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Uncle Sam Helps Frontier Reach Unserved Users
$71.9 Million to Wire 92,000 Unserved Homes

While AT&T and Verizon appear more than happy to bleed off DSL users they don't want to pay to upgrade while they focus on wireless, smaller telcos certainly don't have that option. The nation's smaller telcos like Frontier, Fairpoint, Windstream and CenturyLink all face landline customer erosion and constant user defections to faster cable options, with many users fortunate to get 3 Mbps downstream. Frontier Communications, whose service isn't exactly known for cutting edge speeds, appears to be the first of these telcos to get help from the government's Connect America fund. According to a Frontier press release (hat tip to Telecompetitor), the telco will be subsidized $775 per line to bring DSL to roughly 92,000 households:

quote:
Frontier Communications’ ongoing commitment to deploying broadband services to rural America will accelerate with the acceptance of $71.9 million from the Federal Communications Commission’s (FCC) Connect America Fund (CAF). The funds present Frontier with an opportunity to expand its commitment to deploying and enhancing broadband connectivity in underserved or unserved areas. By accepting this funding, Frontier has pledged to provide broadband service to an additional 92,876 households covering more than half of the 27 states it serves, ensuring rural customers in states such as Michigan, Oregon, Washington and West Virginia have access to broadband connectivity.
The problem, of course, is that we've been throwing subsidies at the phone companies for a generation, with the government quite often failing utterly when it comes to making sure this money is used as intended. The result has been the exact situation we're in now: marginally competitive-companies providing marginally-modern connections. Back in the Spring, the FCC pledged $300 million to telcos who were willing to agree to deploy to underserved customers. Other companies, like Windstream or Fairpoint, have until later this month to indicate whether they'd like to participate in this program.

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mob (banned)
On the next level..
join:2000-10-07
San Jose, CA

mob (banned)

Member

Good old socialism

Oh oh, I get it.

Nobody is upset b/c the money is going to a company person, not a real human person.

FFH5
Premium Member
join:2002-03-03
Tavistock NJ

1 recommendation

FFH5

Premium Member

Re: Good old socialism

said by mob:

Oh oh, I get it.

Nobody is upset b/c the money is going to a company person, not a real human person.

Who says. Gov't welfare to either persons or corporations is disliked by many on here. Of course, we are regularly attacked for those views.

ArrayList
DevOps
Premium Member
join:2005-03-19
Mullica Hill, NJ

1 recommendation

ArrayList

Premium Member

Re: Good old socialism

I'm all for giving money out when it helps society progress.

The Limit
Premium Member
join:2007-09-25
Denver, CO

The Limit to FFH5

Premium Member

to FFH5
...how exactly is this considered government welfare? How was nationwide phone service provided? I know, let's conveniently ignore that fact too while we are at it.

I'm sorry that I don't subscribe to the belief that "companies are in business for the best of the consumer, they can do no wrong, and we should just deregulate every industry in sight, because public shame will keep companies accountable."

Robert
Premium Member
join:2001-08-25
Miami, FL

Robert to mob

Premium Member

to mob
said by mob:

Nobody is upset b/c the money is going to a company person, not a real human person.

Ahh the selective memory.. must be a trait of a particular party.

Let us not forget how upset Americans were at the tarp bailouts.
mob (banned)
On the next level..
join:2000-10-07
San Jose, CA

mob (banned)

Member

Re: Good old socialism

said by Robert:

said by mob:

Nobody is upset b/c the money is going to a company person, not a real human person.

Ahh the selective memory.. must be a trait of a particular party.

Let us not forget how upset Americans were at the tarp bailouts.

Tsk tsk, don't bring politics into the fray. We have forums elsewhere for that type of discussion.

Robert
Premium Member
join:2001-08-25
Miami, FL

1 recommendation

Robert

Premium Member

Re: Good old socialism

Heed your own advice.

Metatron2008
You're it
Premium Member
join:2008-09-02
united state

1 recommendation

Metatron2008 to mob

Premium Member

to mob
You brought politics into the argument! Take your own damn advice!!
mob (banned)
On the next level..
join:2000-10-07
San Jose, CA

mob (banned)

Member

Re: Good old socialism

All I did was mention a glaring contradiction from a perspective of humanity.

