Category Archives: Broadband

Qwest Case and National Competitiveness

20qwest.190.jpg This case will forever be murky if retroactive telecom immunity for participating in illegal wiretapping passes, yet it has already thrown some light on some of the murkiest areas of government-corporate interaction.

Former Qwest CEO Joseph P. Nacchio, who has been convicted of insider trading for selling stock while Qwest’s stock price was tanking, claims he had reason to believe Qwest would get lucrative government contracts, and that Qwest was denied them because he refused to participate in an illegal program. When this happened is very interesting:

The phone company Qwest Communications refused a proposal from the National Security Agency that the company’s lawyers considered illegal in February 2001, nearly seven months before the terrorist attacks on Sept. 11, the former head of the company contends in newly unsealed court filings.

Former Phone Chief Says Spy Agency Sought Surveillance Help Before 9/11, By Scott Shane, October 14, 2007

So if Nacchio is right, massive wiretapping by the current U.S. administration didn’t start as part of the “War on Terror”; it must have started for some other reason.

The best the prosecution has been able to come up with is: Continue reading

Japanese Broadband Growth: FTTH Pulls Up

jpgrowth.gif Japanese broadband uptake as of March 2007:
14.013 millionaDSL
8.803 millionFTTH
3.609 millionCable
11 thousandWireless
More impressive than raw numbers is the graph, which shows aDSL growing rapidly from 2001 to 2003, after which FTTH suddenly becomes the new growth broadband connection.

As of March 2007, merely 95% of all Japanese households had broadband, and 84% had ultra-highspeed broadband. Japanese government goals for 2010 are 100% and 90%, respectively. Ultra-highspeed seems to be defined as both up and down over 30Mbps.

Until now, FTTH has been the mainstream in terms of ultra-highspeed broadband, with upload and download speeds of over 30Mbps, but other wired and wireless technologies are aiming for technologies that will match if not overtake FTTH, and there will be a need for ongoing developments in broadband technology in terms of higher speed and larger volume to meet user needs.

Study Group Report: Moving towards Establishing a Usage Environment for Next-Generation Broadband Technology, Ministry of Internal Affairs and Communications (MIC), MIC Communications News, Vol. 18, No.13, 12 October 2007

Higher speed services in testing now include speeds faster than 1 Gbps, which would be around 300 times faster than what passes for broadband in the U.S. Continue reading

FON: Cringely to Spain to Britain to U.S.?

logofon.png Cringely claims credit for wireless craze:
Several years ago I wrote a column describing a system I had thought up for sharing Internet hotspots that I called WhyFi. Among the readers of that column were some entrepreneurs in Spain who went on to start the hotspot sharing service called FON, which now has more than 190,000 participating hotspots. Those Spaniards have been quite generous in attributing some of their inspiration to my column. And now this week FON signed a deal with British Telecom that promises to bring tens of thousands more FON hotspots to the UK and beyond. This isn’t FON’s first deal with a big broadband ISP — they already have contracts with Speakeasy and Time Warner Cable in the U.S. among others — but it is one of the biggest and points to an important transformation taking place in the way people communicate.

You Can’t Get There From Here: The myth of bandwidth scarcity and can Team Cringely really make it to the Moon? By Robert X. Cringely, Pulpit, PBS, October 5, 2007

Much like really fast broadband in Japan, FON is an American idea that people in another country adopted and ran with. Continue reading

Os Invasores: Brazilian Malware Education Videos

img-video02.png At the Anti-Phishing Working Group (APWG) meeting in Pittsburgh, one common theme was that people still fall for scams like phishing, and have little comprehension of the various forms of malware that phishing uses.

The Brazilian Computer Emergency Reponse Team, CERT.br, has one possible solution: animated videos from antispam.br. So far they’ve got a pair. Navegar e Preciso explains how the Internet works, and goes as far as firewalls. Os Invasores explains viruses, trojan horses, worms, bots, and spyware (keylogger and screenlogger). Both videos are in Portuguese, but it’s pretty easy to follow what’s going on. Spanish translations are already in progress, and other languages will probably follow.

A virus looks like a little purple crab with yellow eyese and welding torch. A worm has google eyes and a long cable-connector tail. A bot looks a bit like a worm, but with shady Doonesbury eyes, a mechanical-looking tail, and in the foreground in hand with a toy remote control. I wonder how long before somebody makes mass market toys out of these characters?

Unfortunately, I couldn’t watch these videos in Pittsburgh, because the hotel Internet “high speed” connection was so slow. Ironic, isn’t it? The most innovative approach to user education I’ve seen lately comes from Brazil, and back in the U.S. of A. there’s difficulty finding fast enough bandwidth to watch it. At the moment I’m elsewhere on a cable connection, which works, although the larger version of Os Invasores (22.4Mb) takes several minutes to get here.

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Faster Speeds Enable More Applications, Competencies, and Participation

appspeed.jpg The figure shows new applications becoming possible as speeds increase, starting with electronic mail at the lowest speeds, through VoIP, also at a pretty low speed, and on up through multi-player games, video on demand, virtual reality, and telepresence. A few big ones seem to be missing, such as file transfer and the world wide web, but maybe those were available at too low speeds to mention. This point of speed enabling new applications is important, but even more so is what people do with those applications.

