He reminds me of Tom!

On Thu, Jul 29, 2010 at 11:41 AM, Jeff Broadwick <jeffl...@comcast.net> wrote:
> I am so glad you moved over to the Wispa list Fred!  I don't always agree
> with you, but I REALLY appreciate how much thought and detail you put into
> your responses.
>
>
> Regards,
>
> Jeff
>
>
> Jeff Broadwick
> ImageStream
> 800-813-5123 x106     (US/Can)
> +1 574-935-8484 x106  (Int'l)
>
> -----Original Message-----
> From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On
> Behalf Of Fred Goldstein
> Sent: Thursday, July 29, 2010 11:20 AM
> To: WISPA General List
> Subject: Re: [WISPA] USF Reform Bill Introduced - The most compelling reason
> to document and map your network coverage ever
>
> At 7/29/2010 10:34 AM, Brian Webster wrote:
>>Yes but if the cable companies could also ally with wireless carriers
>>to get other areas excluded from USF subsidies, the field would be a
>>more level one should the cable companies try to compete in other
>>markets. We might also get Clearwire and the cellular carriers to
>>support the position although most of their deployments will probably
>>be in areas that would never have qualified for USF to begin with. If
>>the terms wireline are kept in the bill it would appear that wireless
>>services might also be excluded from receiving any USF funds which
>>basically keeps USF funds in the exclusive hands of the Telco's as it has
> been.
>>
>>Personally I think that if we don't out and out oppose the bill for USF
>>reform, but rather do something like this as a minor change, the WISP
>>industry can make out better. USF reform will happen and USF funds will
>>be spent on deploying broadband to unserved areas no matter what. What
>>we need to do is make sure the law does not fund builds in areas
>>already served by WISP's and other technologies. If the battle could
>>also be fought and won to allow WISP's access to the funds for
>>broadband deployments then great. When going up against the cable and
>>Telco lobbies, one has to be wise about picking their battles as the
> funding to fight this will be limited.
>
> And on a related note, Patrick Leary wrote,
>
>>You'd think there would be an excellent legal argument to fight that.
>>Seems it'd be difficult to enact a law that in effect discriminates
>>against certain classes of providers, especially since WISPs are the
>>only "pure play" broadband providers out there. Theorectically the
>>re-configured USF is meant to propel broadband...so how could the feds
>>exclude the only entity that provides broadband first, other services
>>second. All other providers have "broadband" as a secondary play.
>
> Patrick's first... We're talking about a new law, so the legal argument
> boils down to whatever the law says is legal, is legal, unless it's a
> flagrant constitutional violation.  Which I don't see, since the main issue
> here is simply who gets government handouts, and handing out money (and
> taxing) is sort of the normal role of government.  The problem is that the
> system is so corrupt by now that the handouts appear to be irrational.  In
> practice they're not; they just aren't done for the public good.
>
> Back to Brian's point... You first have to think about whose bill this is.
> Boucher doesn't make this stuff up himself.  Nor does his staff, though they
> know more about it than most congressional staffers.  Boucher's job in
> Washington is, and has always been, to carry Verizon's water.  When he puts
> a bill in the hopper, it comes from them.  Tom Tauke's staff probably
> drafted most of the bill.
>
> So what is Verizon asking for?  You again have to look at what USF is all
> about.  It was created as part of intercarrier compensation reform.  Before
> USF, toll settlements to rural carriers were high enough to pay the
> subsidies. Make a 30 cent call and the rural carrier gets 50 cents for
> terminating it.  This worked because Long Distance was a huge luxury and
> thus could be milked.  As the cost of delivering LD went down, the amount
> that could be diverted to supporting the ILECs went up.  But the system
> broke down under competition, especially from VoIP, but also from something
> called "reality" -- you can't perpetuate a rotten system like that forever.
