Scott Cleland claims the open access rules on 700MHz spectrum triggered by Google's bid fleeced the US taxpayer by $7bn. I don't buy it, even as a signed-up fully-paid network neutrality opponent. Firstly, the numbers ignore economics. If the C block was encumbered, that would raise the prices of the A and B blocks. So you need to take a much smaller differential as to the cost of the encumbrance.
A reader sent me a link last week to a piece that doesn't speak highly of net neutrality. Clyde Wayne Crews wrote an article called "Dumb Pipes, a Dumb Idea: Net Neutrality as 21st Century Socialism" that calls for legislators to reject "nut" neutrality. "Elevating the principle of mandatory net neutrality above the principle of investor ownership and wealth creation in pipes and spectrum deflects market forces away from the infrastructure development that we need..." Did anyone else see a touch of irony in a letter to the editor...
When I first read this post about Predictable Network Solutions on the excellent Telco 2.0 blog, I thought it was an April Fool's Day hoax. Then I remembered that it's a UK site, and some Googling confirmed that it's a real company. So my question is, will this technology -- or something like it -- eventually make network neutrality a non-issue? Or will it be the means for network operators to implement the discrimination that everyone is worried about?
Here are my opening remarks at F2C: Freedom to Connect yesterday: "I am honored to be among so many remarkable people. We have to be remarkable people, because we have a hell of a job to do. The Internet has been given to us. It is a miraculous gift, and a boon to our lives... at least in part because it accidentally matured outside the purview of profit and loss. Now the money has arrived. If you want to see what happens when the money arrives, look at Nigeria or Venezuela or Russia or Iraq..."
The white spaces proceeding is the next big opportunity for experiments in alternative ways of providing wireless highspeed internet access... A key advantage of unlicensed spectrum is that experiments in new technology can be carried out without asking the permission of spectrum licensees. To date, we have made very little spectrum available for unlicensed use and experimentation. The FCC has the discretion to decide whether the digital television "white spaces" may be used on an unlicensed basis...
Want a gig (1000 megabits per second) of Internet access bandwidth? Google says you could have it by the end of next year "from Manhattan to rural North Dakota (sic, I think they meant Vermont)" if their proposal to the FCC is accepted forthwith according to CNET's newsblog. Not only a gig but a mobile gig, accessible by cellphone or roaming computer -- no fiber required. Sound too good to be true? -- it isn't, IMHO! Engineering is not the problem...
Today the FCC announced the winners of the 700 MHz auction -- and you can see from pp. 62-63 of this document that Verizon won Block C. (Block C was set up in two nationwide paired blocks of 11 MHz each, which were auctioned off in very large geographic areas -- 12 licenses, each covering a "Regional Economic Area Grouping". Verizon won seven of the twelve licenses, covering all of the US except Alaska, Puerto Rico, American Samoa, Guam, and the Northern Mariana Islands.) Why does this matter?
Network Neutrality is a hot topic in the US. The FCC held hearings in my neighborhood recently (while I was in Asia). Now I see Professor Susan Crawford will be testifying next Tuesday at a House Judiciary Committee hearing on "Net Neutrality and the First Amendment." I look forward to her remarks, but I worry that the whole discussion will be focused on "IP Pipes," that is connectivity at network layer 3. This distracts us from the fundamental problem...
IPTV is on the horizon. Maybe I watch too much basketball, but the first thing I pictured was turning my flat screen into a big PC-like monitor with multiple windows showing several games, and perhaps even checking email and trying to do a bit work in another (admittedly much smaller) window. You could drag and drop, expand or shrink the games to whatever size you wanted just like you do on a PC with applications. Since the source video could come from different geographical regions in the country, you could catch the NCAA game they are showing in your local region while also watching another game from another region... For some, IPTV is a reality. But for the most part deployments are limited.
I've posted to SSRN my paper on why most telecom companies, even though they operate networks, don't appreciate the fundamental business dynamics of network structures. This will be a chapter in a book Wharton is publishing on network-based strategies and competencies. In the paper, I describe two views on telecom and Internet infrastructure...