IP Capsule - May 11, 2007

Thu, 05/10/2007 - 8:00pm
Brian Santo
IP Capsule from CED Magazine
   May 11 , 2007 
IPso Facto...

 Dear net neutrality
A study came out earlier this week that said net neutrality could cost consumers $69 billion over Brian Santothe next 10 years.

That's a big number, and like all big, possible numbers, it's probably a little ... ethereal. (Though if anyone who knows numbers runs through the report and finds them valid, give us a shout.)

The "costs" would come in the form of savings not saved. The study says proposed Internet regulations would deprive consumers of $69 billion in potential benefits over the next 10 years by barring voluntary commercial agreements necessary to bring some new applications and services to the Internet.

The regulations in question are those that would constrain how private Internet firms price their services, differentiate their high-speed services and manage traffic loads on their network.

American Consumer InstituteThe study's author is Stephen Pociask, who is associated with The Competitive Enterprise Institute, a thinktank known for its free-market stance and resistance to popular environmentalism. The study is actually published by The American Consumer Institute, which doesn't seem to have a particular axe to grind beyond the one you'd assume from its name. Know your allies as well as your enemies, is all I'm saying.

"Despite proponents' best intentions, net neutrality proposals would be a twofold problem for consumers," study author Stephen Pociask said.

"Innovations that require a guaranteed level of service won't come to market, and consumers would have to pay more for the services they receive."

Internet regulations would prevent what Pociask called "multi-sided pricing," where consumers shoulder only a portion of the actual costs, with the balance taken up by other parties, in this case probably advertisers.

The study estimates that multi-sided pricing would allow content providers to absorb a portion of network upgrade costs. That would provide consumers $69 billion in benefits over the next 10 years, according to Pociask.

Such an arrangement also would benefit content providers and online advertisers by stimulating a 40 percent increase in broadband subscribers, which would increase advertising revenues by $6 billion per year.

Net neutrality may also have the unintended consequence of exacerbating the digital divide. The study speculates that consumer prices might even go up, and trigger a sharp dip in the number of Americans who subscribe to broadband services, particularly lower income consumers.

Find the entire study click here.

Brian Santo, IP Capsule Editor and CED Editor

 Ntelos shifts to PON, using Tellabs gear
Ntelos, a communications provider serving areas of the Mid-Atlantic States and the south, is upgrading its IPTV network with gigabit passive optical network (GPON) features on its Tellabs 1150 multiservice access platform.

Ntelos calculates the move to GPON will allow it to quadruple the amount of bandwidth available. Ntelos said it plans to use the capabilities to deliver high definition (HD) video services and faster data services.

Orb, Amino provide bridge from PC to TV
Amino and Orb Networks have integrated the latter's MyCasting service with the former's AmiNET110 and AmiNET125 set-top boxes (STBs). The combination allows users to take the media they currently can view on their PCs, (including videos, movies, music, and Internet websites) and bring it to their TV screens.

Orb's Mycasting
Orb's Mycasting enables sharing of media across devices

The Orb application integrated with the AmiNET110 allows consumers access to personal media on the PC, as well as streamed media delivered over the open Internet.

The MyCasting service is also now available with the AmiNET125, Amino's second generation multi-codec STB. This allows MPEG-2/4 and VC1/WM9 content to be streamed in native format from the PC to the TV, enabling even older PCs with less horsepower to benefit from the Orb MyCasting application.

Cisco showcases new CDS addition
Cisco Systems Inc. unveiled an enhancement - Internet streaming media capabilities - to its content delivery system (CDS) at The Cable Show.

The addition offers video on-demand (VOD) and streaming systems, but it also incorporates applications for delivering video to digital TVs and set-top boxes, as well as for delivering video, voice, music and data to Internet Protocol (IP) devices such as PCs, WiFi-connected mobile phones and PDAs.

The solution is part of the Cisco Internet Protocol Next-Generation Network (IP NGN), a converged network designed to deliver video, voice and data services with increased mobility.

The CDS Internet streaming solution is scheduled for completion in Q3.


Cable VoIP installations leave something to be desired
Technicians had to visit 34 percent of new cable VoIP customers within 90 days of installation, and that 16 percent required visits two or more times. Twenty-nine percent of the people experiencing problems said their "primary frustration" was with recurring quality deficiencies, while twenty-four percent said the frustration was with recurring reliability problems.

These statistics were from what was identified only as an MSO-commissioned study conducted by an independent research company. They were revealed in a paper presented by researchers from C-Cor at the Cable Show.

"With various reports citing truck roll costs of anywhere from $130 to $200 per average visit, the operational costs combined with the costs of customer dissatisfaction are clearly too high for operators to sustain these levels of service problems," the paper reads.

The company is offering a product called House Check that C-Cor said provides a much higher level of assurance that service quality is where it should be when the installer leaves the home without adding significantly to the amount of time installers spend executing the work order. The paper, entitled "House Check - A New Process To Verify Voice Installs," is included in the conference technical papers.


Anadigics debuts amp, tuner for DOCSIS 3.0 modems
Anadigics has introduced two chips that make up the RFIC element of DOCSIS 3.0 cable modems: a programmable gain upstream amplifier, and an integrated wideband data tuner.

Anadigics claims its ARA2017 is the first upstream amp available for DOCSIS 3.0. The company says its AIT1061 has the smallest form factor (6 x 6 x 1 mm) of any current DOCSIS 3.0 tuner. The latter chip integrates upconverter, downconverter, VCO, synthesizer, IF amplifier, RF gain control and IF gain control.

