Exploring the impact of broadband and technology on our lives, our businesses, and our communities.

FCC may regulate VoIP

This story says the FCC is interested in regulating VoIP [link no longer available].

FCC Chairman Powell has a point--if the Feds do nothing, some states will certainly step in and try to control the new service and/or try to tax it, leading to only one possible outcome--a mess. The states can't possibly regulate VoIP, because it's not a place-based service. Companies like Vonage and AT&T don't have to any equipment located anywhere in a state to sell VoIP service to residents, and so the notion that a state should be trying to control an out of state company is silly. Nonetheless, some states will try.

According the article, Powell is a big fan of VoIP, and wants to see it succeed. Good. If the FCC uses a light hand here and keeps the states out of it, that's entirely appropriate.

Broadband Over Powerlines (BPL) gets the green light

BPL has the green light from the FCC. The NewsFactor has an article that goes into more detail. I have to agree with the conclusions the author makes--BPL is not likely to be a major factor for rural communities. Like DSL and cable modems, you have to have a critical mass of customers to justify the expense of the equipment. And it is not significantly less expensive to install than DSL or cable, so it won't have a big price advantage.

It may make a difference in some communities, but communities will have to continue to do the hard work of market creation through content and service offerings via a community network project, and ongoing training and education programs.

Like DSL and cable, BPL is another technology that potentially lets a single public or private company capture the entire broadband marketplace (unless the community makes some transport layer infrastructure investments to level the playing field). Once a single company has captured the marketplace, the community's economic future is now at the mercy of that company. Is that what you want?

Voting machines problems--already

As many had predicted (including me), the electronic voting systems are likely to be troublesome, if not downright threats to our country itself.

It is almost unbelievable, but some electronic voting systems in Florida failed within the first hours of use. So much for vendor claims of reliability.

Even more alarming, some of the systems apparently require telecom links back to another system in another location. The article referenced above describes how poll workers had to call on the telephone to verify voter registration, because the data link went down.

How on earth could elected officials agree to buy voting systems that rely on remote systems and datalinks? Anyone that has ever suffered at the hands of dropped modem connections knows these things don't always work. And any network technician can tell you that temporary hookups, like those that would be required for one day (or in Florida's case, two weeks) of voting, would be even more likely to fail.

I've got my fingers crossed that we get through this election without the contentious vote-counting issues of four years ago, but I don't have a good feeling about this. This time, I hope I'm wrong.

Technology News:

New hydrogen storage system

British researchers report that they have developed a new nanomaterial that stores hydrogen at low pressure. Hydrogen storage has been a primary obstacle to the development of a practical hydrogen-powered vehicle. To get enough fuel in a tank that will take a car a reasonable distance, until now, very high pressures were required.

The new nanomaterial absorbs hydrogen at high pressure but then stores the same amount of fuel at a lower pressure.

Technology News:

RTC Conference wrap up

I'm back from the Rural Telecommunications Congress Annual Conference in Spokane. It's the oldest and one of the only conferences focused on rural issues related to telecommunications and broadband.

There was a definite shift in energy, conversations, and presentations at the meeting. In past years, much of the discussions have focused on the "why" and the "if" of rural community investments in technology. This year, the conversation has shifted to "how." And it was not just me. Everyone I talked to agreed that the time of talking about doing something "in the future" is past. It's clear that limited funds are going to be available from state and Federal sources, so communities have to dig in, roll up their sleeves, and get going.

Vendor booths were crowded, and the vendors I talked to were pleased with the response they were getting to their products. One of the most exciting product lines I've seen in years is from PacketFront, a network equipment vendor that is designing their equipment specifically for use in open access networks. Network leader Cisco, by comparison, does not have an equivalent set of products.

Presentations were information-rich, with communities coming online and now being able to report their experiences in detail, rather than having to talk about future plans. All in all, it was a terrific meeting, and I can't wait for next year. As it has been for the past several years, this is my number one, must attend conference.

