On Sundays I offer comments on some of the most interesting information technology stories that I have found on the web that week. Please feel free to join in the discussion or suggest stories during the week.
![fiber[1]](http://www.itthoughtoftheday.com/wp-content/uploads/2009/10/fiber1_thumb.jpg "fiber[1]")
This week’s story is from ArsTechnica.com and it reports on the growing frustration of towns trying to force monopolistic cable and Internet Service Providers to upgrade their service levels. In most cases, municipalities desire more bandwidth at lower prices from more providers and are stuck with only one company and whatever level and price of service they feel like providing. The twist on this story, is the case studies of many groups that have simply gone out and contracted for or built their own metropolitan area networks in frustration. The stimulus that this gave to the original actors to take action is fascinating. Give it a read here:
ArsTechnica.com – Want 50Mbps Internet in your town? Threaten to roll out your own
"ISPs may not act for years on local complaints about slow Internet—but when a town rolls out its own solution, it’s amazing how fast the incumbents can deploy fiber, cut prices, and run to the legislature."
As described in the story, the two basic avenues of action that the original ISP took were politically trying to block the towns from action or actually overcoming their inertia and upgrading their own services to that of the new networks. In many cases, the prices also fell in response. This article is one of the best, impartial, reports on why we need more competition in the telecommunications business that I have seen recently. Without intending to be, this story is a fantastic commentary on why free markets always produce more for less in mature marketplaces. Where broadband Internet services have penetrated, it is time to begin to find ways to transition those geographic areas away from near monopoly territories and towards competition. I want selection, price competition, but mostly higher tiers of service. This will happen far too slowly in today’s barely contested marketplaces.
I lived overseas in Japan. There every house in towns can get 20-100Mbps fiber connections TO THEIR COMPUTERS. Read that again. This is not fiber to the house with coax inside like is common in the US, but fiber in the house. At these levels of service, the applications, services, and performance of their Internet connections far surpasses what passes for good ISPs here. Why shouldn’t we have that? There, when you walk into a computer store, there are 2-3 ISPs selling their services and competing on price for your business. Here you have to track down the 1-2 ISPs that service your city, beg them to come install at your house, and pay way too much for it all.
I applaud the towns in this story that took matters into their own hands. It should not get to this anywhere. Certainly, politics should not be stifling citizen economic development activism. Let competitive forces control the Internet Service Provider marketplace and lets all enjoy lower prices, more bandwidth, and better service.
What do you think about this topic? Do you agree or disagree with me? Do you have a recommended news story for next week? Please share your ideas below.
That is my Information Technology Thought of the Day (ITTOD) for November 1, 2009 by Scott Coughlin.
Image Credit: six-ug.com
Special Thanks to Arstechnica.com for the wonderful news reporting linked to above.
No related posts.
Related posts brought to you by Yet Another Related Posts Plugin.
News Commentary: ISP Bandwidth – Taking Matters Into Your Own Hands
On Sundays I offer comments on some of the most interesting information technology stories that I have found on the web that week. Please feel free to join in the discussion or suggest stories during the week.
This week’s story is from ArsTechnica.com and it reports on the growing frustration of towns trying to force monopolistic cable and Internet Service Providers to upgrade their service levels. In most cases, municipalities desire more bandwidth at lower prices from more providers and are stuck with only one company and whatever level and price of service they feel like providing. The twist on this story, is the case studies of many groups that have simply gone out and contracted for or built their own metropolitan area networks in frustration. The stimulus that this gave to the original actors to take action is fascinating. Give it a read here:
ArsTechnica.com – Want 50Mbps Internet in your town? Threaten to roll out your own
As described in the story, the two basic avenues of action that the original ISP took were politically trying to block the towns from action or actually overcoming their inertia and upgrading their own services to that of the new networks. In many cases, the prices also fell in response. This article is one of the best, impartial, reports on why we need more competition in the telecommunications business that I have seen recently. Without intending to be, this story is a fantastic commentary on why free markets always produce more for less in mature marketplaces. Where broadband Internet services have penetrated, it is time to begin to find ways to transition those geographic areas away from near monopoly territories and towards competition. I want selection, price competition, but mostly higher tiers of service. This will happen far too slowly in today’s barely contested marketplaces.
I lived overseas in Japan. There every house in towns can get 20-100Mbps fiber connections TO THEIR COMPUTERS. Read that again. This is not fiber to the house with coax inside like is common in the US, but fiber in the house. At these levels of service, the applications, services, and performance of their Internet connections far surpasses what passes for good ISPs here. Why shouldn’t we have that? There, when you walk into a computer store, there are 2-3 ISPs selling their services and competing on price for your business. Here you have to track down the 1-2 ISPs that service your city, beg them to come install at your house, and pay way too much for it all.
I applaud the towns in this story that took matters into their own hands. It should not get to this anywhere. Certainly, politics should not be stifling citizen economic development activism. Let competitive forces control the Internet Service Provider marketplace and lets all enjoy lower prices, more bandwidth, and better service.
What do you think about this topic? Do you agree or disagree with me? Do you have a recommended news story for next week? Please share your ideas below.
That is my Information Technology Thought of the Day (ITTOD) for November 1, 2009 by Scott Coughlin.
Image Credit: six-ug.com
Special Thanks to Arstechnica.com for the wonderful news reporting linked to above.
No related posts.
Related posts brought to you by Yet Another Related Posts Plugin.
This entry was posted by Scott Coughlin on November 1, 2009 at 4:29 am, and is filed under Business of IT, Hardware, Information Age, News Commentary. Follow any responses to this post through RSS 2.0.You can leave a response or trackback from your own site.