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story category AT&T Planning $10 DSL Tier?
A push to grab the remaining dial-up users
(old news - 04:21PM Tuesday Oct 17 2006)
tags: dsl · prices · fcc
In his latest industry newsletter, Dave Burstein explores how five of the six "concessions" AT&T offered the FCC in order to get their merger approved aren't really concessions at all - they are things the telco was already doing (and that doesn't include their largely meaningless promise to adhere to non-legally binding FCC net-neutrality principles). He also explores the possibility that AT&T is may be planning to offer a $10 768kbps DSL tier in order to gobble up the last of the dial-up laggards.

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Forums » AT&T Planning $10 DSL Tier?
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netwire
Premium
join:2001-04-27
Mooresboro, NC

Great but...

Well that's great and all but what about first expanding to the areas not yet serviced by DSL or Cable for that matter? Yes, there are still people out there who can only get Satellite....shutter..

rachelsfx

join:2004-09-27
Pensacola, FL

Re: Great but...

Beter than other 256/128 plans for $24.95!
shoan

join:2006-02-27
Benton, AR

I so agree with you. They whine about not being able to serve everyone due to them not being profitable to extend dsl to the entire area on one hand and cut profits where they do have dsl in on the other hand. At least my dial up price should go down more since if you are in an area with no dsl served by AT&T they give you dial up for the cheapest price that you can get dsl vs the higher priced dail up in a dsl served area. Still no concession to why they are not pushing dsl out to more people. They would make more money off of the people that are out of dsl range begging for it than they will from getting dial up users to switch to dsl for cheaper than what they were paying for dial up in the first place. I dont know is ti more expensive to run dial up for them than dsl and if this is true then why is that not motivating them to deploy more dsl. Just makes no real sense to me someone explain this to me.
NewMariner

join:2005-06-24

I suggest you read their proposals...now whether or not they do this is another story...but they ceded the information willingly...

By December 31, 2007, AT&T/BellSouth1 will offer broadband Internet access service
(i.e., Internet access service at speeds in excess of 200 kbps in at least one direction) to
100 percent of the residential living units in the AT&T/BellSouth in-region territory.2 To
meet this commitment, AT&T/BellSouth will offer broadband Internet access services to
at least 85 percent of such living units using wireline technologies (the “Wireline
Buildout Area”). The merged entity will make available broadband Internet access
service to the remaining living units using alternative technologies and operating
arrangements, including but not limited to satellite and Wi-Max fixed wireless
technologies. AT&T/BellSouth further commits that at least 30 percent of the
incremental deployment after the Merger Closing Date necessary to achieve the Wireline
Buildout Area commitment will be to rural areas or low income living units.3
shoan

join:2006-02-27
Benton, AR

Re: Great but...

This will be great if this is happens but I hate that they slide the satellite in there, seems like a cop out by rebranding someone elses service to be able to say hey looky we have 100% broadband penetration. I will give them the benefit of the doubt and if we do not have DSL in the next 4 years we are moving. That is when we decided to set a mark for our family to look at buying a bigger house and what not and I will never make the mistake of buying in a non-broadband serviced area again. That was my mistake for not checking more closely and following up on little details and so I live with it.
patcat88

join:2002-04-05
Jamaica, NY
Wonderful, DSLR should just close right now since we have 100% broadband availability penetration already in the USA, through magical ATT birds flying 200miles up in space. Wildblue's logo is blue, i wonder if a merger with ATT is in order.
jc1350

join:2004-09-23


edit:
October 17th, @03:57PM

Exactly. I'm too far from the local CO for DSL. Cable is on my street, but 1/2 mile away in one direction and 1/4 mile away in the other. My neighbors and I signed a petition asking for cable and that we would all pay the cost of the cable runs along the street and to our homes. Those requests have been ignored...not even a one-word response.

Cable and phone companies continue to ignore areas...look at Verizon's cherry-picking for their FIOS deployment areas...areas that already have DSL and cable service. Why not use FIOS to get those without any broadband connected first? Why won't the cable company lay it's namesake on my part of the street?

