FCC Ticking Off Everyone in 700MHz Auction Battle

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.

The Internet Will Kill TV, Then Collapse on Itself?

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. 

DirecTV To Offer Broadband Over Power Lines

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 May Authorize UTOPIA Feasibility Study

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.

Comcast Reveals How Much Is Too Much

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. 

Government Competition and Privatization Subcommittee to Meet Sept. 26

The Government Competition and Privatization Subcommittee will be meeting Wednesday, September 26 at 1PM. A discussion on broadband will be held around 2:30PM that will include representatives from UTOPIA and Qwest. Given how stacked the presentation was last time around, it's critically important that as many of us as possible show up to use the public comments period to give our views on UTOPIA and municipal broadband policy. Like last time, I'll be liveblogging the event.

The committee is also scheduled to have a meeting on Monday, October 15 at 9AM. Though no agenda has yet been posted, I'm going to bet dollars to donuts that it includes more discussions about UTOPIA.

Washington City to Consider Non-Pledging Status

According to recent changes to UTOPIA's web site, Washington City is considering a resolution to join UTOPIA as a non-pledging member. The city council will discuss and possibly vote on the measure on September 26th. If you live in Washington City or know someone who does, now is the time to contact your city council members to urge them to pass the resolution.

Farmington Nixes Pledging Status, Tables a Vote

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!

Bad Telco! A Round-Up of Ways the Phone Company Gives Us the Raw Deal

There isn't too much cohesive about these stories other than showing how badly AT&T and Verizon treat their customers.

For starters, why don't we talk about SBC's actions in South Africa? They were part of a consortium granted exclusive rights to build the nation's telecommunications infrastructure after the end of apartheid. What ended up happening, however, is that they took all of the money and delivered none of the infrastructure. Now SBC is a big chunk of the new AT&T conglomerate. Hmmm… sounds familiar to our own $200B rip-off, doesn't it?

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