Opinion Piece in the Daily Herald

This opinion piece is adapted from my more in-depth analysis of the situation with iProvo and was published in today's Daily Herald.

I had the opportunity to attend the inaugural meeting of the iProvo Review Committee and walked away with a significant amount of new data including copies of the reports from CCG Consulting and Franklin Court Partners. After digesting where the network is and where it is going, I can come to only one conclusion: iProvo is a valuable city asset with the potential to save city departments and residents millions of dollars every year.

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BREAKING: Orem Approves New UTOPIA Bonds By Unanimous Vote

After almost 2 hours of discussion and questions, the Orem City Council voted 6-0 to approve the new UTOPIA bonds and move forward with the new plan for the network. This leaves Murray as the last city to vote on the issue and all signs there point to yes. With only Payson refusing to sign off, this means that the new bonds will likely go through as originally envisioned and the RUS cities could be on the network in as little as 8 weeks after the financing comes through.

BREAKING: Brigham City Approves New UTOPIA Bonds by 4-1 Vote

Less than 2 hours ago, Brigham City voted in favor of the new UTOPIA bonds with Ruth Jensen casting the lone dissenting vote. They made their vote conditional upon approval by the remaining two pledging member cities, Orem and Murray, in a move similar to Centerville. With this vote, UTOPIA moves one step closer to securing the new financing and being able to move forward with its plans to continue construction in the RUS cities.

BREAKING: Centerville Says Yes by 3-2 Vote

Just moments ago, Centerville's City Council voted 3-2 to approve the new UTOPIA bonds, coming down to a "lesser of two evils" yes vote from Council Member Justin Allen, the swing vote on the council. The vote comes with conditions that Centerville reserves the right to reconsider based on how the remaining three cities vote, that UTOPIA find new executives and that UTOPIA present all contracts to the board before moving forward. All amendments were proposed by Paul Cutler, member of the Council and UTOPIA's board.

This now leaves only three cities, Brigham City, Orem and Murray, to cast votes on the issue. I encourage anyone in favor of UTOPIA to contact the council members to voice support leading up to these meetings. 

BREAKING: Murray Tables Vote Until May 5

The Murray Municipal Council voted 5-0 to table the final vote on the UTOPIA bonds until Monday May 5 at 6:30PM. The feeling is that they had a lot of information to process and needed additional time to come to a final decision. The audience was split pretty evenly between supporters and opponents and Mayor Snarr made an impassioned speech on the necessity of this infrastructure. My gut feeling is that the council will move to approve the bonds as the best option available.

Overpriced and Anti-Competitive: The Dark Side of Qwest's Fiber

Much has been made of Qwest's announcement that they're rolling out their new FTTN network in Utah, but the media has missed some critical points regarding the dark side of Qwest's plans.

The first jaw-dropper is the sticker shock: $105/mo for 20Mbps/896Kbps DSL or $52/mo for 12Mbps/896Kbps DSL. Interestingly enough, these services are only initially available in parts of Draper, Salt Lake City and East Millcreek despite their claims that they are pushing hard to roll out access in UTOPIA cities and underserved areas like Woods Cross. The closest comparable service is a 30Mbps/30Mbps package from MSTAR running $50/mo. Not only is it faster than either of Qwest's planned DSL offerings, it beats both on price. When looking at bundles with phone service, Qwest will clock in at a budget-busting $146/mo for the top-tier DSL speed and unlimited long distance while MSTAR sips from your wallet at $74/mo, almost half that. While must is being made of UTOPIA's new installation fees, the savings pay for it after just 14 months with the Internet/phone bundle. This is a huge pricing differential that consumers must be made aware of.

The real scandal is what this will do for local loop competition. AT&T is building a network similar to Qwest and based on the same FTTN technology. Because it's fiber optics and not the old copper plant, they are no longer required to line-share with other providers. Qwest is doing the exact same thing. There will be no XMission, no MSTAR, no Infowest for your DSL provider in these areas; Qwest will be the sole retailer. Expect a similar picture when it comes to your phone service. Seem like paying $24M to kick out the competition was a steal for the incumbent.

This kind of market consolidation is bad news for Utah consumers.

BREAKING: Layton Approves New Bonds By 3-2 Vote

After almost 4 hours of public comment, the Layton city council approved the resolution authorizing the new UTOPIA bonds by a 1-vote margin. This was a battleground meeting, too: Qwest had the room stuffed with employees and sent Jerry Fenn, President of Qwest for Utah while the UTA sent their point man, Royce Van Tassell, to stump for them. The public testimony was about as split as the council vote with a number of residents expressing frustration at both incumbent providers. My favorite part? When I got to spell out in excruciating detail the trail of broken promises and outright lies from both Qwest and Comcast. Those watching him said that Jerry Fenn looked very uncomfortable as I spelled out their $1.4B Telco Act of '96 fraud and their plans to use the FTTN upgrades to shut out competing DSL and phone retailers.

I'll be sure to post more when I find out how the votes in Brigham City and Perry went. 

XMission Now Offering VoIP on UTOPIA

Watch your back, Qwest: XMission is getting in on the booming VoIP market. At $35/mo, it's comparable in price to the similar digital phone service from Comcast but without the poor customer service; the service is also a substantial discount compared to a similar offering from Qwest. It will also include a lot of advanced features, such as selective call forwarding and selective call blocking, traditionally only seen through services like GrandCentral. From the sounds of things, the service also supports using SIP, though it does not currently have support for fax machines.

Given XMission's history of technical excellence and solid product offerings, it will be a major boon to have them as a phone provider on UTOPIA.

UTOPIA Rebonding: Midvale, Lindon, Tremonton, West Valley All Say Yea

The news is out: four of the seven cities approved the new UTOPIA bonds at city council meetings last night while 3 city councils opted to delay their decision. Orem will meet again on May 2 to further discuss the matter and Centerville delayed their final decision until April 29. While Payson has been reported as rejecting the bond, their vote was 4-1 in favor of not voting on it last night. An official from Midvale says that Payson plans to discuss the matter again on May 2, though it may not be a public meeting. Here's the tally so far:

  • Centerville: Tabled until April 29
  • Lindon: Voted in favor
  • Midvale: Voted in favor
  • Orem: Tabled until May 2
  • Payson: Tabled until May 2
  • Tremonton: Voted in favor
  • West Valley City: Voted in favor

UPDATE (4/23/2008 11:32AM) : Here's some more coverage from the Daily Herald.