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Time Warner Reverses Direction in NC, Fights Competition with New Strategy
Time Warner, AT&T, and other incumbents have radically changed their strategy to prevent broadband competition in North Carolina via new restrictions that are being debated in the Legislature currently. This switch in strategy offers more proof that they stand on no principle aside from protecting their monopoly.
The famous HB 1252 in North Carolina is back... but different. In the past, the telcos and cablecos have argued that municipal broadband networks are unfair to them because the city could use tax dollars in some way to build the network (ignoring that most publicly owned networks do not use any tax dollars). Now, these companies are pushing a bill to require financing backed by taxpayer dollars. Seems like an odd switcheroo.
As one might expect from companies like AT&T and Time Warner, who have no respect for the public process, the bill was kept top secret until debated in committee, giving only the side filled with monied interests and lawyers an opportunity to prepare. The bill (that we have made available here as there is no official version yet) would not just place significant restrictions on new publicly owned networks, but would also handcuff existing networks like Salisbury and Greenlight in Wilson.
To reiterate, this bill will damage the most advanced broadband networks available in North Carolina today. Sounds like North Carolina wants to take up Mayor Joey Durel in Lafayette on his offer to welcome the businesses moving from North Carolina to Lafayette with a big pot of gumbo.
Fascinating that after an FCC Commissioner noted that the US Broadband Plan recognizes the right for communities to build their own broadband infrastructure, North Carolina is deciding it prefers to preclude any broadband competition, sticking with its last-century DSL and cable. Just fascinating.
The Salisbury Post has been watching and recently published a scathing editorial against the bill. This is one paragraph, but the whole editorial is well worth reading.
Yet, if the HB 1252's intent becomes reality, such areas will be severely hobbled in their near-term ability to tap into the broadband revolution.
Update on Salisbury Fiber Network
After focusing on the North Carolina battle at the Legislature (regarding whether cities should be allowed to choose to build their own broadband networks or if they should solely have to beg the private sector for investment), I wanted to check in on Salisbury, which is building a FTTH network.
Salisbury has persevered through many obstacles, including finding financing for the project in the midst of the worst economic downturn since the Depression. They will begin serving customers this August.
After choosing the name "Fibrant" as the name of the network, they have established a slick web presence at fibrant.com. The site has a a blog, but is rarely updated currently.
Earlier in the month, the local paper discussed the ways in which the fiber network will aid public safety. The short answer is video, video, video.
Video can be used for security cameras (both in public places and in private homes) as well as to give officers better situational awareness when they arrive on a scene. But wireless video access is often the key - both so officers can stream video in the cruiser and because wireless video cameras are easier to place (no pesky wires to run) and move around.
Though wireless video is helpful, it creates of a lot of data that is best moved across fast, reliable, wired networks. This is why fiber-optic networks and wireless are better understood as complements than substitutes. A robust fiber architecture greatly eases the problems incurred by creating a wireless network because the wireless nodes will be more efficient if all are tied into a fiber network. Rather than streaming data across the entire city to send a single feed to a cruiser, a local access point will stream it across a smaller footprint.
"They are potentially looking at helmet cams," Doug Paris said, assistant to the city manager. "Those who are sitting outside (the structure) will be able to see what's going on inside."It would make little sense for the fireman to have wires coming out of their helmets. But that wireless signal from the helmet probably won't propagate to the fire hall or police station. Instead, a wireless access point near the fire can grab the signal and make it available to anyone who needs access to it.
Time Warner Pushes Moratorium in North Carolina
Time Warner continues to fight for monopoly protections in North Carolina with legislation to hamstring municipalities, preventing them from building the essential broadband infrastructure they need. While I was in Lafayette at FiberFete, the North Carolina Legislature was considering a bill to preempt local authority, essentially shutting down the prospect for any cable and broadband competition in the state.
Jay Ovittore has covered this legislation in depth.
Salisbury small businessman Brad Walser, owner of Walser Technology Group testified that North Carolina community’s new municipal broadband network Fibrant would meet his company’s needs for broadband capacity not available from commercial providers. Walser noted Salisbury is suffering from an unemployment rate exceeding 14 percent. Advanced broadband, he believes, could help the city attract new businesses that will help create new, high paying jobs. Fibrant is expected to launch later this year.Folks from Chattanooga also testified about the benefits of publicly owned networks. The public outcry on the issue has been helpful:
All of your e-mails and calls have been getting through to the legislators. This kind of attention makes them nervous and I ask you to continue. I can assure you that we here at Stop the Cap!, along with Communities United for Broadband, Broadband for Everyone NC, and Save North Carolina Broadband are going to ratchet up attention on this issue.If you live in North Carolina, definitely read the bottom of the post on how to help. Unfortunately, the state legislature seems to have more nitwits than anyone who knows anything about networks: one State Senator suggested wireless will be replacing fiber soon - one wonders how the wireless tower will connect to the Internet...
North Carolina Considers Pro-Monopoly, Anti-Competition Broadband Bill
Stop the Cap! sounded the alarm that North Carolina is once again considering a bill to prevent competition by effectively banning communities from building their own networks.
