Trouble in paradise

[Karl Denninger <karl () genesis mcs com>]

Ok, folks, this time it looks like the threat might be real.  Here's a
letter I am sending off to a number of interested parties in Washington.  I
suggest that ALL Com-Priv'ers look up this docket and take some action --
lest we lose the <ability> to privatize the Internet at a reasonable cost.

I don't have an on-line capable copy of this at present, but it looks like
it could be damn scary.  Let's make sure it doesn't turn into a nightmare
(like the FCC modem tax nearly did)



-- Enclosure:


Dear Sirs,

I am writing to protest the implications of Docket 37-42 of the Data
Communications Network Architecture proposal, in which the imposition of
user fees and taxes on the manufacturers of telecommunications equipment 
is discussed.

As a provider of inexpensive public access Internet services in the
Chicago area, should these fees come to pass in the form of a usage-sensitive
charge either directly on my operation or on the users of my operation, we 
and many others like us would be forced to close our doors.

You would, by imposition of these fees, destroy a nacent industry in this 
country (the provision of inexpensive Internet connectivity to <all> citizens,
rather than just a privileged few), and return to those privileged few
(primarily those in universities and large corporations) sole access to 
this valuable resource.

As a Chicago city resident, we already pay metered rates for local telephone
calls to the tune of over a nickel a minute of use.  I pay business rates 
for my inbound phone lines, a 5% telecommunications tax on all gross sales 
from my operation, monopoly-set prices on the leased circuits needed to 
connect to the Internet, and income taxes on the monies which I generate.

In short, I am already taxed well and far enough on my operations, and have
monopoly controls imposed on the remainder (the phone line connectivity).

The user fees which I charge are less than the cost of a local telephone 
line on a monthly basis.  <FULL> Internet access can be had here for ten 
dollars a month; a local phone line in Chicago currently costs about $13.00
monthly.  Private industry already provides that which you cannot hope to do
with government intervention - it brings the wonder of the Internet to the
masses at less than the cost of a telephone line.

With the stroke of a pen you will destroy hundreds of businesses like mine.
You will also destroy the telecommunications business for home users, tens 
of thousands of free BBS systems nationwide, and a budding industry in the 
provision of this kind of connectivity.

I will vehemently oppose any and all such measures, and will use my power at
the voting booth to see to it that these measures, if enacted, are repealed.


Sincerely,

Karl Denninger
MCSNet
3217 N. Sheffield
Chicago, IL  60657