Light Reading
If the FCC grants AT&T's request to lift wholesale requirements, companies could lose out on advanced services, a CEO tells Comptel

tw telecom Rails Against AT&T's Proposal

Carol Wilson
10/8/2012
50%
50%

DALLAS -- Comptel Plus -- A policy fight brewing in Washington could impact how quickly U.S. businesses gain access to advanced services, such as on-demand bandwidth, as well as the future health of the competitive carrier industry itself, tw telecom inc. (Nasdaq: TWTC) CEO Larissa Herda said in her Monday keynote address here.

Unlike much more public battles, such as future Universal Service Funding, this one hasn't garnered much publicity. It revolves around an AT&T Inc. (NYSE: T) filing with the Federal Communications Commission (FCC) , which argues that with the transition to an all-IP network, competitive carriers no longer need the legal right to access the incumbents' last-mile connections -- a right they've had since the 1996 Telecom Act.

"AT&T's argument makes no sense," Herda said, urging her fellow competitive carriers to oppose this action in Washington, D.C. "It doesn't matter what the electronics are; the incumbents' market power comes from control of those wires that connect to the business. The FCC should establish technology-neutral policies."

If allowed to shed its wholesale obligations for last-mile connections, AT&T would be in position to restrict choice to many businesses located in buildings where there is still only one connection -- the incumbent's, Herda argued.

tw telecom continues to aggressively expand its footprint, growing to 16,000 on-net buildings, but to reach many more buildings and customers, it still relies on connections leased from incumbents. This summer, the company rolled out a bandwidth-on-demand service that lets its Ethernet customers dramatically increase their bandwidth within seconds, based on integrated intelligent network capabilities tw telecom has been building for the past several years. (See tw telecom Delivers On-Demand Ethernet.)

That's the kind of advanced service that will enable U.S. businesses to more efficiently connect to data centers and cloud services and make their overall IT operations more flexible and scalable, Herda said. It's part of the industry's overall move from circuits to services and from physical to logical infrastructure, but that transition can be threatened by policy changes in Washington.

The buildout of tw telecom's new intelligent network service took place during the recession years of 2007 to 2009, when tw telecom decided not to follow the industry trend of making cuts in staffing and capex, Herda said.

"We raised our sails in uncertain times in order to advance," she said. "It really took guts -- the world really seemed like it was crumbling around us. Our stock took a major hit."

That determination to keep investing enabled tw telecom's current track record of growth acceleration over the last 31 consecutive quarters, Herda said. (See tw telecom Reports Q2 Net Income of $19.3M.)

— Carol Wilson, Chief Editor, Events, Light Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Telco
50%
50%
Telco,
User Rank: Light Beer
12/5/2012 | 5:19:25 PM
re: tw telecom Rails Against AT&T's Proposal


I have been making this point with our telco clients for more than 10 years and feverently the past 4 years.  Some are waking up but to their detriment.  If you do not have customer access lines, you are very much in-trouble.  If you build access lines, your investers flee.  If you have a switch but no access lines, your bankers flee.  If you have access lines but no switch, you are a target for acquisition.  


So the incumbents say they will sign commercial agreements for access lines (commercial ethernet through their managed switches) and as of last December, will do so in good faith.  Yet, I have not found too many companies that have received the requested contract yet.  Instead, the response has been yes we are signing the agreements, no you are not on the list. 


Mrs. Herda's point is very important, especially since her former parent company will not sell her access lines either.


 


 

Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Custom TV
Advantech Accelerates 100G Traffic Handling

10|17|14   |   7:56   |   (0) comments


Paul Stevens from Advantech explains why handling 100GbE needs a whole new platform design approach and how Advantech is addressing the needs of equipment providers and carriers to give them the flexibility and performance they will need for SDN and NFV deployment.
LRTV Huawei Video Resource Center
Holland's Imtech Traffic & Infra Discusses Huawei's ICT Solution and Services

10|16|14   |   4:49   |   (0) comments


Dimitry Theebe is from the business unit at Imtech Traffic & Infra which delivers communications solutions for transportations. His partnershp with Huawei began about a years ago. In this video, Theebe speaks more about this partnership and what he hopes to accomplish with Huawei.
LRTV Huawei Video Resource Center
Huawei's Comprehensive Storage Solutions Vital for SVR

