying... Wherever there is relatively close locations that need to be linked, it will work.. But you also have to consider the profit ratio to cost.. Companies are not charities and aren't going to spend thousands of man hours and millions of dollars to make a couple thousand dollars per year from a small town in the middle of no where... This is where LOCAL telecoms (like the one you mentioned) shine compared to the conglomerate telecoms.

-Tzale
Fixed it for ya!
Wrong.

How many companies exist that aren't interested in making a profit? The only reason people get up in the morning and go to work is because they want to make money to enjoy in their spare time... Think about it...

-Tzale
--
Neoconservatives (G.W.B) are not true conservatives. A conservative believes in defending the Constitution. First they ignore you, then they laugh at you, then they fight you, then you win. - RON PAUL 2008

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