As for their promises..phone companies make promises all the time to big brother so they can complete their deal/rate hike, etc. Yet they mostly break those promises with no action from big brother. Verizon did it to PA a few years ago. I don't have any faith in AT&T.

griminal
Finally.

join:2001-06-25
Bangor, MI

Re: Great but...

You need to go down the street and setup a wireless link with one of the homes with service. That's what I had to do.

Defcon888
Premium
join:2003-07-22
San Bruno, CA
·DSL EXTREME
·AT&T Yahoo
·AT&T DSL Service
·Pacific Bell - SBC

Re: Great but...

said by griminal See Profile :

You need to go down the street and setup a wireless link with one of the homes with service. That's what I had to do.
ATT should just set up a bunch of wireless repeaters to some fiber connection near the CO + RADIUS.. rather than some 99$ modem, why not a wifi card of some sort..
--
defcon888@gmail.com
send me spam!

c0de

join:2004-10-14
Richmond, VA

i live inside city limits of Richmond Virginia and next door to me is one of the largest malls in/around the city. but for some reason DSL is not offered to me because i am too far from the CO. now explain to me how there are three targets, 2 ukrops, 6 ABC stores, and over 50 Resturants/places to eat with in a 5mi radius of me, but yet i cant get effing DSL?
battleop

join:2005-09-28
00000

Re: Great but...

i live inside city limits of Richmond Virginia and next door to me is one of the largest malls in/around the city. but for some reason DSL is not offered to me because i am too far from the CO. now explain to me how there are three targets, 2 ukrops, 6 ABC stores, and over 50 Resturants/places to eat with in a 5mi radius of me, but yet i cant get effing DSL?


I would be willing to bet all the stuff around you is fed on fiber so there isn't really much copper to feed your DSL on. We have this happen alot around areas with rapid or recent explosions in growth. Most often in areas surrounding shopping malls.

mocycler
Premium
join:2001-01-22
Naperville, IL
·AT&T Midwest

said by netwire See Profile :

Well that's great and all but what about first expanding to the areas not yet serviced by DSL or Cable for that matter? Yes, there are still people out there who can only get Satellite....shutter..
They don't serve the sticks because it costs too much, period. It's probably the same reason country folk cannot get a pizza delivered or have a well instead of city water.

It costs thousands of dollars per mile to run a drop. You really expect AT&T or anyone else to front the $$ to serve, say, a few dozen or so customers at ten bucks a month each? Like pizza joints, internet providers are for-profit operations.

There are pros and cons of living in any area. Rural people generally have lower living expenses in exchange for fewer amenities. You can't have it both ways.

Those who choose to live in black holes forfeit their right to complain that it's dark.

mocycler

meskinct
This space for rent
Premium
join:2002-01-07
Danbury, CT
clubs:

Because 12.99 for 1.5 wasn't cheap enough

Are they thinking that the 12.99 plan that they had offered in the past wasn't cheap enough?

Rob A
Jets 19 - Steelers 16
Premium
join:2005-01-17
Pompton Plains, NJ

Good idea

Some people are still clinging on to dialup even with it at $15/month now. Great idea by ATT to scoop up the remaining few.

rachelsfx

join:2004-09-27
Pensacola, FL

edit:
October 17th, @03:27PM

Re: Good idea

AT&T just found a few hundred thousand modems. The ebay auction didn't work. Why not put them to use?

Fatal Vector

join:2005-11-26

Re: Good idea

768 Kbps...Shudder...

Maxo
Your tax dollars at work.
Premium,VIP
join:2002-11-04
Tallahassee, FL
clubs:
·Embarq

Re: Good idea

said by Fatal Vector See Profile :

768 Kbps...Shudder...
I remember when 768Kbps was standard and costs ~$50/month.

gomer1701ems

join:2001-08-23
Minneapolis, MN

Re: Good idea

Try 512/128 with Sprint, about 4 years ago! If I remember correctly (and I usually don't), I think it was around that price too....
--
"Don't argue with stupid people; they will beat you with experience."
magnetron

join:2006-09-10
That's nothing! I'm currently paying that much for 512Kbps. On top of that, half second ping times are the best I can hope for.

