Monday, January 23, 2006

Can you say monopoly?

There are currently 6 (legal) ways you can connect to the Internet from your home (depending on where you live):

1. Dial-up access using your phone line - cheap; slow as molasses; can't use the phone while you're online; essentially a dinosaur option.

2. Satellite access - expensive; somewhat faster than dial-up; but at least available in more places than the following options.

3. Cable broadband access - fast; neighbourhood bandwidth is shared; same cable can be used for phone and TV signals - at the same time.

4. DSL broadband access - fast enough; each customer gets their allotted bandwidth; same cable .... yadda yadda.

5. Fixed wireless broadband - fast; no wires needed to the house; same wireless signal .... yadda yadda.

6. Internet over Powerline - fast enough; wires already exist (for your electricity); same signal .... yadda yadda.


In Canada (at least where I live), options 1, 2, 3 already exist. Option 4 exists, but has yet to make TV available to compete with options 2 and 3. I know it's possible. It seems imminent, because on the Web TV listings, Telus is listed as a TV provider. Option 5 exists, but it only seems to be available in the rural areas, where options 3 and 4 are not available. Option 5 also has yet to offer phone or TV service. Then we have option 6. Hello? [tap tap] Is this thing on? I've heard rumours that the Powerline option was imminent, but we've heard nothing new in a long time.

My point? We'll never receive the benefits of a competitive market (low costs) until every option listed above becomes a reality - in every jurisdiction. So what's taking so bloody long?

2 comments:

Karl Plesz said...

I was speaking more on behalf of Joe Public, than myself. I suppose I could have made that clearer. I chose my ISP purely for customer service reasons, not price.

I was being very vague about exactly which services I would like to see in which areas, but the one I'm most interested in is Wireless Broadband, which by the way, is (using the right technology) just as fast as DSL - or so I've been told. Why wireless? Because if I can get the 3 basic services from Acme Wireless Broadband that I currently get from the 3 companies I rely on, it could mean 'no more wires' for me and many others who are tired of the limitations of wired services.

But I also stand by my statement on competition in general. The reason Telus and Shaw charge so much for their Internet service is because there's nobody else. I hope someday that changes.

Karl Plesz said...

I don't think we're talking about the same technology Jon. You're referring to wi-fi. This is not the same as Fixed Wireless Broadband. See: http://www.networkcomputing.com/netdesign/bb1.html

FWB was designed as a wireless infrastructure to compete with Cable and Phone companies, with design speeds of up to 155Mbps. The 3 basic services I was referring to are Internet, TV and Phone.