Category Archives: News

I've heard that a good compromise leaves everyone unhappy. If that's truly the case then the rules for the upcoming 700MHz auction must be the best compromise in the history of telecommunications. Verizon has decided to sue the FCC over the auction requirements as they are particularly unhappy with the open device requirements attached to the airwaves. Even the small fries are ticked off. M2Z Networks has pledged to sue the FCC because their proposal to build a nationwide wireless network without having to purchase the spectrum was rejected by the FCC. Fontline Wireless was pretty cheesed off too, decrying the $4.6B minimum reserve price to bid. With all of this rancor, it'll be a small miracle if the licenses ever get auctioned off.

Even with all of the uncertainty, Google still has it's hat in the ring to try and grab one of those tasty Class C blocks despite publicly stating that they don't have an interest in telecommunications at the moment. It's even spawned the wild rumor that Apple would try and get it on some of the action though analysts strongly doubt this is true. With all of the intense lobbying efforts, it's hard to tell who's doing what in this mess. We do know that several of them are trying to hedge their bets on making 2.1GHz an open band similar to 900MHz and 2.4GHz even though the likelihood that the 700MHz will be cornered is very, very slim.

It's funny how you can better connect the dots when you let news age for a little while and then start talking about it. Vint Cerf, the "godfather of the web" has predicted that TV as we know it will be killed off by the Internet. He posits that because at least 85% of content doesn't need to be watched live, it's therefore an ideal candidate for on-demand systems such as the Internet. We're already witnessing a microcosm of this as TV viewers use TiVos, torrents and TV on DVD to watch television on their own schedule. IBM has already confirmed an exodus from television to the Internet that signals the end of traditional media as we know it.

The Internet, however, might be a victim of its own success. With the proliferation of video options and the move towards HD formats, ABI Research and Cisco Systems are predicting dire consequences if we don't upgrade our infrastructure to be ahead of the curve. The hardest hit systems will be cable operators already hampered by using aging coax for the last mile. Though P2P is being discussed as an option to this bandwidth crunch, users are already severely hampered on their upstream bandwidth thus limiting this as a viable option.

No matter how you slice it, all roads lead back to using high-capacity fiber optic networks. You know, like the one UTOPIA is building. 

No doubt spurred on by terrible speeds, high latency, crowded satellites and sky-high pricing from their existing broadband options, DirecTV is starting to offer BPL service in Cincinnati and Dallas-Forth Worth. The speeds aren't impressive and the pricing isn't going to make an incumbent phone or cable company sweat though it does add another option to the broadband market and leverages a lot of existing infrastructure without expensive FCC licenses for spectrum. Despite this, DirecTV still has deals with Clearwire to use WiMax in some markets and partner with phone companies such as Qwest to sell bundles. I'm going to bet that they'll be shut out by their former partners once the competition starts rolling into town.

Woods Cross joins the fast-growing list of Utah cities looking at joining UTOPIA and is considering paying for a feasibility study to determine if it's worth it to join. In addition to a presentation from David Shaw, legal counsel for UTOPIA, business leaders and residents clamored for joining the project to ease telecommuting and improve business operations. Based on best guesses, the city would have to come up with around $250K to become a pledging city. With five cities all considering membership in the short span of less than 60 days since the moratorium on new members expired, interest in the project has never been higher.

Remember how Comcast would never tell you how much bandwidth you used when they said you were using too much? A combination of insider informants and a company spokesperson has narrowed it down to somewhere between 90GB and 200GB per month. Apparently the limit depends on the market as areas with older and slower networks are subject to more stringent enforcement of the limit. According to the insider, Comcast also has a system to prompt you to buy a higher transfer limit when you get too close to the edge. Why haven't they deployed it? They want someone else to try it out and see what the backlash will be. (Hint: customers will be ticked.)

It's so nice to know that unlimited doesn't mean unlimited. Thank goodness most UTOPIA providers (like Xmission) clearly post their transfer limits before you sign up. 

Farmington's City Council decided last Tuesday to take pledging status off the table and delay a vote on joining UTOPIA until a future meeting. The decision to move from pledging to non-pledging was motivated by risk tolerance; the council just doesn't feel comfortable with being on the hook in the rare instance that UTOPIA can't make the bond payments. The next city council meeting will be held on September 18 though it's not clear if the final UTOPIA vote will be a part of that meeting as the agenda has yet to be posted. Farmington residents, this is the last call for UTOPIA membership!

The woes at Earthlink continue as both San Francisco and Chicago tell the company to pound sand after Earthlink announced that it expects the cities to chip in for the "free" WiFi networks they planned to operate. Based on Earthlink's decision to allow 900 employees to pursue other options compounded by staggering losses, I'd say they don't have the resources in either staff or funding to handle more than the all-but-decided Philadelphia project. Houston's gotten impatient enough to fine the company a cool $5M over missed deadlines.

I can't imagine this bad fortune for one of the nation's older ISPs is causing both glee and caution at Sprint, a company betting the entire farm on the future of WiMax. On the one hand, I'm sure they're glad to be rid of a competitor in several major markets. On the other hand, it serves as a reminder of the fickleness of the wireless market and how getting the signals into buildings is critical. Maybe their just-named Xohm service will navigate these stormy seas with more ableness than Earthlink did.