Interesting People mailing list archives
more on FCC Plans to Erase Key Rule On Local Phone Competition
From: Dave Farber <dave () farber net>
Date: Mon, 06 Jan 2003 08:31:10 -1000
------ Forwarded Message From: david.e.young () verizon com Date: Mon, 06 Jan 2003 13:16:37 -0500 To: dave () farber net Subject: Re: [IP] more on FCC Plans to Erase Key Rule On Local Phone Competition Dave, This letter is heartfelt and sincere, I'm sure, but there are some internal inconsistencies that just can't go unmentioned. First and foremost, of the $350 per month cited for communications expenses, only 20% is going to the local phone company, which the author claims has the "teeth and tollbooth of the local monopoly". Nearly 30% of his monthly spend is going to wireless voice providers (neither of which is affiliated with his local phone company). Second, he claims that Ivan Seidenberg "said its important for the software industry to lean on the state regulators to let Verizon have its DSL monopoly." What monopoly? He himself sends $50 per month to AT&T broadband as do 2/3rds of all broadband subscribers. Why should the ILEC DSL service with 1/3 of the broadband market be regulated more heavily than the cable company with 2/3rds. Finally, he cites the decline in telecom R&! D. This unfortunately is an unintended consequence of the dismantling of the Bell System. Under the Bell System, the cost of basic research at Bell Labs could be included in the overhead at Western Electric, which was included in the cost of equipment purchased by the BOCs which was included in the rate base and paid for over a long period of time. Most telecom R&D is still done by the equipment manufacturers, but unless somebody starts buying more equipment it is in serious jeopardy. Any regulations (such as UNE-P) that discourage companies from investing in networks and equipment threaten the health of research and innovation in the remaining labs. -David -------------------------------- David E. Young Director, Internet & Technology Policy Verizon Communications 1300 I Street NW Washington, DC 20005 +1 202-515-2425 <Office> +1 202-365-4755 <Mobile> +1 202-336-7923 <Fax> david.e.young () verizon com "Dave Farber" <dave () farber net> Sent by: owner-ip () v2 listbox com 01/06/2003 12:16 PM Please respond to dave To: ip () v2 listbox com cc: Subject: [IP] more on FCC Plans to Erase Key Rule On Local Phone Competition ------ Forwarded Message From: jordan pollack <pollack () cs brandeis edu> Date: Mon, 06 Jan 2003 11:35:43 -0500 To: dave () farber net Subject: Re: [IP] FCC Plans to Erase Key Rule On Local Phone Competition First, I don't see how telecommunications could be hurting so badly. When it was just Ma Bell, I was only paying a total of $60 a month. Yesterday I paid my Telecommunications bills: $70 Verizon Local $70 Sprint Long Distance $50 ATT Broadband $75 Sprint Wireless $40 Nextel Wireless $45 RCN Blackberry wireless ----- $350 Not to mention $2 in stamps:) Second, maybe there IS something to a natural monopoly granted in exchange for social responsibility. As Dave's photos from Pittsburgh showed -
I took these pictures right next to the Verizon building in downtown Pittsburgh. The plaque was on a seedy dirty abandoned set of stores next to the Verizon Building.
- ATT was almost a civil service. Bell labs was the envy of all nations. Now, ATT Labs laid off 40% last year, including everyone I knew in AI, and Bell labs is part of dying Lucent. Meanwhile the RBOC's have the teeth and tollbooth of the former natural monopoly, with absolutely zero social responsibility. I'm sure Verizon is a great company and I don't mean to pick on them or insult many employees who are friends of mine. But Verizon's formerly great GTE labs doesn't seem to do any published research anymore, just service development. And Verizon seems to be bullying states with conscientious public utility regulators by selectively withholding and depressing its capital expenditures. (Bob Frankston and I were next to each other at Ivan Seidenberg's talk to the Mass Software Council where he said our state's share of the $14B capex budget dropped from $900M to $500M in 02, and would likely go down further. He also said its important for the software industry to lean on the state regulators let Verizon have its DSL monopoly.) If FCC kills Une-P, they should cancel RBOC's entry into long distance. And phone companies should, like bank's fined for redlining, be required to document how they put money back into the communities they collect their tolls from. The unintended side-effects of deregulation make me want my Ma Bell back! Jordan ------ End of Forwarded Message ------------------------------------- You are subscribed as david.e.young () verizon com To unsubscribe or update your address, click http://v2.listbox.com/member/?listname=ip Archives at: http://www.interesting-people.org/archives/interesting-people/ ------ End of Forwarded Message ------------------------------------- You are subscribed as interesting-people () lists elistx com To unsubscribe or update your address, click http://v2.listbox.com/member/?listname=ip Archives at: http://www.interesting-people.org/archives/interesting-people/
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- more on FCC Plans to Erase Key Rule On Local Phone Competition Dave Farber (Jan 06)