Submitted by acohill on Fri, 10/07/2011 - 08:12
If you look at the jobs report released today, it underscores what I have been saying for a decade: neighborhoods are the new business district. CNBC summarizes the September jobs data; the manufacturing sector LOST jobs, but if you go to the household survey, job creation was in the black (modestly).
What does this mean? It means more people are working from home, and that means they need business class broadband, not an "entertainment service," as my cable company quaintly calls our home Internet service.
Rinse and repeat as needed until elected officials get the message:
Neighborhoods are business districts, and business districts need competitive and affordable telecom service options.
Submitted by acohill on Thu, 10/06/2011 - 12:32
True story. I discussed the possibility of eliminating our family cable TV subscription and just sticking with Internet. The response was, and I quote exactly, "Okay. Can we get Hulu Plus?" That's the state of cable TV today. It doesn't even merit a 30 second discussion of its value.
Submitted by acohill on Wed, 10/05/2011 - 08:09
Now that the broadband stimulus money has been distributed, and the Google fiber initiative has taken root in the two Kansas Cities, a lot of communities seem to have lost interest in broadband initiatives. The cable companies have done a fairly good job of keeping up with demand, and the telephone companies continue to cling to their share of the broadband market by competing on price rather than on bandwidth.
But this apparent "Remain calm! All is well" approach is the calm before the storm. And the storm is coming to us in a huge cloud. In the past week, Amazon and Apple have rolled out new cloud-based initiatives that will stream content everywhere, all the time. If cloud storage seems like a gimmick, it is not. It is the answer to the utter uselessness of trying to keep all our media content, personal and business, on local hard drives. Music, pictures, movies, and what we used to quaintly call "TV" are driving this problem. Even though you can buy a two terabyte hard drive for $150, you can fill it faster than lickety-split with purchased video. And then you have to figure out how to back it up. Backing it up with a second drive is a good start, but suppose your house or business burns down? Both drives are gone, as is all your data.
Add to that the fact that everyone now wants everything available on every computing device they own, which typically comprises, for many people, FOUR devices: a smartphone, a laptop, a tablet, and a desktop computer. And the portable devices will never have enough storage to keep everything on the device itself. So the cloud is not a typical IT solution in search of a question. We know what the question is, and the cloud is the answer. But streaming everything to everyone all the time is going to create, over the next several years, exponential increases in demand for bandwidth. And that's when the copper-based DSL and cable modem networks will run out of steam.
Communities that have not made plans to ensure a modern fiber-based infrastructure that also supports ubiquitous wireless mobility access will be at a severe disadvantage from an economic development perspective.
Oh, and one more thing. There is another sleeper in the battle for streaming content....Rhapsody (the music service) just bought Napster to try to fight Spotify. Spotify is a streaming music service that is huge in Europe but only recently began operations in the U.S. So the music industry is still undergoing a massive reorganization that is focused on streaming any song ever recorded to anyone, at any time, anywhere. And it is going to be a battle of Titans, with Apple, Amazon, Rhapsody, Spotify, and even tiny Microsoft with its Zune music service all going head to head.
Submitted by acohill on Mon, 09/19/2011 - 14:18
I'm tweeting the Net-Workshop (9/19/11) in real time if you want to follow it (@designnine). Net-Workshop is a one day meeting of community broadband leaders from around the country.
Submitted by acohill on Tue, 08/30/2011 - 14:28
I had a conversation last week with a new college grad who had just started a new job and had moved into a new apartment. The young woman had a couple of questions about her Internet connection, which she had purchased from the local phone company (DSL). I asked if she had considered a cable TV/cable modem package.
She said, "No, I never watch TV. I can get whatever I need from the Internet."
In a nutshell, the customer base of the cable TV industry is getting old and dying, and they don't have a plan to attract younger customers.
Submitted by acohill on Tue, 08/30/2011 - 13:34
The National Security Agency has released a very nice set of tips for managing desktop computers and home and small office network devices like routers and wireless base stations. Here is the link, and I have attached it to this article.
Submitted by acohill on Tue, 08/23/2011 - 14:41
Submitted by acohill on Tue, 08/23/2011 - 13:30
Design Nine has been working for the 47 towns that make up the WiredWest region of western Massachusetts since early 2010. Last week, 22 of those towns officially formed a municipal coop, as allowed by state law. This is the first step towards the WiredWest vision of fiber everywhere in western Massachusetts.
Design Nine helped the WiredWest steering committee with financial planning, organizational and governance planning, network architecture, and funding strategies.
