Connecticut AG wants to force AT&T to serve entire state with IPTV

Now here's a turnabout. Over the past two years, AT&T has lobbied states for laws that allow them to go around local governments and get statewide "video franchises." Looking out for their constituents, most local governments (unlike El Dorado County, California) naturally want advanced broadband telecommunications services including video available for all of their residents. But Ma Bell and other telcos -- as well as the cable companies -- instead want to pick and choose winners and losers when it comes to determining who will get service.

Connecticut isn't one of the two dozen or so states that put a statewide franchise law on the books. Nevertheless State Attorney General Richard Blumenthal worries that AT&T will work with the locals to leave much of the state on the wrong side of the digital divide and has petitioned the state's Department of Public Utility Control urging it to require Ma Bell to get a statewide franchise.

"Because AT&T serves virtually the entire state, the company needs to apply for a statewide license requiring it to eventually provide IPTV (Internet Protocol Television) service to all households, Blumenthal said in a press release. AT&T, which already offers IPTV in a few communities, had wanted to provide the service without state regulation and only in selected areas, according to Blumenthal's office.

Don't let the references to cable or video franchises and IPTV confuse the main issue. This issue isn't about TV or video competition. It's all about broadband buildout and closing the widespread digital divide.

Clearwire is missing market opportunity to fill in broadband black holes

A couple of weeks back, I blogged that the big WiMAX players like Clearwire aren't likely to fill in America's many broadband black holes where neither cable nor telco broadband is available.

Here's more evidence: The Tennessean.com reports today Clearwire is sticking to more populated areas of Nashville. There are more customers to be had there of course but there's also lots of broadband competition from the wireline telco and cable broadband providers. While there are fewer prospective subscribers outside the city limits, Clearwire shouldn't neglect these areas since they face little competition other than satellite Internet, which it can easily outperform from a price/performance standpoint.

Read this lamentation from one prospective Clearwire subscriber who like your blogger is situated on the dark side of the digital divide by only about a mile:

One group of people who may be disappointed with Clearwire is rural residents who don't have access to broadband through AT&T or Comcast. Clearwire is sticking mostly to major population centers in the Nashville area with its service.

George Reynolds hopes Clearwire gets to his house in west Nashville on the Cumberland River.

"Broadband is available on Charlotte (Avenue) and that's one mile from my house,'' he said, adding that he has been trying to get AT&T to give him broadband service for about three years.

AT&T rolls out WiMAX in Alaska -- could it be harbinger of broad-based fixed wireless expansion?

As part of its "commitment to broadband innovation," AT&T announced today it is deploying fixed terrestrial wireless broadband service in Alaska this year, starting in the Juneau area. Throughout the U.S, AT&T says it has deployed 22 fixed terrestrial wireless trials and "limited deployments" in U.S. communities to date, of which eight ended up as "active commercial deployments." According to AT&T's news release:

The new service uses WiMAX wireless technology, which enables delivery of broadband services to homes and small businesses with speeds that are similar to landline technologies such as DSL. With a range of up to several miles from a central tower, WiMAX technology is emerging as an alternative broadband solution for a range of locations where deployment of landline-based technologies is impractical or impossible.

Initial deployments of WiMAX technology in Alaska will be used to provide portable wireless broadband for home and business-based access, enabling users to plug in to the service at multiple home or work locations within the service's range. As mobile WiMAX technology advances, the company will evaluate options to enable additional roaming and mobility service options for customers.

While comparing throughput speeds to DSL, AT&T did not provide actual numbers. The company appears to be pricing the wireless service similarly to DSL, stating in the news release that monthly rates start at $19.95.

This announcement out of Alaska could have implications for the lower 48 states. While apparently the company is still working out the bugs, it appears probable AT&T could ramp up its fixed terrestrial wireless broadband in order to give it another alternative to offer broadband to residential customers. AT&T clearly needs another delivery option to bring broadband to residential and home office customers outside of the limited urban areas where it's deploying its new hybrid fiber and copper U-Verse broadband IPTV (Internet Protocol TV) infrastructure.

Weak DSL signals degrade once they travel more than 14,000 feet from an AT&T central office and the company has reportedly stopped installing additional remote terminals to boost DSL beyond the 14,000 foot limit. That means those who don't already get AT&T's DSL aren't likely to be offered it in the future.

Beyond the 14,000 foot DSL limit, I suspect AT&T is finding there's not as much demand as it would like for its repackaged satellite Internet service, WildBlue. That's hardly surprising given customers are locked into a one year contract for slow throughput, high latency, steep upfront costs and a poor overall value compared to other broadband technologies.

Massachusetts launches bond-funded broadband initiative

The Boston Globe reports today that the Massachusetts Broadband Incentive Plan will be funded by $25 million in general obligation bonds to bring broadband to 32 Bay State communities that lack access to cable or DSL service.

It will be managed by a new division within the Massachusetts Technology Collaborative and is designed to create a new incentive for private industry by underwriting part of the costs of providing service in rural areas. Ultimately, administration officials hope public/private partnerships will be formed to provide service, according to the Globe.

White Spaces prototypes fail initial FCC testing

As reported on this blog some months ago, the Federal Communications Commission has been testing a prototype device developed by the White Spaces Coalition that uses different transmission technology to beam ultra-fast wireless broadband via unused "white spaces" in the TV broadcast spectrum between 44 MHz and 885 MHz. The coalition is comprised of Dell, EarthLink, Google, HP, Intel, Microsoft, and Philips Electronics.

A major objective of the testing is to determine if the prototype would interfere with TV signals and wireless microphones. Two prototypes tested apparently do enough of the time that the FCC told the coalition to go back to the drawing board:

This report determined that the sample prototype White Space Devices submitted to the Commission for initial evaluation do not consistently sense or detect TV broadcast or wireless microphone signals. Our tests also found that the transmitter in the prototype device is capable of causing interference to TV broadcasting and wireless microphones. However, several features that are contemplated as possible options to minimize the interference potential of WSDs, such as dynamic power control and adjustment of power levels based on signal levels in adjacent bands, are not implemented in the prototype devices that were provided. Given these results, further testing of these devices was not deemed appropriate at this time.

FCC Commissioner Copps: 700MHz spectrum auction rules stymie broadband competition

America’s broadband performance leaves a lot to be desired. To me, the culprit is clear: a stultifying lack of competition in the broadband market, which in the words of the
Congressional Research Service is a plain old “cable and telephone . . . duopoly.” A 22 MHz block of 700 MHz spectrum is uniquely suited to provide a broadband alternative, with speeds and prices that beat current DSL and cable modem offerings. Maybe this can happen yet in this spectrum, but by declining to impose a wholesale requirement on the 22 MHz C-block, the Commission misses an important opportunity to bring a robust and badly-needed third broadband pipe into American homes.

Ohio governor issues executive order to expand state broadband network

The order directs the Ohio Broadband Council to coordinate efforts to extend access to the Broadband Ohio Network to every county in Ohio. And the order allows public and private entities to tap into the Broadband Ohio Network – all with a goal of expanding access to high-speed internet service in parts of the state that presently don’t have such service.

“Ohio’s economic future relies on our ability to compete in a high-speed, high-tech global marketplace,” Strickland said. “The Ohio Broadband Council will partner with the public and private sectors to help make sure that every Ohioan has viable access to affordable, high-speed internet service, regardless of where they live, work or learn.”