Is DSL Done?

Peter : On Rad's Radar?
Peter
| Peter Radizeski of RAD-INFO, Inc. talking telecom, Cloud, VoIP, CLEC, and The Channel.

Is DSL Done?

Every time we examine the DSL field, it looks more and more barren. Now VZW has made moves to insure that it is dead.

One is the huge deal that VZW has with SpectrumCo that will result in a joint venture company that will co-market VZW with cableco partners. Basically, VZ is saying that cable wins in terrestrial broadband and we are just going to focus on wireless.

VZW rolled out Home Fusion, fixed wireless broadband via LTE. So VZW needs spectrum so bad? Then how could they be pushing fixed broadband over the same 4G network that they tell the FCC needs more spectrum?

Home Fusion is a metered or capped service that is expensive.

"All of the plans are usage-based, which changes the broadband paradigm from one of limited bits to limited bytes. Verizon's plans begin at $59.99 of monthly access for 10 GB of data, and there is a $200 installation charge. If you consider that an hour of watching Netflix consumes about 1 gigabyte, you're looking at about 8-10 hours of TV a month," reports GigOm.

One client, Hunt Telecom, points out that VZW is a non-union shop, so by shifting to all VZW, the books look better. (And you break the union that was striking on you in 2011). This move demonstrates that VZW is running the show, not VZB or VZT.

The client also points out that if the consumer buys Home Fusion, they are likely to buy VZW cellphones too.

There are still many parts of rural America without 3G service, but this is a way for VZ to acquire broadband customers out-of-region! Since the broadband nd cell pools are saturated, this is a way for VZW to get new subs. I don't know why these same customers can't just get a mi-fi router, but meh.


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