Submitted by acohill on Wed, 08/03/2011 - 17:07
Here in Virginia, Roanoke County and the City of Salem are struggling with the same problem that many other localities in the country have: cable companies that won't renew franchise agreements. Comcast purchased an aging cable system from Adelphia a few years ago when Adelphia went bankrupt. At the time, Comcast promised the localities it would upgrade the old system so it could support improved Internet access. But the upgrade never happened, and so there is little competition, high prices, and poor service for broadband in Salem and parts of Roanoke County.
One of the problems that the cable companies have is that both their physical plant and their business model is obsolete. The fifty year old business model does not generate enough revenue to justify replacement of the old analog copper/coax infrastructure. So the companies are understandably reluctant to continue to make franchise payments and/or to make expensive upgrades.
To make matters worse, companies like Netflix, Amazon, and Apple are all eating away at the cable company customer base with better services that are not based on "500 channels and nothing to watch." If Apple, which has only been dabbling in streaming video, decides to throw the full weight of the company behind a serious streaming service, Amazon and Netflix will finally have some real competition. Apple did not build a 1 million square foot data center in North Carolina just so Apple users could back up their iPhoto baby pictures.
If the cable companies embraced the open access business model, they could turn things around very quickly, but so far, the cable industry has been unwilling to listen. Not so with some phone companies, who could also make a lot more money embracing open access; I've at least been able to have a conversation with some incumbents, but mid-level managers at the companies are still digging in their heels and refusing to change. So senior staff are stuck with a corporate culture that would rather have the company go bankrupt than change and prosper.
Submitted by acohill on Sun, 07/31/2011 - 10:26
Eldo Telecom has an excellent critique of the proposed USF reform. My concern with any USF reform is that it should allow community-owned broadband efforts access to USF funds. There is no reason why a community that builds its own open access infrastructure should be forced to channel their portion of USF funds to legacy networks.
Submitted by acohill on Mon, 07/25/2011 - 10:17
Stephen Hardy, an editor at Lightwave, calls our aging DSL and cable modem networks "zombie broadband," as in "...it is the broadband everyone wishes would die, but won't." I think we need a Twitter hashtag anytime we talk about these obsolete technologies: #zombiebroadband
Submitted by acohill on Sat, 07/23/2011 - 10:57
In an interview about smartphone sales, the COO of Verizon had this to say:
Later in the CNBC interview, McAdam discusses Verizon's switch to tiered data plans for smartphones, noting that streaming video is the main reason they dropped unlimited data plans:
"We just converted over to tiered pricing, data tiered pricing, because we see a huge wave of video coming. That's going to take a lot more capacity in the individual networks, and so I think for a lot of customers that won't be an issue from a revenue perspective. But, for the heavy users, we do see the revenue go up significantly."
"...a huge wave of video..."
And that huge wave is also engulfing existing landline networks, not just cellular. It's why AT&T just called DSL "obsolete." With airline tickets for business travel now routinely topping $1,000, almost any business can recover the cost of a $3,000 or $4,000 HD videoconferencing system in just a couple of months.
Fiber everywhere isn't just about making it easier to watch a Netflix movie in the evening, as some elected officials stubbornly maintain, it's about enabling commerce and supporting economic development.
Submitted by acohill on Thu, 07/21/2011 - 08:33
Connected Planet comments on a Forbes blogger has ignited a rich discussion online by saying that broadband in rural areas is a waste of time and money.
It really is about roads--digital roads. Many rural communities will not survive without improved access to affordable, high performance broadband infrastructure. The Forbes article fails utterly to differentiate between what we call "little broadband," meaning DSL, cable modem, and wireless, and "big broadband," which is fiber to customer, starting at 100 megabit capacity and now moving quickly to Gigabit.
The incumbents use a circular argument to "prove" rural areas don't need big broadband by claiming that they don't see any of their customers using it, but how can you use it if you don't have it. For the past eighteen years, anytime broadband capacity has been increased, customers find new ways to use it that pushes the limits of that technology. AT&T recently indicated that their smartphone customers use as much as 1000x more bandwidth than "dumb" cellphone customers, and nationally, cell tower saturation is above 70%. When that number hits 80%, the network is at full capacity because of demand spikes.
As the interstate highway system was built out, rural communities that were bypassed often withered away. Rural towns face the same prospect as more and more business activities are conducted via high capacity broadband: if the rural town does not have affordable access to competitively priced broadband services, businesses will leave and new businesses will not move there. The good news is that, unlike the interstate highway system, high performance broadband is much less expensive and every rural community can have the equivalent of an exit off the interstate.
Submitted by acohill on Wed, 07/20/2011 - 13:24
The CEO of AT&T has stated that DSL is "obsolete." In a speech on Tuesday in Los Angeles, Randall Stephenson said the telephone giant invested in DSL in the nineties to compete with the cable companies. AT&T is now concentrating on wireless and it's fiber to neighborhood offering called Uverse. Uverse continues to use copper from a neighborhood cabinet to the premises, making it less capable than fiber to the premises.
