Author Archives: John S. Quarterman

Whatevermerit

qualls1.jpg
Photograph by
Martynka Wawrzyniak
Ashley Qualls, aged 17, builds a myspace site, Whateverlife, earns $70,000/month, quits school, buys house, refuses $1.5 million buy out.
Her MySpace page layouts are available for the bargain price of…nothing. They’re free for the taking. Her only significant source of revenue so far is advertising.

— Girl Power, by Chuck Salter, Fast Company, Issue 118, September 2007, Page 104

Ads by ValueClick Media, not DoubleClick.

Now imagine her doing this on a properly commoditized and monetized broadcast content duopoly-controled Internet. She wouldn’t be able to get approval, and if she did, she wouldn’t be able to afford the broadcast fees.

Internet freedom? Whatever!

-jsq

PS: Seen on SocialDailyNews.com.

Copper-Based Competitors

highlander.jpg The chutzpah:
Ed Shakin, a lawyer for Verizon, said network-sharing requirements are no longer needed in certain cities now that cable companies and other competitors have rolled out Internet and phone service. “What competitors want are artificially low prices,” he said. “It comes down to a fight about price, not availability.”

— Telecom Changes Put Competition on the Line, By Kim Hart, Washington Post Staff Writer, Thursday, September 6, 2007; Page D01

So Verizon is reducing the number of competitors, but as long as there is at least one, that’s enough, they say. Apparently Verizon thinks its competition is the Highlander: There Can Be Only One.

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Merger Mania

cleland.jpg Interesting post here on Scott Cleland’s Percursor Blog:
A major reason why the stakes are so high in the FTC’s review of the Google-DoubleClick merger is how remarkably fast online advertising is overtaking other advertising industry segments that have been around for decades.

— Online ad trends show the huge stakes in the Google-Doubleclick merger, by Scott Cleland, Precursor Blog, Wed, 2007-09-05 17:38.

Interesting especially in that I don’t recall him having any similar trepidations about the AT&T-Bellsouth merger.

He quotes eMarketer as saying that:

a recent report from equity firm Veronis Suhler Stevenson predicts that the Internet will displace television as the No. 1 ad medium by 2011.” [bold added]
Cleland did not provide a link to eMarketer or to VSS.

A little googling finds the VSS press release about its report, which actually says:

Internet advertising is expected to become the largest ad segment in 2011, surpassing newspapers.

— New Veronis Suhler Stevenson Forecast: Shift to Alternative Media Strategies Will Drive U.S. Communications Spending Growth in 2007-2011 Period; Consumer Media Usage Expected to Level Off Going Forward, Press Release, Veronis Suhler Stevenson, 7 Aug 2007

VSS says newspapers: not television. Looks like somebody had television on the brain. Continue reading →

Intended vs. Legal

richard-m-nixon-sized.jpg Shortly after a high level U.S. official acknowledged that telephone companies have helped the government in illegal spying, this comes out:
WASHINGTON — The Bush administration wants the power to grant legal immunity to telecommunications companies that are slapped with privacy suits for cooperating with the White House’s controversial warrantless eavesdropping program.

The authority would effectively shut down dozens of lawsuits filed against telecommunications companies accused of helping set up the program.

The vaguely worded proposal would shield any person who allegedly provided information, infrastructure or “any other form of assistance” to the intelligence agencies after the Sept. 11, 2001 terror attacks. It covers any classified communications activity intended to protect the country from terrorism.

— Bush Seeks Legal Immunity for Telecoms, By KATHERINE SHRADER, Associated Press Writer, August 31, 2007 – 5:02 p.m. EDT

Let’s let President Nixon sum it up:

Well, when the president does it that means that it is not illegal.

— Richard M. Nixon interviewed by David Frost, 19 May 1977.

Yet the same administration can’t be proactive about effective regulation of first-mile Internet access for effective competition.

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The Amazon Channel

packages.gif It’s all very well to talk about net neutrality or Internet freedom and how it affects 700Mhz spectrum sales or freedom of the press. But what does all this have to do with the average Internet user?

Suppose the telcos and cablecos get everything they want.

To buy a BBQ grill on eBay, you’ll have to pay for the eBay channel. This is above whatever you pay the seller for the grill or eBay for your membership. You’ll have to pay your local Internet access company just to let you get to eBay to participate in the auction. Oh, maybe you’ll be able to get there anyway, but your access may be so slow that you’ll pay for the eBay channel out of frustration.

If you want to buy a book from Amazon, you’ll have to pay for the Amazon channel. For search you’ll need the Yahoo channel or the ask.com channel or the google channel. Assuming your favorite search engine is even offered as a channel. Many smaller services probably won’t be.

Maybe it won’t be quite this bad. Continue reading →

Broadband Speed by Country

broadbandspeedchart.jpg Letting a picture tell the story of how Japan, Korea, France, Poland, Portugal, and other countries have faster broadband than the U.S., here’s a graphical illustration of average broadband speeds per country. Finland, Sweden, Norway, and Iceland I would expect, since they’ve long been fast. But Poland?

There seem to be two tiers. Japan and Korea are the top tier. Then Finland, Sweden, and France. Then a third tier starting with the Netherlands. The U.S. is either in that third tier or in a fourth tier, depending on how you look at it.

