Date: Wed, 17 Oct 2001 09:43:09 -0400 From: "Louis A. Mamakos" <louie@TransSys.COM> To: "Ted Mittelstaedt" <tedm@toybox.placo.com> Cc: "void" <float@firedrake.org>, "Matt Dillon" <dillon@earth.backplane.com>, Bsdguru@aol.com, hackers@FreeBSD.ORG Subject: Re: Imagestream WanIC-520 interface cards Message-ID: <200110171343.f9HDh9b50003@whizzo.transsys.com> In-Reply-To: Your message of "Tue, 16 Oct 2001 22:58:25 PDT." <001601c156d0$bc3bb360$1401a8c0@tedm.placo.com> References: <001601c156d0$bc3bb360$1401a8c0@tedm.placo.com>
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> > We have been told by our rep at Time Warner Communications that those payments > are still continuing. TW (at least in PDX) does not have enough voice sales > to be able to get on that pig trough and is equally unhappy as we are that the > RBOC's are propping up what are in effect bankrupt CLECs. > > I used to have sympathy for the CLECs and their beef that the ILEC's are > screwing everyone by not allowing competition. But not any more - in our > market the CLEC's charge about 95% of what the ILEC charges for voice > services, so the customers gain nothing on the voice side of the house. > Instead, the way that the CLEC's get customers is by giving away Internet > service for free. In short, the call termination payments fund the > Internet service, instead of decreasing the cost of the voice service. > > Basically, the CLEC's have figured out how to use a poor government > regulation that needs changing to put their competition out of business. > It's no different than what Microsoft does when they use operating system > revenue to fund a variety of unprofitable and destructive ventures into > software applications like web browsers, web servers, ecommerce apps, etc. > > The only saving grace is that most of the CLECS are so ignorant when it > comes to networking that their Internet service is so awful that at least > the good customers are staying away from them for now. You have much of this backwards. This whole notion of "reciprocal compensation" for call termination was originally put into the telecom tariffs by the RBOCs to prevent competation in the local space. They figured that the call volume would be asymetrical, with the CLEC customer calling "the rest of the world" connected to the RBOCs. Thus, they created an unlevel playing field and changed the rules of the game. This "poor goverment regulation" is there solely because the RBOCs worked really hard to ensure it would be put there. Surprise, surprise, a bunch of folks came along and decided that the new game was one they could play, and used it to their advantage. D'oh! (And this was sweet, because these same telecom tariffs would be used by the RBOCs on a regular basis to whack their customers/competitors, with the excuse, "Our hands are tied!" Live by the tariff, die by the tariff. louie To Unsubscribe: send mail to majordomo@FreeBSD.org with "unsubscribe freebsd-hackers" in the body of the message
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