> It was hugely inefficient.  So intercarrier payments from IXCs to LECs no
> longer pay the whole freight, and explicit USF makes up the difference.  The
> IXCs, however, are the main payers of USF.  They count the cards differently
> but the kitty still goes the same way.
>
> In the 1980s, Verizon (then called Bell Atlantic) was a LEC and on the
> receiving end of IXC switched access charges.  But now the Bells get much
> lower switched access rates, so it's not a big revenue source for them.
> Instead, you have Verizon owning the former MCI and Worldcom assets and
> Southwestern Bell owning the former AT&T Corp.
> assets, so the two mega-Bells are probably net payers, not recipients, of
> subsidies to the rurals, both via USF and access charges.  Sprint, of
> course, no longer has any affiliated LECs, so it's a big net loser too.
> Those three companies thus want to lower the bill.  The rural carriers, from
> the few remaining mom-and-pops to the coops up to big CenturyTel and
> Citizens/Frontier, want even more.  So they are using "broadband" as an
> excuse.  Give them more USF money and they'll extend DSL out further, even
> FTTH.  Hey, it's not *their* money!  They don't build gold-plated networks.
> It's solid 14k gold.  (Not 24k.  They're too modest for that, and besides
> 14k is harder.)
>
> So what the Boucher bill does is push the FCC along the path it was
> considering anyway, with some tweaks.  The 75% clause is there to cut off
> support to ILECs that have been almost fully overbuilt by cable, not because
> cable cares (they don't get USF), but because it may lower the total cost of
> the USF, and let's face it, PacketCable is just as good as most POTS.  It's
> not Skype!  It's not even on the Internet.  Verizon HATES the cable
> industry, especially Comcast, but if the presence of cable can be used
> against USF subsidy-suckers, then it's counted.
>
> USF still only goes to "ETCs", as before, and getting to be an ETC may not
> be easy.  The FCC has largely frozen out new competitors, and their plan is
> to limit USF high-cost support to ILECs only.  The Boucher bill opens it up
> by creating a subsidized wireless franchise too, so Verizon and its best
> buddy ATT can split up the country that way.  (Sprint and other can bid too,
> though they're less likely to
> win.)  The odds of a WISP getting USF out of this bill are roughly those of
> getting a unicorn to ride on to visit customer sites.
>
> Now let's get back to the technical issue.  The bill not only specifies
> "wireline", but it requires standard-quality telephony.  That means,
> basically, full-QoS POTS with local phone numbers.  Can a WISP deliver that?
> Yes, but it's not trivial.  It requires QoS-engineered networks.  It
> requires high reliability, battery backup, etc. It may be hard for any
> "routed" network can meet the grade, but that can be fixed in software.
>
> It also requires that you use, or be, a local CLEC for the voice service.
> This is pretty scary for most ISPs, but if there were a good reason for it,
> then it could be handled.  There are a few ways.  If there is a local CLEC
> already, the WISP can partner with it.  Or a CLEC can sell wholesale dial
> tone  (SIP, MGCP or H.248, for
> instance) to the WISP, though that requires the WISP to be a CLEC too.  Or
> the WISP/CLEC can outsource the whole thing to a company who operates a
> centralized call agent, and who places down a media gateway at the local
> tandem and does all the work.  There are a number of variations possible
> here and I see some of them in my CLEC work, though the "rent-a-switch" and
> "rent-a-call-agent" business hasn't developed as far as I'd like it to.
>
> But since the WISP still doesn't get USF, there's not much reason to try,
> unless the WISP wants the voice revenue.  Which isn't a bad thing,
> actually... you can deliver it for a much lower *cost* than the rural ILEC.
> But you can't undercut the ILEC's *price*, since USF is paying most of the
> freight.  That's the trouble with the whole system.  And Boucher and Terry,
> who represent largely rural constituencies, are not interested in fixing
> that!  In theory, if the law didn't specify wireline and the WISP-CLEC could
> pass the 75% test, then the ILEC would take a big hit and have to raise its
> prices, which would be politically unpopular.  That's the only upside, and
> it's a long shot at best.
