I'm gonna respectfully say that, from the inside, being told 'That not one of our clients, don't worry about how long the repair lasts.' and 'Why should we bother to put a DSLAM out there? It's only gonna get used up by them anyway.' and 'That pair of T1's is more than enough to feed that subdivision... They aren't our users anyway.' and lots more similar comments in the trenches tend to make me somewhat skeptical of that.

I won't say that it may not have been a part of it. I will say, that as the workers saw it, when forced to give away their bread n butter, they rightly felt that it wasn't their problem anymore. When I refer to workers, I mean anyone who would have been CWA or equivalent. I'll even include lower management.

Prior to Judge Greene, there was an /'esprit de corps'/ among the people of the Bell System. It persisted under Ameritec... for a while. By the time SBC was trying to become AT&T all over again, it was gone. And when SBC became at&t, the employees, as far as I could see, didn't give a damn any more. It became more 'Good enough to get paid. By the time that becomes a problem, I'll be somewhere else...' . Prior to that, people expected to be working on and using the plant forever. When they fixed something, the fix was intended to last longer that the original.

Mary left after 28 years because the culture was gone. She no longer liked working there.

--




//
On 11/22/2014 12:13 AM, Fred Goldstein wrote:
On 11/21/2014 7:39 PM, Blair Davis wrote:
Just and reasonable...  Give me a break.

There is a reason the carriers let the POTS network decay... My wife, before she died, spent 28 years with Michigan Bell... From before Judge Greene, thru Ameritec and then SBC. She saw this from the inside.

Because they were forced to allow others to use their wired plant at prices below the cost of maintenance, let alone upgrades.


That was the Bell party line, for public consumption, but it wasn't true.

Section 251 (sections of the Communications Act, 47 USC, beginning with 2 are in Title II) has the rules for demonopolization of PSTN carriers. They had a de jure monopoly; they still have a natural monopoly on mass-market services. So they have facilities that are a necessary inpu to competitive providers. They built their networks using rate of return regulation and de jure monopoly status (essentially a guarantee of profit) and that put them at the 24 mile line in the competitive marathon.

Section 251 says that ILECs specifically and uniquely have to provide unbundled network elements at forward-looking cost. Just what "cost" is is not a simple answer. Cost is not price. Cost can be embedded direct cost, fully distributed (various methods), long-run incremental, total service long-run incremental, total element long-run incremental, etc. Lots of room to argue cost, and that was a lot of fun back in the rate case days, to do cost studies and argue over details.

Non-ILECs have fewer obligations than ILECs. There is a separate fundamental right of common carriage if a company is deemed a common carrier, but the "just and reasonable" standard is generally enforced only to what I call a "shocks the conscience" level. No formulas, just don't horribly offend the Commission. It is very rarely invoked.

The Bells stopped maintaining their plant because in 1992-1993, they transitioned from rate of return regulation to price cap ("alternate form of") regulation. Under rate of return, their total profit was a percentage (11.25% return was the last number, still in use) of their rate base (undepreciated capital plant). So the investment was to invest heavily; investing in rural areas paid really well because the high cost would be recoverable from urban monopoly ratepayers. Under AFOR, though, some basic service prices are capped but not profits, so they could increase profits by reducing costs. And they sure did! AFOR was met by massive layoffs and a general decline in maintenance. Accountants running companies devalue the future, so disinvestment look good to short term profits, and CEOs live for quarterly bonuses, which are not based on how they position the company for 10 years out. Well, 20 years of AFOR and the chickens have come home to roost. The plant is very heavily depreciated, not maintained, and the parent companies have put their capital into wireless, which has been more profitable lately. Such is deregulation, helping turn the USA into a third world country while rentiers take the money and run.

Do you want to be forced to allow other to use your wireless network? And have your costs and reimbursements determined by bureaucrats?


This would not apply to WISPs even in the unlikely event that WISPs were covered by Title II (which I've strongly opposed). They were never common carriers, and WISP plant is generally not suited for it. (There are wireless common carriers, and you could create one if you wanted, but it would be a choice.) And non-ILEC prices are never set by regulators. The Just & Reasonable standard is only raised when a price is truly out of line, like the $68 3-minute pay phone call, or prison phone calls (always collect, typically at dollars per minute, which the FCC is cracking down on now). Not even ILEC retail rates are set by regulators any more, just wholesale rates, which are regulated as part of the must-carry nature of the PSTN.

Title II, if forced on the small wisps, will kill us.


Probably true, but it's not the facilities they're talking about now, it's the data itself, which Title II was never meant to regulate, so it wouldn't stand up in court.

--
On 11/21/2014 6:19 PM, Fred Goldstein wrote:
On 11/21/2014 5:47 PM, Drew Lentz wrote:
So here's what sparked the question. I was trying to get some point-counterpoint going on with a friend of mine and found some pretty good arguments on each. This article made me think about it all a little differently:

http://www.netcompetition.org/congress/the-multi-billion-dollar-impact-of-fcc-title-ii-broadband-for-google-entire-internet-ecosystem

To Fred's point, the article mentions:
"That's because of the way the law and the forbearance provision are written; they apparently do not allow for any immaculate ruling where the FCC somehow rules the service and carrier of Internet traffic are regulated, but not the Internet traffic itself that is precisely what defines the service and carrier."


The article is pure garbage. Read the January ruling of the DC Circuit. It was quite clear that the Computer II framework was legal. And the Telecom Act was meant to memorialize that, not overturn it. The Computer II framework very explicitly held that the "basic" carrier function was regulated while the higher-layer "enhanced" traffic was not. The reason the FCC keeps getting in trouble is that they don't want restore that working model, since it would hurt some carriers' fee-fees.

The idea that Title II requires metered pricing makes less sense than the average diarrhea that comes from Louis Gohmerts' tuchus. The .0007 rate is for termination of local telephone calls; it has nothing to do with bits or data services. Whoever wrote the article is either a) an utter ignoramus; b) an utterly contemptible liar, or c) both.

There are all sorts of reasons why Title II would break the Internet. But applied to the access layer, it would simply mean that ISPs could lease DSL for a certain price per line per month, and perhaps a certain number of cents per gigabit, but that price would have to be "just and reasonable" in light of its actual cost to provision.

Oh, and Scott Cleland is now a lobbyist for the Bells, a professional liar who used to pretend to be an industry "analyst" for the Wall Street crowd, but who always shilled for the Bells.

Anyhow, not trying to beat a dead horse, but this got me questioning things :) Have a great weekend y'all!

-drew

On Fri, Nov 21, 2014 at 4:45 PM, Drew Lentz <d...@drewlentz.com <mailto:d...@drewlentz.com>> wrote:

    So here's what sparked the question. I was trying to get some
    point-counterpoint going on with a friend of mine and found
    some pretty good arguments on each. This article made me think
    about it all a little differently:




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