High-speed Internet is going to cost more; you can blame the FCC

SJ Mercury News ^ | 2/21/03 | Opinion

[NormsRevenge]

IN the most important telecommunications ruling in years, a three member majority of the Federal Communications Commission made a sort of Sophie's Choice this week.

To the delight of long-distance phone companies and to the dismay of the Baby Bells, it voted to largely preserve rules that promote local telephone competition; but it sold out budding rivals to the Bells in the fast growing market for high-speed Internet service, virtually ensuring fewer choices and higher prices.

[LS]

George Gilder has consistently supported leaving things as they are---and he is a huge free market advocate. Does anyone fully understand his position on this . . . that leaving the system intact will get us to freer competition, faster?

[stuartcr]

It just goes without saying...promote more and more broadband applications, inundate the public with the "need?" for braodband, ie download media faster, develop faster pcs....jack-up the price/monopoly for bb service.

[Maringa]

I'll have to admit that the pricing of high speed internet is discouraging. I use cable internet, and some friends of ours use DSL. They are both priced about the same 39.95 plus tax. per month. I would have thought that over time, just like what happened to dial-ups...it would go down to at least in the low to mid $20's by now. I don't ever plan to quit using high speed internet (once you use it, you'll never want to use dial-up again), however I hope for some relief in the future....

[Not_Who_U_Think]

There are no bargains in broadband. Either pay the Bells for DSL at $50 a month, or pay a 3rd party $50; $40 to the Bells and $10 to the 3rd party. Cable is even worse.

I don't see a way around this since the companies own the lines. They can allow others to use them, but in the end they still own them.

[bmwcyle]

More Info

[caltrop]

I'd imagine the satellite service providers would benefit if they can develop the technology needed to make it function as well as DSL/Cable. My understanding, although I've no first hand experience with satellite internet service, is that it isn't as good at this point.

[NormsRevenge]

Thanks for the link. BroadbandReports.com homepage

[dalereed]

"Cable is even worse."

I use COX cable and my broadband costs me $34.95/month total!

[ken5050]

How can anyone write a supposedly intelligent commentary on telecommunications and still use the term "long distance"....It doesn't exist any more...yet regulatory agencies still act like that's the key issue....and that's the problem...regulation of the Telcos is still done by the various states....but it's a nationwide, nay, international industry...

[TommyDale]

Yeah, you may pay a bit less, but wait until all your neighbors are online at the same time. It sucks.

[Made In The USA]

Lucky you - $34.95 is a steal! In Western NY, Time Warner is charging $39.95 just for broadband. Add another $46 for analog CATV - without any premium movie channels.

[B Knotts]

The problem with satellite is that the current systems use GEO (geosynchronous earth orbit) satellites, at an altitude of 22,241 mi. This causes absurd latency, making satellite useless for any kind of interactive internet applications.

Alcatel is still planning a ~80 bird constellation of LEO (low earth orbit) satellites at an altitude of around 800 mi. for their proposed SkyBridge service. If it ever comes into being, it could definitely be competitive with current broadband.

[caltrop]

Thanks for the information. I'd love to see satellite service give the cable and phone companies some real competition.

[justshutupandtakeit]

I have satellite tv and it goes out during heavy rain/snow storms. This would play havoc with the computer connection.

I would not recommend satellite over cable after experiencing this.

[nutmeg]

bump

[alrea]

bump

[quack]

Hah!I laugh in your cable companies general direction.
I pay 80 bucks a month for EVERY analog and digital channel
and it also includes my high speed connection : )
Not that I'd rub it in or anything....
Check into packages that are not advertised by your cable company.

[NormsRevenge]

We have lived in my house for almost 18 years. the first few years we didn;t have cable at all.

In the late 80s, it arrived. (Heritage was the cable company's name)

In the mid-90s, the cable company got sold to TCI and the cable systems were not upgraded to anything resembling what many communities offered.

Around 2000 or so, AT&T bought the system, and didn't do much except bank the money and keep the boat afloat.

Recently, AT&T Broadband sold its cable group ,etc to ComCast. In the last 2 months and most recently the last 2 weeks, there is unprecedented activity in my general neighborhood, and with any luck at all, we may have a fiber optic connection by year's end or by early next year.

I will be more then happy to pony up for enhanced services if and when it gets here.

But , I agree, it does pay to shop around.

[eleni121]

So, tell us - Who's your provider?