Monday, September 19, 2016

Relying on legacy incumbents, state government for telecom infrastructure modernization -- That dog don't hunt

Rural residents push for broadband | Local News | After hearing from frustrated residents and community leaders, Sen. Steve Gooch, R-Dahlonega, who co-chairs the committee, sought to reassure service providers. "We need the Windstreams, the AT&Ts, the Comcasts," he said. "We're not running anybody off. We're trying to keep them here, keep their jobs here, but encourage more investment." One proposal is the elimination of a sales tax on telecommunications network equipment. Others have recommended boosting coverage by restoring state funding for local public-private projects and doing more to hold companies accountable when their service is not as advertised.

As they say in the south, that dog don't hunt. The "Windstreams, the AT&Ts, the Comcasts" aren't going to invest in telecom infrastructure to fill in service area gaps in any reasonable timeframe because the ROI is simply too far in the future to justify the investment to their shareholders.

Expecting state government to step up with the billions in needed funding isn't realistic either. A robust, well funded national telecommunications infrastructure initiative is needed.

1 comment:

Anonymous said...

You are right about that. If you cut their taxes t's not an incentive, you are just giving them money. These companies are just not investing in broadband infrastructure. AT&T pretends to but they are mostly connecting to apartment buildings where they already have fiber.

Doug Dawson

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