Maxo
Your tax dollars at work.
Premium,VIP
join:2002-11-04
Tallahassee, FL
clubs:
·Embarq

Re: Good idea

said by magnetron See Profile :

That's nothing! I'm currently paying that much for 512Kbps. On top of that, half second ping times are the best I can hope for.
Who's your ISP?
john262

join:2003-09-26
Elko, NV
·Wireless Beehive

You are shuddering about 768 for a lousy 10 bucks a month? That would be a great deal for a lot of people who pay more than that for dialup. But if that's too slow for you then by all means sign up for a faster package for a higher cost. But don't diss 768 for those who can't afford something more expensive or for those who just do email and don't need anything better.

Goober

join:2000-12-17
Naperville, IL

Re: Good idea

I agree. My parents will love it. The pay Wide Open West more than that for 112/112 service or something along those lines.

CylonRed
Premium,MVM
join:2000-07-06
Bloom County
·Speakeasy

Re: Good idea

said by Goober See Profile :

I agree. My parents will love it. The pay Wide Open West more than that for 112/112 service or something along those lines.
My mom would love it as well but she hates AT&T so much she no longer uses them... My mom would be happy with 300/128 service.

Goober

join:2000-12-17
Naperville, IL
·WOW Internet and C..
·Comcast

Re: Good idea

said by CylonRed See Profile :

said by Goober See Profile :

I agree. My parents will love it. The pay Wide Open West more than that for 112/112 service or something along those lines.
My mom would love it as well but she hates AT&T so much she no longer uses them... My mom would be happy with 300/128 service.
I understand the dislike factor. But, depending on your mom's circumstance, it becomes cutting off your nose to spite your face. These are pretty good deals.

My parents maybe use the internet a couple of hours a week. To them, the biggest hassle was waiting for the thing to dial and then dealing with calls that came up when they were on-line.

For $10 you may want to try to change her mind.

CylonRed
Premium,MVM
join:2000-07-06
Bloom County

Re: Good idea

Either that or see if she will go with Cincinnatti Bell for local and dsl. Ican get local unlimited calling and DSL for a total of $59 (unlimited local is $24.99 with CB - AT&T seems to start at $27.99 for unlimited local)...

Goober

join:2000-12-17
Naperville, IL

Re: Good idea

Not a bad deal. When there's no need for ultra high speeds, cost becomes a much more important factor. In your cae, she may get a better deal and still keep away from ATT.
rid0617

join:2003-07-20
Greer, SC
Because of where I am BS DSL can't deliver more than 768 on a daily basis. I could switch to this, receive the same service I currently receive and save money. Wonder if it will be offered in the BS South Carolina areas.

Alpine
Premium
join:2000-01-11
Atlanta, GA

Wow...

I wonder what Dave "Bias" Burstein actually wants? Everyone in the AT&T region gets a free cookie? How about an iPOD? How about something else equally as arbitrary just to pander to the Democrats that are pandering to their voters, 99.99% of which couldn't care less about this merger?

His argument here is apparently that AT&T's offers don't count because they were already doing many of them? So they should have just waited to do these things until they were forced to? You can't have it both ways, people. There was nothing anti-competitive about this merger in the first place. Now that they're offering to put in writing even more, like a freakin' $10 DSL tier, people complain about that?

Seriously. Some people really make whining an art form.

Adam

Minister

join:2002-01-02
Fleeting


edit:
October 17th, @04:02PM

Re: Wow...

One, people need to grow up and stop flinging the "bias" tag around every time someone says something that conflicts with their own subjective world-view.

Two, why would anyone who is truly objective applaud "concessions" that are just political smoke and mirrors?

