Broadband Bytes: Monday Edition

There hasn’t been any news in the broadband world the last few weeks. Just kidding. Here are some “morsels” for you to chew on:

  • A local telco in Monticello, Minnesota (Bridgewater Telephone, child company of TDS Telecom) lost a suit against a city-built Fiber-to-the-Home network. (A project very similar to UTOPIA). The judge dismissed Bridgewater’s complaint of competition by a governmental organization. Apparently, the incumbent telco, Bridgewater, wouldn’t build a fiber network so the city had decided to bond and build their own. I thought this network was interesting because the goals of the network read a lot like the goals of UTOPIA:
    • choice of service provider
    • competitive rates
    • local service
    • local ownership
    • economic development
    • economic returns to the community

    There is a site like FreeUtopia that is covering this network: http://www.monticellofiber.com/

  • Some universities seem to be cutting back on POTS (plain old telephone) offerings to dorms because of lack of use.
  • Cox and Time Warner were fined for implementing SDV and knocking CableCARD customers offline without proper notification.
  • It also looks like BPL (Broadband over Power Lines) is dead. Manassas, Virginia where the flagship BPL network was deployed has been turned over to the city who will keep it around until about 2010. For all you amateur radio (PDF) operators out there this is good news.
  • Apple is rumored to be working on a networked TV. That’s going to require a lot of bandwidth. In addition to normal TV functions, you could stream any content from iTunes like downloaded movie rentals, TV episodes on demand, etc.
  • Business Week recently did an excellent piece called “The Digital Divide” that talks about just how important broadband is becoming in spurring business in areas that have it, and leaving those that don’t in the dust.
  • President Bush signed the Broadband Data Improvement Act into law on Oct. 10. The bill will provide for improved data on the status of broadband deployment in the United States by forcing the FCC to make a couple of major changes to the way it puts together broadband information. This includes yearly metrics for “second-generation” broadband that can support full motion HD video and more granularity to for reporting of broadband broken down by ZIP+4 instead of just ZIP (as it is now). The bill also authorizes a program of grants to support public/private public partnerships to stimulate broadband deployment and adoption at the state level. I’m interested to know what this would mean for projects like UTOPIA. Thoughts?

The Need for Speed: Comcast Plans to Up Speeds, Qwest Putting FTTN on Ice

As a sure sign that the souring economy is causing broadband issues, Qwest is planning to ramp down deployment of their FTTN-based ASDL2+ service. While one of their supplies cites the coming winter weather as the reason for the slow-down, but analysts are reading between the lines that plunging landline subscriptions paired with a slowing economy means rough rides ahead for telcos. AT&T is also seeing some effects of slowing subscriber demand. It’s good news for ISPs, though: the wholesale price of bandwidth continues to drop and consumers are more willing to drop cable TV than high-speed Internet, especially as Comcast continues to raise rates.

Meanwhile, details of Comcast’s new DOCSIS 3.0 deployments is coming to light and, while good news for current subscribers or those switching from DSL, it’s hardly competitive with offerings from UTOPIA. In addition to a 50Mbps/5Mbps tier at $150/mo, Comcast plans to upgrade current subscribers to 12Mbps/2Mbps at $42.95/mo and offer a 22Mbps/5Mbps tier at $62.95/mo to compete with a similar offering from Verizon. Compare that to a 15Mbps/15Mbps plan at $40/mo or 50Mbps/50Mbps for $55/mo from either MSTAR or XMission. Just be thankful you aren’t a SureWest customer. They charge around $192/mo for a 50Mbps connection.

The Real Story Behind Veracity and Nuvont

I had the chance to sit down with someone from Veracity yesterday to get a better understanding of what they do and how they do it. One of the things that came up that is the relationship between Veracity and Nuvont, a spin-off company. I know I had a bit of confusion as to the relationship between the two entities. Now that I have the full story, it’s worth getting it out in the open to clear that air.