Technology News:

iPod still very popular

Despite the availability of several "iPod killer" products from companies like Dell and Sony, the latest marketing data shows the Apple iPod has captured 92% of the portable MP3 music players with hard drives, and 65% of the overall portable player market.

What the iPod has that the other products don't is superb cross-platform music management/player software (iTunes is available for Windows and the Mac) and superb integration with the iTunes Music Store.

What is encouraging about the popularity of the iPod is that we sem to be moving beyond buying technology purely on price. The success of the iPod shows that consumers are very discriminating, and are want products that are designed well and are easy to use. The iPod delivers both.

Technology News:

RTC Conference: What states can do about broadband deployment

Bob Rowe, from the Montana Public Service Commission, is the first speaker in this session.

Rowe says that states have a role in assisting regional deployment of infrastructure and to coordinate facilities permitting.

Local governments have much potential, and can do training, form buying pools, encourage local government investments in infrastructure, and promote egovernment.

The FCC Section 706 Report from September, 2004 notes that the FCC defines broadband as 200 kilobits/second or faster, that the US still lags the rest of the world in broadband deployment, and that the FCC has a mission to encourage "reasonable and timely deployment."

Bill Gillis, from the Center to Bridge the Digital Divide, is the next speaker. Gillis says that we can learn from "innovation businesses."

He says that an innovation business is knowledge intensive, makes extensive use of technology, is creative and flexible with respect o workforce functions, has a global business perspective, and has entrepreneurial management.

Gillis says that states can facilitate exchange of ideas, help the last 30% of residents that do not have broadband service, can help prepare the workforce for the innovation economy, and provide flexible gap capital. Innovation businesses are driving demand for broadband in rural areas.

The final speaker is Al Hammond, from the Santa Clara School of Law and the Alliance for Public Technology.

Hammond says that large parts of rural America lack adequate broadband services, with smaller towns at a real disavantage--only 5% of towns of 10,000 population or less have broadband.

BPL (Broadband over Power Lines) is getting a lot of interest. There are more electric lines to homes and businesses than phone lines, so BPL potentially can be widely deployed. At least 5 companies are manufacturing BPL equipment.

25 million homes have no cable modem or DSL service, and satellite broadband is becoming more affordable, with Wild Blue, a new statellite company, will be offering Internet access for about $50/month. TV programming will also be available, unlike some other satellite broadband systems.

BPL issues include whether or not public utilities are cross-subsidizing BPL (and/or should be allowed to), universal service, open access issues (open vs. closed network), right of way issues, and whether a BPL provider is a utility, a telecomm provider, or a broadband provider.

RTC Conference: Building Last (First) Mile Infrastructure

The second speaker is James Baker, from central Pennsylvania, with the Council of Governments--an 11 county area with 300 local government entities of one kind or another. Most communities are under 2500 population, and many are under 1000. Generally a very low density area--20-40 households per square mile as an average.

Broadband services are expanding in the area. However, 98% of Pennsylvania urban areas have some form of broadband, but only 25% of rural areas have some kind of service. Providers view rural areas as not good markets.

The state of Pennsylvania has funded a GIS system that provides service maps for various kinds of services available (i.e. DSL, cable modem, etc). Good tool, but data quality varies, some limitations in granularity of data.

Wireless services were considered for expansion in one county by swapping tower space on an EMS tower with space on a commercially-owned tower in another part of the county. EMS would get better radio coverage, and residents and businesses would get more access and choice in broadband.

Murphy's Law kicked in...the six inch square antenna which was to be put on the county tower would require a $5000 engineering study to make sure it would not add significant wind loading to the 200' tower. No one would pay for the study, so the project got slowed down while a variety of funding sources were pursued. The ARC came to the rescue, but the $5000 grant application required almost the same amount of paperwork as a $150,000 grant.

After the engineering studies were done, it was discovered that the county did have legal control of the tower, and that has required additional effort. Testing by the service provider has shown that nearly the entire anticipated service area will be covered.

In the meantime, the government fiber project is using wireless to expand coverage beyond the ends of the fiber. Some nonprofits are getting service.

