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Being a Gig City: It's All About the Upload
Krugman Calls out the Barons of Broadband
The point is that Comcast perfectly fits the old notion of monopolists as robber barons, so-called by analogy with medieval warlords who perched in their castles overlooking the Rhine, extracting tolls from all who [no-glossary]passed[/no-glossary]. The Time Warner deal would in effect let Comcast strengthen its fortifications, which has to be a bad idea.Krugman talks about monopoly as well, reminding me of one of our most important podcasts - Barry Lynn, Monopoly Expert.
And the same phenomenon may be playing an important role in holding back the economy as a whole. One puzzle about recent U.S. experience has been the disconnect between profits and investment. Profits are at a record high as a share of G.D.P., yet corporations aren’t reinvesting their returns in their businesses. Instead, they’re buying back shares, or accumulating huge piles of cash. This is exactly what you’d expect to see if a lot of those record profits represent monopoly rents. It’s time, in other words, to go back to worrying about monopoly power, which we should have been doing all along. And the first step on the road back from our grand detour on this issue is obvious: Say no to Comcast.There is no public benefit to this merger - none.
In Fear of Comcast Warner Cable
Kansas Community Benefits from Community Owned Networks
Even though the Kansas cable lobby have temporarily retracted their competition-killing telecom bill, we still want to highlight the benefits of preserving full home rule, local authority by focusing on a number of communities, including Chanute, Ottawa, and Erie.
We have reported on Chanute's municipal network for years. The community leveraged its electric utility assets and incrementally built an extensive publicly owned gigabit fiber network. Over several decades, the community expanded its network to serve schools, libraries, local government, and businesses. Chanute took advantage of every opportunity and created a valuable asset with no borrowing or bonding.
Several business, including Spirit AeroSystems, chose to locate in Chanute because of its incredible fiber network. Spirit brought approximately 150 new jobs. The network also retained jobs when incumbents refused to provide needed upgrades to local businesses. Rather than leave town, the businesses connected to the City's network and increased their productivity.
Former City Manager J.D. Lester referred to municipal broadband as “the great equalizer for Rural America,” saying: “You don’t have to live in Kansas City to work there.” (See our case study Chanute's Gig: One Rural Kansas Community's Tradition of Innovation Led to A Gigabit and Ubiquitous Wireless Coverage [PDF])
Kids in Chanute have access to connectivity other schools can only dream about. The local community college has expanded its distance learning program with higher capacity broadband. Free Wi-Fi hotspots are all over town; money otherwise sent to distant providers stays in the community. Chanute has invested in a WiMAX wireless system that serves public safety all over the region, not only in town. Their other utilities use the network for automatic metering and SCADA applications, saving energy and allowing customers the chance to reduce utility bills.
Kansas Anti-Competition Bill Authored by Cable Lobbyists
That's a lobby group with members such as Comcast, Cox, Eagle Communications, and Time Warner Cable. The bill was introduced this week, referred to the Committee on Commerce, and scheduled for discussion for Tuesday of next week.That hearing will now be delayed as the cable lobbyists strategize on a bill that less transparently serves only their interests. As usual, we see the cable lobbyists claiming that municipal networks use taxpayer dollars, despite the reality that most do not. Much of what I see in Kansas points to Time Warner Cable being behind this - a lame attempt to stop Google Fiber using lobbying power rather than innovating and investing. However, the bill has tremendously negative implications for rural Kansas because local governments are often the only entities that care if their communities have the Internet access they need in the modern economy. It stretches credulity to think Kansas would pass a bill that would prevent Google from expanding its network in the region.
Network Neutrality Decision and Importance of Community Owned Networks
Responding to "Crazy Talk" Volume 4 - Community Broadband Bits Episode #72
Wilson's Greenlight Leads North Carolina in Connectivity: Community Broadband Bits Episode #70
WUNC Radio Show Explores Muni Network Restrictions in North Carolina
WUNC, a public radio station out of Chapel Hill in North Carolina, covered community owned networks and broadband availability on its recent "State of Things" midday program. I was a guest along with a local resident and a public relations executive from Time Warner Cable to discuss North Carolina's broadband compared to other states and its law that effectively bans local governments from building networks.
The discussion is good, though I certaily could have done a better job. Ultimately I thought the host did a good job of bringing in each guest to make their points, though Time Warner Cable was totally unprepared to talk about how North Carolina can expand access. Instead, they talked about the cable giant's requirements to invest in networks in rural areas.
We are going to follow up on these points but for now wanted to make sure you have a chance to listen to the show. Our coverage of the bill discussed in the radio show is available here.
AT&T Fails Big in Dallas, Makes Big Claims for Austin
Lo and behold, right in the thick of the CBS-Time Warner fight, I received notices from AT&T that Uverse was now available in my neighborhood. This is something I’ve waited more than two years for. I was thrilled. Finally, there’s choice! Since receiving my first notice from AT&T in early August, I’ve been inundated with AT&T offers. Dozens of pieces of mail have arrived in my mailbox. Clearly, AT&T wanted my business. And I wanted badly to give it to them. I phoned one day after receiving my first notice. I signed up immediately for service. The friendly sales person told me because of high demand, she couldn’t set an installation date for sooner than two weeks. Whatever. Fine. We agreed on August 19, somewhere between 9 and 11 a.m. I couldn’t wait.Only they didn't show. They cancelled. And they cancelled the next appointment and put him off time and time again. But now he has a date of when he will be able to take service ... and I'm not making this up. 12/31/2036. Those familiar with AT&T's announcement in Austin may think that it will take 23 years to upgrade Dallas because the massive corporation is focusing so much attention on Austin where they are kind of promising a gig. Karl Bode has long been covering what he calls Fiber to the Press Release from AT&T.