The whole point of offering concessions is the idea that the company is offering new proposals to ease the worried minds of regulators. If you're already doing the things you're offering, but dressing them up as new proposals, then you're just flinging BS around...

People should whine. AT&T just tried to BS their way through the approval process. A lot of people will lose their jobs due to this merger. It deserves serious and timely consideration, not rubber stamping.

Alpine
Premium
join:2000-01-11
Atlanta, GA

Re: Wow...

said by Minister See Profile :

Two, why would anyone who is truly objective applaud "concessions" that are just political smoke and mirrors?
First, an "objective" person would see that there's very little if anything truly anti-competitive about this merger. They generally don't compete. They already jointly own a major player in wireless. Their local regions don't overlap.

That said, isn't this whole process just political smoke and mirrors? The Dems know this thing is going through. They're aware that Justice and all the states approved it with no concerns. They're just having a great time because the Republicans were dumb enough to appoint a commissioner who has a conflict of interest in one of the biggest mergers in history.

The guise of all this is to eliminate possibly anti-competitive behavior. That is (or should be) the only purpose of this review. But so many of the things people want have absolutely nothing to do with competitiveness in the telco industry.

How is not having 100% broadband deployment anticompetitive? How about "net-neutrality?" It may affect content providers businesses at some point in the distant future, but it's not anti-competitive in the telco industry, which is what this is supposed to be about. This is just an arbitrary wish list people want attached to the merger, just like those cookies.

It's the same when SBC had to provide naked-DSL to get the last merger through. Not providing naked-DSL isn't anti-competitive at all. It's just a random wish they were able to extract.

If they find something legitimately anti-competitive (like spectrum or anything else) then they should absolutely address it. But that should be the scope of the inquirity - nothing more. Not cookies. Not a required percentage of broadband deployment. Not requirements around a "vaporware" boogeyman("neutrality") that hasn't been implemented by one single provider up to this point.

At a bare minimum they should stick to reality rather than their guess of what might be reality down the road. The purpose of the FCC is not, and never will be, to dictate at random how businesses should operate unless there's proof of real anticompetitive behavior.

There ain't in this situation.

Adam

rachelsfx

join:2004-09-27
Pensacola, FL

Re: Wow...

Umm, I'm not sure AT&T has a remote understanding of reality.

Logan 5
Dungeon Runners - Come get your Bling on
Premium,MVM
join:2001-05-25
The WasteLAN
·Pacific Bell - SBC

Re: Wow...

said by rachelsfx See Profile :

Umm, I'm not sure AT&T has a remote understanding of reality.
Ummmm... I hate to break it to 'ya but AT&T lost their reality remote many many years ago....

Minister

join:2002-01-02
Fleeting

quote:
First, an "objective" person would see that there's very little if anything truly anti-competitive about this merger.
According to you. There's broad support from investors and executives. But there's also some ample grounded opposition from all manner of consumer groups, trade unions, and other organizations. Because you ignore them does not mean their points raised are not valid.
quote:
isn't this whole process just political smoke and mirrors?
You're now conceding AT&T's move was in fact smoke & mirrors, when above you tried to paint the concessions as legitimate.
quote:
If they find something legitimately anti-competitive (like spectrum or anything else) then they should absolutely address it.
We agree on that front.

I don't think any real net-neutrality restrictions will be a part of the final deal. The concept is still too vague to be properly enforced; any neutrality regulation will be reactionary.

morbo
Complete Your Transaction

join:2002-01-22
00000
clubs:
·Charter Pipeline
·AT&T Southwest

said by Alpine See Profile :

His argument here is apparently that AT&T's offers don't count because they were already doing many of them?
Not surprisingly, most of AT&T's "concessions" are meaningless. Are we really supposed to piss our pants in ecstasy because AT&T tossed us a non-binding net-neutrality agreement that lasts only 30 months??

Minister

join:2002-01-02
Fleeting

Re: Wow...

