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Forums » Monticello, Minnesota Wins Right To Run Fiber » Hmm.....
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This one's only half the story »
« ahhhh my town did this 5 years ago  
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insomniac84

join:2002-01-03
Schererville, IN

reply to me1212
Re: Hmm.....

They already have a huge advantage. They build a network that sells phone service and cable service. Then sell internet over it without having to pay for a new network.

They will of course be in Minnesota and will compete. It's just sad you have to invest in muni-broadband to force the big players to offer fair prices.

They really need to force these nation wide companies to offer standard prices statewide, or nation wide.

It's absurd that they can offer cheaper prices in areas with competition while somehow justifying the higher price in areas without competition.

me1212

join:2008-11-20
Pleasant Hill, MO
Competition is what we need, and you are right is IS sad. I say we do local loop undundling, it worked in France and Japan why not here too.


espaeth
Digital Plumber
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join:2001-04-21
Minneapolis, MN
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said by me1212 See Profile :

Competition is what we need, and you are right is IS sad. I say we do local loop undundling, it worked in France and Japan why not here too.
Local loop unbundling only works for private loops like that of the telco infrastructure built out on sub-Cat1 grade cabling.

Unbundling is generally only feasible at the major COs, but that limits the footprint of any data-based service to technologies that can operate with the distance of the CO. As of yet, it is still prohibitively expensive to unbundle remote terminals due to limited / non-existent cabinet space. Companies don't have the money to pour their own pad and get their own utility power to feed a remote terminal to only acquire a handful of customers from the incumbent LEC.

Competition only works if the companies can actually make a profit at the end of the day.


insomniac84

join:2002-01-03
Schererville, IN

said by espaeth See Profile :

Competition only works if the companies can actually make a profit at the end of the day.
Oh they easily make profits. The problem is they want unlimited growth of profits. So once an area is saturated, the only way to grow is to price gouge the customer you have. In duopolies where your competition has the same philosophy, you can raise your prices and they will match you. It's easy to collude when the competition shares your same wants and philosophies. Muni-broadband puts a cap on that really fast. As the goal is steady long term profits and not unlimited profit growth.

openbox9

join:2004-01-26
Alexandria, VA
·AT&T Southeast

said by insomniac84 See Profile :

said by espaeth See Profile :

Competition only works if the companies can actually make a profit at the end of the day.
Oh they easily make profits.
I believe espaeth See Profile was referring to the CLECs making a profit, which is much more challenging if they actually have to provide a portion of the facilities to include remote terminals and the power to feed them.


RARPSL

join:1999-12-08
Suffern, NY

reply to espaeth
said by espaeth See Profile :

said by me1212 See Profile :

Competition is what we need, and you are right is IS sad. I say we do local loop undundling, it worked in France and Japan why not here too.
Local loop unbundling only works for private loops like that of the telco infrastructure built out on sub-Cat1 grade cabling.

Unbundling is generally only feasible at the major COs, but that limits the footprint of any data-based service to technologies that can operate with the distance of the CO. As of yet, it is still prohibitively expensive to unbundle remote terminals due to limited / non-existent cabinet space. Companies don't have the money to pour their own pad and get their own utility power to feed a remote terminal to only acquire a handful of customers from the incumbent LEC.

Competition only works if the companies can actually make a profit at the end of the day.
What is being talked about is having the "Last Mile" separate from the Cable Company/ISP itself. The Cable Company/ISP peers at the central point where all the Last Mile runs end up (This is the equivalent of the Central Office/CO for Phones service/Dry Copper runs).


espaeth
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Minneapolis, MN
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said by RARPSL See Profile :

What is being talked about is having the "Last Mile" separate from the Cable Company/ISP itself. The Cable Company/ISP peers at the central point where all the Last Mile runs end up (This is the equivalent of the Central Office/CO for Phones service/Dry Copper runs).
It's not really the same thing because it's a common bus transmission media. The transport media isn't able to be segmented in blocks smaller than the neighborhood level.

If there were tons of open frequency space on the cable lines, maybe this would work, but the MSOs currently have several projects underway to reclaim their own space because they're already bumping up against capacity limitations with the growth of HD, voice, and data services.


mskittykat
Reality Bites...So I'm Back
Premium
join:2002-10-17
Upper Marlboro, MD

reply to insomniac84
How right you are. It was laughable to read the rep's commentary stating in essence that service with lower costs / addequate service was a bad idea. Maybe for them, considering there's no other competition around.

This is a practice I'd love to see go nationwide as well. In some areas these servies among others; i.e. gas, electric, etc. tend to be all tide up by one provider and they pretty much do as they feel....at the very least push the envelope.
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Forums » Monticello, Minnesota Wins Right To Run FiberThis one's only half the story »
« ahhhh my town did this 5 years ago  


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