Issues include legal problems--one person, the county lawyer, has the power to stop these projects dead in their tracks. If the cable company expands service, the wireless provider may feel it is not worth it to continue expansion--it becomes very important for government to be able to move quickly to help private businesses.

Innovation is a messy process. Don't let setbacks and fear of failure keep communities from moving forward. Communities need to take risks--some failures cannot be avoided--it's just part of the process. Sometimes small projects are just what is needed. Success is in the results.

Technology News:

Community news and projects:

RTC Conference: Building Last (First) Mile Infrastructure

Dave Nelson is the first speaker, from Chelan County, WA. The PUDs in the state can provide wholesale broadband (not retail). Chelan decided to do a PON (Passive Optical Network) pilot project.

The project turned out well--high take rate, costs were close to estimates, and technology worked well. This led to a broader build out.

Take rates for the optical service is between 25% and 50%. By 2003 fiber had been placed by more than 3000 homes, and dial tone services were added to the network. In 2004, an additional 5000 drops are being added. Cable TV services are being studied--primarily a policy and administrative issue, not a technology issue.

By 2008, goal is to have 75% of county with fiber, or about 30,000 homes and businesses. This is an open access network with 12 ISPs offering access on the network. One provider offers fully E911 compliant telephone service. Television should be available in 2004; content and franchise issues have made this more difficult. Alcatel's B-PON system is being used.

The cable companies have been offered access to deliver programming, but so far, they have not been interested. Service providers pay the PUD for each port (Ethernet, phone line, etc) for which they deliver a service. PUD operates on a nonprofit basis. DSL and cable modem service is available in most areas of the county.

Take rates are ahead of projections. The PUD maintains the right of way and fiber distribution. The biggest problem is not being able to build out fast enough--"a million phone calls a day" about when fiber is getting past someone's house. The PUD had to design a real time Web site that shows construction progress on a daily basis to help ease the phone calls.

Wireless has been provided in some areas where it was going to be some time before fiber arrived. Customers have actually cried (true) when the fiber arrived, they were so happy. The PUD has a good relationship with the service providers (12!).

BPL pilot is also underway; there are some distance/repeater issues. Visit http://www.chelanpud.org/fiber/ for more information.

Technology News:

RTC Conference: Wilhelm keynote

I'm at the Rural Telecommunications Congress 8th Annual Conference.

Dr. Tony Wilhelm is the Director of TOP (Technologies Opportunities Program) at the Department of Commerce.

Wilhelm is emphasizing the need to tie technology investments to identified community needs. TOP does not fund infrastructure, it funds applications that use infrastructure to improve communities.

Demand for broadband is outstripping available funds. Demand exists because every facet of communities--first responders, businesses, citizens, local government--have a need for broadband.

Small businesses are using virtual business incubators, some funded by TOP, to help these businesses expand into international markets.

TOP priorities include economic development. Special emphasis this year is on broadband wireless technologies. Wireless projects are growing very rapidly. The third priority is to support faith-based initiatives. Some faith-based projects have included entrepreneurship development, sustainable economic development, and business ecommerce training.

TOP looks for projects that use technology creatively to help communities prosper. A major stumbling block for rural communities is lack of affordable broadband service. The Sevier River project in Utah has dramatically increased available water by providing more timely information to water managers. TOP looks for "infomation" projects that don't just automate (replacing people with technology). Infomation projects go beyond automation to provide leaders and decisionmakers with better tools to manage information and to solve problems.

Technology investments have created about half the productivity gains in the U.S. in recent years.

Successful TOP projects typically include:

  • Organizational capacity and leadership
  • Robust partnerships
  • Sustainability after the funding ends

Best predictor of success is an organization's ability to integrate new ideas and concepts--organizational maturity, not size. Leadership, leadership, leadership--solid principles and clear goals, good use of talented people, solid values clearly articulated with a willingness to take risks.

No one size fits all solution for organizations. Great leaders adapt goals and objectives to fit the abilities of the organization. TOP also looks for projects that really emphasize broad participation and partnerships.

Sustainability is also critical. Local ownership is key to a project's long term viability.

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