Archive for the ‘Competitive-Free Market Forces’ Category

Verizon Wireless… and Linux?

Thursday, May 15th, 2008

Have It Your Way - Verizon is the Burger King of the Cell Phone Market

Verizon took another bold step towards consumer choice yesterday, by embracing linux on cell phones. The Tribune reports:

Verizon became the first U.S. wireless carrier to join what’s called the LiMo Foundation, a group of companies pushing to create an open, Linux-based operating system for wireless products. The now 40-member group also includes phonemakers Motorola, Samsung and LG…

Over the coming year Verizon previously announced plans to remove restrictions on the types of cell phones compatible with their wireless service. Moving this direction, allowing consumers to alter their phones’ operating system, is a natural extension of their new open wireless service business model.

Bandwidth Hogs (CrankyGeeks Clip)

Tuesday, May 13th, 2008

clip
(crossposted from PC Mag)

Eighty percent of net subscribers use less than ten percent of the overall bandwidth. Do ISPs have a right, in light of this, to put limits on users? Dvorak and the cranks convene.

Internet Governance – Be Afraid

Thursday, May 8th, 2008

Rep. Markey’s Internet Freedom Preservation Act of 2008 (HR 5353) ironically does just the opposite, opening a Pandora’s box of bureaucratic regulation and internet governance.

Currently the internet is open and free. There are many options for consumers to get online, some are faster while others are cheaper. In hindsight one of the distinctive differences between the old telephone industry and the internet lays in enormous innovation and competition, possible only in a non-regulatory environment. A critical congressional colleague complains:

Markey is trying to turn the Internet into a highly regulated industry like the waterways and railroads of the 19th century, according to Republican Reps. Cliff Stearns, ranking member of the subcommittee, and Fred Upton of Michigan.

In defense, Ben Scott, policy director for Free Press, claims there’s an urgent need for internet regulation.

Free Press supports the right to network management, but draws the line at discrimination based on content or a particular application, like BitTorrent, Scott said. “That’s the kind of targeting and selectivity that should be left to the consumer.”

But should it? BitTorrent software is uniquely designed to gobble up bandwidth, and as a side-effect can harm the internet service of other customers nearby (see yesterday’s post). Comcast shouldn’t have initially lied about not managing internet traffic, but that doesn’t mean what they did is wrong. Comcast had a legitimate grievance.

If two of my neighbors decide to pirate the whole Star Wars movie collection simultaneously with BitTorrent, tying up the internet to such a degree that I can’t check my e-mail… where’s the justice in net neutrality there? Strict net neutrality could restrain an internet service provider (ISP) from protecting it’s own customers.

Preserving a free internet means thumbs down for HR 5353. Markey has a strange vision that the internet will fail to produce great new ideas without government protection. Government… bureaucracy is where good ideas come to die. This bill will empower bureaucrats to change the internet; and bureaucrats only go one direction, red tape.

Lower Prices, Raise Profits

Tuesday, April 29th, 2008

Yesterday Verizon’s wireless divison announced 9.8% increase in first quarter earnings, attributed to a growing customer base. In particular, during a conference call with investors, the company mentioned strong sales with it’s $99 per month/unlimited calling. The share of new customers opting for the unlimited calling blossomed from 4 up to 13 percent.

Attack Ads Fuel ISP Marketing

Monday, April 28th, 2008

Tired of all those negative ads? No, I’m not talking about the latest primary battle between Hillary and Obama.

  • A boy genius who can do other people’s tax returns struggles to decipher a bill from a phone company
  • Cable executives frustrated by the quantity of high-definition services offered by the satellite company; they end up turning the meeting into a “blame-storming” session.
  • Slowskys, a turtle couple overwhelmed by the speed of a cable modem who prefer the generally slower DSL services offered by phone companies.
  • The big ISPs appear to be in the midst of a marketing war. It’s a sign of vibrant competition between service providers… better service should follow.

    Benefits of Comcast/Verizon Rivalry

    Monday, April 21st, 2008

    Clash of the cable titans: Verizon slowly growing on Comcast’s turf from The Eagle-Times

    Customer Service Plagues Verizon in Florida

    Monday, April 21st, 2008

    Verizon’s FiOS launch (offering super high speed internet and TV service) in South Florida seems to be stumbling over basic customer service issues. A recent customer complaint is the Herald Tribune:

    “I have continually been stalled, lied to, deceived and to date nobody at Verizon seems to have a clue what is going on,” Weisenbacher’s complaint reads. “It seems to me that Verizon is deliberately playing games with the general public assuming people will get so frustrated that they will simply drop the issue.” (read full)

    Weisenbacher is one of 543 customers filing complaints with the Florida attorney general.

    Verizon’s negligence is Comcast’s opportunity

    Meanwhile, Comcast offers disgruntled customers a good alternative:

    Competitor Comcast has begun offering to pay the termination fees for Verizon customers wanting to return to the Comcast.

    “If you have become a Verizon customer and are unhappy, we have some win-back offers that will allow you to recoup your termination fee and come back to us,” said Mark Lipford, vice president and general manager for Comcast West Florida. “It’s interesting for every video customer we lose, we get 37 percent back within 30 days, either because they’re having technical problems, customer service problems or they can’t get SNN 6.”

    This is the free market at work.

    T-Mobile Phones Harnessing Wi-Fi

    Tuesday, April 15th, 2008


    Home Hotspot, for your Cell

    I’ve heard about the idea of regular cell phones making calls via Wireless-Internet(WiFi) signals for many years, but this is the first mainstream product I’ve seen that actually does it. This thing is neat, check out the video!

    Verizon lowers cost on Unlimited Mobile Internet

    Tuesday, April 15th, 2008

    Motorola Q9m

    Verizon just lowered the price for unlimited mobile internet on a few cell phones to $29.99 a month. Now the plan is limited to the Verizon SMT5800, Verizon Wireless XV6800, and Motorola’s Q9m (shown in image). This plan will expand to more smart phone models in the future.

    Femtocells

    Tuesday, April 8th, 2008

    These cell phone signal boosters, “femtocells,” designed for home use are one more reason to ditch your landline. The Associate Press explains:

    Not only do femtocells improve coverage indoors, where the carrier has a hard time reaching, they reduce traffic on regular, outdoor cellular towers. Perhaps best of all, the carrier doesn’t have to pay to carry the traffic from the femtocell to its network, because the device plugs into a home broadband connection. The so-called “backhaul” traffic, which carries calls from a cellular tower to the wired network, is a major part of the cost of operating a wireless network.

    While these gadgets threaten already suffering landline business of Verizon and AT&T, market forces may force them to embrace it anyway. Forrester Research analyst Charles Golvin comments, “‘They’re afraid that by deploying these femtocells, at least where they have a landline footprint, they might be putting their landline business at risk’… But that business is at risk anyway – a lack of femtocells may make cellular subscribers keep their landlines for another year or so, but not for long[.]”

    Right now Sprint has a competitive lead, already offering them for $49.99 plus $15 a month for unlimited home calling.

    Source: Wireless industry works to boost cell phone coverage in the home, Associate Press (4/3/08)