The Communities United for Broadband Facebook page notes:
The cable industry will be pushing a bill to stop communities from investing in fiber optic infrastructure on April 21st at 9:30am in Raleigh before the Revenue Laws Committee in room 544 of the Legislative Office Building found at 46 W. Lane St, Raleigh, NC.This bill is being pushed by the private cable and telephone companies that are threatened by the publicly owned FTTH networks already in Wilson and Salisbury. North Carolina has a number of communities that have been inspired by the Gigabit promise of Google and are considering how they can build their own network if Google does not choose them. This bill will prevent communities from building the infrastructure they need to succeed in the future. I should note that Craig Settles is working with the Communities United for Broadband folks. They have a great slogan: Picking up Where Google Leaves Off.
Salisbury FTTH Network Picks a Name: Fibrant
The folks in Salisbury, North Carolina, have picked a name for their new FTTH network, Fibrant. An article in the Salisbury Post notes that even though the network is not yet offering services, they are seeing some economic development opportunities.
"We've already had a couple of people who have moved to town because they knew it was coming," said Clark, who noted that a medical concierge company (virtual check-ups) has shown a lot of interest in Salisbury's fiber.The article also goes into the many advantages of fiber-optics over last generation technologies.
Salisbury FTTH Network to Launch by End of Summer
The Salisbury, North Carolina, municipal fiber-to-the-home network is set to start offering services this summer. This article in the Salisbury Post provides an update on the situation:
City officials have targeted May 31 as the completion date for fiber-optic cable installation, with the network going citywide by Aug. 1.As with several other publicly owned networks, they will be promoting the network with a mobile trailer that will demonstrate the technology to people at block parties and other gatherings around the community.
The mobile trailer will feature computer stations and a living room setting featuring everything the city's fiber-optic cable service offers. "We can roll it into neighborhoods, have small block parties and have people see what a difference it provides," said Mike Crowell, the city's broadband services director.
New from the Carolinas
Salisbury, a community in North Carolina building a city-owned full fiber-to-the-home network, has run into an unexpected difficulty: naming the new network.
To put it simply, all the good names are taken. Mike Crowell, director of broadband services — he jokes that he is the director of BS — says the city can't find a name that it can both trademark and get a domain name for.
The story has some entertaining suggestions - but the reason I wanted to note the article is because it ends with this:
In coming weeks, the city will be purchasing and outfitting a marketing trailer, which it can send into neighborhoods and to community events to explain the new cable utility and get people excited about what's around the bend. The trailer will be plastered, of course, with the system's chosen name.
This is a great marketing method - particularly if the trailer has computers showing what is possible with the new network in direct comparison to existing offers. Wilson's Greenlight Network also used this approach and reported that it was very successful.
South Carolina was unique in being the only state where the public controlled the spectrum available for WiMax and could have built a state-wide broadband network. Instead, they chose to sell it off to the private sector for a pittance.
Despite state-created barriers to publicly owned broadband networks in South Carolina, the town of Hartsville is studying the feasibility of a city-owned network. The new Mayor is supporting this initiative:
Pennington spoke about a proposed broadband initiative he is pushing that would enable the city to create a fiber optic network and offer broadband services such as high speed internet, cable television and digital telephone service to city residents and businesses.
Short Shots
Some shorter news items from this weeks' news:
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Salisbury may be a great example of just how a community should build a network. They have opened many chains of communication with citizens to keep everyone involved in the process:
To get the message out about their fiber-to-the-home cable utility now under construction, Salisbury city officials already have conducted radio, newspaper and magazine interviews.
The city also hopes to provide daily "fiber" updates on its blog (www.salisburyftthblog.com) and have a continuing newspaper advertisement called "Straight Talk about Fiber" in the Post.
Any community considering the hard path of building one of these networks should take note of how Salisbury is ensuring citizens know what is happening and why this network is important to the city's future.
Clarksville Department of Electricity (CDE) Lightband creates local careers as they roll out the FTTH network that will deliver triple play services. They also have a spiffy video:
This video is no longer available
Garn Anderson, of the Knight Center of Digital Excellence says "Smart Infrastructure starts with planning."
The success in and around Cleveland demonstrates not only the benefits of Smart Infrastructure, but also the reality that local communities are best equipped to implement today's fundamental need for infrastructure that empowers innovation.
He expands on those thoughts in a post on the Community Connections blog.
Salisbury Starts Building FTTH Network
Salisbury, a city of nearly 30,000 in North Carolina, has started building its full fiber-to-the-home network. Salisbury had some difficulty in funding the network at first due to the collapsing economy last year. However, they securing financing in November 2008 and have now started building the network. A recent Salisbury Post article notes that Atlantic Engineering Group is installing conduit. However, residents will have to wait more than a year to take any services. They still have to build the multi-million dollar head end. They already have agreements covering access to the telephone polls -- which are owned by Duke Energy and AT&T.
Salisbury, NC, Fends Off Comical Attack on Community Broadband
Cities investigating community fiber networks are used to scurrilous attacks from both incumbents and anti-government "think tanks," which are often directly funded by private service providers. Usually the attacks aren't as silly as the one that the John Locke Foundation levied against Salisbury, North Carolina.
The Salisbury Post covers the situation. Indyweek's coverage was a bit more hostile, and appropriately so.
Though attacks on community broadband from anti-government groups are common, this report betrays either a stunning lack or technical expertise on the part of the writers, or an assumption that the reader is totally ignorant. Fortunately, Salisbury has confronted them head on, as should any community in a similar position.
Back in 2005, the American Public Power Association debunked many of the same claims and the same flawed methodology used then to attack municipal cable providers. We have collected other reports since then that debunk the claims of these anti-government groups.