Submitted by acohill on Wed, 07/20/2011 - 13:17
Apple released the latest version of its Macintosh operating system today (OS X Lion). The software is available only via a download right now, and you better have a good, high capacity broadband connection if you want it, as the download is four gigabytes. Apple also announced that it will sell a version of the software on a USB thumb drive next month. In other words, no DVD version, not now, not ever. Apple has consistently led the way in media, including the 3.5 inch floppy, the CD drive, the DVD drive, USB ports, and Firewire, among others. If Apple is dropping the DVD, expect other computer makers to follow.
But note also that this shift to encouraging downloads of major pieces of software also highlights the need for homes and businesses to have adequate and affordable broadband connections, or be left behind.
Even more interesting, new Macs come with the ability to install the latest operating system from an entirely blank hard drive--as long as you have an adequate Internet connection.
Submitted by acohill on Fri, 07/15/2011 - 10:47
Long time readers of this blog know that I have a running joke about comparing the state of U.S. broadband infrastructure to other countries. The latest insult is Northern Balochistan (part of Pakistan), which is getting a 1,100 kilometre fiber build. Meanwhile, our rather measly national goal is 4 meg down, 1 meg up, which won't support work and business from home applications and is barely adequate for Netflix.
Submitted by acohill on Fri, 06/17/2011 - 09:44
Here is an article about the City of Danville open access network (called nDanville). nDanville started as an open access network in late 2007, so it is in its fourth year. It was the first municipal open access effort in the United States, and has been quietly cutting costs for Internet and VoIP phone service by as much 80% for businesses and institutions using providers on the nDanville fiber network. It has also been bringing jobs and businesses to the community. One of the major economic developments in which nDanville played a key role was the re-purposing of the "White Mill" building. Just a couple of blocks from downtown, the White Mill building was once one of the largest textile plants in the country. But it was closed years ago, and the multi-story building sat empty until it was purchased last year. It is undergoing a complete renovation as a high tech data center, and access to nDanville fiber was crucial to closing the deal. nDanville has also helped attract a specialty PC manufacturer to the community, and more broadly, just about every business using providers on the nDanville network have enjoyed substantially lower costs for VPNs, Internet access, and voice services. The local hospital recently switched to an IP TV provider on nDanville and is enjoying substantial monthly savings from the switch.
nDanville is operated with a staff of two people as part of the City Utilities department. All services to businesses and residents are provided by private sector providers that use nDanville to transport those services over a high performance active Ethernet fiber network. nDanville offers standard 100 megabit, Gigabit, and 10Gigabit connections. Design Nine provided the City with the original business, financial, and technical planning with the network, and continues to assist the City with the project.
Submitted by acohill on Thu, 06/09/2011 - 09:00
Tennessee legislators just passed a law making it illegal to transmit an image that could "..frighten, intimidate or cause emotional distress" to someone who sees it." And the person who suffers "emotional distress" does not have to be the person you sent it to. Suppose you send out a picture of a cat hanging desperately from the branch of tree to a friend. That friend forwards it on. Twenty forwards later, some cat lover sees it and is emotionally distressed that the poor cat is in danger. They look at the original sender of the email, report it to Tennessee law enforcement, and bingo, you are put in jail for a year and fined $2500 (you would have to be a resident of Tennessee).
Who writes comes up with these laws? Did they even think to ask a lawyer who specializes in constitutional law for an opinion?
Submitted by acohill on Fri, 06/03/2011 - 08:45
Cisco, the world's largest manufacturer of active Ethernet equipment, says that the historical trend of broadband data demand doubling every two years is continuing. The company expects the typical bandwidth need for fixed point broadband access (e.g. DSL, fiber, cable) to increase from 7 megabits now to 28 megabits by 2015. This paints a grim future for PON networks, which typically are designed to provide about 30 megabits of bandwidth to the home, meaning most PON networks will be obsolete in just three years. I think this is one of the reasons Verizon put a moratorium on extending their FiOS (PON) networks: they realized they were painting themselves into a corner with respect to bandwidth.
Submitted by acohill on Thu, 05/19/2011 - 13:07
The nDanville Medical Network has won the Intelligent Community Forum Founders Award. The Medical Network is part of the larger nDanville fiber initiative, which was the first municipal open access network in the United States; the network began adding its first customers in 2007. Medical customers on the network have averaged 30% less cost for connections while being able to double the amount bandwidth, for a total overall cost reduction of more than 50%. The high performance fiber has enabled transmission of CT and other medical imaging scans between the hospital and the medical imaging center in another part of the city.nDanville is a client of Design Nine.
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