Peter : On Rad's Radar?
Peter

On Rad's Radar?

| Peter Radizeski of RAD-INFO, Inc. talking telecom, Cloud, VoIP, CLEC, and The Channel.

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Qwest Merging with CenturyLink

April 22, 2010

News reports this morning from NYTimes, BusinesWeek and MarketWatch have CenturyLink merging with Qwest in an all stock deal. Huh?!

"The firms say the deal values Qwest at $22.4 billion, including $11.8 billion of assumed debt." [MW]

"The combination creates a national, 173,000-mile fiber network, the firms said.

Posted in FCC, mergers, telco, wireline

Covad Acquiring MegaPath

March 31, 2010

Covad announced a merger with MegaPath today. That combines 2 of the 3 independent DSL transport players in the Industry. (The third would be EarthLink's New Edge Networks). Interestingly, MegaPath is a Covad customer.

Posted in CLEC, broadband, mergers, wireline

VoIP Access Ruling

March 29, 2010

"On February 18, 2010, a federal district court stepped in to fill the gap left by the FCC's silence on the issue of whether transmission of Voice over Internet Protocol ("VoIP")-originated calls is an information service exempt from access charges or a telecommunications service subject to access charges." [from Kelley-Drye]

I spoke with Kris Twomey last week about this judgment. In summary, the judgment of Civil Action No. 08-0397 is as follows: "If the call leaves the customer premise as VoIP and remains VoIP until it hits the tandem, then there are not any LD or toll access charges. VoIP is an Information Service according to the FCC."

Posted in CLEC, Internet, politics, telecommunications, voip, wireline

Ill. Judge Only Smart One

March 12, 2010

Only a single judge in Illinois has the common sense to see that the Frontier-Verizon deal is very similar to the Fairpoint-Verizon deal that resulted in a bankruptcy within 18 months while screwing consumers in three states.

The Herald-Review has a report about "An administrative law judge ruled that the planned sale of Verizon's land-line service to Frontier Communications should not be approved by state regulators.... In her ruling, Administrative Law Judge Lisa M. Tapia says evidence presented in the case in front of the Illinois Commerce Commission doesn't support the sale, primarily because the transaction would leave Frontier too laden with debt to be able to properly manage the lines and other infrastructure."

This was exactly the deal with Fairpoint.

Posted in Internet, broadband, fiber, mergers, spectrum, telco, wireline

How Do They Avoid Being Just the Dumb Pipe

February 11, 2010

On LinkedIn there was a question in the Telecom Executives Business Network group: "How can a Telco Service Provider value chain defend itself from the attack by the emerging "Cloud" services? My understanding is that the emerging "cloud" services remove value-add and differentiation from the Telco service providers which are cornered to act just as the bit-stream providers (especially for the retail market)."

My answer to that was as follows:

Most telco carriers worry about becoming a Dumb Pipe. Isenberg told them this would happen.

Posted in Internet, Web 2.0, apps, bandwidth, broadband, cloud computing, linkedin, telco, wireline

Is it the Regulatory Environment?

February 9, 2010

In a twitter exchange with Erik Cecil, former regulatory counsel at Level3, we were dialoging about the Fairpoint bankruptcy. (FairPoint aims to cut debt by two-thirds).

My reply stated, "Just 2 years after the deal w/VZ to create an unstable Fairpoint despite opposition, Fairpoint screws everyone." By everyone, I mean the customers, the economy, the state, the PUC who approved the deal despite being against it (And Erik, you think there is regulation?), the workers, the Union, shareholders and the debt holders. I actually don't care about the last two, because both should have known it was going to go POOF!

Posted in FCC, Internet, broadband, cableco, cellular, economy, mergers, politics, telco, wireless, wireline

ISP Sues ILEC for $10B

February 9, 2010

Posted in ISP, telco, wireline

Which Docket, Dave?

February 4, 2010

Dave Rusin is the CEO of American Fiber Systems. He is a self-proclaimed fiber bigot. He has a two part blog post about the Special Access fight at the FCC. 

Dave may have his dockets confused. He calls it the Special Access docket at the FCC, but he is really ranting about the UNE docket. What's the difference?

The Special Access docket was started by Sprint and T-Mobile.



Posted in CLEC, FCC, Internet, broadband, fiber, telco, wireline

Shouldn't It Be Profitable

January 25, 2010

During my interview with PAETEC's COO, E.J. Butler, at ITEXPO East last week, some of what we talked about was the Profitability Proforma. The Profitability Proforma is a toolkit for the PAETEC sales force to use to provide a price quote to the prospective customer while still being a profitable circuit sale for the carrier.

Most telecom sales people sell on price - agents too.

Posted in CLEC, agents, mergers, wireline

New Edge Drops Wholesale

January 18, 2010

New Edge Networks, an EarthLink company, cut their wholesale division this month. While volumes were good, especially with wholesale clients like Verizon, the margins were too thin for the NEN corporate strategy. That strategy would be to milk as much money as possible while this company remains afloat.

The new strategy is to double down on retail. Hire more channel managers and more direct sales people, so they can compete with each other on DSL sales.

Posted in CLEC, Internet, broadband, channel, wireline
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