You took it how you felt you should take it. Can't help you with that.
jpgr
WAR
join:2011-08-18
Clyde, OH

jpgr to mob

Member

to mob
I for one lived with satelite internet cause Verizon did not want to invest . Thank God Frontier bought our lines I live 3.2 miles away from the CO and I love not getting a cap of just 19gb and 999ms know it's 34ms and unlimited gb . If I want to buy a game online I do I let it dnl while I sleep . If I want to watch netflix I do with no problem with just 1.5 mbs . Online gaming is alot more fun with people around the world then just single players .

And about this government welfare check you say...... pffff . The 92,000 residents who's getting the upgrade already payed there due's . There tax payers too people! Not some Ceo bank manager getting baileout an Giving bonuses cause they screwed there books all up !
jdmm72
join:2002-02-12
Cary, NC

jdmm72

Member

Re: Good old socialism

And the reason that you posted this twice is????

I can do it to...

And the problem with America today, "I done did pay my dues, now gimme, gimme, gimme."
tmc8080
join:2004-04-24
Brooklyn, NY

tmc8080

Member

Frontier, Vs Oil companies?, Car companies? Banks? Insurance

you could find worse companies to feed corporate welfare to..

that said.. misuse of government money in Telecom is legendary, so there would need to be a SCTRICT line-by-line approval of what every cent spent does so that we don't see unnecessary equipment purchases, bloated labor & equipment charges, and fraud-waste-and-abuse of grant money. people need to know what X amount of dollars competitively buys in a given marketplace and see to it that there is a prudent value for the $. 100% of the funds allocated need to be posted online for public scrutiny... no just for frontier, but all USF and grant money.

Robert
Premium Member
join:2001-08-25
Miami, FL

Robert

Premium Member

USF?

Is this money coming from USF that has been collected?

ArrayList
DevOps
Premium Member
join:2005-03-19
Mullica Hill, NJ

ArrayList

Premium Member

Re: USF?

USF is not for this.

Robert
Premium Member
join:2001-08-25
Miami, FL

Robert

Premium Member

Re: USF?

said by ArrayList:

USF is not for this.

I was under the impression that the use of the USF has been modified to include extending broadband coverage to rural areas?

Mike
Mod
join:2000-09-17
Pittsburgh, PA

Mike

Mod

Re: USF?

Regardless it's DSL. No one cares about copper anymore. Fiber or go home.

Robert
Premium Member
join:2001-08-25
Miami, FL

1 recommendation

Robert

Premium Member

Re: USF?

said by Mike:

Regardless it's DSL. No one cares about copper anymore. Fiber or go home.

Rural people do.
Sammer
join:2005-12-22
Canonsburg, PA

Sammer to Mike

Member

to Mike
Depends on whether or not it's VDSL2. ADSL is becoming obsolete.
elray
join:2000-12-16
Santa Monica, CA

1 recommendation

elray to Mike

Member

to Mike
said by Mike:

Regardless it's DSL. No one cares about copper anymore. Fiber or go home.

Not exactly. DSL remains a viable part of the equation, given the real costs of deploying fiber. Trouble is, as cheap as it is, subscribers still don't want it.

But you've overlooked the real underlying reason that the taxpayers are wasting $1K/household to subsidize DSL: it gives the socialists, anarchists, populists, Occupoos, Dems, and lets not forget our esteemed blogger, Karl, a ten-year extension on fighting the good fight, as they will continue to assail Frontier, et al, for not providing "faster broadband", whatever that is at the moment.
HeyJude8
join:2012-07-08
Emmett, MI

HeyJude8

Member

Re: USF?

agree...

Thaler
Premium Member
join:2004-02-02
Los Angeles, CA

2 recommendations

Thaler to Mike

Premium Member

to Mike
said by Mike:

Regardless it's DSL. No one cares about copper anymore. Fiber or go home.

Try living on satellite internet. You'll be begging for a 1.5 Mbps DSL in no time.

glyder
@centurytel.net

glyder to Mike

Anon

to Mike
nice to know you speak for everyone.

ArrayList
DevOps
Premium Member
join:2005-03-19
Mullica Hill, NJ

ArrayList to Robert

Premium Member

to Robert
I thought USF was only leveraged against voice services and not data services. I've never paid it with broadband only service.

Robert
Premium Member
join:2001-08-25
Miami, FL

Robert

Premium Member

Re: USF?

said by ArrayList:

I thought USF was only leveraged against voice services and not data services. I've never paid it with broadband only service.