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UTOPIA's Potential for Hosted Services

Last week, I had the opportunity to go visit TenX Networks to see what kind of network devices they build and how this could apply to UTOPIA. (Disclosure: they bought me lunch, but nothing fancy.) Their basic premise is to build network appliances using off-the-shelf Linux software to keep costs low while providing a high level of functionality. In short, they have an office full of really cool toys. I got a demonstration of their media server appliance powered by Ubuntu and MythTV (with what appeared to be a lot of useful hacks). We also talked about a SMB appliance that was a router, Asterisk PBX and CRM server all in one. I was impressed with how smoothly the media center performed and when coupled with the high bandwidth UTOPIA offers, there is significant opportunity for new hosted services.

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Broadband Bytes: Monday Edition

FTTH Coming Soon to Manti, Ephraim, Sterling

It’s not just cash-rich incumbent telcos (read: Verizon) that can get in on the FTTH action. Broadband Properties Magazine reported in the August/September issue that Manti Tele Communications Company is replacing its copper with a brand-new FTTH network designed to devlier faster Internet speeds as well as IPTV. The company’s website (which looks like it was designed in 1997, the year the company was formed) is light on details, but I’m hopeful that this is a big step forward for these rural communities.

iProvo Deal Closes: Sorenson Gone, EsNet Takes Their Place

Seems that the rumors were true: Sorenson took a long, hard look at the sale of iProvo to Broadweave and said “no thanks”. Despite this, Broadweave managed to line up alternate funding that appears to be an amalgation of EsNet and some of Broadweave’s existing investors including Fraser Bullock of Sorenson. Broadweave is playing thier hand close and isn’t talking numbers, so I’d be interested to know what the final deal is. After all, if we’re back to talking letters of credit and not money in the bank, we should be quite concerned that these letters are spread a bit thin.

Broadweave also won’t talk numbers. They won’t disclose the number of subscribers they have or the revenues they are receiving beyond vague statements like “the numbers are higher than expected”. While I can appreciate a business’ right to proprietary information, the public financing aspect of the deal means additional public scrutiny is a must. The rumor mill is that both Nuvont and Veracity plan to aggressively pursue new subscribers and many customers who’ve gotten fed up with the dwindling VOD options, flaky program guide and no after-hours NOC have been evaluating switching their provider.

Good luck Broadweave, but it seems that you aren’t totally up to the challenge.

h/t: Capt. Video for posting a link to the Daily Herald story.

Broadband Bytes: Thursday Edition

  • Dish Network has started offering HD and SD content in MPEG4 format. Other providers cable and DirectTV are only providing HD content in MPEG4 format.
  • Qwest is trying to get Comcast taxed as a telco here in Utah.
  • Google says they need more undersea bandwidth and traditional providers can’t provide. So they are building more of their own. From an older article on the same subject “Google has so much cash, it’s now competing head-to-head the world’s biggest telcos.”
  • I wish this study came out when I was still in school. Then I would have had a better excuse for the 2nd phone line for the modem back in the day. Apparently broadband at home helps kids get better grades.

Update: Sorry for the dupe on the Comcast cap thing. I guess I should check the front page before posting.

Comcast Caps to Begin in October, Set at 250GB per Month

BroadbandReports broke it and Comcast confirmed it: starting on October 1, Comcast will institute caps of 250GB per month. It’s beleived that overage fees are off the table for now, a welcome change from the initial plan to charge $1.50 per GB, a markup of around 100 times cost. There’s also a concrete DMCA policy. Anyone getting 4 or more DMCA warning notices in a 12-month period could have their connection terminated (but you were smart enough to use PeerGuardian, right?), but there’s nothing to hint at any kind of stepped-up enforcement.

The upside is that Comcast’s “you’re using too much Internet” policy is now clearly spelled out, though there’s no mention as to what counts or how to see your current usage. A cap of 250GB, while still a cap, isn’t all that bad considering that amounts to downloading about 125 standard-def movies.

The real lesson is that with all of the caps and “network management”, the age of all-you-can-eat Internet is over. It’s not fair to low-use customers to raise prices across the board to subsidize the top end of users and customers aren’t willing to accept vague limits on their previously unlimited Internet access. As long as the policies are clear and there’s a way to verify your own usage, I’m perfectly happy with the Age of Caps.