As Sharon Strover says, perhaps we should frame the discussion more in terms of competencies, rather than speeds. Or, as IIA says:

Business use of video conferencing is expected to increase as rising fuel prices, business continuity planning for possible avian flu pandemic or terrorist attack, environmental concerns and the provision of greater work/life balance for employees, begin to build pressure for workforce decentralisation. The Australian Telework Advisory Committee in its final report also recognised the productivity benefits that teleworking can deliver to business.11 These factors will see businesses require more broadband capacity and performance.

Overall, we anticipate that users will demand a mix of simultaneous or near simultaneous services to be accessible. As a guide, we would expect access services to be able to support concurrent uses of some or all of the following VoIP, gaming, multichannel streaming and video on demand (including HDTV quality), music, legitimate P2P file sharing, and browsing. The figure below illustrates the individual bandwidth requirements for a range of services.

2010 National Broadband Targets: Maintaining Australia’s Competitiveness, p. 10-11, Internet Industry Association, 31 July 2006

Notice that many of these applications are participatory, and more intensely vivid methods of participations such as telepresence become available at higher speeds. However, electronic mail (one-to-one communication), mailing lists (one-to-many) and USENET newsgroups (many-to-many) were participatory at speeds most users would sniff at these days. Yet it takes higher speeds to do graphically-oriented multi-user roleplaying games such as World of Warcraft. Such games have hordes of paying users, especially in countries such as Korea with high access speeds. Participation breeds revenue, which fuels speed. Business and recreation aren’t the only uses of participation. Continue reading

Net Neutrality Won’t be Fixed by Anti-Trust: B. Cherry

CherryTPRC2007p13.gif At TPRC Sunday, Barbara Cherry walked through the evolution of bodies of law in the U.S., and made some fascinating observations, including:
  • Net neutrality is a manifestation of moving from a Title II industry-specific business legal regime under the Communications Act of 1934 to a Title II-based regime and greater reliance on a general business regime of antitrust and consumer protection laws, as the FCC did in August 2005 for wireline broadband access service to the Internet and in 2002 for cable modem access service.
  • Simply mMoving among traditional and deregulatory legal regimes for transportation carriers does did not strip common carriage status; it merely changesd the legal overlay that enforcesd it.
  • FCC stripping broadband of common carriage was a radical departure: nothing classified as common carrier has ever been declassified before.
  • Anti-trust doesn’t automatically cover problems from previously addressed in the Title II industry-specific regime when a business is moved to the Title II general business regime. Anti-trust needs modification to do this.
  • Liability is also different between regimes. Without tariffs some legal protections for limited liability constraints are gone, and common carriers are now potentially fully liable for damages. The final filed rate doctrine should have no applicability to a detariffed world.
The above is, I think, a reasonably close paraphrase of some of her points.

I infer from this that the economists and politicians and telco and cableco executives who say that we shouldn’t regulate because we don’t know what will happen and anti-trust will catch problems if they occur are not taking into account that anti-trust doesn’t automatically apply to or address problems in the new legal regime into which broadband has been thrust.

In other words, people see things in the context of what they know, and economists don’t usually know about legal evolution.

Telco and cableco executives, on the other hand, may well have business and political reasons for claiming there’s no need for regulation, whether or not they know that existing anti-trust law is inadequate. doesn’t apply.

You can’t have markets without some form of property rights of contract law. There is also basic legal infrastructure you need for communication infrastructure.

I see little or no understanding of these points in FCC, FTC, or Congress.

Prof. Cherry’s whole paper is well worth reading: Consumer Sovereignty: Redrawing the Boundaries Between Industry-Specific and General Business Legal Regimes for Telecommunications and Broadband Access Services, by Barbara A. Cherry, TPRC, 30 Sep 2007

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PS: Markup for increased accuracy kindly supplied by Prof. Cherry.

Benton, Universal Service, TPRC, Social Contract

bentonfoundation.png Many good papers on aspects of universal service at the Benton Universal Service Project:
As Congress and the FCC put universal service reform at the top of its telecom policy agenda, the Benton Foundation is supporting a series of papers advancing a new vision for Universal Service — for making broadband as universal as telephone service is today and a pathway for retaking the lead as a broadband leader. This project outlines the policy rationale, the pathway forward, and the 12 key steps for advancing universal broadband and modernizing the universal service program for the information age.
Many of the authors of the papers are on a panel this afternoon at TPRC, including topicssuch as
The social contract implicit in telephony universal service versus the social contract implicit in broadband universal service.
Hm, maybe Verizon could learn from that one?

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Back to the ITU Future

itu.jpg I should have expected the International Telecommunications Union (ITU) to be involved in this:
Another document came out last week that ties this all together. It’s from the ITU, and it’s called “Trends in Telecommunication Reform 2007: The Road to Next-Generation Networks (NGN).”

The ITU defines “NGN” as a network that provides quality-of-service-enabled transport technologies. The idea is that packet transport will be “enriched with Multi Protocol Label Switching (MPLS) to ensure Quality of Service (QoS).”

Translation, as far as I can tell: packet transport becomes the same as circuit-switched transport. Prioritization is controlled; it’s a network optimized on billing.

Tying things together, by Susan Crawford, Susan Crawford blog, Mon 10 Sep 2007 08:05 PM ED

This takes us back to the bad old days when national telephone companies sold you data service by the byte, through their preferred protocol, X.25. The advantage of circuit switching was supposed to be fully provisioned copper wires or other resources all the way through between two parties. The disadvantages were that you sometimes couldn’t get a connection and the high price, which got even higher between countries. It seems the telcos have settled on MPLS as their modern equivalent of X.25.

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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