IIA Report: Time To Begin Full IP Transition - 2013-10-08 14:53:14 | Broadcasting & Cable: Only 5% of U.S. households rely solely on traditional home phones and that means the current regulatory framework is lagging the marketplace and siphoning off investment from new infrastructure.
That is according to a just-released report from the Internet Innovation Alliance, a broadband adoption and deployment advocacy group whose 175 members include AT&T and fiber-maker Corning.
The report, from analyst Anna-Maria Kovacks, finds a "plethora of choices" for voice, video and data including from wireless devices, cell phones, wired Internet VoIP and Internet applications (Skype), and that 99% of communications traffic is now IP-delivered. She said that despite the speed differentials between wired and wireless — wired is faster — wireless was a legitimate competitor and could deliver even a competitive video service.
From the end users perspective, she said, it would be possible to make them happy with LTE as well as fixed wired broadband.
The legacy telcos are engaged in a disingenuous circular argument. Their business models don't allow them to revamp their legacy copper cable plants -- over which they offer only outdated dialup Internet access for many premises -- to fiber to the premise (FTTP). Oddly, however, they wonder why they remain subject to a regulatory scheme designed for POTS (Plain Old Telephone Service) delivered over Public Switched Telephone Networks (PSTN). The answer is pretty self evident. They only have to look at their own networks and service territories for the answer. If they deployed FTTP networks to all of their customers, then their question would be relevant.
As for mobile wireless, it is not a substitute for premise service (can you spell M-O-B-I-L-E?) since it can't offer sufficient bandwidth capacity to serve various IP devices in the home ranging from video, voice service and personal devices like tablets. It comes with bandwidth caps for good reason since compared to FTTP, mobile wireless can't even come close in carrying capacity.