>
>>Brian
>>
>>
>>-----Original Message-----
>>From: Jeff Broadwick [mailto:jeffl...@comcast.net]
>>Sent: Thursday, July 29, 2010 10:07 AM
>>To: bwebs...@wirelessmapping.com; 'WISPA General List'
>>Subject: RE: [WISPA] USF Reform Bill Introduced - The most
>>compellingreason to document and map your network coverage ever
>>
>>Is cable not considered a "wireline" service?
>>
>>
>>Regards,
>>
>>Jeff
>>
>>
>>Jeff Broadwick
>>ImageStream
>>800-813-5123 x106     (US/Can)
>>+1 574-935-8484 x106  (Int'l)
>>
>>-----Original Message-----
>>From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On
>>Behalf Of Brian Webster
>>Sent: Thursday, July 29, 2010 10:02 AM
>>To: 'Fred Goldstein'; 'WISPA General List'
>>Subject: Re: [WISPA] USF Reform Bill Introduced - The most
>>compellingreason to document and map your network coverage ever
>>
>>Fred,
>>         That is understood, however I think that WISPA may try to
>>lobby to have the term "wireline" removed such that any technology that
>>delivers the defined broadband and voice services should be qualified
>>to meet the 75% requirement. This is still a bill and not a law so
>>there are opportunities to change this although I don't expect that one
>>to go through without a fight. In this case we might be able to ally
>>ourselves with the cable industry. I am sure they would love to see
>>Telco's lose their USF subsidies in markets that are served by cable.
>>
>>
>>
>>Brian
>>
>>-----Original Message-----
>>From: Fred Goldstein [mailto:fgoldst...@ionary.com]
>>Sent: Thursday, July 29, 2010 9:42 AM
>>To: bwebs...@wirelessmapping.com; WISPA General List
>>Subject: Re: [WISPA] USF Reform Bill Introduced - The most compelling
>>reason to document and map your network coverage ever
>>
>>At 7/29/2010 08:01 AM, Brian wrote:
>> >Hit me off list and I can offer some suggestions.
>>
>>As I mentioned, the 75% rule only applies to wireline providers (i.e.,
>>cable), so mapping WISP coverage buys nothing.
>>
>>The Boucher-Terry bill has nothing in it to help WISPs and plenty to
>>hurt them, including a rather high tax to support your competitors.
>>
>>
>>
>> >Brian
>> >
>> >
>> >-----Original Message-----
>> >From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org]
>> >On Behalf Of RickG
>> >Sent: Wednesday, July 28, 2010 11:24 PM
>> >To: WISPA General List
>> >Subject: Re: [WISPA] USF Reform Bill Introduced - The most compelling
>>reason
>> >to document and map your network coverage ever
>> >
>> >I'd like to but I dont know where to begin and with my limited time I
>> >cant even try to figure it out.
>> >
>> >On Wed, Jul 28, 2010 at 12:37 PM, Brian Webster
>> ><bwebs...@wirelessmapping.com> wrote:
>> > > Steve Coran just posted the message below to the WISPA FCC
>> > > committee
>>list.
>> >I
>> > > took particular note to the following statement:
>> > >
>> > >
>> > >
>> > > - would reduce or deny support to wireline incumbents in areas
>> > > where at least 75% of households can receive voice and broadband
>> > > from a
>>competitive
>> > > provider that does not receive support
>> > >
>> > >
>> > >
>> > > Now the way I read the above statement is that if a WISP covers
>> > > 75% of a current USF recipients service area, there will no longer
>> > > be eligibility
>> >to
>> > > receive USF funds. Remember if they have broadband they also have
>> > > access
>> >to
>> > > many VOIP providers even if you do not provide VOIP services.
>> > > Vonage and Skype come to mind, not to mention cellular coverage.
