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Chynkinese

join:2010-05-05
Ottawa, ON

reply to InvalidError

Re: Networks cost money to build...

said by InvalidError:

said by Chuck Carlso :

Correction the Canadian taxpayers paid for Bell's network and infrastructure.
Taxpayers subsidized the ubiquitous and affordable phone service for all as a mandated essential service long before the IP protocol's inception. Very little of the infrastructure from those days would be usable to deliver xDSL; nearly everything had to be rebuilt over the past 15 years specifically for that and completely off Bell's own dime.
However, Bell's dime was generated using infrastructure that was subsidized by our pennies. Without our pennis, Bell might only have a nickel at this point.

InvalidError

join:2008-02-03
kudos:5

said by Chynkinese:

However, Bell's dime was generated using infrastructure that was subsidized by our pennies. Without our pennis, Bell might only have a nickel at this point.
And half of Canada would not have affordable phone service or would have gotten it several decades later, much like how many remote areas are paying 2-5X the price for 2-10X slower and much less reliable broadband service than urban areas today... some do not even have any viable broadband options at all.

The POTS subsidies came with the obligation to serve rural/remote areas with the same or similar phone service and pricing available in urban areas. Urban areas were always profitable so that part of the telcos' network never needed subsidizing.

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