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> How many times to you think companies would pay to run a connection to a house? After the first, or maybe even the second time, does the financial payback for
by crazy1van 12y ago
> How many times to you think companies would pay to run a connection to a house? After the first, or maybe even the second time, does the financial payback for laying additional redundant physical lines make sense?
I think that depends on the current market. If there's room to make money in the long run by either offering better service or cheaper service, then I think companies will take the plunge and run the cables. In my area, we had DSL over phone lines and cable internet over coax for years. That didn't stop Verizon from laying all new fiber to nearly every house in the area. They smelled profit in doubling existing internet speeds in my area. What did nearly stop them was intense lobbying by the existing players to deny them access to run cable.
What bothers me is that it required huge lobbying muscles to get through the red tape. What about all the other less politically connected companies with innovative ideas that could revolutionize our connectivity in ways most people have never considered? That's the beauty of the Internet. Got a great idea for a new web service? There's no government wheels to grease, no need to lobby the FCC for broadcasting permission. You just do it and let the consumer decide your fate.
- digikata 12y agoYou mean the Verizon fiber service whose expansion was halted in 2012ish time frame because it wasn't paying back, and was recently reiterated that they wouldn't be investing more into for some time? http://www.fiercetelecom.com/story/verizons-shammo-well-look-fios-expansions-once-it-returns-cost-capital/2014-03-10 http://www.fiercetelecom.com/story/verizons-shammo-well-look... Or actively trying to reverse rollout agreements in NJ http://www.philly.com/philly/business/Will_Verizon_be_allowed_to_break_its_FiOS_promise_to_New_Jersey.html http://www.philly.com/philly/business/Will_Verizon_be_allowe... I'm no expert analyst of Verizon, but even during the expansion many wall street analysts were skeptical of the ROI of Verizon's FIOS rollout. If companies are going to be digging up the street in front of my house, I want a certain amount of red tape to ensure it's not multiple separate times instead of fewer times with better coordination to minimize inconvenience. I also don't want some undercapitalized startup to start digging, run out of funding, go out of business and leave a bunch of open trench - so I'm fine with cities verifying plans and funding too.