July 22, 2004

Wisconsin State Priorities?

The State Journal editorial page takes Wisconsin Attorney General Peg Lautenschlager to task for joining with six other states and New York City to sue five of the country's largest power producers to force them to cut carbon dioxide emissions. This is the same organization that, under Democrat Jim Doyle signed us up for the Matrix personal data mining project - then later withdrew.

Keeping the environment clean is certainly important, but the WSJ raises some useful issues on this topic. I believe that our state leadership is ignorning (for political reasons) the most important economic issues of our time, such as the construction of true high speed networks.

High speed data networks are the rails and roads of the future. Yet, today, we are saddled with slow services supported by local telco monopoly SBC.

Verizon just announced that fiber to the premises ("fttp" or to the home) will be available in Keller, Texas, parts of Southern California and Florida. Prices will range start at $40/month for 2 to 5mbps service; with optional speeds up to 30mbps. (Currently, many state residents can choose from 384kbps to 1.5mbps DSL or cable service - 1/10th the speed, or less of the fibre based products).

These speeds make high quality personal video conferencing a reality (family & friends), new small businesses from the home possible and most importantly, will reduce the cost of true high speed access for all residents.

Nice to see our politicians are paying attention.

David Isenberg has some useful examples of "value-subtracted" telco business models. Isenberg also discusses a May, 2004 study that shows a dramatic reduction in telco operating expenses after they switch from a copper wire based network to a fibre system.

Posted by James Zellmer at July 22, 2004 8:49 AM | Subscribe to this site via RSS:
Posted to Broadband | Business | Politics