I don't think they increased USF, but redirected the funds away from voice services to data services.

ArrayList
DevOps
Premium Member
join:2005-03-19
Mullica Hill, NJ

ArrayList

Premium Member

Re: USF?

that is quite unfortunate.
dynodb
Premium Member
join:2004-04-21
Minneapolis, MN

dynodb to Robert

Premium Member

to Robert
said by Robert:

said by ArrayList:

I thought USF was only leveraged against voice services and not data services. I've never paid it with broadband only service.

I don't think they increased USF, but redirected the funds away from voice services to data services.

Rob is mostly correct, though USF fees have increased significantly starting around 2010.

»www.fcc.gov/encyclopedia ··· -america
Broadband has gone from being a luxury to a necessity for full participation in our economy and society – for all Americans. For that reason, the FCC has adopted comprehensive reforms of its Universal Service Fund (USF) and Intercarrier Compensation (ICC) systems to accelerate broadband build-out to the 18 million Americans living in rural areas who currently have no access to robust broadband infrastructure. This reform will expand the benefits of high-speed Internet to millions of consumers in every part of the country by transforming the existing USF into a new Connect America Fund (CAF) focused on broadband.
The fact of the matter is that the original goals of the USF were almost completely achieved years ago. Rather than end the chronically mismanaged USF, they (predictably) kept collecting the money to use elsewhere, because government programs never die.

Suntop
Wolfrider Elf
Premium Member
join:2000-03-23
Fairfield, MT
·3Rivers Communic..
Netgear R6400
Netgear WNR1000
Netgear WNDR3400

Suntop

Premium Member

Predictable

The telecommunication barons win again with yet another welfare check. Now come on, I understand that there are places without broadband, and this is an issue that should of been solved. Yet, there is always something.

It seems awfully familiar that bullies get more money for nothing. :/
Sammer
join:2005-12-22
Canonsburg, PA

Sammer

Member

Re: Predictable

said by Suntop:

The telecommunication barons win again with yet another welfare check.

If the public is paying for it then the public should own it at least at the wholesale level.

Suntop
Wolfrider Elf
Premium Member
join:2000-03-23
Fairfield, MT

Suntop

Premium Member

Re: Predictable

Simple, that is not allowable. This would give a voice that matters to their way of business. This however is only the tip. I'd be wary.

ArrayList
DevOps
Premium Member
join:2005-03-19
Mullica Hill, NJ

ArrayList to Suntop

Premium Member

to Suntop
it's only ~$72 million. not even a drop in the bucket.

Suntop
Wolfrider Elf
Premium Member
join:2000-03-23
Fairfield, MT
·3Rivers Communic..
Netgear R6400
Netgear WNR1000
Netgear WNDR3400

Suntop

Premium Member

Re: Predictable

What? There is a bucket of money somewhere? Yeah, I learned that being greedy and selfish bullies is not cool. Someday, this will stop when there is a shift. All this money and we have bad education and healthcare. I pray that we do not have a repeat of history, this looks awfully familiar. I am saddened to of heard that we are 17th in science and 25th in math no wonder this happens.

•••

Leon996
@cableone.net

Leon996

Anon

Huh?

Why are we paying to build this out anyway? People live in the sticks for a reason. If they wanted the full amenities of being in the mainstream areas then they would have chosen those areas. It is bogus to spend our $ to provide access where there may be no demand to warrant this and to a sub-section of the population who chose to live outside the range of these types of amenities!

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rdmiller
join:2005-09-23
Richmond, VA

rdmiller

Member

Dag nab it!

Here we go again! If we wanted a transcontinental railroad, individual ranchers would have built the tracks themselves. Isn't that how Free Enterprise works?

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pnh102
Reptiles Are Cuddly And Pretty
Premium Member
join:2002-05-02
Mount Airy, MD

pnh102

Premium Member

Ridiculous

Our country is broke but we have money to pay for this BS?

Noah Vail
Oh God please no.
Premium Member
join:2004-12-10
SouthAmerica

Noah Vail

Premium Member

Re: Ridiculous

said by pnh102:

Our country is broke but we have money to pay for this BS?