The source report, Assessing Broadband in America: OECD and ITIF Broadband Rankings, By Daniel K. Correa, Information Technology and Innovation Foundation, April 2007, also examines broadband uptake, in which the U.S. is also fifteenth in these OECD rankings.

Maybe it’s time for a change. A change in public policy and the addition of competition.

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Warp Speed From Behind

JBrbop02.jpg As we’ve mentioned before Japan has Internet connections much faster than those in the U.S. This point is getting more mainstream media play:
Broadband service here is eight to 30 times as fast as in the United States — and considerably cheaper. Japan has the world’s fastest Internet connections, delivering more data at a lower cost than anywhere else, recent studies show.

Accelerating broadband speed in this country — as well as in South Korea and much of Europe — is pushing open doors to Internet innovation that are likely to remain closed for years to come in much of the United States.

The speed advantage allows the Japanese to watch broadcast-quality, full-screen television over the Internet, an experience that mocks the grainy, wallet-size images Americans endure.

— Japan’s Warp-Speed Ride to Internet Future, By Blaine Harden, Washington Post Foreign Service, Wednesday, August 29, 2007; Page A01

So is it just for video? If so, maybe we’d better let the telcos have their way. Continue reading →

Facebook as PicturePhone

Phone1.jpg Jeff Pulver has an interesting point that orty years later it’s an Internet company that delivers what a telco long ago promised:
During the past couple of weeks I have come to appreciate just how simple and easy it has become to send Video Messages to friends on Facebook. While the concept of a video phone dates back to the work of AT&T and their demonstrations at the 1964 World’s Fair, it has taken the advent of the Video application on Facebook and it’s general ease of use to get me to take the time and use it as part of my daily (Internet) life. While I have discovered how the Facebook video application can be used in various ways, my favorite is to send a personal video message to a friend.

— My Favorite Facebook Application: Video, Jeff Pulver, Jeff Pulver blog, August 27, 2007

While a telco did invent or at least publicize the videophone, forty years later it’s an Internet application that delivers something like it on a mass scale. And maybe one reason the Facebook version of it is popular is that it isn’t quite like what AT&T predicted: it isn’t interactive television. Experience indicates people don’t necessarily want to be seen live any old time regardless of their state of dress or coffee.

And more obviously, there’s no fancy equipment to buy, so the worldwide clientele is already there on the Internet. It’s the difference between distributed participation and being sold a centralized service.

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if we just had phones and Internet service

32099661.jpg If you’re stuck in a desert in the summer in a dead-end war, what do you want? Water, women, wine? Food and a ticket out? For some, the first thing they want is:
“There are two different wars,” said Staff Sgt. Donald Richard Harris, comparing his soldiers’ views with those of commanders in distant bases. “It’s a dead-end process, it seems like.”

Asked to rank morale in his unit, Harris gave it a 4 on a 10-point scale. “Look at these guys. This is their downtime,” he said, as young soldiers around him silently cleaned dust from their rifles at a battle position south of the capital. A fiery wind blasted through the small base, an abandoned home surrounded by sandbags and razor wire.

“It sounds selfish, but if we just had phones and Internet service,” said Staff Sgt. Clark Merlin, his voice trailing off.

— GIs’ morale dips as Iraq war drags on, By Tina Susman, Los Angeles Times Staff Writer, August 25, 2007

This is perhaps an indication of how important Internet service is these days. With it, these troops can communicate with their peers, family, and others, not to mention get news on whatever they want. Without it, they’re isolated in a howling desert.

Back home, without the Internet, we’re isolated in the wastelands of TV.

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Comcast’s Secret Bandwidth Limits

salmon.jpg Just when you think it’s all telcos doing things dire for Internet freedom:
Comcast has warned broadband Internet customers across the country to curb their downloading or wind up on the curb.

The company has a bandwidth limitation that, if broken, can result in a 12-month suspension of service. The problem, according to customer complaints, is that the telecom giant refuses to reveal how much downloading is too much.

The company, which a few years ago advertised the service as “unlimited” has an “acceptable use policy” which enforces the invisible download limit.

The 23-part policy, states that it is a breach of contract to generate “levels of traffic sufficient to impede others’ ability to send or retrieve information.” But nowhere does it detail what levels of traffic will impede others.

—Comcast Cuts Off Heavy Internet Users, Customers complain bandwidth limits are secret, By Joseph S. Enoch ConsumerAffairs.Com, August 24, 2007

And you have to wonder how long that AUP said that while Comcast was advertising “unlimited”.

This part is especially enlightening:

Douglas said the company shuts off people’s Internet if it affects the performance of their neighbors because often many people will share a connection on one data pipe.
So instead of fixing their bad topology, they penalize customers for using it.

Well, it’s a free market, right? Comcast users who don’t like it can switch to, er, if they’re lucky and have any choice at all, probably to whichever of Verizon or AT&T happens to be in their area. There couldn’t be any problems with those providers, could there?

Meanwhile, if you want to follow this Comcast controversy, here’s the Comcast Broadband dispute blog that one of the cast-offs started, presumably using his new DSL connection.It’s kind of like salmon organizing against a dam upstream.

-jsq