10|16|14   |   6:16   |   (0) comments


SVR Information Technology provides cloud services for academic and special sectors. With Huawei's support, SVR and Yildiz Technical University has established Turkey's largest and most advanced High Performance Computing system. CSO Ismail Cem Aslan talks about what he hopes Huawei's OceanStor storage system will bring for him.
LRTV Huawei Video Resource Center
Mexico's Servitron's Impression of Huawei at CCW 2014

10|16|14   |   6:35   |   (0) comments


Servitron is a network operator in Mexico that has been in the trunking industry for the past 20 years. Its COO, Ing. Ragnar Trillo O., explains at Critical Communications World 2014 that his company has been interested in the long-term evolution of LTE technology and its adoption for TETRA.
LRTV Huawei Video Resource Center
Building a Better Dubai

10|16|14   |   2:06   |   (0) comments


Abdulla Ahmed Al Falasi is the director of commercial affairs, a telecommunications coordinator for the government of Dubai. Their areas of service span across multiple industries, including police, safety, shopping malls and more. In this video, Abdulla talks about his department's work with Huawei.
LRTV Huawei Video Resource Center
Huawei Lights Up Malaysia Partner Maju Nusa

10|16|14   |   1:59   |   (0) comments


Malaysia's Maju Nusa is an enterprise partner to Huawei in networking, route switches and telco equipment. At this year's Critical Communications World in Singapore, CTO Pushpender Singh talks about what Huawei's eLTE solutions mean to his company and for Malaysia.
LRTV Custom TV
Evolving From HFC to FTTH Networks

10|15|14   |   2:19   |   (0) comments


Cisco's Todd McCrum delves into the future of cable's HFC plant, examining how DOCSIS 3.1 and advanced video compression will extend its life and how the IP video transition will usher in GPON and EPON over FTTH.
LRTV Custom TV
Exploring the Future of Cable Access

10|15|14   |   6:23   |   (0) comments


Cisco's Brett Wingo looks at where cable access architectures are heading, discussing the impact of DOCSIS 3.1, CCAP, Remote PHY, SDN, virtualization of cable networks and related technologies.
LRTV Custom TV
Optimizing & Monetizing WiFi

10|15|14   |   5:53   |   (0) comments


Cisco's Vince Pandolfi outlines the reasons for cable WiFi's rapid growth, lays out the issues with the technology and explains the new Cisco tools that can help operators monitor and improve their WiFi delivery.
LRTV Huawei Video Resource Center
Emulex & Huawei Collaboration Mutually Beneficial

10|14|14   |   4:17   |   (0) comments


US company Emulex collaborates with Huawei in areas such as blade servers and workload documentation. Mike Heumann of Emulex believes that Huawei has done incredibly well moving from a telecom company into servers and networks, working closely with customers to realize their needs.
LRTV Huawei Video Resource Center
Chile's VZION Looks Forward to Seeing More of Huawei

10|14|14   |   4:43   |   (0) comments


VZION is a systems integrator company in Chile with a focus on virtulization technology. In this video, Cesar Alcacibar talks about the challenges in virtualization and how Huawei helps his company to achieve the best results possible. Alcacibar is expecting more adoption and integration of Huawei technologies in Chile.
LRTV Huawei Video Resource Center
Pro-Datech & Huawei for a High-Tech Singapore

10|14|14   |   2:59   |   (0) comments


Pro-Datech Systems is a specialty IT solution provider based in Singapore. For an added value to its customers, the company uses Huawei's hardware and trusted performance and features for a total solution. It's looking forward to the creation of a lab, to be based in Singapore, for the two companies' coorporation on total storage solution.
Upcoming Live Events
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 2, 2014, New York City
December 3, 2014, New York City
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
WhoIsHostingThis.com presents six of the world's most extreme WiFi hotspots, enabling the most epic selfies you can imagine.
Hot Topics
Forget the Internet, Brace for Skynet
Stephen Saunders, 10/15/2014
HBO Will Go OTT in 2015
Mari Silbey, Independent Technology Editor, 10/15/2014
Google: Carriers & Cloud Providers Need to Cooperate
Mitch Wagner, West Coast Bureau Chief, Light Reading, 10/16/2014
Could Data Be the New 'Currency'?
Ray Le Maistre, Editor-in-chief, 10/16/2014
CBS Takes OTT Plunge
Mari Silbey, Independent Technology Editor, 10/16/2014
Like Us on Facebook
Twitter Feed