That and then some.


rMoney


... reposted as often as it takes

.
jdmm72
join:2002-02-12
Cary, NC

jdmm72

Member

Frontier, blah

So, lets get this straight. Frontier buys out Verizon landlines in a bunch of states, states that they can make it better, and profitable, then puts out their hand to the gub'ment.

In my state alone, Verizon let the telco infrastructure rot for 25 years with no major improvements, let the copper corrode to being unusable in many places, actually filed to the PSC to cut off "underserved" area (which failed, my great grandmother lived in one of them). When our public service commission finally forced Verizon's hand, they then sold to Frontier, who inherited the crap. Whoever at Frontier thought it to be a good idea, needs to be fired. Oh, and don't forget the PSC has been after Frontier for Verizon's prior negligence also.

To be fair, Verizon wasn't the only utility to try to cut out underserved areas, AEP (American/Appalachian Electric Power) filed the same request.

Underserved
@206.29.182.x

Underserved

Anon

Under served areas

OK you guys maybe you should hear from someone who lives in one of those "under served" areas. I'm only 50 miles from a city of 4 million people (Phoenix) and I have exactly two Internet choices. Dial up at $25 a month at less than 56k or satellite at $100.00 a month and only slightly over 56k or I can drive 15 miles to the closest town with wifi and sit in my car as I am now for a couple of megabits. Oh did I mention it's 108 degrees here and I can't have my car AC running? DSL? Not profitable enough. Cable? Not profitable enough. I've tried to see if I can get a microwave relay to where I live so those of us there can have decent affordable broadband. I figure it will cost about $250-500K to do it and I could make about $5k net a month. Can I do it? Nope. Why? Cox Cable, Centurylink and Verzion block me from doing it. Why? They control all the towers and leases. Without Government help I am SOL. Now what can I do all you Mitt slaves? Revolution? Anarchy? Please let me know when you're ready to get serious. Maybe you'll all contribute to my broadband fund. LOL ironically.

••••••••

treich
join:2006-12-12

treich

Member

Well Us WISP's are now fighting Centurylink about USF

Well Now we (The WISP's) are now going to fighting Centurylink or any other Telcos thinking they are going to get any funding from the Federal Government like from USF look at this press release today:

»avid.broadcastnewsroom.c ··· -2097891

»www.marketwire.com/press ··· 8478.htm
ConstantineM
join:2011-09-02
San Jose, CA

ConstantineM

Member

why are they still investing in old copper instead of fibre?

A 775$ subsidy per line for DSL?

Whereas the whole cost of an aerial fibre network is 500$ per house?

Yes, sounds like a good way to spend the federal money! When will these people finally put a stop on wasteful spending, and will approve of plans that actually benefit the consumers and the taxpayers?

•••••
keason
Premium Member
join:2002-05-02
Ann Arbor, MI
·Comcast Business
·T-Mobile

keason

Premium Member

Why any sort of landline in rural areas?

Rural areas with low population densities are simply too expensive to service with wires/fiber. The federal government could allocate spectrum specifically for broadband in those areas and subsidize the installation of radios and new towers if necessary. That would be a lot cheaper than subsidizing rural telecom carriers.

As for rural towns, cable companies are doing a good job. Perhaps a federal law explicitly permitting municipal fiber would help service those areas too.
gunther_01
Premium Member
join:2004-03-29
Saybrook, IL

gunther_01

Premium Member

I love it

I think some of you who proclaim Frontier is the best, needs to realize they were mandated in many states to bring DSL to unserved areas in each state. I think in IL they had to bring DSL to 90% of the towns they serve. NOW, they have their hand out for MORE money from the USF (I don't care what it's called now)

Here is another fun fact. USF has been paid in to for a very long time. Verizon took that money and made Verizon Wireless, instead of keeping up with the copper as far as I am concerned. It's government waste.
travis5379
join:2005-03-28
Moscow, ID

travis5379

Member

Re

"to an additional 92,876 households"

How odd that they've calculated it down to a single household. Anyway, I hope my house is one of those. I've been trying to get Verizon DSL here for the past 10 years. And then Frontier took over, and still no DSL. This is despite the fact that houses on the road to the east of here HAVE Frontier DSL.

You break my heart, Frontier.

wtf
@cogentco.com

wtf

Anon

of course this happens

So its OK for TAX money to be given to a corporation, but unfair if used by small communities that want to expand their broadband?

How do you figure?

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