>> > > This would be a
>>huge
>> > > factor in leveling the playing field for WISP's in rural markets!
>> > > I
>>cannot
>> > > see a more compelling reason to document and map your networks
>> > > than
>>this.
>> > > Not only will it prevent yet another subsidized competitor from
>> > > coming
>>in
>> >to
>> > > your service area, but it will also erode funding  for any Telco
>> > > who currently receives USF in your markets. This would bring
>> > > wireless as a delivery method to the forefront because there are
>> > > then no artificial revenue streams subsidizing the cost to deliver
>> > > last mile service. We
>>all
>> > > know that wireless has the least cost per household passed in low
>>density
>> > > markets.
>> > >
>> > >
>> > >
>> > > There are many ways to document and map your coverage areas. First
>> > > and foremost though is that you should file the Form 477 as
>> > > required. Next
>>one
>> > > should map their network with an accurate service area where you
>> > > would confidently offer service. This can be done many ways
>> > > (including paying
>>me
>> > > to do it). This also shows a very important reason to be
>> > > participating
>>in
>> > > your state broadband mapping efforts. I would expect that those
>> > > state
>>maps
>> > > will become one of the major verification sources to establish the
>> > > 75% coverage. The FCC 477 database will probably become another
>> > > verification source. If you are listed in both of them it would be
>> > > very hard for
>> >someone
>> > > to say you don't exist and don't offer coverage in their areas.
>> > >
>> > >
>> > >
>> > > One of the downsides to this bill is that all broadband providers
>> > > will
>>be
>> > > required to contribute to the fund. My gut feeling though is that
>> > > if
>> >WISP's
>> > > were accurately mapped and documented it would show so much less
>> > > of the
>>US
>> > > is unserved by broadband and thus the required funding through USF
>> > > to
>>get
>> >it
>> > > there will be much less.
>> > >
>> > > Brian
>> > >
>> > > ----------------------------------
>> > >
>> > >
>> > >
>> > > Last week, Reps. Boucher (D-VA) and Terry (R-NE) introduced
>> > > legislation
>> >that
>> > > would reform the Universal Service Fund.  The Press Release,
>> > > Overview, Section by Section summary and text of the bill are
>> > > available at this
>> >link:
>> > >
>> > >
>> >http://www.boucher.house.gov/index.php?option=com_content&task=view&i
>> >d=1579
>>&
>> >Itemid=122
>> > >
>> > >
>> > >
>> > > I have not read these documents, but plan to do so soon.  A few
>>highlights
>> > > that the trade press has noted:
>> > >
>> > >     - would reduce or deny support to wireline incumbents in areas
>> > > where
>> >at
>> > > least 75% of households can receive voice and broadband from a
>>competitive
>> > > provider that does not receive support
>> > >
>> > >     - FCC would create cost model that includes broadband in
>> > > figuring support models
>> > >
>> > >     - competitive bidding among wireless carriers for USF support
>> > >
>> > >     - no more than two wireless CETCs could get support in the
>> > > same area
>> > >
>> > >     - carriers would have 5 years to provide broadband throughout
>> > > their service areas, or would lose support
>> > >
>> > >     - all broadband providers would pay into USF to expand
>> > > contribution
>> >base
>> > >
>> > >     - FCC to decide appropriate speed for broadband
>> > >
>> > >
>> > >
>> > > Rep. Boucher has said that the bill is on his "front burner" and
>> > > that he wants to get the legislation passed this Fall.  Please
>> > > feel free to
>> >comment
>> > > on-list AFTER you've reviewed the documents so that you can
>> > > promote education of the WISPA membership and help shape whatever
>> > > position WISPA
>> >may
>> > > wish to take as the bill works its way through Congress.  Thanks.
>> > >
>> > >
>> >
>
>  --
>  Fred Goldstein    k1io   fgoldstein "at" ionary.com
>  ionary Consulting              http://www.ionary.com/
>  +1 617 795 2701
>
>
>
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