The neutrality concession is also smoke and mirrors. As the blurb above notes, there is no binding legal repercussion to violating the FCC's position, because it's simply a broad statement of ethics position, not a law.

puhleeze

@verizon.net

sleezy at&t

DONT FALL FOR IT!
kill dsl-- don't give adsl equipment a NEW life ANYWHERE on telco copper! demand REAL BROADAND, CHEAP! 10mbit+, not 384k-8mb!
nasadude

join:2001-10-05
Rockville, MD
·Comcast

Re: sleezy at&t

said by puhleeze :

DONT FALL FOR IT!
kill dsl-- don't give adsl equipment a NEW life ANYWHERE on telco copper! demand REAL BROADAND, CHEAP! 10mbit+, not 384k-8mb!
dude, if you want real, inexpensive broadband anytime in the next 5 years you gonna have to move to another country.
eric87m

join:2003-12-07
Princeton, NJ
shutup, this is more than perfect for 80% of internet users. Most people just want to read the news online and check email, and have it not be painfully slow, they don't download porn all day like you.

jbob
Reach Out and Touch Someone
Premium
join:2004-04-26
Little Rock, AR
·Comcast
·AT&T Southwest

Competition

Maybe, just maybe this will be enough competition to drive cable ISP prices down a bit. Might be time for cable ISPs to rethink their bottom line and offer a lower tier service plan as well to compete against the slower DSL offerings. I'm sure many customers would jump at the chance to jump on a lower tier cable plan and not worry about a 2 year contract.

wishfulthinking

@charter.com

Re: Competition

at&t is probably realizing that their profit margins are worse with dialup than with even cut-rate dsl.. so they want to "encourage" dialup holdouts to switch to a comparatively priced dsl plan. a service they have more control over and can market differently (i.e. raise rates more effectively) than a 'one-speed-only' dialup offering that has to compete with sub-$10/mo national providers (which now includes the largest of them all, aol).

but if you think cable companies will compete with these rates??? think again. only in very specific circumstances is that likely to happen.

MAYBE in areas where they both offer the same serivices within the same general geographic area.... but:

... if cable is more readily available to more households than at&t dsl (i.e. better coverage in a market, places where dsl isn't built-out as well as cable), forget it. at&t won't get the local cable company's attention unless they're offering voice/data/tv in a particular market at substantially lower prices than cable, to the same subscriber base.

and even then, that's no guarantee that competition will breed lower prices. here centurytel offers voice/data/tv (via dish) to compete with charter's services (even has an 'all-you-can-eat' telephone plan too).. however both are equally greedy, money-grubbing corporations. neither will be the instigator in a price war, so prices continue to go up and up. even with satellite dishes (via centurytel or direct through the providers) on every-other-house in town, charter don't care; and they continue with their annual price increase (and twice in the last three years, reduction in service to some extent on top of those increases).

... if your local telco isn't at&t, forget it. don't expect your cable company to compete with at&t's cut-rate plans where they don't have to.

... and forget about OTHER telco's matching at&t's lower rates. they don't compete with each other, so no point in the other guy dropping their rates.
macflauaus

join:2005-10-08
Nashville, IL

This is great and all but...

I know someone at the beginning said that by the end of next year, AT&T will have all phone customers available to purchase some speed of DSL, but my power company has already started talking about preliminary surveys about BPL. I think this is the way we are going to go for high-speed to get away from dial-up. It's a little to late, AT&T.

CherylA

join:2005-06-09
Encino, CA

ATT Planning service?

Didn't read everything but I am in the same boat.

I live in a condo in the middle of the West San Fernando Valley. There are condo's and Apts all around us as well as houses. There is a main PO and firehouse down the street, but because SBC doesn't have any routers we have no options.
Our condo has a package with time warner for tv cable, which we pay thru home owners. We DID ask once how much cable would be, and were told an astronomical amount, and that as we have cable tv via a package with homeowners, we couldn't get a deal via cable for net access.

As ATT and SBC are the same companies now will this help? Time will tell but not holding my breath.
--
BAN THE DEED NOT THE BREED!!
NEUTER & SPAY, DONT LITTER!
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