Motorola's new Cable PON moves operators toward FTTP
One of the advantages of the hybrid fiber-coaxial (HFC) architecture was that, if need be, an HFC operator could always extend fiber closer to subscribers' homes. With some competitors deploying fiber to the premise, some MSOs do indeed need to extend their fiber plant, and Motorola is set to accommodate with an architectural variation that combines HFC and Passive Optical Network (PON) technology most familiar from telco fiber deployments.

Motorola's Cable PON is designed to leverage existing HFC plant as an intermediary step toward a full gigabit PON (GPON) fiber to the premises network. By emulating a traditional coaxial network, Cable PON allows cable providers to deliver deep-fiber services that simply plug directly into their existing cable infrastructures and back-office operations.

Motorola said cable providers can continue to use set-top and DOCSIS equipment located in homes and headends over PON while adding new FTTP connections in proximate green-field locations supporting Ultra-Broadband service delivery into residential and commercial subscriber communities.

56M subs and counting: broadband remains a hot product
Did someone say "saturation"? The largest cable and telephone providers signed up an aggregate of 2.9 million subscribers in the first quarter of 2007, exceeding the 2.5 million total of the previous quarter. The top 19 providers now account for 56.2 million broadband subscribers, according to the Leichtman Research Group.

Cable companies account for over 30.7 million of the total U.S. broadband subscribers (a 55 percent market share), and telephone companies for the balance of over 25.4 million subscribers. For the tenth straight quarter, the telcos added more subscribers than cable, though this time it was close. The telcos added 1.49 million, while cable operators added 1.45 million. That matched a record high for cable, first set in the first quarter of 2006.

Other quarterly results include:

  • The top cable companies added a record 1.1 million telephone subscribers,
    for a total of about 10 million.
  • The top cable companies added over 1.2 million digital cable subscribers -
    the most net additions since the fourth quarter of 2002
  • The top cable companies added about 200,000 basic cable subscribers
  • The three largest telephone companies (the RBOCs) added over 150,000 wireline
    video subscribers, and added 335,000 video subscribers in DBS partnerships.
Subscriber Chart
Sources: The Companies and Leichtman Research Group, Inc.
* LRG estimate
** Includes LRG estimates for Bright House Networks and Suddenlink
^ Top telephone companies now include Citizens Communications, replacing Covad from previous releases to better reflect the consumer market
^^ Citizens includes the acquisition of Commonwealth
AT&T and Bell South results are now combined
Totals reflect pro forma results from system sales and acquisitions
Top cable and telephone companies represent approximately 94% of all subscribers
Company subscriber counts may not represent solely residential households

OpVista lands $15M in new funding
OpVista has secured $15 million in additional funding in a new round led by ComVentures. Existing investors-Sevin Rosen Funds, iNCUBiC, U.S. Trust, Western Technology Investment (WTI) and DCM-also participated in the round, bringing the total funding to $90 million. The funding will further support the company's global sales and marketing efforts for the OpVista2000, and its Carrier Ethernet Transport (CET) services, the company said.

AT&T to extend WildBlue broadband to Bellsouth's markets
AT&T is adding satellite-based broadband to its bundle for rural and otherwise remote customers in the nine states that had been service by Bellsouth.

The bundle will be the same as the one already available in the former SBC territories, with voice provided by AT&T, DBS video from either DirecTV or EchoStar's Dish Network, and satellite-based broadband service from WildBlue.The service is marketed under the name AT&T Yahoo! Broadband via Satellite.

Comcast launching Web-based communications hub
Comcast Corp. expects to launch the SmartZone center, a web site that aggregates access to a number of services and features, such as the abilities to send and receive e-mail, check voicemails online, send instant messages and manage a smart address book.

To create the site and to bundle the services, Comcast has partnered with Hewlett-Packard (HP), Plaxo-creator of the smart address book-and Zimbra, a provider of open-source messaging and collaboration software.

The center will also incorporate Bizanga's e-mail anti-abuse system, Cloudmark's e-mail anti-spam and anti-phishing tools, and Trend Micro's anti-virus software, the company said.
The service, scheduled to rollout later this year, will be available via

Click Here

Company: Orb
Headquarters: Emeryville, Calif.
CEO: Joe Costello, former CEO of electronic design automation specialist Cadence Design Systems.

Claim to Fame: Orb is yet another company trying to enable users to distribute their content where they want it. The company has a free, downloadable application that allows users to stream PC-based content to most any Internet-connected device.

Recent News of Note: The company has been literally taunting Apple, boasting it is providing for free what a $300 Apple TV does.

May 22-24, 2007
More info: Click Here 

China VoIP
Conference & Expo 2007

May 23-24, 2007
Hong Kong
More info: Click Here 

SCTE Cable-Tec Expo 2007
June 19-22, 2007
Orlando, Fla.
More info: Click Here 

C-COR Global IP Summit
June 28-29, 2007
Cannes, France
More info: Click Here 

Wireless & Mobile
Expo & Conference

July 17-18, 2007
Toronto, Canada
More info: Click Here

CTAM Summit 2007
July 23-25, 2007
Washington Convention Center
Washington, D.C.
More info: Click Here

Copyright 2007 Advantage Business Media. All rights reserved



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