INDUSTRY SPEAKERS HIGHLIGHT BROADBAND AT INTERNET CAUCUS
Broadband is next great driver of economy, but its widespread deployment is being hampered by several factors, Legg Mason Managing Dir. Blair Levin said at Congressional Internet Caucus panel on broadband technologies and applications Thurs. Broadband has potential to stimulate new forms of e-commerce, entertainment, education and health care, Levin said, but it requires “huge upfront investments” at time when consumer demand is hard to predict. Moreover, he said, issues of service quality and provisioning, uncertainty about how to reach all Americans and lack of knowledge about what broadband is and how it relates to other forms of communication have delayed broadband deployment. Broadband wasn’t at heart of 1996 Telecom Act, Levin said, so many of questions weren’t thoroughly thought through.
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Panel focused on different forms of broadband technology and their applications. Pegasus Communications provides satellite broadband services to rural and other undeserved communities, said Cheryl Crate. Ninety percent of Americans lack access to broadband, she said, and rural areas are in danger of being left out of digital revolution. Two-way satellite broadband is most effective way to serve those areas, she said. Over next 3 years, satellites will be able to handle 700,000 to one million new customers, she said.
“Black-box technology” is product that can serve both rural and suburban communities now unserved by broadband, said Worldcom Vp-Wireless Regulatory Affairs Robert Kopel. Technology uses radio spectrum to deliver high-speed Internet access to fixed locations, he said. WorldCom is one provider of multichannel, multipoint distribution services, “last-mile” alternative to DSL and cable broadband, Kopel said. Signals carry up to 35-mile radius, Kopel said, which makes that technology particularly well- suited for coverage of small and midsize markets. Broadband fixed wireless systems are commercially feasible because they require only modest outlay upfront and they cover good-sized area, he said. Moreover, Kopel said, they can be installed quickly and incrementally, giving companies good financial control over systems. Service charges are comparable with those of DSL and cable services, he said.
DSL is “bridging technology,” Verizon’s Link Hoewing said. It gets broadband into homes quickly, he said, but it’s pricey. Two limits on use of DSL, he said, are that it works only over limited distances and that strength of voice system on particular telephone line can affect it.
U.S. companies are using broadband in variety of applications, speakers said. Enron is focused on 3 areas, Vp- Origination Rockey Storie said: (1) Intermediation services, which involve buying and selling bandwidth services. (2) Building network for video-on-demand (VoD). (3) Content services. Last Dec., Storie said, Enron began VoD services in 4 cities, allowing customers to view movies at home over DSL or cable platforms using set-top TV boxes. Company’s next move, he said, will be “entertainment-on-demand,” which will provide movies, concerts, educational programs, sports, e-commerce and other services.
Cisco Systems believes broadband is key to strong and efficient economy, Cisco Washington representative Michael Timmeny said. Cisco has created Networking Programming Academy, Internet- based curriculum where students around world learn basics of building, designing and maintaining networks, he said. “E- learning is the wave of the future,” Timmeny said, but it requires lot of bandwidth, which is why broadband is needed.
Consumers are resistant to broadband now because it’s confusing and complex, Panasonic lobbyist Paul Schomburg said. Requirements for consumers to embrace broadband technology, he said, are: (1) It must add value to their lives. (2) It must be simple and easy to use. (3) It must provide access to “compelling content.” In future, he said, broadband may provide telemedicine, traffic management and interactive TV.