Wednesday, June 20, 2007

Ma Bell frustrated with doubts over U-Verse

AT&T is apparently growing frustrated with analyst and media doubts that its hybrid fiber to the node (FTTN) and bonded copper pair over last mile "Project Lightspeed/U-Verse" effort can competitively deliver Internet protocol TV (IPTV) programming and HDTV in particular.

Ernie Carey, vice president of AT&T's Advanced Network Technologies, told Reuters at the NXTcomm communications conference in Chicago that AT&T doesn't suffer from bandwidth inadequacy. Instead, Carey spun into a different issue: hiring enough techs to install its IPTV infrastructure.

"Everyone in the media wants to make the bandwidth a bigger issue than I believe it is," he said. "I would tell you my belief is the biggest challenge right now is finding ways to go faster in the build."

Based on AT&T's failed effort to speed deployment of Digital Subscriber Line (DSL) broadband earlier in the decade with its so-called "Project Pronto" and its continued inability to provide broadband to large portions of its service area years later, I think the media and the pundits have good reason to suspect Ma Bell has hatched another flight challenged turkey in U-Verse.

FCC chair says USF funding should subsidize broadband

CHICAGO -(Dow Jones)- Federal Communications Commission Chairman Kevin Martin on Tuesday specifically endorsed the use of money in the Universal Service Fund to subsidize broadband deployment in rural parts of the U.S.

The comments from Martin, who was speaking via a video link at the NXTcom telecommunications conference in Chicago, mark the first time he has explicitly said that the fund should be used to speed up the deployment of broadband service.

Feds betting big on WiMAX

Forbes magazine is reporting today that the Federal Communications Commission and some in Congress are betting heavily on WiMAX technology to provide a wireless broadband alternative to the telco/cable duopoly.

They aren't the only ones. Forbes reports Yahoo!, Google, eBay, Intel , Skype and satellite TV providers EchoStar and DirectTV also want a so-called broadband "third pipe" installed to break the telco/cable choke hold whose incomplete wireline systems fail to bridge the "last mile" to bring broadband to far too many residences.

The FCC wants to auction off television broadcast frequencies currently used by TV channels 52 to 69 that will become available in 2009 when TV broadcasters are required by the FCC to convert from analog to digital transmission.

Forbes reports there are concerns that telcos like AT&T and Verizon could buy up the frequencies not to use them, but to keep them off the market in order to protect their wireline-based systems, prompting consumer groups to advocate for auction rules that would disallow the practice.

The FCC is also reviewing a wireless broadband concept being advanced by a coalition comprised of Dell, EarthLink, Google, HP, Intel, Microsoft, and Philips Electronics. A prototype device has been submitted for FCC testing by the White Space Coalition that uses different transmission technology to beam ultra-fast wireless broadband via unused "white spaces" in the current analog TV broadcast spectrum. It could come on line as early as February 2009 if approved.

The next year or so will likely determine if wireless broadband can become a viable "third pipe" alternative beyond the current coffee shop and airport Wi-Fi connections and which -- if any -- of these wide area wireless broadband technologies will provide that sought after third pipe.

Monday, June 18, 2007

AT&T sells broadband at $10 a month while others go begging

I don't know which is more pathetic: the story or the headline AT&T Lures Dialup Holdouts with Discount DSL Service.

The item illustrates how blatantly distorted AT&T's broadband market strategy has become where too many AT&T subscribers can't get wireline-based broadband at any price -- even $50 a month -- let alone at a "lifeline" rate of 10 bucks a month.

And as for "broadband holdouts," the real holdout is Ma Bell herself and her intransigent refusal to deploy broadband to many neighborhoods where customers are left without a choice for wireline broadband and left twisting in the wind on the dark side of the digital divide.

Seems to me that it's time for new management at AT&T that instead of turning a blind eye to unserved markets looks for ways of profitably serving them. Selling DSL at $10 a month while leaving vast areas without wireline-based broadband simply doesn't make sense.

Clearwire in WiMAX alliance with satellite TV providers

This deal looks at bit sketchy at first glance. On one hand, it makes some sense inasmuch as many satellite TV subscribers live in areas where over the air TV broadcast reception is poor and there's no wireline broadband infrastructure from the telco/cable duopoly.

Many of these folks would likely prefer a fixed terrestrial wireless option that provides broadband faster and cheaper than satellite ISPs such as WildBlue and HughesNet.

On the other hand, however, there are few if any proven WiMAX deployments in these areas that have an established track record. I asked Clearwire how its service would overcome rugged terrain and tall trees which are often found in areas that lack wireline broadband. Tellingly, the company demurred, declining to respond to the inquiry.

Friday, June 15, 2007

Ma Bell forsakes existing customers, deploys fiber for new ones

AT&T doesn't give a rat's patootie for its existing customer base, large numbers of which have no wireline broadband options at all.

New customers however get first class treatment and state of the art fiber optic connections to the Internet.

Way to go, Ma Bell! If you don't want your existing customer base and thus don't want to invest in it, why don't you sell it off instead of letting it die on the copper vine?